As short-term rental property management companies adapt to the new normal in a world that’s seen so much change as a result of COVID-19, a great number of our users have begun to incorporate mid-term rentals into their portfolios of short-term rentals. By expanding their offerings, property managers are able to meet the demands of today’s guests who are often seeking longer stays for isolation, remote work or summer getaways. In fact, in a recent survey in which we asked nearly 400 property managers how they’ve adapted their business models in reaction to COVID-19, 40% said they were incorporating extended stays.
That’s why Guesty has now made it possible for our users to manage a flexible inventory of short-term and mid-term rentals, all from our platform. In this product webinar, featuring our extended stays capabilities, Guesty’s Head of Global Sales Enablement, Shelbi Lifshitz, walks us through the ins and outs of extended stays, and how to easily incorporate and manage your mixed inventory.
What are Extended Stays?
It’s important to understand the distinction of extended stays versus short-term stays. Extended stays are reservations lasting anywhere from 28 days to periods of multiple months. They also tend to come with a reduced daily rate, but the pay-off for property managers is that you get the assurance of having occupancy for longer periods of time.
Benefits of Extended Stays
In addition to appealing to a demand that we’re seeing become much more prevalent in potential guests amidst COVID-19, there is a lot that property managers can benefit from when incorporating these types of rentals into their business models:
- Increased rental income & revenue assurance for a longer period of time
- Reduced operations (less check-ins, cleanings, maintenance visits, etc.)
- Less guests to spend time vetting and managing
Best Practices for Managing Extended Stays
When beginning to expand your offering into extended stays, there are a few best practices that we suggest in order to make the transition as successful as possible:
- Make the most out of technology: Keep track of all your bookings from various channels – both short-term and extended – using a centralized and single multi-calendar tool, like Guesty’s. That way you’ll have the best, most consistent oversight of your portfolio and what’s going on in your business.
- Think long-term: What would you expect from a property that you plan on staying in for more than a month? One example that comes to mind right away is having access to laundry — for extended stays, something like laundry access is far more important than it is in a short-term stay, so it’s important to make sure these bases are covered. What amenities do you have to offer for these longer-term needs, and if you don’t, what potential upsells can you then offer to bridge those gaps?
- Put an emphasis on marketing: Promote these stays locally – since many guests will likely be domestic travelers during the COVID-19 period – and be sure to change your listing descriptions to showcase that your properties are available for both short-term and mid-term reservations. Additionally, be sure to promote the discounted rates you’re offering for monthly stays to help your listings stand out from the competition.
- Know your market: You need to know the rental market you’re in to determine the ideal mix of short-term and extended stays that’s right for your portfolio. By optimizing this mix, you’ll maximize your bottom line. Using an analytics tool like the one built into Guesty’s platform can help you to better understand your busiest and slowest periods.
- Set clear expectations: When talking to potential renters, be upfront about your availability. If you know you have upcoming bookings, let them know. That way, they won’t expect to be able to extend their already extended stay any longer than you’re able to accommodate and thus, you can avoid creating a negative guest experience.
Check out our full product webinar above for an up-close look at the Guesty features that make it easy to incorporate and manage a flexible inventory, and to learn more about the importance of doing so.
