When you think about owning a vacation rental property, you probably picture happy families bouncing through the front door with their suitcases, ready to start a week of R&R away from the hustle and bustle of everyday life. But there’s another market you may want to tap into as well. Many vacation homeowners are catering their homes to business professionals. By tapping into the corporate housing niche, depending on your location you may be able to secure more bookings than a typical vacation rental. For some tips on how to get started, here’s your guide on how to rent your home for corporate housing!
What Is Corporate Housing?
Instead of providing a furnished home to families on vacation, corporate housing means setting your property up to cater to traveling business professionals who want an alternative to a hotel. Like the vacation rental market, the idea is to provide travelers with a less expensive option to the traditional hotel experience.
Who Uses Corporate Housing?
Construction teams and truck drivers are usual candidates. They are in town for a pre-determined amount of time, and in most cases, it’s too long to spend living out of a suitcase in a hotel. But blue-collar workers aren’t the only ones who like these hotel alternatives. Executives and high-profile employees often look for upscale rental options when they travel. When you rent your home for corporate housing purposes, you can pull in a wide market of travelers looking for comfortable and unique accommodations.
What Your Home Needs
Setting your property up to meet the needs of this market depends on your area and who will be using your home.
- If you’re catering to blue-collar workers like construction teams and project managers, your home needs to focus on comfort, functionality, and convenience. A fully furnished kitchen, durable furnishings, bedrooms set up for comfort and privacy, spacious living areas and upgraded cable options are a must.
- If luxury rental clientele is your target audience, it’s important that your home rivals the luxuries of the hotels in the area. Attention to detail when it comes to furnishings and décor, large flat screens with premium entertainment packages, luxury brand names throughout the home, private outdoor spaces and a cleaning/maintenance crew on call to quickly address any issues they may have are what these clients expect when they travel.
Catering to high-end renters and executives is a lucrative income, but it’s not necessarily as passive as a typical vacation rental. These guests expect a flawless living experience without any breakdowns or maintenance issues. They won’t overlook small issues like typical families might. They are used to VIP treatment when they travel, and most will not hesitate to let you know if the accommodations don’t meet their standards. This type of corporate housing requires exceptional attention to detail and a commitment to excellence.
Corporate Housing VS Traditional Vacation Rentals
While the idea behind corporate housing is virtually the same as managing a traditional vacation rental, there are a few very distinct differences:
- Cleaning Costs. Blue-collar employees like construction teams who spend their days on-site bring in significantly more dirt than your typical family on vacation. Your home needs to be able to withstand heavy foot traffic and have a cleaning crew that can handle a rental that needs a deep clean on a consistent basis.
- Pricing. Since most vacationers stay for a week or two at a time, it makes sense to price the rental out per night. However, since corporate housing is usually geared towards guests staying a month or longer, rental rates worked out by the month are more common.
- Legal Issues. Short-term vacation rentals fall under the “hotel law” category if the stay is less than 30 days. This could mean paying hospitality tax on the rental. Longer stays, common in the corporate housing scenario, may fall under real estate laws. We won’t get too technical here, but we suggest talking to a legal professional to get a better understanding of how this all works before diving straight in.
It Doesn’t Have To Be One Or The Other
Setting your home up to cater to traveling executives or blue-collar employees doesn’t mean you can’t also rent out to vacationers. In fact, being open to both types of renters can open you up to more rental opportunities and more rental income. Many property managers are open to both types of reservations and can make small adjustments in the furnishings or décor of the home depending on who is coming and how long they are staying.
Make Management A Breeze With Bookfull
Whether you’re strictly managing your home for vacation use, want to open it up for corporate housing, or plan to do a bit of both, you’ve got your work cut out for you. Luckily, there are solutions that can streamline your processes and even help you get more bookings while you’re at it!
Bookfull takes the guesswork and stress out of listings and marketing, managing reservations, communicating with guests, accounting and many other aspects of the vacation rental industry. Reduce your task load, gain insight into your business, and get more bookings.
Try Bookfull for free today!