This post is meant for owners of holiday homes in the Canary Islands who are either renting the properties themselves or with the help of a traditional property management company.
Sure, working with us will cost you 22% of the revenue the property makes, but you will easily find yourself making from 10% more, up to 40%. In most cases, our clients are not only making more money than before but also enjoying a hands-off experience, while having access to all the rental data from Hola! Hosts’ Owners mobile app.
Here are some solid reasons why you are better off with Hola! Hosts:
1. Smart pricing technology, used by the hotel industry for decades, will improve the property’s return by a minimum of 10%. How does it work? The technology modifies prices based on the daily demand and the prices of the competition, always aiming to maximize occupation and average price rates.
2. Market intelligence software allows us to instantly identify new opportunities to grow the property’s return. This tool shows us the properties our client is competing against, and why they are making a higher return - number of beds, amenities, welcome packages, etc. In return, this information is used to improve the property’s offering to increase its return potential. For example, for a holiday home we manage, we turned one room (in a 3-bedroom apartment we manage) into a remote-work office with 5G connectivity, a large extra monitor, printer, etc. That property became very popular among remote workers visiting the island with their families, automatically increasing its average daily rate (ADR) by 35%, and occupancy by 12%. 3. Decades of experience in property management and hosting guests taught us a few tips and tricks on how to solve problems and seize opportunities. One tip is that we strongly recommend all of our clients to hire rental property insurance that includes potential negative situations, for example, key loss. While it might not happen very often, sooner or later a guest will lose the keys or leave them inside. If the insurance does not cover it, you will end up with an angry guest. Even though the fault is not the host’s, the guest will mention his/her frustration when reviewing the property upon check-out. That negative experience will now be visible to all potential new guests and could become a deterrent for others to stay at your property. In a contrary scenario, if your insurance includes key loss, the client’s satisfaction will go off the roof and will surely mention his positive experience on the stay’s review. Small details can make huge differences.
4. We have digital marketing experts in our team that will boost your holiday home’s visibility on rental platforms, enabling an increase in its occupation rate. It is proven that better headlines, descriptions, and property pictures and videos increase your property’s visibility on the rental platforms up to 5 times more. But don’t underestimate the work. Not all texts are good or all images make the property attractive. It requires experience in keyword research and content creation to build an attractive package tailored to the right people we are trying to attract, and multiple testing of different versions till the best is found.
5. We have logged hundreds of hours managing our own vacation rentals on Airbnb, so we can help you make the most of the functionalities of rental platforms like Airbnb, to have total control over who and how you rent. Our experience is that most owners or rental managers are not 100% aware of the possibilities behind, for example, Airbnb’s functionalities and that in many cases have undermined their property’s return potential. For example, we were approached by an owner who was not allowing less than 5-day reservations for his studio because his rental manager told him this was the best way to prevent party weekend guests. From local industry data analysis, we know that studios are in high demand for weekend escapes, so a 5-day limit was holding back reservations. We asked the owner to consider screening guests before confirming reservations, and a minimum age limit, as ways to limit bad experiences and yet increase occupancy rates. The owner was not aware of these functionalities on the rental platforms and agreed to try. It’s been two years since then. There has not been one single bad case since, and the studio’s return has increased +30%.
6. If you have another property you have never rented but are considering renting if the return is good, we can help you understand what is its return potential before deciding to put another property in the vacation rental market. We use trusted vacation rental data sources that allow us to make accurate estimates. The tool works by identifying similar properties that are already available in the local vacation rental market and in a similar or nearby location and analyzing their historical occupation and price rates. Combining both, we can provide you with an accurate return estimate that will help you choose the option that works best for you.
7. If you are considering investing in another buy-to-let, we can help you identify real estate opportunities in the market, support you throughout the negotiation to get the best price, and assist you through the purchase process for a problem-free experience. Our use of market intelligence software is extremely useful in identifying opportunities in the market, and our deep local knowledge of the neighborhoods and network of trusted experts assure a successful investment.
8. Another strong reason why to chose us as your property management service provider is that we can provide interior design and renovation services to our clients. While these are not at the core of our offering, they are important to our clients and quite important in some cases to be able to increase a property’s return potential. In the example shared above on point number two, our client lives abroad, and coming to the island to make the changes did not make much sense. We took the project and provided him with a cost estimate. Once accepted, we provided our client with a shopping cart and a delivery address, and our team implemented the changes. Another example is related to a property we helped find and purchase for an existing client. In this case, the renovation required structural changes and the introduction of new amenities to increase its desirability. Once the project was done, the house was able to provide a return 20% higher than similar houses in the area, making the investment a success.
While most clients we made that were previously managing the rentals of their holiday homes in the Canary Islands by themselves, or through another property management company, were “happy”, they realized they were so because they had no other point of comparison. Also, it seems to be the norm that most property management companies in the Canary Islands have not kept up to the times and are giving the minimum service level to clients without focusing on helping them increase the return of their vacation rentals. At Hola! Hosts we make this our priority. We are not happily charging you a fee if we cannot help you increase your return to a level where hiring our services makes sense. Would you like us to estimate the return potential of your holiday home in the Canary Islands? Are you interested in finding out opportunities in the market? Contact us for some help - no strings attached!