Holiday House: How to Get Your Short-Term Rental in 7 Easy Steps

The holiday season will be here before we know it, and that means the potential for extra income from your short-term rental.  All you need is to know how to turn your holiday house into a money machine.

People worldwide are eager to explore new destinations, and if you have a property in a popular tourist spot, it may be time to capitalise on this opportunity. So, this guide covers seven easy steps to prepare your home for holiday guests, ensuring their comfort and satisfaction while maximising your earnings.

From assessing your property and financial situation to promoting your holiday rental and enhancing the guest experience, we will provide top tips and useful strategies to help you succeed in the competitive holiday rental market.

Step 1: Assess Your Property and Financial Situation

$$$ From Your Holiday House: How To Evaluate Its Potential

Before entering the holiday rental market, you should thoroughly assess your investment property. Begin by looking at similar holiday homes in your area to determine the demand for these properties and the average rental prices. This research will help you understand your potential income and how competitive your holiday home will be. 

Remember that some towns or communities might have restrictions or regulations on short-term holiday rentals, so check your local laws to ensure you are compliant. You should also prepare for not having a steady income stream from your holiday rental, as there may be off-season periods with lower occupancy rates.

Consider Ongoing Costs and Management Fees

Like any income source, a holiday house still includes a list of ongoing costs to factor into your budget. These expenses include:

• Maintenance and repair fees
• Utilities
• Property management fees (if using a property manager or short-term management company)
• Insurance (i.e. some regular homeowners’ and landlords’ policies might not cover holiday rentals)
• Marketing and advertising expenses for further promotion.

Calculating these costs will help you understand the difference between your income from leasing the property and the expenses incurred. If you’ve employed a property manager to help you out (like GrowHost) they should always be transparent about any costs involved and be able to give you a rundown of ongoing fees you’ll need to consider. You can always use our income calculator to assess whether you will get a better return from short-term or long-term rental.

>> Want to know your short-term rental’s income forecast? Get yours now from the GrowHost team by clicking ‘Book a Forecast’ on our homepage. << 

Step 2: Prepare Your Holiday House for Guests

Provide Essential Amenities and Household Items

When preparing your home for holiday rental guests, make sure you provide essential amenities and household items. First and foremost, invest in good quality linen for the beds, as this will make a big difference in your guests’ comfort. You must also provide enough towels, bedding, and pillows for each guest.

For overseas guests, consider adding accessible items like a hairdryer, iron, and ironing board. Your guests may also appreciate a stocked kitchen with essential cookware, utensils, dishes, and glassware. This will enable them to conveniently cook and enjoy meals during their stay. 

Here’s a handy list of items to have on hand:

Ensure Comfort and Convenience

To make your guests feel as welcome as friends, pay attention to the comfort and convenience of your property. If you live in a warmer climate, like the Sunshine Coast, don’t forget that air conditioning is probably a welcomed feature to help your guests feel more comfortable. 

Your rental property’s cleanliness is also hugely important. We recommend charging a cleaning fee as part of the rental fee, so your space stays clean between bookings – you’ll thank yourself later.

This will also give you the financial assurance you need within your budget to cover professional cleaning maintenance, if it’s needed. (We can help you with that.)

Lastly, cater to your guests’ various needs when renting your home, like providing a sofa bed, a high-speed internet connection, a TV, and even some books for their entertainment. 

Providing essentials will make your home more attractive to potential guests, increasing bookings and generating more rent income from your short-term rental property.

Step 3: Set House Rules and Holiday Rental Agreement

Establish Clear House Rules

Establishing clear house regulations for your holiday letting gives you and your guests a pleasant experience. Start by thinking about what you find most important in maintaining your property and ensuring enjoyment at the same time.

Consider simple guidelines encouraging responsible behaviour, such as no smoking or quiet hours. You can also include guidelines for using amenities such as the kitchen, laundry, or swimming pool.

Communicate your rules to the guests before they arrive and include them in your rental listing. You can also print them out and place them in several locations across your holiday home. This way, guests can refer to the rules during their stay, helping to avoid potential misunderstandings.

Draft a Comprehensive Rental Agreement

A comprehensive holiday rental agreement is key to managing a successful holiday rental. This document should cover important topics such as payment terms, cancellation policies, and damage deposits and clearly outline your house rules. 

When drafting the agreement, include the following information:

• Rental dates and times
• Payment details and schedule
• Cancellation policy
• Damage deposit details
• Maximum occupancy
• A detailed list of house rules

Creating a clear and concise agreement will lead to a smooth rental process and reduce the likelihood of disputes. Make sure you have a professional review of your holiday rental agreement so it complies with local laws and regulations.

Most modern property management software takes care of this automatically, or even the likes of the AirBnB platform do a lot of the heavy lifting, but you still need to make sure the terms suit your needs. 

Step 4: Determine Pricing and Peak Season Availability

Research Other Holiday Rentals

To set the right pricing for your holiday rental, start by researching the competition. Look for holiday homes, properties, and accommodations in your area that are similar to yours. Compare their prices and the amenities they offer. This will give you a benchmark to work from when setting your own pricing. 

Consider the following factors when you’re looking into the figures:

• Size and quality of the property
• Location and accessibility
• Amenities and extra services

Adjust Pricing for Popular Season and Special Events

During prime seasons and special events, demand for holiday houses typically increases. This surge in short-term demand allows you to adjust your pricing accordingly. You can raise your prices to increase your income from rent, but remember not to overcharge, as it may deter potential guests. 

Factors to consider when adjusting your pricing, include:

• Local events that may draw more visitors
• High-demand dates such as public holidays and school breaks
• Your competition’s prime season pricing

Plus, make sure you account for the seasonality of your holiday rental when managing its availability. High seasons are an opportunity to maximise your income, so ensure your house is in tip-top shape during these periods. Make any necessary repairs or improvements to attract more guests and keep them returning to your holiday home for their next holiday.

Considering your competition and adjusting your pricing for a prime season, your holiday house will be better positioned to generate more revenue throughout the year. This increased income can contribute to your plans to acquire your next home, bringing you closer to your rental real estate goals.

One of the biggest concerns we hear from ‘worn-out’ DIY hosts is they just don’t know how to price their property. They are either too cheap in the busy times or too dear when it’s quiet, and are never really sure whether they are doing it right. 

Step 5: Create an Attractive Listing

Take Picture-Perfect Photos

Eye-catching photographs are non-negotiable to make your holiday house stand out among other holiday houses. Here are some crucial tips to ensure your property photographs shine: 

• Ensure the rooms are clean, well-lit, and uncluttered. To achieve this, consider investing your money in quality light bulbs that create a warm and inviting ambience.
• Invest in a good quality camera or hire a professional photographer. Capture the best aspects of your property.
  Don’t forget to take several photos from different angles. This simple tip will give potential guests a comprehensive view of your holiday rental.

Write an Engaging Property Description

An engaging and informative property description on your website or online booking platform is a must to attract potential guests. 

Start by highlighting the key features of your holiday house, such as the number of bedrooms, bathrooms, and location. Mention any unique selling points, like a private pool, a stunning view, or proximity to popular attractions.

Next, delve into the details that make your holiday house a great choice for a memorable stay, like:

• Describe the style and atmosphere of the house
• Note any amenities provided – like Wi-Fi or a fully-equipped kitchen. 
• Use a friendly and inviting tone throughout the description so that guests can envision themselves enjoying their stay with their families.
• Structure your listing with bullet points and clear subheadings to make it easy for your potential guests. 
• Consider using tables to compare the features of your holiday rental with those of similar properties. 

Step 6: Promote Your Holiday Home

Leverage Online Booking Platforms

You should utilise online booking platforms to ensure your holiday letting business attracts tenants. These platforms, such as Airbnb and Stayz, can increase your property’s visibility and streamline the booking process for guests. Also, remember to list your holiday rental on multiple platforms to reach a wider audience.

While setting up your listings, use high-quality photos, provide detailed information about your property, and highlight any unique features or amenities that set your holiday house apart. Respond promptly to booking enquiries and reviews, which will help you build a solid reputation and attract more reservations.

Build a Network of Repeat Guests and Referrals

Building a network of repeat guests and referrals is one of the most profitable ways to maintain a steady stream of guests for your holiday rental. Encourage them to share their positive experiences with friends and family, and consider offering incentives such as discounts for return visits or referrals. Word-of-mouth is extremely powerful.

To stay connected with past tenants, consider creating a newsletter or social media account for your holiday property. Share updates, special offers, and exciting news about local events to keep your holiday home top-of-mind and encourage return visits.

Step 7: Offer Additional Services and Amenities for an Enhanced Guest Experience

Provide Entertainment Options and Extras

One way to make your holiday house stand out is by providing entertainment options for your guests. Stock your house with board games, books, and DVDs for those rainy or quiet evenings. Consider investing in streaming services like Netflix or Amazon Prime, as these can greatly impact your guests’ stay.

You can also offer extras, such as bicycles or beach equipment, for guests to use during their vacation. Don’t forget that well-maintained appliances in your holiday rental can make the week enjoyable for your tenants by easing their daily chores.

Consider Pet-Friendly Policies

Pets are often part of the family, and most people want to bring them along on their vacations. By allowing them in your holiday rental, you can cater to this market and potentially increase guests. 

If you welcome pets, consider providing pet amenities such as feeding bowls, toys, and even a designated pet area in the house.

To successfully manage your holiday rental, you should consider partnering with a property manager who can offer this additional assistance and amenities, handle guest enquiries, and guarantee a smooth process for you and your guests. 

Enhancing the guest experience will undoubtedly make your holiday accommodation more attractive, helping you maximise bookings and making your guests’ stay more enjoyable.

Key Takeaways

• First and foremost, set a competitive nightly rate for your holiday rental. Research the local market and consider location, amenities, and seasonality. Adjust your rates accordingly for peak and off-peak times.

• Create an attention-grabbing listing to attract potential guests. Include high-quality photos on your website or in any online booking platform showcasing every room, a detailed description highlighting the unique features of your home, and include information about the local area and attractions.

• Ensure your home is clean and well-maintained without exceeding your budget. Guests expect a comfortable and hygienic environment, so schedule regular maintenance and cleaning. Provide fresh linens, towels, and toiletries, and consider enlisting professional cleaning help if necessary.

• Add personal touches to make your rental property feel like a home away from home. Decorate and furnish your space to suit the holiday atmosphere and make guests feel welcome and relaxed.

• Invest your money in essential amenities to keep your guests happy and entertained. This includes reliable Wi-Fi, a well-equipped kitchen, comfortable beds, and entertainment options like a TV and board games.

• Communicate promptly and politely with guests to answer their questions and handle their complaints. Good communication is key to maintaining a positive reputation and ensuring repeat business.

• Create a holiday house how to guide and implement a simple and efficient check-in and check-out process. This should include clear instructions on how to access your home, providing essential information about the property, and having an open line of communication for any issues that may arise.

• If you’re feeling overwhelmed with everything, don’t worry. At GrowHost, we specialise in handling every aspect of property management. Contact us today to help you prepare for the upcoming holiday season and maximise your earnings.