As we approach the New Year, we're excited to share a brief before-and-after video from a fellow homeowner who recently acquired and revitalized their oceanside Carova 4x4 property.
Being a new owner of a vacation rental provides a unique advantage, as fresh perspectives make envisioning transformative changes more accessible. Fueled by the momentum of their recent purchase, owners are eager to imprint their style on their investment property. In contrast, for those who have owned a home for several years, envisioning updates that enhance the guest experience and significantly boost rental income can be more challenging. However, even subtle modifications can make a remarkable impact, appealing to new and repeat renters!
Join us in exploring the remarkable changes made by the new owners of Ocean Aire - C9063 in the video below. Witness how new flooring, furniture, and décor have transformed the ambiance of this vacation home.
Carova 4x4 Retreat: A Vacation Rental Glow-Up in the Outer Banks
The Impact on Rental Income:
Now, let's dive into the numbers. Studies show that vacation rental properties that undergo updates and renovations often experience a substantial increase in rental income. According to industry reports, properties with modern amenities, stylish interiors, and enhanced functionality can command higher nightly rates and attract more bookings.
Statistics to Consider:
- Increased Bookings: Homes with recent updates see, on average, a 20% increase in booking frequency.
- Higher Nightly Rates: Upgraded properties can command up to 25% higher nightly rates than outdated counterparts.
- Extended Booking Seasons: Properties with desirable features often attract guests during both peak and off-peak seasons, maximizing annual rental income.
Budgeting for Enhancements:
Now that you're eager to embark on this transformative journey, it's crucial to plan your budget wisely. A common guideline suggests allocating 1-2% of your property's value for annual maintenance and updates. For those aiming to make significant enhancements, allocating up to 5-10% of your annual rental income towards renovations can yield substantial returns over time.
Actionable Tips:
- Focus on High-Impact Areas: Identify key areas such as kitchens, bathrooms, and common spaces where updates can have the most significant impact on guest satisfaction.
- Energy-Efficient Upgrades: Consider energy-efficient appliances and fixtures, not only reducing operational costs but also appealing to environmentally conscious travelers.
- Tech-Savvy Amenities: Embrace smart home technology, providing convenience and a modern touch that today's guests appreciate such as streaming options on Smart TVs.
- If you have owned your rental property for some time, read the reviews left by past guests. Guest reviews are not only for other guests seeking information about your home but are full of feedback you can and should use to see where you need to focus updates. Another great way to obtain even more feedback is to reach out to your past guests. A personal 'Thank You' email sent to guests who vacationed in your home, like this one here from the owners of Bear Inn, is a great example:
Investing in your Outer Banks vacation rental property is more than just a financial decision – it's an investment in the guest experience and the long-term success of your rental business. The positive impact on your rental income, combined with the satisfaction of providing a top-notch experience, makes it a win-win for both you and your guests.
Ready to elevate your vacation rental property? Start planning your updates today and watch your investment pay off in increased bookings, higher income, and delighted guests. Schedule a chat with your property manager, who is ready to assist you with a plan for getting your rental home ready and in top-notch shape for the season ahead. If considering a remodel, our remodeling and construction team has the expertise to help you conceive and implement exactly what you need. No project is too big, or too small.
Visit Beach Realty & Construction's Remodeling on the Outer Banks Page