VROA COMPLIMENTARY NEWSLETTER - September 22, 2003
SUBJECT: Self Management - the pros and cons
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*** To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please join us by visiting www.VROA.org.
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The Internet has made it possible for more owners to manage their own vacation rental home, bypassing the traditional property management and booking companies. Is this a good idea for you? Maybe and maybe not. The decision is not as cut and dried as you might think.
Last week Amy - a member from Michigan wrote asked about the ins and outs of managing her own vacation home. She has gotten some great advice from Christine Karpinski a consultant in Florida who offers Seminar and advice on "how to" manage your own unit You can find Christine's contact information in both the Member and Supplier sections of the Members Only VROA pages.
Because Amy is so enthused about managing her own property and because she's been wise to do her homework I think she'll have great success with her home. And that is one of the hallmarks of owners who seem to be doing well with their homes - they have to enjoy it.
So how do you know if self-management is for you? Let me say first of all that VROA doesn't take sides on this issue. The association has much to offer owners who use managers and those who do not. Our mission is to help both know the issues and find that path that suits them best.Clearly self management can be advantageous to certain owners. But there are distinct benefits that management firms offer. Let's look at a few of the issues owner's should consider before making a decision about self management.
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This week's Sponsor: VACATION RENTALS WORLDWIDE
For VROA members - Free Vacation Rental Listing or 6 months - No Strings Attached. Including up to 3 photos on fast and efficient site. www.VRworldwide.com
============================================
MONEY: Perhaps the best and worst reason to manage your own unit is for money. Yes you can escape the manager's fee by managing the home yourself. But you can not escape the management duties. Someone has to answer the phone, arrange for cleaning and maintenance and be available 24 hours per day. Is that what you want? Plus you have determine if you will generate more income - or less. And whether you can cut costs or not.
YOUR TIME: What is your time worth? In truth, you are not escaping the expense. You are simply paying yourself to do what the manager does. If you enjoy the work then self management will be rewarding. If not it will be a pain. If you can invest your unused time you can earn a nice income. If it takes away from your profession or family then you may lose more money than you save.
YOUR SKILLS: The next question is how good are you at the job of managing. You'll need to have good bookkeeping, be able to invoice clients, should consider getting a merchant account so you can take credit cards, have to pay cleaners and maintenance firms (sometimes in advance) and never make a mistake on scheduling. You have to know how to contract with vendors without getting skewered and how to follow up to make sure work is done and done correctly. With a single home these things are not difficult but they need to be precise. If that's not your modus operandi you may make mistakes.
YOUR MARKETING: The next question to test yourself is - how good a marketer and salesman are you? Even though the Internet has drastically changed how guests search for and purchase vacation rental reservations it is not a magic wand. It will not make you successful just because you can put up a website. Plus the internet is changing. Getting listed high in search engines is complicated and can be expensive. The VROA supplier directory currently lists a couple of hundred vacation rental websites (with more appearing every week). No one listing will secure you sufficient bookings - not even close. Are you prepared to advance the money to list on the top 10 or more sites?
SELLING: Are you a sales person? It is not enough to simply answer the phone. You have to put up with lots of questions, dispel lots of fears and determine if your place is right for each guests. If so, then you have to convince them to book. Its not easy. You'll spend many hours talking with folks who never rent. The only way to be good at selling is to enjoy it. Do you like people and small talk? If so, this is for you.
FORTITUDE: Like most jobs self-management is often based more on sticking to the task at hand than on some great unusual skills or knowledge. The only thing you now about each reservation is that it must be followed by another. Even if you book strictly by the week that means you need to try to get 52 bookings per year. That will take many out bound phone calls. Many calls to the cleaners. Regular trips to inspect the property and to be available 24 hours per day for issues. If the property is distance soon the joy of staying in your own home can be dashed by the requirement to sometimes drop everything and make the trip.
ATTITUDE: Perhaps the most telling of all owner attributes is attitude. Have you ever gone to a store where the clerk as bored or tired or indifferent? You can bet they weren't highly compensated or might soon be without a job. In managing your own home you can not afford to have a bad attitude. Every day you have to approach the task at had as an important one. You have to teach yourself to love it. And over time you have to pump up your attitude to make sure guests are enthused about staying in your home. Not everyone can do this.
HANDS ON: A common question among owners is how will I arrange cleaning and maintenance. The answer depends on the location of your home. In many destination resorts there are numerous cleaning and maintenance firms happy to work with owners directly with owners. This is a growing industry. We have had good luck with such firms and find them a great help. In smaller or remote communities you may have to hire individuals to do the work. This can be problematic. Even a highly reliable and skilled cleaning person will one day move on to greener pastures. If you can keep someone a year or two consider yourself lucky. Plus you have to worry that a "one person" crew may one day simply not show up or suddenly fail to clean adequately. That means you have to find a replacement - and pronto.
Managers can also suffer such problems but usually have a larger crew and sufficient backups. Good managers have well documented quality control. On the other hand, they can be inflexible as to how they clean and when they clean. In short, however, self-managers should understand they are taking on the duty of operations but gaining some degree of control and cost savings.
MAINTENANCE: A word about maintenance is in order. I have heard frequent complaints from owners who believe that managers are charging them way too much for maintenance. While some managers make significant income by providing building maintenance over the long haul you will learn that rental homes require sufficient and regular maintenance. You will be hard pressed to find independent maintenance firms who charge less than a manager. You may be able to defer some maintenance for a while but in the end you'll have to spend money to keep your place rentable. Yes, you can do some of the maintenance yourself but you can do that with a manager too.
MONEY: And now we return to the money issue. I would urge owners not to abandon managers but also remember that not all managers are created equal. They may have skills you do ot have. The dedication and capabilities they show will differ dramatically. In fact, most are not even comparable in the services they offer or the ways in which they operate. Some are merely cleaning and maintenance firms who answer the phone to take reservations. Others have honed their marketing, sales and business skills and offer a true and valuable service. Your decision about self managing may hinge on whether a good manager is available. If not, then you may have no choice but to undertake the chore yourself.
So now that we've covered some of the tests for self-management let me end by simply saying that the decision to manage your own unit can be a wise one. But it can also be a costly mistake. To make a good decision spend time evaluating your available time, your skills and then make reasonable goals for the home. Those goals should be the same whether you manage it or hire a manager. Before you jump into the self-management business be sure to interview all the managers in your area. Review what they do and what they charge. Insist on checking references. And then compare those managers to what you can do yourself.
The and only then you'll know the pros and cons of managing your own unit. Good luck in that decision.
Please see the website section for other ideas:
- Tip and Techniques
- Supplier directory of Web Listing Sites
- Supplier directory of management firms
FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
This week we travel to the Cypress House on Virgin Gorda in the British Virgin Islands. This is a luxurious 2 Bedroom villa on a warm Caribbean Island. Take a peek at www.CypressHouseBVI.com. And check out the virtual tour.
*** If you want your place added to the list of weekly contenders just drop me an email.
===========================================
VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)
===========================================
Monday, September 22, 2003
Monday, September 15, 2003
VROA OWNER NEWSLETTER - September 15, 2003
SUBJECT: How to use the world's best sales tool
The fear strikes everyone - owner and property manager alike. No one wants to pick up the telephone to sell people things. If that's how you feel, I'd like to give you some tips that will not only make it easier, but will actually make it fun. Pure enjoyment, really.
Last week's newsletter harped on the absolute necessity to answer all email and phone inquiries promptly. I heard from a number of members, and most appreciated the reminder. A few questioned whether it was really necessary to call people back repeatedly. One said, "Doesn't that make people mad if you bug them?" Another member said, "I just don't have the time because I have another job," but then added she could quit that job if her home just rented fully in the high season. A third member volunteered, "Frankly I'm just too scared to call people back."
If you reacted to last week's article in this way you are not alone. In even the most sophisticated sales organizations there are very good representatives who succumb to "Phone Fear." In working in a number of industries I've had top producers confide in me that "Some mornings I just can't put my hand on the phone." From childhood we've all been subjected to the irrational paradigm that asking other people for something is somehow improper. Nothing could be further from the truth.
============================================
This week's Sponsor: VACATION RENTALS WORLDWIDE
For VROA members - Free Vacation Rental Listing or 6 months - No Strings Attached. Including up to 3 photos on fast and efficient site. www.VRworldwide.com
============================================
Let's face it, without assertive behavior (asking for something) no one would get married or, dare I say this, have any children. You have to ask don't you? And let's think about other petitioners we meet along the way. Your minister or rabbi sermonize asking parishioners to live a good life don't they? Teacher and parents plead with children to do their homework and get good grades. A president of the United States once implored us, "Ask not what your country can do for you but what you can do for your country."
All of these people did so with good intent; to help you do what you probably should be doing. Was it wrong that they also had selfish reasons for asking? The President wanted to get reelected, the teacher wants to be an effective instructor and the minister wants to do a good job for the church.
So why is it that when you need to call a prospective guest and offer them the chance to stay at your wonderful getaway, to sit back and rest, to have the time of their lives, to spend time with their families, to leave their humdrum lives behind for a week or weekend - when you ask them to really enjoy themselves - why is it that any of us should ever feel reluctant?
The answer is that to sell any product, especially one that produces so much joy for customers, you have to understand that you are truly doing them a favor. I am not suggesting you need to "talk yourself" into any such thinking. I ask you to examine what it is you offer and come to the inescapable conclusion that you are selling a product that guests find highly desirable.
So if that is true, why do you have to call them back at all? Or call them back repeatedly? Here is the answer.
Long ago I attended a seminar on how to sell. It wasn't my first such class and I had been exposed to similar material from other books and courses. It was wonderful to hear folks get up and explain how learning to sell had improved their lives. I don't mean just at their job or earning money to support their families. I mean learning to communicate (to sell) helped improve many other areas of their lives. It taught them how to get their kids to study and their husbands to vote. Little victories perhaps but nonetheless ones that someone needed to sell.
By the way, the seminar was taught by Tom Hopkins. You can buy his training and learn more at his website www.TomHopkins.com. I heartily recommend his services.
I will never forget one exchange at the seminar. When Tom asked the audience of some 800 people, "When you call someone and they don't call you back, what does it mean?" he got back many answers. "It means they don't want your product," said an experienced looking man. "It means they don't like to be called," said a woman. "No it means they don't like sales people," said another.
So "How do you know that?" asked Tom and the audience grew strangely quiet. Then one attendee rose and said, "I guess we really don't know, do we?"
"And that, is exactly the correct answer,." concluded Tom. "When someone doesn't call you back, it only means one thing - they didn't call you back. Period. Nothing more. Every other conclusion you make can be wrong."
He pointed out that, like everyone, customers are busy people. They have children and school and jobs and maybe even sick relatives. Sure they want to go on vacation - maybe desperately - but life gets in the way of making reservations. That is why they need your help. They need reminding in the same way you have to remind your kids to do their homework and your spouse to take out the garbage. And that is why you have to call them, and call repeatedly.
------------------------------------------------------------
To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please visit and join www.VROA.org.
------------------------------------------------------------
TELEPHONE TECHNIQUES
Now that you've accepted the fact that you must call folks back, here are some tips on how to make it easier to do:
FIRST THING: Make telephoning your highest priority. Remember phoning is what makes the money come in. Don't distract yourself with bookkeeping, administrative chores or anything else. Do those latter. Pick up the phone and start dialing for dollars. Don't stop until you've reached everyone who has inquired. Do it everyday. Soon, the list will be smaller and it will take less time.
LEAVE MESSAGES: If you get voice mail or an answering machine ALWAYS leave a message. Start with your name and the Magic Phrase mentioned below, then your phone number and then a VERY short message such as, "Please call me back at 800-XXX-XXXX about the dates we discussed." Ending like this with an open-ended question is best. It causes them to wonder. It may even cause them to worry about whether the dates have been sold to someone else. NEVER threaten or leave an ultimatum such as "Call me back by Friday or I will sell your dates to someone else." That makes folks mad or they'll presume they lost the dates and won't bother to call to buy the dates you'd love to give them.
EMAILS: You heard me say responding to emails (and quickly) is important too. But many folks "Hide behind" emails. It easier to email because you don't have to speak with the person. You don't have to react immediately. You don't have to answer new questions. If a prospective guest provides a phone number ALWAYS call it first. Don't be fooled by the latest of communications methods - email. It is a good tool but the phone is far better.
BE FRIENDLY: Just because you fear phoning don't let it change your personality. Talk on the phone just like you would to your best friend. Say "Hello, how are you" like you really mean it. Learn to keep notes about the names and ages of family members who will be accompanying them on the vacation. Remember who is coming and from where, what dates they considered and what they hope to enjoy on their trip. Simply give them the same friendly courtesy you would give any of your friends. And guess what, they will become friends perhaps returning year after year to your getaway home. Speak with them about their dream vacation not your needs or requirements.
THE MAGIC PHRASE: Some years ago I picked up a phrase from one of our consulting clients. He called me almost everyday and always started the phoned call with, "Hi this is John. Just wanted to Check In With You." This is a brilliant phrase. By calling regularly he was assured that I hadn't forgotten his project or put it off for someone else's project. But he really didn't want to bug me. "Checking In" implies that he just wants to let me know he is there. It implies its OK for me not to have anything new to report. It makes it easy for him to call. And me to respond.
Try it when you are calling someone back for the second or third time. Trust me - they know why you're calling and yet this gives them chance to say they haven't made a decision. You will be absolutely amazed at how frequently they say things like, "Oh, I'm glad you called." or "I've been meaning to call you back but have been tied up."
I have another friend who runs a very successful sports camp for kids. Not only does he teach sports he changes lives of young people by also teaching them about commitment and dedication and courage. He has become a hero of mine in the last few years because of his dedication to children. He has hundreds of coaches and thousands of kids but every now and then I get a phone call or voicemail from him. His method of "Checking In" goes like this, "Bill this is Fred. Just wanted to let you know I was thinking of you. Thanks for your help. We'll talk soon." I don't know how he finds the time but I do know it makes my day. You have the same ability to make the day of folks who are dying to stay at your vacation home.
STAND OUT: You will not anger customers by calling them. But you will impress them. And they will appreciate your call. In fact, if you make phone calls everyday you will bowled over with the universal appreciation you receive for providing great Customer Service. That will take you right to the top of the class. If you simply call people on the phone you are doing what 19 out of 20 homeowners and property management firms FAIL to do.
ITS YOUR JOB: If you enjoy renting out your home or run a property management business then I ask you to admit that doing the telephoning is your job. No one else is going to do it for you. And the sooner you get it done the sooner you can go back to the bookkeeping, administration or other tasks that are also important. Plus all of that is a whole lot more fun if your home is fully booked and making you money.
Please see the website section for other ideas:
- Tips of the Week
FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
If you want to see the Leaves change color in Maine this autumn call Harp-Hawkins Vacation Rental Homes. They offer six unique seasonal vacation rental homes nestled along the shore of Frenchman's Bay on Mount Desert Island, Maine. Just minutes away from Acadia National Park. See www.Harp-Hawkins.com.
*** If you want your place added to the list of weekly contenders just drop me an email.
===========================================
VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)
===========================================
SUBJECT: How to use the world's best sales tool
The fear strikes everyone - owner and property manager alike. No one wants to pick up the telephone to sell people things. If that's how you feel, I'd like to give you some tips that will not only make it easier, but will actually make it fun. Pure enjoyment, really.
Last week's newsletter harped on the absolute necessity to answer all email and phone inquiries promptly. I heard from a number of members, and most appreciated the reminder. A few questioned whether it was really necessary to call people back repeatedly. One said, "Doesn't that make people mad if you bug them?" Another member said, "I just don't have the time because I have another job," but then added she could quit that job if her home just rented fully in the high season. A third member volunteered, "Frankly I'm just too scared to call people back."
If you reacted to last week's article in this way you are not alone. In even the most sophisticated sales organizations there are very good representatives who succumb to "Phone Fear." In working in a number of industries I've had top producers confide in me that "Some mornings I just can't put my hand on the phone." From childhood we've all been subjected to the irrational paradigm that asking other people for something is somehow improper. Nothing could be further from the truth.
============================================
This week's Sponsor: VACATION RENTALS WORLDWIDE
For VROA members - Free Vacation Rental Listing or 6 months - No Strings Attached. Including up to 3 photos on fast and efficient site. www.VRworldwide.com
============================================
Let's face it, without assertive behavior (asking for something) no one would get married or, dare I say this, have any children. You have to ask don't you? And let's think about other petitioners we meet along the way. Your minister or rabbi sermonize asking parishioners to live a good life don't they? Teacher and parents plead with children to do their homework and get good grades. A president of the United States once implored us, "Ask not what your country can do for you but what you can do for your country."
All of these people did so with good intent; to help you do what you probably should be doing. Was it wrong that they also had selfish reasons for asking? The President wanted to get reelected, the teacher wants to be an effective instructor and the minister wants to do a good job for the church.
So why is it that when you need to call a prospective guest and offer them the chance to stay at your wonderful getaway, to sit back and rest, to have the time of their lives, to spend time with their families, to leave their humdrum lives behind for a week or weekend - when you ask them to really enjoy themselves - why is it that any of us should ever feel reluctant?
The answer is that to sell any product, especially one that produces so much joy for customers, you have to understand that you are truly doing them a favor. I am not suggesting you need to "talk yourself" into any such thinking. I ask you to examine what it is you offer and come to the inescapable conclusion that you are selling a product that guests find highly desirable.
So if that is true, why do you have to call them back at all? Or call them back repeatedly? Here is the answer.
Long ago I attended a seminar on how to sell. It wasn't my first such class and I had been exposed to similar material from other books and courses. It was wonderful to hear folks get up and explain how learning to sell had improved their lives. I don't mean just at their job or earning money to support their families. I mean learning to communicate (to sell) helped improve many other areas of their lives. It taught them how to get their kids to study and their husbands to vote. Little victories perhaps but nonetheless ones that someone needed to sell.
By the way, the seminar was taught by Tom Hopkins. You can buy his training and learn more at his website www.TomHopkins.com. I heartily recommend his services.
I will never forget one exchange at the seminar. When Tom asked the audience of some 800 people, "When you call someone and they don't call you back, what does it mean?" he got back many answers. "It means they don't want your product," said an experienced looking man. "It means they don't like to be called," said a woman. "No it means they don't like sales people," said another.
So "How do you know that?" asked Tom and the audience grew strangely quiet. Then one attendee rose and said, "I guess we really don't know, do we?"
"And that, is exactly the correct answer,." concluded Tom. "When someone doesn't call you back, it only means one thing - they didn't call you back. Period. Nothing more. Every other conclusion you make can be wrong."
He pointed out that, like everyone, customers are busy people. They have children and school and jobs and maybe even sick relatives. Sure they want to go on vacation - maybe desperately - but life gets in the way of making reservations. That is why they need your help. They need reminding in the same way you have to remind your kids to do their homework and your spouse to take out the garbage. And that is why you have to call them, and call repeatedly.
------------------------------------------------------------
To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please visit and join www.VROA.org.
------------------------------------------------------------
TELEPHONE TECHNIQUES
Now that you've accepted the fact that you must call folks back, here are some tips on how to make it easier to do:
FIRST THING: Make telephoning your highest priority. Remember phoning is what makes the money come in. Don't distract yourself with bookkeeping, administrative chores or anything else. Do those latter. Pick up the phone and start dialing for dollars. Don't stop until you've reached everyone who has inquired. Do it everyday. Soon, the list will be smaller and it will take less time.
LEAVE MESSAGES: If you get voice mail or an answering machine ALWAYS leave a message. Start with your name and the Magic Phrase mentioned below, then your phone number and then a VERY short message such as, "Please call me back at 800-XXX-XXXX about the dates we discussed." Ending like this with an open-ended question is best. It causes them to wonder. It may even cause them to worry about whether the dates have been sold to someone else. NEVER threaten or leave an ultimatum such as "Call me back by Friday or I will sell your dates to someone else." That makes folks mad or they'll presume they lost the dates and won't bother to call to buy the dates you'd love to give them.
EMAILS: You heard me say responding to emails (and quickly) is important too. But many folks "Hide behind" emails. It easier to email because you don't have to speak with the person. You don't have to react immediately. You don't have to answer new questions. If a prospective guest provides a phone number ALWAYS call it first. Don't be fooled by the latest of communications methods - email. It is a good tool but the phone is far better.
BE FRIENDLY: Just because you fear phoning don't let it change your personality. Talk on the phone just like you would to your best friend. Say "Hello, how are you" like you really mean it. Learn to keep notes about the names and ages of family members who will be accompanying them on the vacation. Remember who is coming and from where, what dates they considered and what they hope to enjoy on their trip. Simply give them the same friendly courtesy you would give any of your friends. And guess what, they will become friends perhaps returning year after year to your getaway home. Speak with them about their dream vacation not your needs or requirements.
THE MAGIC PHRASE: Some years ago I picked up a phrase from one of our consulting clients. He called me almost everyday and always started the phoned call with, "Hi this is John. Just wanted to Check In With You." This is a brilliant phrase. By calling regularly he was assured that I hadn't forgotten his project or put it off for someone else's project. But he really didn't want to bug me. "Checking In" implies that he just wants to let me know he is there. It implies its OK for me not to have anything new to report. It makes it easy for him to call. And me to respond.
Try it when you are calling someone back for the second or third time. Trust me - they know why you're calling and yet this gives them chance to say they haven't made a decision. You will be absolutely amazed at how frequently they say things like, "Oh, I'm glad you called." or "I've been meaning to call you back but have been tied up."
I have another friend who runs a very successful sports camp for kids. Not only does he teach sports he changes lives of young people by also teaching them about commitment and dedication and courage. He has become a hero of mine in the last few years because of his dedication to children. He has hundreds of coaches and thousands of kids but every now and then I get a phone call or voicemail from him. His method of "Checking In" goes like this, "Bill this is Fred. Just wanted to let you know I was thinking of you. Thanks for your help. We'll talk soon." I don't know how he finds the time but I do know it makes my day. You have the same ability to make the day of folks who are dying to stay at your vacation home.
STAND OUT: You will not anger customers by calling them. But you will impress them. And they will appreciate your call. In fact, if you make phone calls everyday you will bowled over with the universal appreciation you receive for providing great Customer Service. That will take you right to the top of the class. If you simply call people on the phone you are doing what 19 out of 20 homeowners and property management firms FAIL to do.
ITS YOUR JOB: If you enjoy renting out your home or run a property management business then I ask you to admit that doing the telephoning is your job. No one else is going to do it for you. And the sooner you get it done the sooner you can go back to the bookkeeping, administration or other tasks that are also important. Plus all of that is a whole lot more fun if your home is fully booked and making you money.
Please see the website section for other ideas:
- Tips of the Week
FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
If you want to see the Leaves change color in Maine this autumn call Harp-Hawkins Vacation Rental Homes. They offer six unique seasonal vacation rental homes nestled along the shore of Frenchman's Bay on Mount Desert Island, Maine. Just minutes away from Acadia National Park. See www.Harp-Hawkins.com.
*** If you want your place added to the list of weekly contenders just drop me an email.
===========================================
VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)
===========================================
Monday, September 08, 2003
VROA COMPLIMENTARY NEWSLETTER - September 8, 2003
SUBJECT: Building rents is as easy as answering the phone
Would you like your revenue to go up 10 to 50% overnight? And do that with no increase in costs? No - this is not an ad for some get rich quick scheme. But let me tell you about an informal survey we just completed and how the results reveal exactly how you can bank rental increases like the one I'm promising.
============================================
This week's Sponsor: VACATION RENTALS WORLDWIDE
For VROA members - Free Vacation Rental Listing or 6 months - No Strings Attached. Including up to 3 photos on fast and efficient site. www.VRworldwide.com
============================================
THE SETUP:
Two weeks ago, as a test, I submitted inquiries to 60 vacation rental home owners and about 10 property management firms. Some of these I found on vacation rental "Listing" websites. Others I located their individual websites through Search Engines. To justify my intrusion these inquiries were to certain destination area that my family and I hope to visit next summer. I was not very familiar with the area and didn't bring any knowledge or prejudices to the area, neighborhoods or properties so this was a legitimate inquiry. I used an alias so as not to draw attention but gave accurate address, phone and email data. I gave them specific dates I needed next summer, asked them to mail me a brochure or other printed information and asked they send me the Owner's contact information. Oh, and by the way, none of the owners were VROA members.
The owners with individual websites were the easiest to select because I could see the property, terms and details of the exact unit I wanted to rent. Some of the sites were very well done and others were amateurish. Strangely, the property management firms' websites were, in general, not as polished as the individual homeowner sites and provided less specifics. For example, most didn't provide maps showing where the destination area was in the state or where their properties were. They usually included a few grainy photos, seldom a long detailed list of amenities, almost never a copy of their "Terms and Conditions", sometimes prices but only very generally in a range. In short, it would be impossible to make a buying decision based solely on the property manager websites.
The Owner websites were, as a group, better. I didn't find any that would win a VROA "Bob" award (Best of the Best - see VROA.org for details) but I was enthused by those that had quality photos, shots that gave many perspectives of the home, provided specific rental information. Even if the design was boring, good information could still allow me to determine if the home met my criteria.
As should be expected, the Vacation Rental Listing Websites (I visited 10 of them randomly) were much more intuitive to use than the property manager sites. But some of those were even lacking. In displaying a list of homes in the indicated area I was disappointed in those sites that still do not provide a "front" shot of the house. Every real estate agent knows that "Curb Appeal" is just about the most important factor in drawing a prospective buyer into a home. No one buys a home without going inside it so getting them in is crucial. Without front shots it took extra time to open each listing that fit my criteria (2 Bedrooms) only to find that 3 out of 4 were clearly not of interest. I was also surprised to see that there are still home owners who submit their homes to Listing Sites but don't use all the features of those sites often failing to post enough photos or providing only 1 or 2 sentence descriptions when long and vivid descriptions are what buyers need to make informed decisions.
------------------------------------------------------------
To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please visit and join www.VROA.org.
------------------------------------------------------------
WEB DESIGN:
Today's newsletter is not going to focus on website design. We'll leave that for a future issue. But let me remind you that your website (or your listing on a Vacation Rental Website) should contain as much information as you can think to provide. Use high-resolution photos shot on sunny days in various seasons. Always post a floor plan. Describe everything in the house - everything. How big are the rooms, what is the view (don't exaggerate), is it really fully furnished? (How many place settings does it have?). And make sure it has multiple ways to contact you.
I like the "get info" forms many Vacation Rental Websites provide but am annoyed that they usually then "Hide" your other contact methods from the Guests. If you want your inquiries to go up ask your website to make your FULL NAME, address, phone, fax and email prominent on your page. If they won't do it then put that information in the description section. Some sites will ask you to stop doing it and you can't blame them. They want to force inquiries through the "inquiry form" so that they can prove the great response they are getting you. But let me use a proven sales and marketing adage to prove them wrong - anything that gets between you and your customer DECREASES your chance of getting the order.
THE RESPONSES:
Now that I've railed about some of the things that were frustrating in locating and evaluating the homes online let me tell you the startling results so far. In about two weeks. And as a reminder I asked for specific dates, a brochure by mail and provided them all my contact data. Here are the dismal results.
- I received auto-responder emails from most of the inquiries sent through Vacation Rental websites
- NONE of those responses gave me any new information not already on the website.
- Only a few provided more contact information and only ONE gave me all the contact information I requested.
- I received eight emails personalized in some ways. NONE were from property management firms.
- Of the responses four said they had my dates available.
- None offered any other details about their home or the destination area.
- ONLY one person telephoned and left a voice mail.
- NO ONE called twice.
- NO ONE mailed me the info I requested.
THE RESULTS:
Do you find these results appalling? I do. Often, I hear homeowners complain that they've listed on several Listing Sites but they don't get enough response or enough bookings. The VROA.org website has a list of all known industry Suppliers including Listing websites. We ask owners to logon and write reviews of those sites so other owners will know how effective each one is. But in the long run, my recent survey of homes for rent implies that the problems are not with the websites. "We have seen the enemy and he is us." Owners and managers need to rethink how they respond to inquiries and how committed they are in maximizing occupancy.
In my other life I have spent years helping businesses with, among other things, their advertising and marketing. While these are bigger enterprises, I see some otherwise good sales people make the same mistakes repeatedly. If it makes the offending vacation rental owners feel any better let me tell you that even some sophisticated firms do no better. So - to help homeowners and managers rent more days I'd like to give you a short list of things you can do to make your revenue go up immediately. They are free and they are easy.
CONTACT DATA: Include all your contact data on your website. Personal name (full name), company name (if any), address, telephone, fax, toll free number, email and (yes) the website address again. Include the address of the home as well. Hey maybe they'll drive by or find it on Mapquest. Preferably this information should be on your home page and probably on every page of your website. This same information should be conspicuously posted on all your sales materials too.
CREATE MATERIALS: Create written documents that completely describe your property and your terms and conditions. Include photos, floor plans, list of amenities and so forth. While a professional brochure is great it is not essential. The information can be a simple typed document. But include everything - the good and the bad. If you don't allow pets, smoking or parties say so up front. It avoids problems later AND is a selling point for guests who don't want those things. You can never include too much information. It's impossible.
ANSWER INQUIRES: Is this brain surgery? Answer every phone call and email, duh. Especially if the inquiry is specific. Probably a canned response is OK for visitors who say, "I may want to go to Hawaii someday." But if they ask about dates, number of bedrooms, type of dinnerware or any other picky questions it means they are trying to buy a vacation from someone. How about you?
TELEPHONE: No matter how the inquiry comes in ALWAYS try to phone the person. If they ask only to be contacted by email you should honor that. But if they email, or fill out an online form and include their phone number it means they are willing to be called. So call them. Make friends. Invite them to be your guests. You don't have to be a "closer" or arm twister. Simply call them back and use the most persuasive words in the sales lexicon, "May I help you?" You'll be surprised as how easy it is.
KEEP RECORDS: The great majority of Guests do not rent after a single email or phone call. They have a general interest, they look around over time, they talk with people, they get side tracked considering other locations and then, maybe they decide to go to your area. It might be a day or a week, a month or years. Wise sales people keep a long list of everyone who has ever inquired. These are your leads and they are money in the bank.
COMMUNICATE: To convert those lists of inquiries into money all you have to do is communicate with them. From our unscientific observation we think the average booking is preceded by an average of 5 contacts. And of course, there are a great many contacts who never book. Until about six years ago the only ways to communicate regularly with prospective guests was to mail or phone them. But that is too expensive. Today, you simply must keep all your contacts in some kind of "contact Management' system and then you must send them a reminder every now and then. Surprisingly our "remove" rate is less than 1/10th of one percent. It's because if they inquired it means they are interested in your area. Not only do they not mind receiving reminders, but I believe they actually enjoy getting a note from their friend in Vail or Hawaii or Cancun or Italy.
FOLLOW UP: I've saved the most important recommendation for last. Call them back. Simple. CALL THEM BACK. Don't give up. My father used to say, "All things being equal, people buy from people they know." And then he added, "All things being not equal, they still buy from people they know." The only way they can get to know you is for you to call them.
If they don't know you they can't possibly buy from you. If they can't find you they can't buy from you. If you make it hard to buy they won't buy from you. So - if you want your rentals to go up 10 to 50% all you have to do is answer all inquiries, give them multiple ways to respond, call them on the phone and follow up. Do this again and again until your unit is full.
Please see the website sections:
- Suppliers List
- Group Discounts and Offers
P.S. We just added great new section called "Industry News" to the VROA.org members only website that we update daily with stories from all over concerning vacation rentals, legal regulations and so forth. Be sure to take a look.
FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
Now this is a real getaway. The "Yukon Mountain Retreat" just outside Whitehorse, Yukon Territory Canada. Jesse Duke & Karen Pelletier are your hosts and they'd love to show you some Canadian hospitality. www.YukonRetreat.com.
If you want your place added to the list of weekly contenders just drop me an email.
===========================================
VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)===========================================
SUBJECT: Building rents is as easy as answering the phone
Would you like your revenue to go up 10 to 50% overnight? And do that with no increase in costs? No - this is not an ad for some get rich quick scheme. But let me tell you about an informal survey we just completed and how the results reveal exactly how you can bank rental increases like the one I'm promising.
============================================
This week's Sponsor: VACATION RENTALS WORLDWIDE
For VROA members - Free Vacation Rental Listing or 6 months - No Strings Attached. Including up to 3 photos on fast and efficient site. www.VRworldwide.com
============================================
THE SETUP:
Two weeks ago, as a test, I submitted inquiries to 60 vacation rental home owners and about 10 property management firms. Some of these I found on vacation rental "Listing" websites. Others I located their individual websites through Search Engines. To justify my intrusion these inquiries were to certain destination area that my family and I hope to visit next summer. I was not very familiar with the area and didn't bring any knowledge or prejudices to the area, neighborhoods or properties so this was a legitimate inquiry. I used an alias so as not to draw attention but gave accurate address, phone and email data. I gave them specific dates I needed next summer, asked them to mail me a brochure or other printed information and asked they send me the Owner's contact information. Oh, and by the way, none of the owners were VROA members.
The owners with individual websites were the easiest to select because I could see the property, terms and details of the exact unit I wanted to rent. Some of the sites were very well done and others were amateurish. Strangely, the property management firms' websites were, in general, not as polished as the individual homeowner sites and provided less specifics. For example, most didn't provide maps showing where the destination area was in the state or where their properties were. They usually included a few grainy photos, seldom a long detailed list of amenities, almost never a copy of their "Terms and Conditions", sometimes prices but only very generally in a range. In short, it would be impossible to make a buying decision based solely on the property manager websites.
The Owner websites were, as a group, better. I didn't find any that would win a VROA "Bob" award (Best of the Best - see VROA.org for details) but I was enthused by those that had quality photos, shots that gave many perspectives of the home, provided specific rental information. Even if the design was boring, good information could still allow me to determine if the home met my criteria.
As should be expected, the Vacation Rental Listing Websites (I visited 10 of them randomly) were much more intuitive to use than the property manager sites. But some of those were even lacking. In displaying a list of homes in the indicated area I was disappointed in those sites that still do not provide a "front" shot of the house. Every real estate agent knows that "Curb Appeal" is just about the most important factor in drawing a prospective buyer into a home. No one buys a home without going inside it so getting them in is crucial. Without front shots it took extra time to open each listing that fit my criteria (2 Bedrooms) only to find that 3 out of 4 were clearly not of interest. I was also surprised to see that there are still home owners who submit their homes to Listing Sites but don't use all the features of those sites often failing to post enough photos or providing only 1 or 2 sentence descriptions when long and vivid descriptions are what buyers need to make informed decisions.
------------------------------------------------------------
To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please visit and join www.VROA.org.
------------------------------------------------------------
WEB DESIGN:
Today's newsletter is not going to focus on website design. We'll leave that for a future issue. But let me remind you that your website (or your listing on a Vacation Rental Website) should contain as much information as you can think to provide. Use high-resolution photos shot on sunny days in various seasons. Always post a floor plan. Describe everything in the house - everything. How big are the rooms, what is the view (don't exaggerate), is it really fully furnished? (How many place settings does it have?). And make sure it has multiple ways to contact you.
I like the "get info" forms many Vacation Rental Websites provide but am annoyed that they usually then "Hide" your other contact methods from the Guests. If you want your inquiries to go up ask your website to make your FULL NAME, address, phone, fax and email prominent on your page. If they won't do it then put that information in the description section. Some sites will ask you to stop doing it and you can't blame them. They want to force inquiries through the "inquiry form" so that they can prove the great response they are getting you. But let me use a proven sales and marketing adage to prove them wrong - anything that gets between you and your customer DECREASES your chance of getting the order.
THE RESPONSES:
Now that I've railed about some of the things that were frustrating in locating and evaluating the homes online let me tell you the startling results so far. In about two weeks. And as a reminder I asked for specific dates, a brochure by mail and provided them all my contact data. Here are the dismal results.
- I received auto-responder emails from most of the inquiries sent through Vacation Rental websites
- NONE of those responses gave me any new information not already on the website.
- Only a few provided more contact information and only ONE gave me all the contact information I requested.
- I received eight emails personalized in some ways. NONE were from property management firms.
- Of the responses four said they had my dates available.
- None offered any other details about their home or the destination area.
- ONLY one person telephoned and left a voice mail.
- NO ONE called twice.
- NO ONE mailed me the info I requested.
THE RESULTS:
Do you find these results appalling? I do. Often, I hear homeowners complain that they've listed on several Listing Sites but they don't get enough response or enough bookings. The VROA.org website has a list of all known industry Suppliers including Listing websites. We ask owners to logon and write reviews of those sites so other owners will know how effective each one is. But in the long run, my recent survey of homes for rent implies that the problems are not with the websites. "We have seen the enemy and he is us." Owners and managers need to rethink how they respond to inquiries and how committed they are in maximizing occupancy.
In my other life I have spent years helping businesses with, among other things, their advertising and marketing. While these are bigger enterprises, I see some otherwise good sales people make the same mistakes repeatedly. If it makes the offending vacation rental owners feel any better let me tell you that even some sophisticated firms do no better. So - to help homeowners and managers rent more days I'd like to give you a short list of things you can do to make your revenue go up immediately. They are free and they are easy.
CONTACT DATA: Include all your contact data on your website. Personal name (full name), company name (if any), address, telephone, fax, toll free number, email and (yes) the website address again. Include the address of the home as well. Hey maybe they'll drive by or find it on Mapquest. Preferably this information should be on your home page and probably on every page of your website. This same information should be conspicuously posted on all your sales materials too.
CREATE MATERIALS: Create written documents that completely describe your property and your terms and conditions. Include photos, floor plans, list of amenities and so forth. While a professional brochure is great it is not essential. The information can be a simple typed document. But include everything - the good and the bad. If you don't allow pets, smoking or parties say so up front. It avoids problems later AND is a selling point for guests who don't want those things. You can never include too much information. It's impossible.
ANSWER INQUIRES: Is this brain surgery? Answer every phone call and email, duh. Especially if the inquiry is specific. Probably a canned response is OK for visitors who say, "I may want to go to Hawaii someday." But if they ask about dates, number of bedrooms, type of dinnerware or any other picky questions it means they are trying to buy a vacation from someone. How about you?
TELEPHONE: No matter how the inquiry comes in ALWAYS try to phone the person. If they ask only to be contacted by email you should honor that. But if they email, or fill out an online form and include their phone number it means they are willing to be called. So call them. Make friends. Invite them to be your guests. You don't have to be a "closer" or arm twister. Simply call them back and use the most persuasive words in the sales lexicon, "May I help you?" You'll be surprised as how easy it is.
KEEP RECORDS: The great majority of Guests do not rent after a single email or phone call. They have a general interest, they look around over time, they talk with people, they get side tracked considering other locations and then, maybe they decide to go to your area. It might be a day or a week, a month or years. Wise sales people keep a long list of everyone who has ever inquired. These are your leads and they are money in the bank.
COMMUNICATE: To convert those lists of inquiries into money all you have to do is communicate with them. From our unscientific observation we think the average booking is preceded by an average of 5 contacts. And of course, there are a great many contacts who never book. Until about six years ago the only ways to communicate regularly with prospective guests was to mail or phone them. But that is too expensive. Today, you simply must keep all your contacts in some kind of "contact Management' system and then you must send them a reminder every now and then. Surprisingly our "remove" rate is less than 1/10th of one percent. It's because if they inquired it means they are interested in your area. Not only do they not mind receiving reminders, but I believe they actually enjoy getting a note from their friend in Vail or Hawaii or Cancun or Italy.
FOLLOW UP: I've saved the most important recommendation for last. Call them back. Simple. CALL THEM BACK. Don't give up. My father used to say, "All things being equal, people buy from people they know." And then he added, "All things being not equal, they still buy from people they know." The only way they can get to know you is for you to call them.
If they don't know you they can't possibly buy from you. If they can't find you they can't buy from you. If you make it hard to buy they won't buy from you. So - if you want your rentals to go up 10 to 50% all you have to do is answer all inquiries, give them multiple ways to respond, call them on the phone and follow up. Do this again and again until your unit is full.
Please see the website sections:
- Suppliers List
- Group Discounts and Offers
P.S. We just added great new section called "Industry News" to the VROA.org members only website that we update daily with stories from all over concerning vacation rentals, legal regulations and so forth. Be sure to take a look.
FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
Now this is a real getaway. The "Yukon Mountain Retreat" just outside Whitehorse, Yukon Territory Canada. Jesse Duke & Karen Pelletier are your hosts and they'd love to show you some Canadian hospitality. www.YukonRetreat.com.
If you want your place added to the list of weekly contenders just drop me an email.
===========================================
VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)===========================================
Monday, September 01, 2003
VROA COMPLIMENTARY NEWSLETTER - September 1, 2003
SUBJECT: Beware of jealous neighbors
------------------------------------------------------------
To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please visit and join www.VROA.org.
------------------------------------------------------------
If you own a vacation home and primary residence you are no longer one of the privileged few. Second home ownership is growing by leaps and bounds in most geographic regions. Home values are rising much faster than inflation. Owners and Guests are anxious to escape the city, kick back and relax in the country. But not everyone likes the idea of you having a getaway home. And the opposition may not always come from the opponents you would expect.
I was chagrined to receive the following email from a Vacation Home Owner who had just read about the beautiful new Priest Lake Idaho vacation home in our last newsletter.
"As an environmentalist, I wonder why someone needs to build a house of this proportion in middle of the forest. Frankly, I'm totally turned off by what I read. Where is the owner/builder environmental consciousness? How many trees were cut down to build this home? Eventually there will be no forest left, only a sea of vacation homes." - Melinda
ENVIRONMENTALIST?
It seems Melinda lives in California but owns a rental house in the San Juan Islands of Washington State (Up in our neck of the woods). I took a moment to look at her rental home website and was surprised to find that what she preaches conflicts with what she practices.
For example, she must use a Washington State Ferry to access her island. Everyone knows that large fast boats routinely kill porpoises and dolphins but apparently she is an environmentalist who doesn't care about that. Her site shows a beautiful green lawn - but she doesn't seem concerned that by being so close to the waterfront, she subjects the pristine San Juan Island waters to fertilizer run off and fish poisoning. In fact, her house is located within the setbacks now required for waterfront homes in our state - but, as you might imagine, she probably isn't going to relocate the house, is she. She also boasts a Barbecue but in her home state of California they've threatened to outlaw charcoal barbecues because the fumes cause too much pollution. She says she's an environmentalist but what she really is is selfish.
Are Melissa's thoughts hypocritical? Yes, but they are really nothing new. Selfishness is as old as human kind. Her message is an age old one. She is saying, "Yes I want something (in this case a vacation rental) want I don't want you to have one." She wants to close the door after herself to prohibit others from coming in who might, in some undefined way, diminish what she receives from her place.
Melissa is entitled to her selfish and even hypocritical opinion. But other owners, on the other hand, should recognize this kind of thinking as a wake up call. Even owners of homes in remote and desirable resort locations must be on the look out for those who would steal their rights if they were allowed to proceed unopposed. So who are those people?
NEIGHBORS:
You don't need to run scared from self-righteous neighbors. But it's a good policy to understand that keeping them happy is as important as keep your family and your guests happy. The notion that, "A man's home is his castle" has been seriously eroded over the past decades. And the biggest contributors to that problem have been what we might call "nosey neighbors." Luckily, there are several effective strategies you can use to prepare for possible confrontations:
- You must BECOME FRIENDS with your neighbors. This is harder than it might seem in some vacation communities because owners are not continually present. Residents come and go on different schedules so go out of your way to meet and greet everyone. Offer to keep an eye on their place when they're gone. Invite them to call you immediately if there is anything they want to report about yours. Make sure they have your emergency phone number. Respond quickly.
- Treat neighbors with EXTREME RESPECT. If they have minor concerns try to cater to them. Solve small issues in hopes they will allow you consideration on larger matters. They will find it harder to treat your rudely if you always treat them kindly.
- Require guests to BEHAVE. Nothing makes a neighbor angrier than a guest who acts like he owns the place. Use a strong contract with tenants, screen them carefully, post notices and provide a "Guest Manual" making sure they know all the rules, and then immediately evict Guests who break rules. In many jurisdictions no warning is required. Be harsh on guests because you cannot be indifferent to neighbors.
Following these simple rules will do much to forestall potential conflicts with neighbors whether they involve rentals, property lines or any other matter. If they don't then you may reach a point where you have to decide how important it is for you to prevail in the dispute. When it comes to rentals, of course, you are talking about the potential loss of significant income. I have seen a number of owners voluntarily stop renting when a neighbor had the slightest complaint (often unwarranted). If retreating fits your temperament and your pocketbook than you may want to do the same.
PROPERTY RIGHTS:
On the other hand, if you feel compelled to retain your property rights as well as your income then you may have to resort to dealing with politics or even litigation to do so.
HOME OWNER ASSOCIATIONS: By politics I mean it is essential to attend Home Owner Association Member meetings. Personally I've never longed to be in politics but I try to attend the Board meetings of all groups I am involved with. This includes Home Owner Boards and even organizations such as my son's school board. Unfortunately this is the only way to truly comprehend what actions are being taken and who really runs any organization.
For example, in one association it's the President's husband, a non-practicing attorney whose entire career consists of running some broken down hamburger stands that he inherited. You can probably imagine the pent up frustration used to impose his views on others. He seldom gets his misguided way but he has made life miserable for a number of organizations besides the homeowners.
Most associations are organized under specific homeowner or not-for-profit association statutes that usually mandate all members (owners) can request and be invited to Board meetings. Usually your role will be limited to observation but officials will sometimes include observers in conversations as a matter of courtesy.
LOCAL POLITICS. You should also consider keeping your eye on local and state actions that might curtail your rentals. We'll talk more about homeowner associations and local governments in another newsletter. But suffice it to say, at this time, that rentals are sometimes an issue and you need to be involved BEFORE that happens. So the only way to be careful is to stay in involved and up to date.
LITIGATION: At best going to court is a time consuming and expensive proposition. Its a good idea to locate and have a qualified Real Estate attorney check home owner association covenants and rules, local statutes, and court precedence to determine if you are within your rights to rent your home. This should be done before you buy the home. If you didn't think to do that don't feel alone. Probably because vacation homes are frequently in remote or isolated communities many buyers presume that regulation will be less than in a big city. You might expect folks in remote areas to have a more open-minded and property rights oriented view of things.
But remember there are plenty of Melinda's everywhere. They are selfish, misguided and anxious to give others problems. You can run and hide or you can be prepared to deal with these troublemakers when they slink out of the shadows. Start by heeding the neighbor rules suggested here. In future newsletter I'll provide more thoughts on Associations, politics and litigation.
To read more on these subjects logon to VROA.org and click on
- Books & Tools
- Forms & Contracts
- Industry News
FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
This week, how about checking out my Vacation Rental of the week. Its Villa CastellaMonte - a big and beautiful home in the Dominican Republic that rents for the tidy sum of $11,000 per week. More if you want the personal staff. Read all about it at www.Villa-CastellaMonte.com. If you want your place added to the list of weekly contenders just drop me an email.
===========================================
VROA NEWSLETTER - THIS ISSUE SPONSORED BY:
www.TheVacationExchange.com
Travel, lodging free, by exchanging a stay at your vacation property for a stay at another vacation home. Whether ski, golf, or just relax on the beach, you can choose from over a thousand properties in every major resort area.
===========================================
VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)
===========================================
SUBJECT: Beware of jealous neighbors
------------------------------------------------------------
To receive this newsletter from the Vacation Rental Owners Association every week and to see all of our helpful owner and affiliate services please visit and join www.VROA.org.
------------------------------------------------------------
If you own a vacation home and primary residence you are no longer one of the privileged few. Second home ownership is growing by leaps and bounds in most geographic regions. Home values are rising much faster than inflation. Owners and Guests are anxious to escape the city, kick back and relax in the country. But not everyone likes the idea of you having a getaway home. And the opposition may not always come from the opponents you would expect.
I was chagrined to receive the following email from a Vacation Home Owner who had just read about the beautiful new Priest Lake Idaho vacation home in our last newsletter.
"As an environmentalist, I wonder why someone needs to build a house of this proportion in middle of the forest. Frankly, I'm totally turned off by what I read. Where is the owner/builder environmental consciousness? How many trees were cut down to build this home? Eventually there will be no forest left, only a sea of vacation homes." - Melinda
ENVIRONMENTALIST?
It seems Melinda lives in California but owns a rental house in the San Juan Islands of Washington State (Up in our neck of the woods). I took a moment to look at her rental home website and was surprised to find that what she preaches conflicts with what she practices.
For example, she must use a Washington State Ferry to access her island. Everyone knows that large fast boats routinely kill porpoises and dolphins but apparently she is an environmentalist who doesn't care about that. Her site shows a beautiful green lawn - but she doesn't seem concerned that by being so close to the waterfront, she subjects the pristine San Juan Island waters to fertilizer run off and fish poisoning. In fact, her house is located within the setbacks now required for waterfront homes in our state - but, as you might imagine, she probably isn't going to relocate the house, is she. She also boasts a Barbecue but in her home state of California they've threatened to outlaw charcoal barbecues because the fumes cause too much pollution. She says she's an environmentalist but what she really is is selfish.
Are Melissa's thoughts hypocritical? Yes, but they are really nothing new. Selfishness is as old as human kind. Her message is an age old one. She is saying, "Yes I want something (in this case a vacation rental) want I don't want you to have one." She wants to close the door after herself to prohibit others from coming in who might, in some undefined way, diminish what she receives from her place.
Melissa is entitled to her selfish and even hypocritical opinion. But other owners, on the other hand, should recognize this kind of thinking as a wake up call. Even owners of homes in remote and desirable resort locations must be on the look out for those who would steal their rights if they were allowed to proceed unopposed. So who are those people?
NEIGHBORS:
You don't need to run scared from self-righteous neighbors. But it's a good policy to understand that keeping them happy is as important as keep your family and your guests happy. The notion that, "A man's home is his castle" has been seriously eroded over the past decades. And the biggest contributors to that problem have been what we might call "nosey neighbors." Luckily, there are several effective strategies you can use to prepare for possible confrontations:
- You must BECOME FRIENDS with your neighbors. This is harder than it might seem in some vacation communities because owners are not continually present. Residents come and go on different schedules so go out of your way to meet and greet everyone. Offer to keep an eye on their place when they're gone. Invite them to call you immediately if there is anything they want to report about yours. Make sure they have your emergency phone number. Respond quickly.
- Treat neighbors with EXTREME RESPECT. If they have minor concerns try to cater to them. Solve small issues in hopes they will allow you consideration on larger matters. They will find it harder to treat your rudely if you always treat them kindly.
- Require guests to BEHAVE. Nothing makes a neighbor angrier than a guest who acts like he owns the place. Use a strong contract with tenants, screen them carefully, post notices and provide a "Guest Manual" making sure they know all the rules, and then immediately evict Guests who break rules. In many jurisdictions no warning is required. Be harsh on guests because you cannot be indifferent to neighbors.
Following these simple rules will do much to forestall potential conflicts with neighbors whether they involve rentals, property lines or any other matter. If they don't then you may reach a point where you have to decide how important it is for you to prevail in the dispute. When it comes to rentals, of course, you are talking about the potential loss of significant income. I have seen a number of owners voluntarily stop renting when a neighbor had the slightest complaint (often unwarranted). If retreating fits your temperament and your pocketbook than you may want to do the same.
PROPERTY RIGHTS:
On the other hand, if you feel compelled to retain your property rights as well as your income then you may have to resort to dealing with politics or even litigation to do so.
HOME OWNER ASSOCIATIONS: By politics I mean it is essential to attend Home Owner Association Member meetings. Personally I've never longed to be in politics but I try to attend the Board meetings of all groups I am involved with. This includes Home Owner Boards and even organizations such as my son's school board. Unfortunately this is the only way to truly comprehend what actions are being taken and who really runs any organization.
For example, in one association it's the President's husband, a non-practicing attorney whose entire career consists of running some broken down hamburger stands that he inherited. You can probably imagine the pent up frustration used to impose his views on others. He seldom gets his misguided way but he has made life miserable for a number of organizations besides the homeowners.
Most associations are organized under specific homeowner or not-for-profit association statutes that usually mandate all members (owners) can request and be invited to Board meetings. Usually your role will be limited to observation but officials will sometimes include observers in conversations as a matter of courtesy.
LOCAL POLITICS. You should also consider keeping your eye on local and state actions that might curtail your rentals. We'll talk more about homeowner associations and local governments in another newsletter. But suffice it to say, at this time, that rentals are sometimes an issue and you need to be involved BEFORE that happens. So the only way to be careful is to stay in involved and up to date.
LITIGATION: At best going to court is a time consuming and expensive proposition. Its a good idea to locate and have a qualified Real Estate attorney check home owner association covenants and rules, local statutes, and court precedence to determine if you are within your rights to rent your home. This should be done before you buy the home. If you didn't think to do that don't feel alone. Probably because vacation homes are frequently in remote or isolated communities many buyers presume that regulation will be less than in a big city. You might expect folks in remote areas to have a more open-minded and property rights oriented view of things.
But remember there are plenty of Melinda's everywhere. They are selfish, misguided and anxious to give others problems. You can run and hide or you can be prepared to deal with these troublemakers when they slink out of the shadows. Start by heeding the neighbor rules suggested here. In future newsletter I'll provide more thoughts on Associations, politics and litigation.
To read more on these subjects logon to VROA.org and click on
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FEEDBACK:
As always I seek your feedback. Please share you thoughts, stories, compliments and complaints on this or any other subject by writing me at Director@VROA.org.
HOME OF THE WEEK:
This week, how about checking out my Vacation Rental of the week. Its Villa CastellaMonte - a big and beautiful home in the Dominican Republic that rents for the tidy sum of $11,000 per week. More if you want the personal staff. Read all about it at www.Villa-CastellaMonte.com. If you want your place added to the list of weekly contenders just drop me an email.
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VROA NEWSLETTER - THIS ISSUE SPONSORED BY:
www.TheVacationExchange.com
Travel, lodging free, by exchanging a stay at your vacation property for a stay at another vacation home. Whether ski, golf, or just relax on the beach, you can choose from over a thousand properties in every major resort area.
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VROA OWNER NEWSLETTER
Published weekly for all Members
Copyright - Vacation Rental Owners Association
Read this and all prior newsletters at www.VROA.org
Director & Editor - Wm. May Director@VROA.org
Membership - Penny Taylor Membership@VROA.org
PO Box 21305
Seattle, WA 98111-3305
Voice: 206-343-7777
Fax: 206-628-0839
Email: Info@VROA.org
Web: www.VROA.org (for Members)
Web: www.VROA.com (for Guests - coming soon)
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