Reveal your property’s rental profitability

Buy this property and list it for short term rental.

How to Launch Your Own Short-Term Rental Business

tWith the rise of the sharing economy and demand for alternative accommodations, launching a short-term rental business can be an appealing and lucrative entrepreneurial venture. However, being successful requires in-depth planning, preparing your property, and efficiently managing operations. This article provides a comprehensive guide to starting your own profitable short-term rental business.

What is a Short-Term Rental?

A short-term rental (STR) provides guests with a place to stay for a short duration, typically spanning anywhere from a single night up to a few months. Unlike hotels or long-term rentals, short-term rentals come fully furnished with amenities to help travelers feel at home.

Guests can choose from a variety of STR properties like private apartments, condos, cabins, beach houses, and more that are managed by hosts and listed on platforms like Airbnb, VRBO, and Booking.com. From solo business travelers and couples seeking a bit of luxury to entire families booking a seasonal getaway, short-term rentals cater to all types of guests.

The temporary nature, personal touches, and abundance of options make short-term rentals an increasingly popular alternative to cramped hotel rooms. For entrepreneurs interested in the hospitality industry, launching a short-term rental business can pave the way for a profitable and scalable venture in the rising sharing economy.

Getting Started with a Short Term Rental

Launching an STR takes research, preparation, and commitment. Here are key things to consider:

  • Local regulations - Many municipalities have rules regarding STR licensing, taxes, zoning, noise limits, and rental durations. Research your local laws.
  • Insurance - Standard homeowners insurance likely won't cover STR activity. Work with an agent to get appropriate coverage for property damage, liability, loss of income, etc.
  • Mortgage and HOA rules - If you have a mortgage, confirm the lender allows STR use. Same for any homeowner's association.
  • Property condition - Ensure your property is in good shape with comfortable beds, functioning appliances/electronics, and a clean, clutter-free interior.

Preparing Your Short Term Rental Property

To earn great reviews and maximize occupancy, make sure your STR property is clean, comfortable, and appealing:

  • Deep clean - Scrub surfaces, steam carpets, wash linens, clear cobwebs, dust, and ensure it's allergen and pet hair free.
  • Comforts of home - Stock amenities like toiletries, coffee, tea, snacks, bottled water, spices, condiments, and cooking essentials.
  • Appealing decor - Use neutral tones and stylish accents to create a welcoming vibe. Display local art and books to enhance the sense of place.
  • Smart home technology - Install smart locks, WiFi thermostats, lighting controls and security cameras to streamline management.

Creating an Attractive Listing

Great photos, descriptions and competitive pricing help your listing stand out:

  • Photos - Showcase each room and amenities with well-lit, high-res photos. Lead with your best shot of the home exterior or living area.
  • Descriptions - Note special features, nearest attractions/conveniences, local insights, house rules, and cancellation policy. Keep it short and engaging.
  • Pricing - Research comparable listings in your area to price competitively. Consider seasonality and events to optimize pricing over time.
  • Listing sites - Create listings on multiple sites like Airbnb, VRBO, Turno to maximize bookings. Sync calendars to avoid double-bookings.

Efficiently Managing Your Short Term Rental

Managing an STR takes work but tools like Turno can simplify:

  • Automation - Use smart home technology and apps to remotely control access, temperature, lighting, etc.
  • 24/7 guest communication - Provide phone, text and email contact info for urgent guest issues. Use a service like Turno to manage guest messaging 24/7.
  • Maintenance - Schedule regular maintenance checks between guests stays to address issues early. Keep a list of trusted handymen and contractors for on-demand repairs.
  • Reviews - Promptly follow up with guests after stays to resolve any concerns and invite them to post online reviews. This feedback helps you improve.

Conclusion

Launching a successful short-term rental business takes diligent preparation, effort, and commitment to providing amazing guest experiences over the long run. While establishing house rules, designing an attractive listing, and managing day-to-day operations takes work, the income potential and lifestyle flexibility of an STR makes it a rewarding endeavor for many property owners.

Simplifying logistics is key - research local regulations thoroughly, optimize listing distribution and pricing, install smart home technology for remote access/control, and leverage tools like Turno's 24/7 guest messaging and task management platform. Focusing your energy on the guest experience rather than manual admin not only leads to better reviews and occupancy levels, but helps preserve the passion that sparked your STR launch in the first place.

Stay organized, automate where possible, promptly address guest needs, and keep improving based on feedback. By laying this operational foundation, short-term rental ownership can prove a fruitful, long-term investment.

Reveal your property’s rental profitability

Buy this property and list it for short term rental.