Your OBX Vacation Rental – Its the Little Things That Matter to Your Guests

Its been a busy, busy week as I scramble to make final preparations for our family’s spring break trip to our Outer Banks vacation home.  We rent our home for most of the spring, summer and fall but during April and May we always try to enjoy a week or 2 of vacation ourselves.

During this time, although we love to relax and enjoy the Outer Banks, there will be some work to be done too.  I have scheduled a few maintenance visits and I will have a car-load of updates and upgrades.

One area that I feel annual updates are especially important is in the kitchen.  I’m not talking updates of counter tops or major appliances.  When I have rented vacation homes myself, I find its the little things that matter the most.  I like when the house has a good corkscrew and lots of wine glasses.  I like when there are sharp knives that can actually cut a piece of meat or a fresh tomato.  I like when there is a good, working can opener (manual is fine) and a vegetable peeler that peels.  Lots of clean, stainless steel cooking utensils like serving spoons, spatulas and ladles are also important.  To me there is nothing worse than a wooden spoon or plastic spatula that look like they have 10 years of old food soaked in or burned onto them.

Since we have a large family and we often vacation with aunts, uncles and cousins, I like plenty of large serving bowls and platters for our big family meals.  Its also important that there are BBQ tools – a spatula, tongs and a fork are necessities along with a good grill brush for cleaning up afterwards.

In the bedrooms, nothing is better than a new quilt.  It looks crisp and fresh and can brighten up a whole room!  Some replacement pillows, blankets and mattress pads are also part of my usual updates every year.  Because we have 8 bedrooms and it would be quite expensive to purchase new bedding for the whole house every year, I use a rotation system.  First, I keep my eye out for sales of pretty quilts and pillow shams.  When I see a sale on good quality bedding that will match our color scheme, I buy it whether I need it at that time or not.  Then, I update 3 or 4 of the bedrooms every year during the off season to keep the whole house looking updated and fresh.  I use the same system for pillows, blankets and mattress pads.

In the bathrooms, I supply the little things like liquid soap dispensers (and some refill soap), a small trash can and hooks behind the door for wet towels and bathing suits.

These are the things that make a vacation home easier, more fun and more user-friendly.  They are generally small, inexpensive items that matter to me when I am on vacation and so I think must matter to the guests who stay in my house.  These are the personal touches of a homeowner who wants people to enjoy a wonderful vacation in her rental home on the Outer Banks.

Large rental management companies tell homeowners that guests want TVs in every room, exercise rooms and tiki bars.  These things are certainly lovely but I have a different opinion about what matters most to OBX vacationers.  The most important thing is relaxing with family and friends on the beach.  And its the little things that make life easier on OBX!     

Outer Banks Cable TV – Do we have other options?

We have owned our Outer Banks vacation home for nearly 5 years now and we still find it hard to understand why TVs are such an important amenity for a vacation rental.  Who wants to watch TV when they are surrounded by family, friends and the beautiful scenery and outdoor activities of the Outer Banks?

The cost of providing these electronics also has me wondering.  Last year we paid over $800 in cable bills.  With new equipment and repairs, our total outlay for TV entertainment was about $1500.  For 1 year!   To watch TV!

I can understand a TV in the great room and the game room  so that families can gather at night or on a rainy day for a movie.  But is it really necessary to provide a TV in every bedroom?  Is this just another thing that the large rental management companies decided was something we all must provide?  Are there any homeowners out there who do not have TVs in every bedroom?  Is this something that would deter guests from renting a home?  I’m considering phasing out the number of TVs in our house by not replacing the bedroom TVs if they stop working.  I will keep you posted on the results.

I am also interested in what would happen if we did not provide cable TV.  This is an expensive amenity and must be paid for year round.  Is it really necessary?  There are now internet TV sites available for under $10 per month (rather than $65-$79 per month for basic cable) and with WiFi ready TVs and dvd players, it could easily be accessed though our home’s wireless internet.  No, guests would not be able to watch live TV or maybe their favorite show or baseball team, but they would still have access to movies and many regular shows that could keep them entertained if it rained.

I would love to hear comments from homeowners who have tried sites like Netflix or HuLu either at their own home or at their vacation home.  Does it work well?  Are guests dissatisfied?  Please share your experience if you have tried this.

OBX Rent Direct Homeowners Blog is a place for Outer Banks homeowners to learn and share.  Your comments and questions are welcome!

 

OBX Spring Break?

We are nearly half way through March which is typically when colleges have their Spring Break.  Most students head to Florida or the Bahamas but there are always some budget-minded kids looking for a getaway on the Outer Banks.

OBX weather in March is typically cool and windy so its not idea of sunning and swimming that is attracting the spring-breakers.  Obviously, the beautiful homes that are close to the beach and have lots of amenities at a very reasonable price is the attraction.  These 20-somethings have been studying hard and they just want to get away somewhere.  The cheaper the better.

Its very important for a homeowner who cares about how their home is used (or abused) to screen March inquiries very carefully.  Some tell-tale signs that I look for to keep college-age spring breakers away are:

1. Any inquiry for the month of March.  Lets face it, the weather is not great this time of year on the Outer Banks.  I have rented to a group of fishermen or a group of ladies for a “girls getaway”, but other than that it not a highly desirable time of year on OBX.

2. Inquiries with large numbers of “adults” with no children.  These college students may be in their early 20’s so they consider themselves adults, but if there are 18-20 of them staying together in a home near the beach, their behavior may not be very mature.

3. An inquiry from an email address that ends with .edu.  There is a small chance this inquiry could be from a college professor looking for a spring break getaway with their family, but usually its a college student.

I have nothing against college students (I have a couple myself) but I do not want large groups of them staying in my house.  I screen all March inquiries very carefully and I suggest all OBX homeowners do the same.  The small amount of rental income from a mid-March week would not even begin to cover the costs of a major clean-up and repairs the might be necessary in the Spring Break aftermath!

How Often Should You Update your OBX Vacation Rental Online Calendar?

An Outer Banks vacation rental home is a wonderful spot for your family vacations, holidays at the beach, potential retirement home for you and your spouse and its an investment.  Very few of us purchased an OBX home so that we could lose money.  Thats the reason we are renting the home to vacationers, to help pay the bills!

With that in mind, the best way to maximize your investment and your rental income is to rent as many weeks as possible to vacationers.  The websites VRBO and OBXRentDirect are great tools in reaching this goal.  They allow us to post pictures, descriptions, pricing and our rental calendar.  The thousands of vacationers who view all of this information online spend hours and hours on these sites looking for the perfect vacation rental home for their family vacation.  They usually have a specific location, budget and date in mind.

Imagine their frustration if they find a house that meets all of their criteria, but they don’t know if its available because the online calendar hasn’t been updated in months.  They very well might cross this home off their list of possibilities bacause of the uncertainty.

They might think – Why bother sending an email?  If the homeowner doesn’t bother to update their calendar, they probably won’t bother to respond to my inquiry.

They might think – Why bother sending an email?  I don’t want to get my heart set on this place only to find out that its already booked for the week that I want.

They might think – Why bother sending an email?  If the homeowner doesn’t take care of their online listing, they might not take care of their vacation home.

The best way to avoid losing potential renters for your OBX vacation home is to UPDATE YOUR ONLINE CALENDAR!!  Updating your calendars literally takes minutes and its the easiest way to show vacationers that you care about your home and their vacation.

I recommend that you update the online listings for your OBX vacation home once a week.  Use this time to update your calendar with any new reservations.  If you haven’t received a new booking lately, check your online listings once a week anyway.  Take a few minutes to look over your listing, read the description, review your pricing and do a pulse check on your calendar so you can keep track of when guests are coming and going.  This will also alert you to any prime weeks that are still available that you might be able to book with a little extra effort.

Treat your OBX vacation home like the important investment that it is.  Maintain your calendar – potential vacationers will thank you and your bank account will thank you too!

Why so Many Fall Vacancies on the Outer Banks?

A very busy summer rental season is drawing to a close on the Outer Banks. Unfortunately, my rentals seem to be coming to a screeching halt at the 1st week in October.  Last year my home was rented through the 1st week of November and Thanksgiving week was booked well in advance.  No so this year.  No late October/early November rentals yet and no Thanksgiving rental yet.

Are slower fall rentals because of the economy?  Is it the hurricanes and mandatory evacuations of the past 2 years?  Is it something entirely different?

I do know that vacationers are out there and they are still interested in visiting the Outer Banks because I have been getting lots of “offers”.  A few week ago a vacationer offered me $800 (total, including all fees and taxes) for the week of Christmas and New Years.  Just today I was offered $500 for 3 nights over Thanksgiving weekend.

I have an 8 bedroom, 7 1/2 bath semi-oceanfront home so my first reaction to these offers is that I’m mad, annoyed and downright insulted.  Then I remember that these vacationers have no idea what my costs and expenses are.  They don’t know that at the prices they are proposing, it would cost me money to have them rent my house.  Does this mean that I bargain with them or accept their “low ball” offer?  No, absolutely not.

Instead, I thank them for their interest in my home and state what my standard weekly rental rate is for the week they are interested in.  I explain that I have fixed costs and that although I am willing to negotiate on some things in the off season (check-in and check-out days and number of pets allowed are a couple of these), I cannot reduce my prices significantly.

I hope I do not offend them.  I hope they receive this same type of response from other homeowners and realize that their offer is ridiculous.  I hope that if at some other time they are looking for an Outer Banks vacation rental, they will remember my house and email me again.

And, I hope that other, more reasonable vacationers will see my vacant fall weeks and realize that October and November are a perfect time for visiting the Outer Banks – the weather is beautiful, there are no crowds, and the prices are low (maybe not $500-$800 for a week but yes, still low)!

My OBX Vacation Rental Agreement Saves the Day!

The other day I received an email about my Outer Banks vacation rental home that, although shocking, I was so grateful for. The email was from my local contact on Hatteras Island, Shore Details (who handle all of my housecleaning and maintenance), and was concerning the condition of my home after the check-out of my most recent guest.  It was not good news.  The email read:

* House was in poor condition after guest check-out on June 1st.  An additional 3 hours of cleaning time was needed to prepare for the next guest.

* Felt on pool table was wet and stained.

* Baby gate broken. (this is 1 of 2 permanently installed gates on the stairs of my home that I advertise as a feature and always point out to guests with small children)

* Carpet torn in 3 places, looks like it may have been the work of a dog – photos being sent. (this guest had not requested that they be allowed to bring, nor paid for, a pet)

* Third floor loft carpet wet and stained. (perhaps pet stains that they tried to clean)

I say I was shocked because the guests in question were a small family group – mom, dad and 3 kids under the age of 16.  They were staying in my 8 bedroom home (no worry about over-crowding) over Memorial Day weekend and the following week.  This had been a last-minute reservation that I pulled together in the week before they arrived.  The transaction was processed in hurry-up mode as rental agreements and payments were mailed, copied and emailed back and forth.  I was so happy to get this reservation rather than have my home sit vacant and so happy that it was a small family group rather a group of recent college grads!  I waived the credit card processing fee that I normally charge and was tempted to waive or reduce the security deposit for fear that the total amount due so quickly would scare them away.  Thank goodness I didn’t.

To protect my home and myself financially, I collect a fully refundable $500 security deposit and I have a detailed 5 page rental agreement which must be signed and dated, and each page initialed.  Because of Shore Details and their excellent attention to detail, it doesn’t look like there will be much “refundable” for this particular guest.  Some important parts of my rental agreement that will certainly aide me in retaining the security deposit are as follows:

A security deposit of $500 will be deposited with the property owner prior to the 1st day of the rental period as stated on page 1 of this agreement.  This money is collected, in trust, as security for the performance of the tenants  and for any damages caused to the premises or furnishings during the rental period.  Owner may use all or part of the security deposit to repair any damage to the property caused by tenants.  However, owner is not limited to just the security deposit amount and tenants remain liable for any balance.

Tenants shall be responsible for any undue and/or unreasonable cleaning of the home immediately subsequent to the tenant’s departure.  A cleaning charge of $100 per hour, with a 1 hour minimum will be assessed if necessary.

Any damage charges incurred by the tenants not covered by the security deposit listed above shall be assessed to the credit card used to hold the reservation.

I’m quite sure that these important passages in my Outer Banks Vacation Rental Agreement saved the day.  This document that was signed and dated, accepting responsibility for any and all damages to my home and its contents will protect me and allow me to be reimbursed for any repairs and additional cleaning that will have to be done.

I’m happy to share a generic copy of my rental agreement with other Outer Banks homeowners.  Please email me at info@obxrentdirect.com with questions or for additional information.

Outer Banks Vacation Rental Payment Schedule – How Much is Due, and When?

Like most Outer Banks vacation home owners who rent-by-owner, I have a standard procedure for booking a reservation, getting a signed agreement, and collecting payments. This procedure has always worked well and includes a cushion for payments to clear through the banking system with plenty of time to spare before check-in day.

My standard procedure goes like this:

1. When a vacationer verbally (or by email) commits to rent my Outer Banks home for a particular week, I obtain their mailing address, email address and phone numbers so that I can update my rental agreement with their information.  I also specify on my rental agreement the dates that they want to reserve and the rental rate, taxes and fees for these dates.

2. I email this updated rental agreement to the vacationer and ask them to print it out, read it over carefully, sign it and mail back to me with a deposit of 50% of the total amount due.  I specify a due date, highlighted in red ink, on the rental agreement (usually 7-10 days from when it was sent to them).

3. When I receive the signed agreement back, I deposit the check or process the credit card payment.  When that payment has cleared my account, I sign the agreement, make a copy and mail it back to the vacationer.  I also update my online availability calendar to show that the week has been booked.

4. The final payment of the remaining 50% and a $500 refundable security deposit is due 30 days before check-in.  Again, this due date is highlighted in red ink on the rental agreement.  After the final payment has cleared, I email the check-in procedure (including lock box code) to the vacationer.

This procedure varies based on how close or far in advance a vacationer is making their reservation but serves as a standard and has provided a nice cash flow throughout the year.

This rental season, for the 1st time, I have had problems with my booking and payment collection procedure that will require me to make some changes in the future.

1. I have sent an agreement, updated my calendar and turned away other potential vacationers when I have received a verbal commitment for a reservation.  I have waited too long past the due date to contact the vacationer, only to find out that they have changed their mind and decided not to rent my home but hadn’t gotten around to notifying me – rude!  Now and in the future – I will not update my online availability calendar that the week has been reserved until I receive the signed agreement and payment. I will continue to accept inquiries as if the week has not been reserved and I will notify the vacationer with the rental agreement that I have another interested party who I am prepared to rent to if I do not receive their payment immediately.

2. I have had guests notify me on the day the payment is due (or sometimes 2 or 3 days after) that they are just putting the payment in the mail.  This often results in payments ending up in my mailbox a week late.  By the time I process the payment or endorse and mail the check to my local Nags Head bank and wait for the payment to clear, another week has passed.  This results in un-needed stress for me as I scramble around to get the payment processed and the appropriate check-in procedure information to the guest before their check-in day.  Now and in the future – I will require that all final payments be received 60 days before check-in so that I have time to react to slow payments or other mishaps.

3. I have had guests post-date checks to stretch out their payments, bounce checks, and give credit card information for a card that is declined.  This can be awkward and expensive as my bank charges me for the NSF check I tried to deposit and could result in a trickle-down if I have written checks myself that depend on that deposit going through.  Now and in the future – I will charge a $25 fee for all returned checks, and again, will make the due date 60 days before check-in so that I have time to react to a vacationer who doesn’t or can’t pay.

Owning an Outer Banks vacation rental home is a business!  Although I enjoy interacting with guests and have had mostly positive experiences both financially and personally, I must make certain changes to my rental payment policies and procedures to ensure that our home does not end up as a foreclosure statistic!

Outer Banks Vacation Rentals by Owner Vacancies – The Extra Effort Makes a Difference

In early May, I found myself in a situation that no Outer Banks vacation homeowner wants to be in – with vacancies during late May and early June. I was shocked because this is a highly desirable season on the Outer Banks when in the past I had been booked solid.  These vacant weeks were fast approaching and I was getting a little panic-y.

Not being one to sit back and wait, I sprung into action.  I was bound and determined to get these weeks rented.  Here are the things I did that I’m quite sure no Rental Management Company would ever do to help an individual home fill vacancies:

1. Updated Online Description.  I looked at the description of my house on my online listings with a critical eye and made updates and improvements to it in order to attract vacationer interest.  I made sure to highlight all of the best features of my house and included new amenities such as the gas grill and bright, clean laminate floors.

2. Updated Pricing.  Perhaps I was a bit too optimistic with my pricing for this time of year.  With just over a month to go before my house was sitting empty during a prime week, I adjusted my prices downward.  I made sure to highlight my new discounts in my listing’s headline.  I also highlighted this within my listing with tags such as “Memorial Day Weekend Special” and “Schools Out Special”.

3. Emailed Past Guests. Vacationers who have rented and enjoyed my Outer Banks home in the past are my best advertisement.  I emailed all past guests to inform them of my vacant weeks and my new pricing discounts.  I also asked them to share this with family and friends who might be interested.  I made sure to include on this email the URL for the direct link to my home’s online listing which includes all of my contact information.

4. Emailed Friends and Family.  Who else can you count on in tough times?  I also shamelessly emailed friends and family requesting their help with filling my vacant weeks.  I asked them to share the link to my Outer Banks vacation home with their family and friends.

I’m happy to report that through all of this extra effort, all of my May and June weeks have been booked.  Because this is my house, I went above and beyond to fill the vacant weeks.  I cannot begin to imagine a Rental Management Company taking the time to do this for one of the 500+ homes in their inventory.

The moral of the story is, “When the going gets tough, the tough Outer Banks Homeowners do it themselves!”

Relax – Outer Banks Linen Rentals are Available!

Vacations are for relaxing and thats what draws thousands of people to the Outer Banks every year – beautiful beaches where they can enjoy fishing, swimming, reconnecting with family and relaxing.

Many OBX vacationers want to escape from their daily routine and be pampered.  They want to rent a cottage where sheets and towels are provided so they don’t have to pack them or bring home the dirty laundry.  For these vacationers, cost does not matter as long as someone else is doing the work.

Many other OBX vacationers want value. They want to rent a clean, comfortable, affordable cottage where they can spend time with their family.  They know that most of their time will be spent at the beach or in the water so they don’t need a fancy rental with lots of amenities.  They don’t mind bringing their linens from home, they would rather spend the money on dinner at a nice restaurant.

Some Outer Banks homeowners may be torn over whether to provide linens and appeal to the luxury vacationer or not provide linens and appeal to the value vacationer.  In my Outer Banks vacation home we try to meet the needs of both by not providing linens (and keeping costs down) while making it easy to rent linens if they so desire that luxury.

Beach Detail Linen Rental Service is available to Outer Banks homeowners and vacationers alike.  They will provide bed and/or bath linens to rental cottages on either a weekly or as-requested basis.  From their website we learn:

Beach Detail Bed and Bath Linen Rental Service is the premier linen rental service in the Outer Banks area. We pioneered bed and bath linen services for privately owned vacation cottages in 1994. Due to our steadfast pursuit of excellence in quality and service we are the industry leaders for Bed and Bath Linen Rental in Eastern North Carolina. As the exclusive supplier for many of the leading real estate management companies’ year-round linen service programs, more than 9000 people sleep on our bed linens each week, from Corolla to Hatteras Village.

If you have any questions please call our customer support department at 252-491-4268.

Homeowners can simply ask their guests to contact Beach Detail themselves.  Its easy for homeowners and easy for vacationers.  Beach Detail is where value meets luxury for Outer Banks homeowners and vacationers alike.  Check out the Beach Detail website (www.beachdetail.com) for more information.

OBX Homeowners Should Vacation at Their Own Home

My family and I just returned from a 1 week vacation on the Outer Banks. The weather was beautiful, the beach was wide open and uncrowded and the house we stayed in was amazing!!  The best part of this is that the house we stayed in is our own.

We bought a house on Hatteras Island in 2008 and because we live out of state and are trying to maximize our investment value by renting to vacationers, we rarely get to enjoy our Outer Banks vacation home ourselves.  There are several reasons why I would strongly recommend regular visits to your vacation home:

1. Appreciate It! Owning an Outer Banks vacation rental home can be both costly and time consuming.  My husband and I have looked at each other on more than one occasion and said “what were we thinking?”.  But the Outer Banks is beautiful and we realized we are so lucky to have a place there.  We have renewed enthusiasm for making this investment work!

2. Experience It! We were able to experience our home from a vacationers point of view.  What works, what doesn’t; what needs replacing, what doesn’t; what should be on the list for next year and the year after that.  Only homeowners who vacation at their own rental for at least a week or 2 every year will have the unique perspective of the cost vs benefit of repairs, upgrades and amenities.

3.  Evaluate It! Being non-resident OBX vacation homeowners has its challenges.  The biggest challenge is that we have many workers and contractors cleaning, repairing and caring for our home, while we are writing them checks from many hundreds of miles away.  Some of these workers are people we have met and developed a relationship with, some have been recommended by others and some we have little or no knowledge of.  Either way, it is very important that we check and evaluate the work that has been done on our house.  If our “vacation rental business” is to continue working, we have to make sure that the work we are paying for is being done and meets our standards.

So Outer Banks vacation home owners, plan your OBX vacation today.  It will give you time to Appreciate, Experience and Evaluate the best place on the beach – yours!