In theory, any house could go into the AL business. However, there are properties with much more propensity and potential for this business than others! Effectively, when considering launching a house on the AL market, it is crucial to evaluate it carefully before moving forward. It’s not all roses; there are compromises and sometimes some investment to consider. As such, one must carefully assess the strengths and weaknesses of his property before proceeding.
Probably the first set of questions to ask yourself are these:
– Would I like to rent this house for a vacation with my family?
– How much would I be willing to pay for a week’s vacation in this house?
– If I had to pay to stay here, which aspects would I like the most? And what are the ones that wouldn’t please me?
If it’s not an area with tourist demand, you can still go ahead, but the frequency of guests will probably be below or even below the desired level!
However, it is also true that nowadays, people are very mobile. They easily commute 200 or 300 kilometres per day to visit any point of interest that someone has mentioned. Especially when they are aboard, on vacation, in this context, they can opt for accommodation in a more remote location but compensate for being a picturesque, quiet and very private area or a distinct boutique villa. It serves as a base, not bothering to use the car daily to go to the beach or sightseeing.
Those looking for a holiday home usually avoid homes where previous guests have commented or reported noise issues or other annoyances from the neighbourhood!
And it is also convenient to consider how your neighbours will deal with starting to receive guests! It must have formal authorization from the condominium committee if it is an apartment.
Your home stays in a quiet and ordinarily hassle-free neighbourhood! Very well. It’s what you’re looking for when it comes to a beach or family vacation. Guests love peace and privacy.
However, some don’t mind staying in a more central location since the house is correctly soundproof and the place is worth it. (historic city centre, beach line, etc.)
The furniture must also be sufficient for the advertised capacity! A house with beds for ten guests must be able to seat ten people at the table and have seating for ten on the sofas in the living room! Everything has to be proportionate.
All existing equipment and appliances must work properly! Whoever rents presuppose it!
Pay attention to beds and mattresses! The more comfortable, the better. An uncomfortable mattress or a loose bed can ruin a Holliday and lead to a negative comment.
And you know! That dishwasher where you have to give it a little push to close the door and work? Or that coffee machine that only works with a particular “knack”? Or even the toilet that runs until you tap it in a “certain” place? You know, don’t you? Because in this AL business, this type of equipment does not work. Just because guests do not know, nor do they intend to learn, how to give these “little touch”! As they pay, they expect equipment that works without reservations!
The garden and the entire exterior must also be net and clean, without dangerous spots for users, especially children.
If you have a pool, you should consider putting a fence to prevent unsupervised access by children!
The sanitary water heating systems and the stove, whenever possible, should be electric and easy to use. Many guests feel uncomfortable dealing with gas! Complex appliances or numerous adjustment options can be the origin of punctual issues! Problems that end up spoiling the stay. The simplest and easiest to use is always the best option.
Does your house have air conditioning and or a heated pool? These can be significant assets to captivate guests in looking for accommodation for their holidays.
However, the owner must carefully consider the costs associated with the intensive use of these devices before allowing their use! And you also have to be very careful in what you advertise, so that you don’t have to deal with guests who are disappointed in their expectations!
It’s a problem that often happens to guests staying at houses with a heated pool! Mainly older adults read in the advertisement that the pool is heated, which brings the expectation of comfort that in practice does not materialize in an outdoor pool!
Any harmonious and balanced decoration can work. However, since we seduce our guests online, houses with more coloured or vivid decoration schemes find it easier to capture the attention of potential guests!
It is not advisable to overload the house with lots of decorative objects. Pieces of art, unnecessary bibelots, family photographs, etc., must be removed.
The house is fine, but are there any details that could be better? What to do? Invest some money and put the house as it should be? Or rent it like that and see what you get and then decide on some improvements?
In our opinion, if you do want to enter the Local Accommodation market to earn money? You should do everything possible to start getting excellent reviews from day one! These comments will open the door to success in the business!
Let’s not forget that nowadays, those looking for this type of accommodation have a vast offer at their disposal, all just a click away! And if our house has unfavourable reviews or is not at the best level, it is easily overlooked!
With the house valuation in mind, there is one detail we can never forget! It’s a fact that AL’s customers are used to evaluating the quality of the accommodation in the comments left on the online rental platforms by previous guests!
That’s why a house without comments has more difficulty in attracting guests! And it is also, for this reason, that anyone who wants to be successful in the AL market must do everything in their power to avoid derogatory comments in advance.
The first truth is: – If something is less good in the house and may displease guests, sooner or later, it will appear in the comment.
Once registered on the reviews área of the platform, negative comments are harsh to remove. It is therefore vital to work in advance.
The property must have AL license and all that that entails! (present Proof of Entitlement; License of Use, Caderneta Predial. It is also necessary to open the AL activity in finance and take out specific insurance).
It is also convenient to be aware that allocating property to Local Accommodation can generate capital gains! These gains will be calculated and charged only when you intend to disassociate the house from the AL regime. To assess the value of these capital gains, we advise you to consult an accountant, as it is a complex calculation considering several factors specific to each property.
AL business works as a service provider. Once the owner provides an accommodation service to the guest, he must issue an invoice and dully receipt for the amount received and pay the due taxes. VAT or IRS will be calculated and charged. The election of the type of tax varies according to each person’s monthly/annual income.