If you don't want to get lost in the competitive market of short-term rentals, then learning the pros and cons of VRBO management is vital.
As of 2023, the vacation rental platform has over 2 million properties across 190 nations. Each year, more and more people join to be a part of the host's continued success.
There are millions of active VRBO hosts, but there are also plenty who avoid the company. Read the pros and cons of using the service below to discover why.
Pro: Increased Visibility and Bookings
Placing your home on VRBO is a cost-effective vacation rental marketing strategy. There are millions of active users. So, no matter your property's location, numerous travelers will see your settings.
Reaching a broader audience will increase the likelihood of people booking your property. In addition, it will boost your brand awareness. People will consider your services in the future or recommend them to friends.
Pro: Direct Communication With Guests
Studies show that quality customer service leads to a 93% chance of a repeat customer. The simplest way to achieve this is through guest communication.
VRBO has its own communication space for hosts and travelers to connect. This will help address any queries and protect you in the unlikely event of legal issues in the future.
Keep a friendly yet professional tone when talking online to encourage five-star reviews.
Pro: A Respected Review System
If you saw a beautiful room to rent at an affordable price but with no previous reviews, would you be willing to book it?
Of course, you would hesitate.
VRBO has a respected testimonial system that allows guests to review their stay. Top reviews will make your property trustworthy and will attract more tourists.
Con: High Fees and Operational Costs
Although you get plenty of marketing benefits, they come at a cost. If you're a newcomer, you must have a robust plan to ensure it doesn't cut deep into your profits. However, hiring a vacation rental manager can help overcome this issue.
With the pay-per-booking model, you must pay 3% payment processing and a 5% commission fee. You could also opt for a yearly subscription of $499 for unlimited stays.
Con: Limited Control Over Policies
VRBO sets policies and standards for property listings. Some include cancelation policies, refund processes, and terms of service. You may find limited control over these policies, which can be a huge disadvantage.
For example, VRBO's cancelation policies may not align with your preferences. As a result, this can potentially lead to disputes with guests.
Con: Intense Competition
Around 1.5 million people visit Breckenridge every year to ski down its postcard slopes. Since this is an outdoor paradise, many locals turn their homes into vacation rentals. In return, competition within this tourist hotbed is as competitive as ever.
Many landlords have VRBO listings here. So, the high level of competition can make it challenging for you to stand out and attract bookings.
Consider a VRBO Management Service
Navigating through the jungle for short-term rentals can be challenging. No matter how much time and effort you put in, sometimes it can feel overwhelming.
Fortunately, you don't have to worry about any of the headaches. A firm with two decades of experience and a manager with local expertise can handle the issues. If this sounds interesting, hire PMI Brecks VRBO Management Services today!
