Revenue per Available Rental (RevPAR)

Revenue per Available Rental (RevPAR) is a key performance metric in the short-term rental industry that combines occupancy rate and average daily rate (ADR) to evaluate overall revenue generation per available unit. Calculated as: RevPAR = Occupancy Rate × ADR

What factors most influence RevPAR?

Location, seasonality, and property quality are the biggest drivers. Coastal properties see higher RevPAR during summer holidays, while city apartments perform better during events and business travel peaks. Regular maintenance and smart amenities (like fast WiFi or aircon) also help maintain premium rates and occupancy.

How does seasonality affect RevPAR?

RevPAR typically peaks during school holidays, major events (like Vivid Sydney or the Melbourne Cup), and summer months. In winter, some regions (like the Snowy Mountains) see increased demand, while others may require adjusted pricing strategies to maintain strong performance year-round.

How does MadeComfy maintain high RevPAR for managed properties?

MadeComfy uses real-time market data to optimise pricing, ensuring competitive rates during peak and off-peak periods. Our team enhances listings with professional photography and tailored guest experiences, while strategic marketing targets both domestic and international travellers to maximise occupancy without sacrificing ADR.

What's the relationship between RevPAR and overall rental profitability?

While RevPAR measures revenue efficiency, profitability also depends on costs like cleaning, maintenance, and platform fees. A property with high RevPAR but excessive expenses may be less profitable than one with moderate RevPAR and lower overheads—so both metrics need monitoring.

Can you improve RevPAR in a competitive market without slashing prices?

Absolutely. Instead of dropping rates, focus on boosting perceived value: highlight unique amenities (e.g., a pet-friendly policy or workspaces), improve guest reviews with exceptional service, or target niche markets (e.g., long-stay corporate rentals during quieter periods). Small upgrades like better linen or smart locks can also justify higher ADRs.

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Your [Beds] property in [Location] could earn between
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Gross rental income per month as a professionally managed short-term rental

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