What’s Going on in the Real Estate Market?

Short Term Rentals Are Doing Just Fine

Lately, all you hear in the news is that the real estate sky is falling – no one is buying, prices are inflated, interest rates are too high, short term rental occupancy is down…and that’s just not the case! Has our market shifted? TRUE. We now have 2.6 months of inventory versus less than 1 month last year. Are prices inflated? FALSE! Pricing in Central Florida has remained flat, with sellers now willing to negotiate! It’s a breath of fresh air after the last 2 years! Are interest rates high? TRUE, although now that sellers are willing to negotiate we are able to get concessions that the buyer can use towards closing costs or to buy down their interest rate. Isn’t short term rental occupancy down? FALSE!

Here is a great article I recently read that sums up this information.

The hosts and property managers that are going to do well in this recession are going to be the ones that take charge of their businesses and look beyond just posting their properties on places like Airbnb and VRBO. The hosts that focus on generating their own guests and figuring out how to get them to stay again with you in the future are the hosts that are going to prosper over the next couple of years.

It was very easy to do well in one of the best economic expansions the U.S. has ever seen. Now, we’re heading into a recession, and these so-called “experts” scream that the sky is falling. Don’t fall for it. Treat your STRs right and figure out ways to control your guest’s experience. Here are a few ways you can do this.