Do you want to know how to maximise the return on your investment property ? If yes, then, let’s take a look at some critical aspects that help you set the appropriate nightly price for your investment property.
Watch the video to explore:
As suggested by Maria, MadeComfy's Business Intelligence Manager, the most important factors you need to consider when deciding on Airbnb listing prices are: seasonality, the calendar, special events close to the property location, and the right ratio between price occupancy rate.
Seasonality: It is important for owners to be able to understand the association between seasonality and demand changes in order to set an appropriate price. The demand for short-term rental properties fluctuates according to the seasons and even more so with beach side properties - for example, higher demand during summer seasons.
The calendar: Both time of the month (and week) and location of the property contribute to short-term rental pricing. Owners may want to relatively increase or decrease the price depending on the particular date and location of the property in order to obtain optimal occupancy. Weekends usually have a different nightly rate than weekdays, for example.
Special Events: Property owners should keep track of the major events that happen close to where their properties are located, and adjust their prices accordingly. For example, there is a high demand for properties close to where New Year's Eve celebrations take place in Sydney by the end of the year.
The right ratio between price occupancy rate: Property owners need to understand the balance between rental price and occupancy rate and determine the best strategy to maximise the overall return. As Maria mentions in the video, a 100% occupancy rate is not necessarily the best case scenario when it comes to achieving maximum rental returns.
MadeComfy can determine the best dynamic pricing strategies for your properties and help you generate up to 11% rental yields. Interested? Talk to us today to boost your returns!
MadeComfy provides an end-to-end property management service, which means property owners don’t need to do a thing when they hand over their keys. MadeComfy makes the process of earning greater returns from short-term renting effortless, achieving 40% more than long-term rentals and self-managed Airbnb listings.Get in touch with us today to see how we can help!