Experts believed that post-pandemic revenge travel would be a trend that lasted only a year at most. Yet three years into the pandemic, 2023 saw record-setting amounts of US households taking their summer vacations.
Translation: now is a better time than ever to get on the short-term rental gravy train. Vacation guests across the world - especially in Fort Lauderdale, Florida - are clamoring for lower-priced hotel alternatives. Yet if your vacation rental property isn't priced right, they'll choose your competitor instead.
You need the right vacation rental pricing strategies. Today, we discuss things you can do to make sure vacation bookings keep coming in.
Vacation Rental Pricing Strategies Depend on Niche
First of all, you need to determine what sort of niche you are fulfilling. Are you looking to provide the lowest-cost vacation bookings on the market or luxury condos for wealthy families? Making this determination is one of the most important factors in choosing the eventual pricing.
This will depend on what sort of neighborhood your vacation rental property is in, which vacation spots it's close to, and so on. Also, consider what amenities and upgrades your rental offers. Having added a new pool or a Jacuzzi, for example, will make it worth a lot more.
Beat Out the Hotels
One of the primary reasons people choose a vacation host is for savings. Hotels have for years been notoriously expensive; these days, costing about $259 a night. It would be pretty awkward, then, if your local hotel was cheaper than you.
Make sure to keep track of current hotel pricing trends, especially those that match your niche. Obviously, you are not looking to undercut a worn-down motel with roaches under the bed.
Check the Competition
Not only are you competing against hotels, but other vacation rental property owners. There will be dozens just in your neighborhood alone, with more in other hot vacation spots.
Keep a close track of their listings and pricing models nearby. Use this data to study overall trends, and hopefully, you'll figure out what their strategy is.
Don't Miss Out on High Season
Your rental is going to make the most cheddar during high season in Fort Lauderdale. Tourists will be pouring in desperate for any booking they can get last second.
The key here is twofold: number one, to keep your rental booked back-to-back throughout the entire season. Avoid gaps as much as is reasonably possible.
Number two, keep the pricing right. Costs naturally go up during high season, but so do the number of offers on the table. Find a balance that keeps you booked back-to-back while also pulling a good profit.
Start Renting Out Today
Vacation rental pricing strategies are just as important as buying up rentals to rent in the first place. Find your niche and price it appropriately, using hotels and local competition as a measuring stick. Make sure your rental is booked out entirely for the high season at a competitive price.
PMI Matching Property in Fort Lauderdale is the leader in property management, hands down. Our team has decades of shared experience from real estate to property accounting. Become one of our happy customers by getting a free consultation.
