Vacation Rentals Blog

The area around the historic port city of Charleston, SC continues to rack up high honors as a travel destination. For the 13th consecutive year, readers of Condé Nast Traveler magazine honored Charleston as a TOP 10 travel destination in North America. Charleston moved up to the No. 3 ranking after coming in No. 4 in last year's survey. Kiawah Island was named the #2 island in North America. Charleston Place, John Rutledge House Inn, The Sanctuary at Kiawah Island, and Planters Inn also made the gold list.

An article in TravelVideo.TV does a good job of pointing out the many attractions of the Charleston area, including luxury resorts, tourist attractions and fine dining. Among other awards won by the city was the honor of the Charleston City Marina being named the 2005 Marina of the Year.

One of the most desirable features of the Charleston area from our standpoint is the abundance of high quality vacation rental homes that are available on vacation rental directories, including VacationRental.org.

Posted by VRO at 05:57 AM | Permalink

The Wall Street Journal reports on a concept that is being aggressively marketed by many developers, the “Condo Hotel�. They look and feel like a conventional hotels with one important difference—you can buy an individual room. Owners can use that room whenever they want, and they also share in any income when the hotel rents it out to other guests..

The article by Michael Corkery reports, “Properties like these aren't entirely a new concept: Real-estate mogul Donald Trump developed an early one 14 years ago. However, today the number is rising. As of December, condo-hotel rooms made up 11% of the roughly 113,170 new hotel rooms under construction in the U.S., according to Smith Travel Research, based in Hendersonville, Tenn.�

It is clear that these condo-hotels provided many advantages to the developer, such as having individual owners pay for the cost of building the hotel. However, the article points out that the advantages are far less clear for investors. The individual unit owner is responsible for things like monthly maintenance fees, regular condo-association assessments, and in many cases, a hefty mortgage. Other issues that should concern prospective buyers are that unproven record of these properties in the resale market and complex tax issues that may make it difficult to write off any losses.

One of the most useful features of the article is a little chart that compares the advantages and disadvantages of owning different kinds of vacation properties---1) Condo Hotels, 2) Timeshares, 3) Fractional Ownerships, and 4) Second Homes—a free-standing home, a regular condo, or apartment..

In our own view, owning your own property is by far the best option. The problems with timeshares have been well-documented over the years. Meanwhile, vacation home owners have witnessed a tremendous appreciation in the value of their properties over the past several years. The most successful vacation home owners have even made a profit while enjoying this appreciation in the equity in their property. The tips on how to do this are known to those who read our Vacation Rentals Newsletter, a feature available to members of VacationRental.org.

The most important thing to remember is that you need to retain the flexibility to manage and rent your own property in the manner most advantageous to you, whether it is self-management or choosing the best vacation rental property manager. When you are locked into a condo- hotel or some other such arrangement, your fate is completely in the hands of others, and the only party who you can be certain will do well is the management that your are captive to.

Posted by VRO at 06:33 AM | Permalink

After sagging like a deflating balloon in last year’s cold wet spring, vacation rentals on the Jersey Shore are enjoying a rebound in 2006. According to the Courier-Post staff, a mostly mild winter and relatively steady prices are breathing new life in the market. William Sokolic reports that that the rental season, which kicked off on Presidents Day weekend, already has the markings of a good, if not great summer. A local broker is quoted as saying, “After being lured away by low airfares and cruises, people are coming back to the shore.� The full article is available here.

We at VacationRental.org are encouraged by this news. As we reported last year in our Vacation Rentals Newsletter, last spring was not a good time for vacation rentals on the East Coast. The cold wet spring had quite a dampening effect on the market. A check of vacation rental directories, including VacationRental.org, indicate there are a great many prime properties available, but those desiring water front rentals in the busy season should make reservations early.
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Posted by VRO at 06:15 AM | Permalink

A recent article in Hospitality Trends spotlights a fast growing travel market it calls the market for gap travel. It says gap year travel can be divided into three main markets: pre-university gaps, career gaps and pre-retirement gaps.

Pre-university gaps appear to be the most common, with students taking a year off before commencing higher education. The fastest growing sector appears to be the career gaps, with people taking time off between career moves. The majority of people in this category are thought to be in the 25-30 year age group. Pre-retirement gaps are taken by 55-70 year old people who are ending their careers, and are looking to explore the opportunities available in the next stage of their lives. The full article is available here.

Our own experience in a cosmopolitan mountain area ideal for those considering retirement indicates that the gap market is a good one to target. Vacation rentals are much more ideally suited than hotels for people who want to make a decision on where they want to live. Moreover, our extended stay rates also make them much more affordable as well. In other areas, vacation rentals might provide the same benefits for those in the other two gaps.

Posted by VRO at 06:36 AM | Permalink

It is a fact of life that travelers gradually come to expect to receive a lot of the same amenities that they get in luxury hotels in the luxury vacation rentals they stay in. We have already seen this happen in the case of Wi-Fi and high speed internet access. A few years ago, it was a rarity, even in hotels. Now it is expected in vacation rentals as well as hotels and motels. With this in mind, it is interesting for the vacation rental owner to read an article in CNNMoney.com by Dave Ellis, who says, “From self check-in to iPod docks to rooms that literally take your temperature, your next hotel stay could be light years ahead of expectations.� The full article is available here.

Some of the coming innovations in hotels described in the article are too high-tech for vacation rentals, such as iris scans for entry rather than a card system, a �pure room� cleaning system, and “health monitoring rooms�. However, others are not. An expert is quoted as saying that all the major hotel chains will have flat screen TVs in place in the next few years. Therefore, any vacation rental owner who is purchasing a new TV should consider making the switch to a flat screen rather spend money on a technology that is out of date. Another innovation that is already affordable is iPod docks for guests.

Posted by VRO at 06:26 AM | Permalink

The travel section of the New York Times does and excellent job of describing the delights of the lesser- known islands of the Bahamas. As Denny Lee reports, “until recently, going to the Bahamas meant the casinos of Freeport, the tourist hustle of Nassau or the Las-Vegas-style resorts of Paradise Island. Never mind that the Bahamas is an archipelago as long as Florida. The 30 or so other inhabited islands are so off the tourist radar that they are simply lumped together with the 700 uninhabited islands as the Out Islands.� The full article is available here.

The article describes the island of Eleuthera, a beautiful unspoiled Island with miles of glistening beaches. However, it points out that things are changing in this island paradise as large new luxury resorts are being built. The article fails to mention that there are already many beautiful vacation villas and bungalows available on this and other out islands in the Bahamas.They are easily found onVactionRental.org and other directories. They are ideal for those who want to enjoy the islands in their natural state before the landscape becomes dominated by huge hotels and condos

Posted by VRO at 06:00 AM | Permalink

The USA's $645 bIllion travel and tourism industry and vacation rentals' part of that industry should be helped by new Bush administration policies to make foreign visitors feel more welcome.The strict border security measures that were instituted after the Sept. 11 attacks have discouraged many foreign tourists from coming to the USA.

The USA Today reports that, as a result, the number of lost foreign visitors has become too large to ignore.The 48 million foreign vistors to the USA last year were below the level of 2000. In the same period, worldwide foreign travel soared 17%. Had the USA kept pace with the increase in foreign travel around the world , an additional 9 million foreigners would have come last year.The USA's lost opportunity was more than $12 billion in spending and 150,000 new jobs.

Among the steps to be taken to encourage more foreign visitors are improvements in the visa application process, videoconferencing among consular offices, and testing airports to make them more friendly to foreign arrivals.For the full story, click here.

Posted by VRO at 03:30 PM | Permalink

The number of tourists who visited the Caribbean rose last year, but the pace of growth was half that of the previous two years, according to the Caribbean Tourism Organization. The strongest growth was posted in the Dominican Republic, with 7 percent growth and Cuba, with 13 percent growth. Tourism in the Dutch Caribbean islands, including Aruba and Curacao, grew by only 2 percent, while Puerto Rico and the U, S, Virgin islands had gains of about 3 percent. For the full article in the Bahamas Journal, click here.

A quick look at Vacation Rental.org and other directories will demonstrate that the Caribbean has a number of vacation villas and vacation condos on the beach that are available for reasonable rates.

Posted by VRO at 03:27 PM | Permalink

The travel press has been full of stories lately about all the improvements that hotels are making in their lobbies. It seems that hotels made about $5 billion in improvements last year, and are making another $5 billion in upgrades this year. The reasons are the increased profitability of hotels and the desire to invest in amenities that set them apart from the competition and justify the hotels charging higher room rates. Moreover, a large part of these expenditures are going into a makeover of the hotel lobbies.

An article in USA Today points out that W Hotels kicked off the lobby competition in the late 1990s with its first hotel, which is in New York. Its lobbies, known for buzzing parties, sleek décor and mood lighting, got their inspiration from European hotels and cafes. Now such major chains as Marriott, Embassy Suites, and Sheraton, as well as boutique hotels have joined in this trend. For the article, click here.

Unfortunately, it has been our experience that sometimes these millions of dollars spent on improving lobbies are made at the expense of room quality. We recently attended a convention at a top resort hotel in Florida. The lobby restoration was almost complete. It was stunning in its modernistic design, complete with a huge round water sculpture.

However, it was obvious that the suite we stayed in had not been refreshed from our stay two years earlier. Couches and chairs that had looked stylish two years ago were now stained and even torn. The ice maker in the bar did not work. It was clear that the hotel was putting all its money in the lobby at the expense of its rooms. Even worse, it was increasing its room rates to such a level that the trade group holding the convention decided to have its next convention in Hawaii instead.

While vacation rentals don’t have lobbies, the hotel experience is a good lesson on why you should never neglect the basics of refreshing your property often and never neglect keeping the highest standards for your properties’ quality and amenities. Don’t have your investment in property improvements backfire as in the case of this hotel.

Posted by VRO at 11:02 AM | Permalink

Hotel stays are getting more expensive, surpassing recent projections of rate increases for 2006. The New York Times reports that hotels across the country have begun to push rates up further this year as they anticipate strong demand by travelers of all kinds—from business to leisure to groups. The article quotes a report by PricewaterhouseCoopers that predicts that average daily hotel rates nationwide will rise by 5.8% this year after an increase of 5.3% last year, and in many major business travel cities, the increases will be even higher. In New York, according to the consulting firm’s report, the average price of a hotel room is projected to go up by 14 percent; in Miami the figure is 9.1 percent and in Chicago, by 7.6 percent. Another source is quoted as saying that some business travelers may pay 30 percent more during peak times. For the full article, click here.

The sticker shock of these sharp increases will create additional opportunities for operators of alternative lodging such as vacation rentals who are located in or near some of these expensive travel destinations. While this will be truer for leisure travelers, there are even opportunities for bookings by some business travelers. On more than one occasion we have had attendees of conferences being held in expensive local hotels choose to stay at our vacation rentals located in Asheville, NC. In our travels, we have sometimes stayed at B&B’s in a large city while attending a convention.

Posted by VRO at 03:24 PM | Permalink