Luxury Vacation Rentals: Are They Right For You? | Tim Hubbard
Summary
This video discusses key risk factors to consider before investing in a luxury vacation rental property. The speaker emphasizes the importance of break-even occupancy rates, the investor's net worth, and backup plans in case the property is difficult to rent. He also notes how an investor's age can affect their risk tolerance.
More from Pricing & Profitability
An Airbnb host in Puerto Vallarta, managing three properties, reports cancellations, yet remains optimistic about the future. This provides a glimpse into the market dynamics. Facing cancellations highlights potential challenges. The host's outlook hints at cautious optimism amidst uncertainty.
Hotel companies are leveraging loyalty programs as revenue engines, particularly through co-branded credit cards. They're also shifting bookings away from OTAs, where commissions are significantly higher, favoring direct bookings. These strategies aim to boost customer acquisition and competitive advantages in the hospitality sector.
AirDNA's 2026 investor survey indicates that experienced, multi-property STR operators are driving acquisition activity in the US. Single-property owners show lower purchase intent, while larger operators shift away from traditional mortgages. Rising operating costs and regulatory risk are top concerns. This shift points to a more disciplined investment environment.
Curated by Learn STR by GoStudioM