Managing a Short-Term Rental
Ever wondered what it’s really like to manage a short-term rental? It sounds exciting, right?
Well, let me tell you: it’s rewarding, but not as glamorous as Instagram makes it look. Behind every 5-star review is a lot of hard work, learning, and yes, moments of doubt. But for me, every step of the process has its own kind of magic, from buying the property to welcoming guests.
1. Shopping for the Right Property
Buying a house is my favorite part it’s like going shopping, but on a much bigger scale! Of course, it’s not all fun and games. Staying within budget is key, as well as conducting thorough market research and making solid projections. I always stick to the square method buying a property (I’ll write about the method in another post). These rules have been my guide to ensuring each investment is profitable.
For example, when I bought a house to open an Arbnb that was built in 1971, It was a challege, but I fell in love with its retro charm. I knew it needed updates, but I wanted to preserve its personality. The kitchen had a close layout and it looked dark, but had white appliances that fit the home’s vintage vibe. While I modernized the lighting, repaint the cabinets, and countertops, I decided to keep some of the original elements to maintain its character. A fresh coat of paint throughout the house, and modern lamps brought it all together.
2. Decorating and Furnishing
Once the renovations were complete, it was time to furnish and decorate the house. This was harder than I expected I’m not an interior designer! But thanks to Pinterest and social media, I found plenty of inspiration. The goal was to create a space that felt welcoming and durable. I invested in high-quality furniture because I knew it needed to withstand heavy use from guests coming and going. I chose neutral colors to create a timeless and elegant style, rather than a trendy one. It wasn’t easy to create spaces, but seeing the final setup was incredibly satisfying.
3. Going Live on Airbnb
Putting the house on the market was a scary moment. I think we all feel that fear when starting a new business the fear of failing. But I’ve learned that every failure is just an opportunity to try again. That’s the mindset I embrace as a businesswoman.
So, we listed the property. Everything was ready the house was clean, freshly painted, and perfect for welcoming our first guest. But nothing could prepare me for the reality of that first booking. The guest wasn’t friendly at all. She immediately noticed that the property was new on Airbnb and took full advantage of the platform’s introductory discount for first-time guests.
Her stay was filled with complaints about every little detail. At first, it was overwhelming and frustrating. But looking back, every single complaint helped me improve. She unknowingly pushed me to fix things I hadn’t even considered, and as a result, I became better at what I do. It was a tough but invaluable lesson that set the foundation for how I manage my properties today.
4. Building a Unique Experience
As I gained more experience, things began to fall into place. Guests started appreciating the space, and I added thoughtful touches to enhance their stay. For example, during the annual Ironman event in my town, I left goodies for participants and folding chairs for spectators. These small gestures made a big difference and earned me 5-star reviews.
Summer became my busiest season I reached 98% of occupancy in this season, increasing from May to June 40% of ocuppancy rate being June, July and Mid August the peak season. Holidays like Thanksgiving and Christmas were also peak times. Promoting the property during local events helped boost bookings. For Ironman, I made sure guests knew about the event and even tailored welcome gifts for participants, creating a personalized and memorable experience.
5. What About the Slow Months?
From the peak season to the slower months, bookings can decrease by as much as 50%. Navigating these slower periods is challenging, but it’s part of the reality of managing a short-term rental. My strategy is to save money during the busy months to cover expenses when things slow down.
Offering discounts can also help maintain occupancy it’s better to earn enough to cover costs than to leave the property empty just because the house is valued at a certain price. However, my personal advice is to be cautious about who you rent to. Lower prices can sometimes attract the wrong kind of guests. I always ask simple but important questions, like “How many people will be staying?” and “What’s the purpose of your trip?” Setting clear expectations is critical.
I also leave a detailed book of house rules for guests and install outdoor cameras to help protect the property. These measures ensure that even during the slow months, the house is in good hands while maintaining steady cash flow.
6. Standing Out in a Competitive Market
Today, short-term rentals are about more than just providing a furnished house they’re about offering an experience. For me, service always comes first. I’ve also explored ways to collaborate with local businesses, like partnering with nearby coffee shops or tour operators to offer discounts to my guests. These small efforts not only enhance the guest experience but also help my property stand out in a crowded market.
