You have just bought your property and you want to start a seasonal rental business but you do not know where to start? It is true that when you start renting in the short term, you probably already have an idea of your goals in terms of decoration, reception and the services you will provide to your hosts and many others. Your ultimate goal will still be to invest and make the most of your rental. But one thing remains rather difficult to establish: the price! You do not know where to start to fix your rental price? How to set the rates for your seasonal rental to ensure the best possible profitability? What are the criteria for setting the most profitable price possible?
IDENTIFY THE MOST SIMILAR ADS TO YOURS
Before you can set the ideal price, let’s first identify any ads that are similar to yours. To do this, you must first create an identity for your rental property. In this way, you will discover what your seasonal rental can bring unique to your potential guests. Take a paper or laptop to take notes and find out how to set your rates! We will proceed to a funnel principle: identify, analyze, calculate and fix the price.
WHERE IS YOUR PROPERTY FOR RENT?
First of all, you have to know where your property is for rent. It goes without saying that properties located in tourist areas are more in demand and prices are thus more expensive. Is your property located in a more touristy area or not? Or in a region with few visits? Whatever the place, you will have to take into account in the price, the dynamism of the place of your property. You could also research cities with the highest average nightly rates on Airbnb. For example: According to data from AirDNA, the average daily price in London during the months of February-March, is 98 € for a whole house, 64 € for a private room and 30 € for a room with collocation.
THE ENVIRONMENT OF YOUR PROPERTY
After identifying where your property is for rent, locate the environment of your property. So if your property is located in a dynamic environment surrounded by bars, restaurants and museums or close to the beach, the mountain or the lake, take this into account to set your price. In addition, you can make sure to enhance the ecosystem of your property to justify your rate.