Being a host of a vacation rental may come with risks but don’t let them surprise you. Our list will keep you prepared so you can succeed as a host. These are the biggest headaches hosts deal with:
- Excessive Turn Overs
- Not the Ideal Customer
- Poor Customer Service for Hosts
- Late Notice for cancellation of guest
- Abusive Guest Reviews
- Neighbors’ Noise
- Compensation for Missing, Broken or Damage Assets
- Guest’s Accidents During Stay
What’s fun for the guests is typically not so fun for the host or the cleaner who typically only has a few hours to do turnovers before the next guests arrive. I’m sure you know this drill. Once a party gets out of hand, it could mean chaos, disturbance, damage and a lot more… in other words — a nightmare!
Ideally, your house rules will be your first line of defense. No loud music, no outside guests and no parties! We got it. In fact, most vacation rental homeowners have a strict no-party policy, but ultimately, they can only do so much to control everything after the guest’s arrival. Parties, or shall we say unauthorized parties have become a growing concern within the industry because of inevitable bad results.
PARTY HOUSES COMPLAINTS by Hustle Pads
According to The New York Times, complaints about house parties across various vacation rental sites soared 250 percent between July and September of 2020. Indeed, just recently, other vacation rental companies are all trying to nip off parties.
Listings that banned house parties by Hustle Pads
To put an end to your troubled mind, Hustle Pads’ platform puts a high priority on preventing unnecessary, disruptive or unauthorized parties. Being a Hustle Pads’ Host means you enjoy the benefits of hosting to mostly only remote workers who are there to go on adventure together or Hustle together across different business themes. These guest are typically better mannered. As a Host you can be confident that a NO PARTY POLICY will be strictly implemented. For more detailed information, please visit Hustle Pads Policy on Parties and Large Events.
Excessive Turn Overs
– High operating costs and management fees
The Vacation Rental business has its fair share of challenges but paying out high operating costs should not be one of them. Typical costs include cleaning, maintenance and repair, marketing, internet, property manager, external amenities, and customer service fees to name a few. In some cases, other property management fees may also include the following:
1) Initial Setup Fee – the fee to set up your initial account
2) Monthly Management Fee – a fee to manage your property on a monthly basis: Flat fee, Percentage of rent, and rent due vs Rent Collected.
3) Tenant Placement Fee – a separate fee for placing tenants in your property, may include: Adverting costs, tenant screening, move-in procedures, and preparing the lease agreement.
4) Vacancy Fee – a fee for vacancies
5) Maintenance Fee
6) Eviction Fee
7) Early Termination Fee – If you break the property management contract early, you will often have to pay an early termination fee.
Turnovers by Hustle Pads
These high expenditures will surely put you under pressure to work your butt off and hit the target bookings needed to be able to cover these costs. You might double, triple or make more out of your target sales during the peak season, however, you will also need to create a well-structured plan to keep your revenue afloat during the lean season. However, when lowering your marketing or maintenance costs you may have an impact over your long-term business quality if you neglect these business costs.
When hosting on the Hustle Pads’ platform, our 7-day calendar blocks will allow for easier property management and may help reduce your cost of operations.
– High monthly vacancy rates
According to one of the vacation rental analytics, a good or high occupancy rate is considered to be roughly around 65%-75%. To attain this, hosts need to take careful consideration of their location, pricing, marketing. A low occupancy rate means a high vacancy rate, an indication that your property is not renting well.
1.7% Empty by Hustle Pads
According to the latest data from the Domain, one in every 100 rental properties (1.7 per cent) nationwide were sitting empty.
No hosts ever wants that!
For your peace of mind, Hustle Pads will typically book your place for 3-4 week blocks. This reduces your turn overs and your volatility as an owner. No more 3 day rentals and no more empty days!
As of 2021, vacation rentals is paving its way to the top by being known as “The New Normal of Travel”. According to a 2021 Vacation Rentals market size forecast, there is ~25,000 Vacation Rental Companies in the United States, ~140,674 Vacation Rental Companies Worldwide, and 1.98 million professionally managed vacation rental properties in the Unites States. However, it was also forecasted that in most U.S. markets, demand growth is outstripping supply growth.
To complete with over saturation its important to be everywhere. Hosting on Hustle Pads give you an edge over the competition by catering directly to remote workers and entrepreneurs. Here’s the top 3 reasons why you should start hosting with us!
Not the Ideal Customer
One reality about having guests in your property is that there is no assurance whether you’ll have exceptional or a terrible one.
The most common concerns is the non-compliance with house rules, noise and disturbance, fabricated profiles as well as difficult and irate guests.
So what’s the catch?
Hustle Pads deliver a higher qualified and typically better mannered guests! We aim to provide users that are typically more mindful of your property which means less wear and tear. However, keep in mind that you can never predict what will happen with each guest; all you can do is be prepared.
Poor Customer Service for Hosts
Good customer service is a must in the hospitality sector, especially vacation rentals. However, its commonly limited and focused to guests! While every host is required to be proactive & reactive in their customer service responses, we understand that you too require the same to keep the ball rolling in your rental business.
This study shows that we are more likely to remember negative encounters than positive ones and is why it’s important for a platform and host to keep a high quality rate of support.
Hustle Pads strives to support our hosts and help them thrive in their rental business. We are always just a click away ready to assist you. Visit our support page to find latest self-help pages and open a support case as needed.
Late Notice for cancellation of guest
All Hosts know this drill… you put on a lot of effort preparing your unit. You set new bedding, new linens, complete amenities, paid a cleaner and rejected other reservations then suddenly your arriving guest does a last minute cancellation.
Guests might be forced to cancel at certain periods for a range of factors, varying from statewide restrictions to family circumstances. Whatever the reason, it’s imperative for the host to be patient and understanding when a cancellation occurs.
Late Notice for cancellation by Hustle Pads
At Hustle Pads hosts can define their cancelation policy for Traditional Booking just like on other platforms like Airbnb. For Flat Rate booking Hustle Pads has generous global cancelation policy of 21 days prior to booking.
Abusive Guest Reviews
Guests are prone to complain if their dream vacation doesn’t go as planned. When issues go unaddressed the odds of receiving a negative or abusive review goes higher. Its important to note that there is a distinction to be made between a negative review and an abusive review.
According to review insights conducted by tripadvisor, 84 percent of travelers believe that reviews are extremely important, and 63 percent of travelers rely on reviews as one of the main factors when making reservations to a property.
Negative reviews contain constructive criticism and abusive reviews, on the other hand, are vague, irrational or contain profanities.
Transparent: Reviews 84% by Hustle Pads
As always, there are numerous things hosts can do to improve their vacation rental property and this may include essential guest necessities, thoughtful touches, or investing in furniture upkeep. Occasionally, though, guests can be inevitably dissatisfied, resulting in a poor review, and no host ever wants that, so here are some tips from Hustle Pads on how you can avoid dissatisfied guests so you don’t have to deal with it yourself.
To help both guests and hosts create constructive reviews we’ve created review guidelines to help guide both parties.
According to an industry poll of over a thousand homeowners, excessive noise is the largest issue among potential vacation rental neighbors. In most situations its due to excessive noise, blockage of driveways, or late night partying.
Although there is no one-size-fits-all answer for noise in a vacation rental, a proactive approach is to have friendly reminders around the home and a notice of your rental rules easily accessible.
Compensation for Missing, Broken or Damage Assets
Guest damage is out of our control and could happen accidentally or intentionally at any time.
Knowing that this is an inevitable concern, Hustle Pads provides guests with a $5000 damage protection for each booking. This hassle free coverage covers anything over $50 and any major damages that could typically happen during a guest’s stay. Any amounts over this should be covered by your vacation rental insurance.
Guest’s Accidents During Stay
Because accidents cannot be predicted, as the property owner or manager you should be aware of what your role is as a host.
The vast majority of vacation rental accident cases involve dangerous circumstances and obnoxious guests who are bothered by other guests. When a guest is injured on the premises, the host is required to take corrective action to keep take corrective action. Guests and hosts should abide with the Hustle Pads’ Community Standards and Expectations.
Every host is expected to be prepared for unexpected injuries and having the proper insurance is key. Make sure to have the proper vacation rental insurance coverage for your property.
TOP 9 PROBLEMS HOST DEAL by Hustle Pads