When purchasing a there are a number of factors that need to be taken into consideration. Property is a costly mistake to make if you get it wrong, so doing thorough research is well worth your time.
Firstly, settle on a location. Your choice in location is going to be
paramount in the success of your investment. For this business model to
work successfully, you are reliant on getting as close to ‘guaranteed
bookings’ as possible.
The location you choose will play a very big part in making this happen
for you. More detail on choosing the right location can be
read here.
Your budget may determine the size of property that you buy but it’s
worth considering how many guests you are likely to be catering for.
A one bed property may not be suitable for families and therefore needs
to be located and designed around couples or single guest stays. This
may include people visiting for business trips, so checking to make sure
your property can get good WiFi is essential.
Larger properties may attract bigger parties. If you would like to cater
for families with young children you will need to make sure you can
childproof the area appropriately. If there are a lot of steps leading
up to a property, or a high level flat with no lift, you may discourage
families from booking with you. They may also consider parking close to
the property ‘essential’ when making their booking, so this is also
worth taking into account.
Getting the right property in the right location might sometimes mean
you’re purchasing somewhere that needs a little (or a lot of!) TLC. This
could mean your hosting needs to be postponed whilst work is done.
It does however, offer the added advantage of potentially increasing the
value of your property, giving you the benefits of a longer term
property investment, as well as the short term gains of serviced
accommodation.
If you are buying a property within a larger complex, like a flat, apartment or maisonette, you will need to make sure the terms of contract allow for you to use the property for short term stays. Unfortunately a lot of buildings don’t allow for s, so make sure you check the terms of lease thoroughly before you buy.