Vacation Rental where a Management Company Dominates Market

Short-Term & Vacation Rental Discussions
9yFollow

Vacation Rental where a Management Company Dominates Market

Schuyler WittBusiness Member
Investor · Hampstead, NC · Member since 2017 · 29 posts · 2 votes

My wife and I are new to vacation rentals. We are beginning the process of turning a family-owned beachfront condo in South Carolina into a rental. We prefer to self-manage because we have the time and vacation rental managers charge ~25% in this area (Hilton Head Island). However, in all my research, it seems like one specific Vacation Rental company pretty much dominates the short-term rental market on the island. The target demographic is mostly families and retirees, so Airbnb/VRBO usage hasn't caught up with other areas. I am concerned that if we choose to self-manage, and therefore are not on the main Mgmt Co website that shows up at the top of google results, we won't get enough traffic.

Any experience in this regard, or any advice at all?

[email protected]520-236-6596
Cedar Ridge Management 4.8203 Reviews
WebsiteView Page
0Reply
68 views

Most Popular Reply

John UnderwoodPro Member
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
9y

I think you have an immediate advantage over the PM company, less over head.

Using Homeaway and or Airbnb should put you in front of a large audience and you should be able to undercut the management company's prices.

I am using Homeaway and Airbnb and Homeaway is keeping my calendar slam full!

2Reply
See this reply in the discussion

6 Replies

Jump to latestLatest
  • Jarrod Kohl
    Boston, MA · Member since 2017 · 209 posts · 126 votes
    9y

    We had a family condo in Hilton Head and after years of disappointing (but not terrible) results with the rental management company we decided to try Airbnb.  It is certainly a different crowd than the renters that come from VRBO and the short terms down there, but we have made a lot more money on the property.  

    The biggest concern is finding the right turnover crews now, we are on our second cleaning company and started to get complaints about the unit not being cleaned before someone moved in....so may be on our third soon.

    0Reply
  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    9y

    I think you have an immediate advantage over the PM company, less over head.

    Using Homeaway and or Airbnb should put you in front of a large audience and you should be able to undercut the management company's prices.

    I am using Homeaway and Airbnb and Homeaway is keeping my calendar slam full!

    2Reply
  • Schuyler WittBusiness Member
    OP
    Investor · Hampstead, NC · Member since 2017 · 29 posts · 2 votes
    9y

    Thanks to both of you. My other consideration at this point is what you mentioned, Jarrod--finding a good cleaning crew and establishing a smooth working relationship with them. May I ask--is your property in a gated community/resort complex/etc (somewhere that would have their own cleaning staff)? Or are you looking at independent cleaning companies?

    It's good to hear people testify that the modern options--Airbnb, Homeaway, etc--are legitimate even in markets that cater to older folks.

    [email protected]520-236-6596
    Cedar Ridge Management 4.8203 Reviews
    WebsiteView Page
    0Reply
  • Luke CarlPro Member
    Rental Property Investor · Tennessee Florida · Member since 2016 · 4k+ posts · 5k+ votes
    9y
    Jump in! If you work hard and answer people instantly you'll smoke that local PM.
    Podcast Guest on Show From Surviving on $30/Day to 30+ Properties Thanks to Blue-Collar Skills
    2Reply
  • Schuyler WittBusiness Member
    OP
    Investor · Hampstead, NC · Member since 2017 · 29 posts · 2 votes
    9y

    You guys are right, and inspiring! Thanks. 

    [email protected]520-236-6596
    Cedar Ridge Management 4.8203 Reviews
    WebsiteView Page
    0Reply
  • Timothy Church
    Real Estate Agent · Galveston, TX · Member since 2015 · 255 posts · 219 votes
    9y

    The beauty of using booking portals (AirBnB, VRBO, Flipkey, etc.) is that no matter how much money a management company has, they have more!! As long as you keep all the calendars synced up with each other you can use all of them to advertise your property. With three major corporations advertising your property you are in a great spot! 

    Plus more and more people are turning to these sites for bookings than to management companies. If you have any questions about setting it up, PM me but you're on the right track.

    A great cleaning company is critical. Treat them right and they will make your property a priority. I just booked a week of one of my rentals during the off season (most likely to be vacant time) for my cleaners to have a company get away. It was my personal property so no cost to me other than potential income for that week but anytime I call they are at my properties in no time!

    0Reply
Join the conversationCreate a free account to reply, vote on answers and follow this thread.
Log InJoin for Free