When you’re trying to advertise your property to potential short-term tenants, you’ll first need to decide on an accurate price for your property. Whilst this seems like an easy task, it can actually be quite complicated to come up with a price that is both attractive to potential tenants and lucrative for you.
There’s plenty of things you’ll need to consider before deciding on a final price for your short-term rental listing. This can be a time-consuming process for busy landlords, and there are often things you’ll forget to address. As a leading property management company, Hostmaker evaluate every aspect of your property, using flexible, data driven prices that increase your return on investment.
We have years of experience working with all kinds of hosts; including landlords, frequent travelers and expats. Advertising short-term listings across a range of rental platforms in London allows Hostmaker to secure the right type of tenants whilst increasing their revenue. Keep on reading to learn more about how we create the perfect pricing strategy for your short-term rental listing.
The location of your property can make a huge difference to the prices you can charge to potential tenants or guests. Location refers to far more than just the street your property is on. It actually covers a wide range of topics such as:
Business Opportunities – when young professionals are looking to visit the London area, whether they’re on an internship or looking for potential work, they’ll need somewhere close to various business opportunities. If your property is close to offices, conference building, networking events or work opportunities, you can bump up your prices as it is an expensive and competitive area.
Canary Wharf is the finance and banking district of London, offering a hub of potential business as well as a meeting hotspot. If you have an apartment or home in this zone, you could boost your rental earnings by up to 30% by using Hostmakers flexible pricing strategy.
Amenities – Properties that are nearby popular tourist attractions such as Covent Garden, Tower Bridge or West End theatres , will be more sought after by potential guests on holiday. Hostmakers flexible pricing strategy takes advantage of seasonality and increases the price of your rental property during these peak seasons.
As well as local tourist attractions and popular London locations, you can also take advantage of seasonal attractions such as festivals, shows, concerts and much more.
Outside of peak seasons, more competitive pricing can be more beneficial to attract short-term visitors.
Public Transport Routes Nearby – public transport routes play a huge role in the decision as to whether or not a tenant or guest will want to rent a property. If your property is in an isolated location with no accessible public transport, it may experience less demand than a property that is near a train station or that sits along a bus route. For example, properties within zones 1-4 of the London transport system are much more connected than those in rural boroughs.
The View – just like how you’d pay more for a hotel room with a sea-facing view, tenants or guests would be more likely to invest in a rental property if it can offer them fantastic views of their chosen location in London. If your property overlooks a stunning area, you have the advantage of charging slightly more than your competitors. There are so many rooftop bars and restaurants with outstanding views of London that charge a premium price. If your home or apartment offers a view remotely similar, you can take advantage!
When it comes to how your property looks, the outside is just as important as the inside. Nowadays, aesthetics play a huge part in the success of your property, so you’ll need to consider areas such as:
- The interior design – has it been decorated with recent interior trends in mind? How long ago were the walls last painted? Are any of the carpets stained? When Hostmaker create your property listing, they work hard to capture your home’s unique features and quirks. Ensuring that the place is clutter free will allow your property to look its best.
- Functional home elements – does your property boast the latest technology in the kitchen with a digital refrigerator? Are the doors and windows sturdy, stylish and secure? Has the bathroom got an old or new toilet?
- Exterior design – what condition is the garden in? Is there any moss or weeds growing on the outside of the property? Are there any dead trees in the garden? A modern and clean front door can make a huge difference to your properties appearance as well as making the place look more enticing and safe.
These are all crucial elements that tenants and guests will consider when deciding whether or not to rent your property on a short-term basis. As an experienced property management company, we perform regular home audits to help you make an informed decision on our flexible pricing strategy.
How Old Is Your Property?
The age of your property can impact on the rental value of your property. For example, older homes will often experience more wear and tear to both the interior and exterior elements of the home. It is also common for older homes to have a poorer energy rating, depending on the boiler system you have installed. However, depending on the specific property, older homes can often have more charm and character.
Potential tenants or guests are often willing to pay more in terms of rental fees for a newer, more modern constructions. This can be due to aesthetic reasons, as well as efficiency reasons. Also, a new build will have a higher market value, which means you could charge more as a landlord.
How Many Bedrooms Does your Property Have?
It goes without saying, a property with more rooms is worth more than a single bedroom home or apartment. For example, if you have a double bedroom in your rental property, your house can experience a 10% increase in value. Families traveling together will be looking for larger houses with more bedrooms to accommodate their needs and to be able to enjoy a larger living space.
The more bedrooms your property has, the more rent you can charge to your tenants and guests. This is all due to the maintenance of a larger property, as well as the market price of the property.
What Can Hostmaker Do To Help?
With our range of services available as a property management company in London, we can boost host or landlord revenues by up to 30% with our flexible pricing solution. We base our flexible pricing algorithm on a range of factors, meaning your property is maximising its rental price all year round.
Simply contact us for more details on our property management services and how we can help you maximise your return on investment for your short-term rental listing.