In today’s ever-changing property market, investors are constantly looking for ways to maximize returns while minimizing effort.
Serviced accommodation is an excellent solution, providing higher rental yields compared to traditional long-term rentals.
Whether you’re just starting or are a seasoned investor, serviced accommodation offers a flexible, profitable opportunity.
In this guide, we’ll discuss how you can achieve high rental yields from serviced accommodation with minimal hassle and effort.
What is Serviced Accommodation? Serviced accommodation is a type of short-term rental property, typically fully furnished and designed to offer hotel-like amenities.
These properties are rented out for a few days or weeks at a time, often catering to business travelers, tourists, or individuals in need of temporary accommodation.
Unlike traditional rentals, serviced accommodation offers higher rates per night due to the added services and convenience.
Guests enjoy a home-like experience with the luxury of hotel-style amenities, including cleaning, maintenance, and sometimes concierge services.
Why Choose Serviced Accommodation?
1. High Rental Yields: The ability to rent out properties on a nightly basis often generates higher rental yields compared to long-term leases. Because you’re charging more per night, even with occasional vacancies, you can still achieve better returns.
2. Flexibility: One of the main advantages of serviced accommodation is the flexibility it offers. You can adjust rental rates based on demand, which means you can charge more during peak seasons.
3. Low Maintenance: Many property owners rely on professional management companies to handle the day-to-day operations, from guest bookings to cleaning and maintenance. This means you can enjoy high returns without being involved in the daily running of the property.
How to Make Your Serviced Accommodation Stand Out
1. Quality Furnishings and Decor: First impressions matter. Invest in stylish and comfortable furniture that creates an inviting environment. Consider the needs of your target audience—business travelers may prefer a minimalist, functional design, while families may appreciate cozy, homey touches.
2. Strategic Listings: To attract guests, list your property on popular platforms like Airbnb, Booking.com, or Vrbo. Use high-quality photographs, detailed descriptions, and highlight the amenities your property offers. The more information and positive reviews you can showcase, the higher your chances of securing bookings.
3. Exceptional Guest Experience: Guests who have a positive experience are more likely to leave glowing reviews, which in turn, attract more guests. Ensure your property is well-maintained and clean, and provide clear communication with guests from booking to checkout. Quick responses to inquiries and issues go a long way.
4. Competitive Pricing: Research similar properties in your area to determine competitive pricing. Consider using dynamic pricing tools that automatically adjust rates based on market demand and booking patterns.
How to Get Started with Serviced Accommodation
1. Find the Right Property: Start by purchasing a property in a high-demand area. Locations near tourist attractions, business hubs, or transportation links tend to perform well.
2. Furnish and Equip the Property: Once you have your property, furnish it with high-quality furniture, modern appliances, and essential amenities. Make sure your guests feel at home and have everything they need for a comfortable stay.
3. Set Up Your Listings: Create profiles on multiple booking platforms and optimize your listings with appealing photos, accurate descriptions, and clear pricing. The more platforms you’re o
4. n, the greater your chances of securing bookings.
5. Partner with a Management Company: If you prefer to avoid the hands-on management of your property, consider working with a property management company that specializes in serviced accommodation. This allows you to enjoy the high rental yields without worrying about the day-to-day tasks.
Looking to earn higher returns from your property? Contact TMS UK Properties Limited today to learn how we can help you turn your property into a successful serviced accommodation business!
