Advice for Vacation Property Owner

There are many factors which need to be consideredwith children generally go on holiday while school is
when calculating how much rent to charge. Choosingclosed); the off-season would be considered the
the correct price means you get the most rent forwinter months. One exception to this would be ski
your home without scaring away potential tenants byareas. Check the listing prices at holidayhomes.ca
overpricing. Factors to consider when determining theCompetition: How much are other houses in your
correct price include: Location: The real estate adageneighborhood renting for? No matter what your
"location, location, location" applies equally to rentalhouse is worth, if other similar homes in the area are
values as to selling values. In other words whereunder priced, tenants will generally rent that home
your property is located will, to a large extent,first. Formulas and rules-of-thumb for calculating rents
determine how much you can realistically ask in rent.are plentiful. We have found none which are
Its proximity to desirable venues such as waterfront,foolproof. However, to give someone contemplating
downtown, universities/colleges or sporting/specialentering the fully furnished property rental business
events will impact on the demand and therefore thesomething to work with we offer the following very
rental value.general rule-of-thumb. The monthly rent a property
Condition: Obviously the condition and level of upkeepmay attract on a "normal" long-term tenancy rental
of your property will have a considerable impact.may be similar to the rent that could be achieved on
(Perhaps this is a good time to reiterate thea "vacation" rental for one week. E.g. A 2 bedroom
importance of describing and presenting yourcondo, which may rent for $500.00 per month with a
property in a truthful and honest way. Thetenancy agreement in place, may rent for $500.00
implications of not doing so can be far-reaching andper week on a shorter-term "vacation" rental.
costly). How much wear and tear do items such asRemember that you will be incurring expenses on the
carpet and vinyl have? Do the walls need to be"vacation" rental that you would not normally incur on
painted? Is the lawn and yard mowed and free ofthe other. Expenses such as electricity, gas, basic
weeds? Is the property neat and free of'phone, cable, cleaning, etc. and other, less tangible,
unnecessary clutter? Time of the year: Demandcosts like wear and tear on the appliances and
varies with the time of the year and it may befurniture.
entirely possible that you will establish not one rentalThis may be a good time to mention that there is a
rate but several. The highest rate for the high orlot to be said for being flexible about rental rates and
peak season, a lower rate for the "shoulder" seasonsterms. Some owners fix a rate, and if they can't find
and the lowest for the off-season. In most areas ofa renter who will pay it, the rental stays empty! Far
Canada the peak season would be considered thebetter to get something rather than nothing.
summer months (often preferred because families