Seasonal revenue stream risks

[Igor Stankevich]

Hi everyone,

I am trying to find out whether short term rental has seasonal weather risks, and thus posting this question. Any insights are much appreciated. Here are some specific questions i have:

1. are there certain locations where revenues may be impacted by seasonal weather changes, like for example heavy rainfall for 1 out of 3-4 months will drop revenue significantly, or excessive heat/cold for seasons will bring significantly less customers?
2. how sensitive the short term rental business is to these risks in these locations, i.e. there are not many properties for short term rental in certain locations for example? or revenues dropped significantly last/this year due to seasonal weather events?

3. for 10+ property owners - does this pattern change, or you are diversified enough? or maybe you are trying to shy away from certain properties/locations due to weather-related risks?

And basically anything that rings a bell would be helpful.

The reason i am asking about this is i am trying to understand if there is a market need (pain) to make revenue streams more predictable and to insure away such risks.

[Collin Hays]

Most areas are seasonal to a degree. A place on Cape Cod only has about a 13 week window. About one fourth of the year.  Legit ski towns might have 4 good months.  

The Smokies are so good because the area offers things for everyone, almost year-round.  As does Orlando, Miami, Key West, and So Cal.