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Vacation Rental Pricing for Owners

Cape May News, Vacation Rental News - admin - March 25, 2020

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One of the most important factors in owning a vacation rental in the Cape May area is to set your rates properly for your rental. If you price too high you may leave money on the table. However if you price too low you are not capturing the full value of your rental. So how do you determine the best rate for your rental. Comps. Study pricing of similar homes in your market. If your home has a highly desirable offering – such as ocean front, bay view or ocean view this should be front and center, and reflected in your pricing.  Travelers will pay a premium for these locations.

However, there may be aspects of your home you don’t even know are attractive to guests. In Cape May, for example, we have many guests who prefer the historic district and its location nearer to the mall than the ocean. Travelers want the convenience of the shops and restaurants. Some travelers just want the famous large Cape May porch experience where they can sit back and people watch. Others prefer a street where the horse carriages run. It’s critical to identify these selling points that may not be obvious at first and price accordingly.

Cape May is not your typical shore town. The town has now become a year round destination. Gone are the days of renting just in the high season. In Cape May the season now starts on Valentines Day and runs through the New Year. To capture the additional rent owners need to scale their pricing based on the time of year and the volume of business.

Know your market and adjust your pricing accordingly.

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