More entrepreneurs and property owners in Dubai prefer to have short term rentals as their option for rental investment. It used to be that the long-term property rental is the most popular. The problem with this however is that not all investors know about short term rentals making them a highly viable investment option. Property investors gave out some tips for those entrepreneurs or investors who like to switch to short-term rentals for them to gain higher rental yields.
1. Think about the right pricing.
Pricing is one of the more crucial factors to rent out properties for short term. One crucial thing you have to keep in mind is not your nightly charge but the net amount that you get from the property in a weekly, monthly, or yearly basis. You have to bear in mind the flow of supply and demand in your area for you to come up with rates that are competitive. It’s the market that will tell you how much you should price your property considering the season and the level of competition. It is wise to aim for an occupancy of 70 to 80 percent for the best net returns.
2. Always make sure you have great housekeeping.
Cleaning short term rentals is different from domestic cleaning since it is more meticulous. You have to make sure that the property is spectacularly clean to attract more customers every day. You need to pay attention even to the smallest details. You must always make sure that there are household items such as cutlery, glasses, and toiletries. You need to have a system in place so that you can be updated of the property’s condition.
3. Pick the best location
When you plan to set up a short term rentals, try to choose one with the right location. Figure out the level of demand for short term rentals in your chosen location. For you to check the demand in the area, you have to look at the data about the properties in the area. Areas that are of high demand are suburbs with less hotels and short-term rentals near any public transportation system. You can also include some amenities such as free self-parking and an outdoor pool for guests.
4. Think about the furnishings and style
You have to spend on the furniture and styling techniques since these make the short-term rentals interesting for guests. All these may result to high nightly rates, five-star reviews, and guests who are returning to the property. You may invest on a good couch, a sturdy dining set, and top-quality beds and linens.
5. Give your guests the best experience they can have
It’s not a good thing for your customers to keep on looking for you. That’s why you have to answer the questions and inquiries as quickly as you can. You must make it a point that the guests who booked in your hotel will have answers to their inquiries sooner. What you must aim for are five-star reviews, and recommendations will do the marketing for you.