Rentals: adjusting prices according to the season
Pricing is never easy. But what we do know is that it’s important to tailor it to the best season for you.
1. How to set prices
First, start looking at similar locations around you. Then look for places that offer the same services as you do. Also check the prices of hotels so that they are not too high in comparison.
Then, define the ideal season to come to your place. For example, we have a favourite address in the mountains. This one is out of budget in the summer and during the whole ski season. But it is very affordable outside of these dates. We can easily go from 700€ a week to more than 2000€ in high season. This way, the owner is sure to rent his property even in the low season! Think about it and find out what’s going on around you. Renting out your house at full price when everything is closed or impassable in the vicinity is not worth it and will only bring you negative reviews.
Also remember to specify in your advert what you can and cannot do in different seasons. To return to our example, the owner of the chalet has clearly indicated the skiable periods and activities in his village. He should make this clear before you finalise your booking so that you know what to expect.
2. Favouring existing customers
If you are used to using sites like Airbnb, you know that they take a percentage of your rental as a “service charge”. This can be a hindrance for some travellers.
Indeed, on weekly rentals, you can quickly end up with a 200€ service charge, making the bill rise above 1000€. This can lead to the loss of clients who had not expected to pay so much.
This is why we advise you, when a stay has gone well, to tell the clients to go directly through you if they want to come back. If they do, they save a little and you get the assurance of having trusted tenants.
Now all you have to do is make your prices fluctuate with the seasons! And if you also want some furniture tips, this is the place to be!
How to set the price of your rental?
A seasonal rental is a real real estate investment, the goal being first to collect an interesting rent. Nevertheless, you should know how to find the ideal price. You can freely fix this amount but it remains preferable to take into account several factors, in particular your geographical situation and the period at which you rent.
Your geographical
location
The city or the district in which your hiring is located influences much the price of the night of this one. Indeed, the rent in the tourist areas is much higher. Thus, a room in the province is not worth a room in Paris, even if they have the same interior characteristics.
The surrounding
green spaces
Plants are good for both body and mind! Implicitly, travelers know this and that’s why they often look for their proximity. So, if your house is on a mountain, next to a beach, a lake, a forest … it will have a direct impact on the amount of your rent.
What type of
house are you renting ?
We all know it! The square meter is rather expensive in France. Thus, the rent will be very variable according to whether you rent a house, a villa, a cottage, a mobile home, an apartment or a studio. Furthermore, the age of your rental property and the construction materials are also taken into account. Not to mention the capacity of the property: if it is judged that the property can accommodate several families, it will be relatively expensive. If not, it is better to keep the price reasonable.
The period
in which you rent
Be careful, the period in which you rent is crucial! Indeed, a house by the sea will be more expensive in summer than in winter. Conversely, a cottage will be more expensive in winter than in summer.
Small reminder :
- Very high season for winter vacations: February.
- Very high season for the summer vacations: from July 20th to August 20th.
Finally, to set your rent, look at the rates of the competition, similar accommodations, nearby hotels… Take into account all the criteria mentioned above. Then, adapt your offer according to the demand you receive (the higher the demand, the more you can afford to raise the price)
