If you’re considering the purchase of an investment property to gain extra income, chances are that you’re also thinking about services like Airbnb and VRBO to promote and rent your property. This strategy is becoming more and more popular, with a business model that is turning property owners into competitors to big hotels.
Choosing to stay in a private property is also becoming very appealing to travelers, who look for the many advantages of this type of lodging, such as lower costs, flexibility, access to amenities like a kitchen or getting to meet people.
To choose the ideal property, think about your ideal guest
Some of our clients come to us asking for advice to find the ideal investment property. When defining an ideal property to own it’s a very good idea to start the process by asking yourself: who would be my ideal guest?
If you start the process by defining an ideal guest, you can find what is attractive to them and narrow down your search to look for these specific amenities and characteristics.
With this in mind, check out these 5 types of guests, some of the services and amenities they are looking for and pros and cons to consider.
Young travelers
Most young people want a place with a great location, preferably steps away from the beach and the best clubs in the area. The ideal property must have access to amenities like: internet, a pool and commercial areas nearby.
Young people are more forgiving with furniture and/or the equipment of the property. A basic but nice decoration is more than enough for these guests. This means you can save a little money in furnishings and decoration to pursue the best property available. Things like a super equipped kitchen or state of the art appliances can be put on hold!
Pros | Cons |
Low expectations regarding equipment, furniture and amenities. | Noisy, might not care for your property as much, not so focused on cleanliness. |
Couples
Couples are looking for romance: a comfortable bed, a jacuzzi, and a cozy garden are a must. A property in an adults-only building can also be a plus, as couples look for privacy and tranquility to enjoy their time together.
For this type of guest, you need to invest money to create an inviting environment; think of nice decor and comfortable areas to enjoy each other’s company. Services like a wine chiller with some courtesy wine, a basket of fresh fruit or even flower bouquets might enhance the popularity of your property.
Pros | Cons |
Adults, low-key, responsible. | You will need to make a big investment in decoration, to create a romantic yet tasteful environment. Nice furnishings and equipment are expected. |
Families
Families will need spaces that are safe for children and provide enoughroom for everyone, and if the property includes kid-friendly amenities such as a big park, play areas, and a pool you will increase the popularity of your property. If your vacation rental has internet, Smart TV’s and maybe some video games… it will be a complete hit!
A fully equipped kitchen, a dishwasher and even a washer-drier are more than welcome. Access to services like supermarkets, doctors and shopping malls are suitable as well. Offering services such as daily cleaning, a welcome-grocery pack, and optional nanny services will make your property completely irresistible.
Families tend to avoid noise and crowds and are more willing to stay in a place not so close to the beach or attractions. This means you can purchase a bigger property in a subdivision, for a fraction of the cost.
Pros | Cons |
Responsible, clean, quiet gatherings. | Young children might cause damages and noise. |
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Retirees
Retirees and snowbirds are looking for places to spend long periods of time, either to escape the winters, to save money or just to enjoy an experience. Most retirees want a quiet area, preferably within walking distance to services and amenities.
Properties on the ground floor or homes with just one level are the best bet for this market. A property in a development for adults only or a retirement community with a quiet and relaxing environment are great options.
Pros | Cons |
Responsible, clean, quiet. | More demanding, want things to be ‘right’, inflexible. |
Business travelers
Business travelers are looking for a comfort and great location close to convention centers, big corporations or businesses. You must provide a quiet environment, a reliable internet connection and a space to work.
A small kitchenette to prepare coffee or prepare some food is a nice touch, but it can be something pretty basic. Other needs to keep in mind are a closet to hang clothes, ironing board and iron, as some professionals need to keep their clothes in perfect conditions. Offering to take care of laundry and dry-cleaning would be a nice touch. Otherwise, just provide your guests with this kind of valuable info.
Pros | Cons |
Responsible, clean, quiet. | Providing a quiet area to work might be a challenge in some neighborhoods. |
So, have you ever thought of your ideal guest? Which of these sounds like an ideal customer for you?
Now, if you’re interested in learning more about how to make an income by renting a property, sign up for our latest webinar, ‘Investing in Mexico: Tips to generate income from your property’ and learn from the experts!
We specialize in helping American and Canadians to find their ideal home in Mexico.