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With visitors to Utah spending $12.71 billion annually, you are wise to invest in a vacation rental property. However, you need to do more than just buy real estate and expect to generate passive income. Treating your vacation rental property like an investment or a business will help you make intelligent property management decisions.
These vacation property tips will take your vacation rental to the next level of success and profitability.
1. Use Creative Content Marketing
The simple method to increase rental profit is to use creative marketing. Draw potential guests in by using engaging content marketing. Share pictures and videos on social media that help people imagine themselves staying at your rental property.
Tell a story that directly speaks to your ideal guest:
- A story of wanderlust
- Revenge travel
- Business trip
- Romantic getaway
- Family vacation
By directly engaging with your target guests, you develop a relationship with them, making them more likely to book your vacation rental over another.
2. Use Dynamic Pricing
The pricing for your vacation rental should be dynamic, rising and falling with changing demand. With dynamic pricing, you will charge peak pricing during the heaviest travel times. During slow travel times, you will reduce pricing or offer promotional rates.
Taking this approach will boost rental income by increasing bookings without sacrificing profit. You can take things a step further by adjusting your rates based on the length of stay. That way, you can encourage longer stays during peak demand, such as during the holidays.
3. Prioritize Housekeeping
Housekeeping is paramount for the success of your vacation rental. You need to hire a professional service that will do a high-quality job and be cost-effective. A clean-looking and smelling rental will make a solid first impression and set the stage for a positive guest experience.
Hiring a rental property management company can streamline this process for you. Professional property managers have relationships with dependable cleaning service vendors.
4. Keep Diligent Accounting Records
One of the smartest property success strategies you can have is to keep diligent accounting records. You won't know if your vacation rental is successful if you do not regularly track your accounting. You also need accounting records to know if the other three strategies on this list are effective for you.
Finally, accounting is essential for ensuring you pay the required amount of taxes. The state of Utah collects a Transient Room Tax for those operating temporary housing for profit.
Make Your Vacation Rental Property Profitable
With these four tips, you can make your investment in Davis County, UT, profitable. Start by getting creative with your marketing to help your property stand out. Then, create a dynamic pricing strategy that will help you maximize profits and bookings.
Hire a dependable housekeeping service to ensure your home is always rental-ready. Finally, keep accurate accounting records to track your rental's performance.
At PMI Northern Utah, we take the guesswork out of managing a vacation rental. Our skilled team of property managers uses innovative technology and a deep understanding of market trends to make your vacation rental property stand out from the competition.
Improve your vacation rental's profits by letting us evaluate and improve your property management.
