Anyone with a small nest egg theyd like to grow is looking for wise investing strategies, and many are considering purchasing a second home to double as a vacation home and an income-producing vacation rental. The stock market goes up and down, but people will always travel and increasingly will be looking for more affordable and creative ways to do it. Many travelers are looking to stay closer to home and avoid hotels and restaurants, and vacation rental homes fit the bill.
In our Vacation Rental Home Series, we will be exploring the reasons a vacation rental may be a good investment for you, tips for looking for the right home, marketing tips, important amenities to offer, how to ensure repeat business, and more.
Three trends in Robin Amsters article Six Trends to Watch in 2014 & Beyond point to clear reasons why now is a good time to invest in a vacation rental property. The first trend is the fact that millennials, 18-30 year olds, are more likely to travel in pursuit of favorite interests or activities and are more likely to travel with friends in organized groups. This is clear in the number of people in this age group gathering friends together for a ski or beach vacation, or travel to a town for a specific event such as a music festival or a marathon. As many in this demographic are becoming increasingly financially powerful, they are not to be ignored. Paying attention to and marketing to this group of people will be a wise use of time and energy.
Another trend Amster points out is the growth of creative tourism, travel with the intent to be engaged in the community, connecting with and interacting with locals. As vacation rental homes are often in residential areas as opposed to hotels off of the interstates, in tourist areas, or in urban downtowns, its very easy for travelers to live as a local, shopping at farmers markets and participating in community events.
The third trend to pay attention to is more multigenerational travel. As baby boomers age and their extended families grow, they are motivated to do more family traveling, especially to celebrate big events such as retirements, anniversaries or birthdays. As this trend and demand grows, the market must respond with affordable options with services, amenities, and interesting activities for all ages. Hotels can be expensive, especially during holiday times, and the addition of restaurant meals for several people stretch budgets to the breaking point. Some cruise lines and all-inclusive resorts can meet the activity demands but are well outside many travelers budgets. People are starting to realize that its much cheaper to rent a house with a kitchen and cook than it is to take everyone out for each meal.
Not only is a house cheaper for multigenerational vacations, but it allows for a vacation lifestyle focused on the family. As everyone is all together under one roof, interactions among all present are possible; people can relax and enjoy meals, movies, and games together. Vacation rentals allow multigenerational family travelers a home-away-from-home where family members can do their own thing during the day and come together again in the afternoons and evenings.
Vacation rentals in towns such as Bandon, Oregon can meet all of these needs; there are many affordable options as well as activities to satisfy families with school-aged kids, seniors, and all ages in between. Bandon also offers experiences millennials are looking for; located on one of the most beautiful beaches on the Oregon coast, it is ideal for a long beach weekend. The Cape Blanco Music Festival also draws country music fans of all ages from all over the country. The small beach town is an ideal spot for visitors to engage in creative tourism. The locals are friendly and welcoming, and there are activities and educational opportunities to participate in year-round.
If you've been considering purchasing a vacation rental home as an investment, a source of income, and as a place for you to get away, there are some very compelling reasons to go ahead and do it sooner rather than later. The next post in the vacation rental home series will include some tips for buying the perfect vacation rental home, so stay tuned.