As a property owner or investor, you will always perform regular assessments of your various holdings to be sure they are generating adequate returns, performing as expected, or if they need to be handled differently to adjust for trends. Because property investment tends to mean holding the asset rather than attempting to sell it, you usually want to hear that trends indicate positive changes in the future.
Fortunately, anyone who has a stake in CorporateHousingByOwner will be able to enjoy some terrific news from reports and statistics about corporate housing trends. With the advent of furnished housing websites, people are traveling more and opting for a “home away from home” experience instead of a standard hotel.
Consumers are choosing furnished rentals for short and long term needs. Nowhere is this more obvious than with corporate apartments. Unlike the vacation oriented sites in which property owners offer short term housing in a private home setting, furnished corporate apartments are becoming the preferred accommodation of choice for long term rentals.
A 2014 report from CHBO revealed an impressive range of facts about the entire corporate apartment and short/long term housing market, and from this data, owners can glean many significant facts. Key among them are five very obvious reasons to select corporate housing by owner when you have temporary furnished apartments available.
These five reasons include:
Rental rates are increasing
One error commonly made by property owners is the choice to hold rental rates steady for long periods of time. However, that can find a property owner seriously under pricing their properties due to lack of market knowledge. When you work with firms specifically dedicated to corporate housing by owner, such as CHBO, you remain on top of the pricing trends for both long and short term rental demands.
How can working with an agency help you to remain effective in your pricing? By understanding issues such as what should be included in a rental (iPod docks, property manuals, welcome gifts, etc.) you can be a much more competitive owner with the most beneficial pricing. You can know what sort of property demands are occurring in your market, who the most frequent renters might be (tourism, medical, corporate, athletic, etc.), and so much more.
You make the rules
Whether you work independently or you get help with sites like CHBO, you choose the approach that works best for you. For example, you might be open to long or short term rentals and so you can opt to work with several sites to get reliable leads and access extremely effective booking tools. You can determine if corporate rentals (often long term) qualify for special discounts, whether or not you require specific insurance, and if you take pets.
Whether you built an “in-law apartment” on your property or invested in condominiums, one of the best ways to optimize revenue from such holdings is to offer them up as corporate housing. Most owners of such properties consider this group of clientele as the easiest to deal with, and this approach allows you to experience long periods of low maintenance tenancy with guaranteed income and returns. In fact, the typical rental period is around one to three months at a time.
You can manage it yourself, or not
The trends in rental property management demonstrate that the vast majority of owners manage their properties on their own. Turning to such reliable sources for leads as sites like CHBO, the property owners also frequently hired a property manager to help them out. Opportunities for using specialized software and readily available legal documents (such as lease contracts) online, made corporate housing one of the most user-friendly and DIY businesses possible.
Marketing does not require extensive work or knowledge
When you work with experienced sources for leads, a huge amount of your marketing is done for you. The corporate housing segment is active, but sites like CHBO are among the most commonly chosen because they connect you directly with your audience. Social media is also a good place to share information of your available properties, but may come with a bit more work as you will have to perform credit checks and qualify leads on your own.
What these five reasons might be easily summarized to say is that corporate housing by owner is a simple, effective, and profitable way to monetize your rental properties. Offering furnished corporate housing is a wise way to work with a dependable market known for being low maintenance and “LPD” or less pain per dollar. If you have been considering investing in a rental property or converting your existing properties to furnished housing for corporate clients, you now have even more reasons to make the jump.
- CHBO’s 10th Annual Corporate Housing Survey Proves This Industry Segment Is Profitable
- Annual “by Owner” Corporate Housing Report – Part I
- Corporate Rental Marketing Trend: How do I build a fishing net?
- 8 Common Misconceptions about Furnished Housing
- Reflecting on the Corporate Housing Annual Report