Owning a residential home (even if it’s a rental home) and owning a corporate rental are two completely different things. This is something that you need to be aware of before buying the real estate. However, is it possible for one to transition between one and the other at a later point? Of course, it is, especially with the help of a trend known as corporate housing. With that in mind and without further ado, here are several tips that can help you turn your home into a corporate rental.
1. The Concept of Corporate Housing
The first thing you need to understand here is the concept of corporate housing. This is a fully furnished home that can be rented out on a temporary basis, mostly to people in the travel industry. What this home needs to consist of is the furniture, full kitchen, private bath, housewares, linens, utilities, and electronics. In other words, all the inventory that your home already possesses. However, this is not a regular rental home, which is why the equipment needs to be up to the industry standards. Also, keep in mind that the lease term on these buildings is about 30 days or more, making it frugal for the company that’s renting it out.
2. What Do the Numbers Say?
Corporate housing is mostly for people who want to spend their time away in a luxury setting without having to pay for 20 days of a luxury hotel. When it comes to the standpoint of the landlord, the main reason why so many people are interested in the concept of corporate rental is due to the fact that it provides one with the ability to make 8 to 10 times more rent money. The biggest challenge, however, lies in providing consistency of tenants, due to the fact that they tend to leave in 20 to 30 days (on average). For this reason, you need to invest some effort into researching your target demographic.
3. Who Should You Target?
The first important thing for you to keep in mind is the fact that corporate rental appeals to both white- and blue-collar workers. The most common demographic groups are business travelers, extended-stay visitors, displaced homeowners, vacationers, short-term job assignment employees, military personnel, and others. Other than this, there are a lot of people who have to travel for their jobs like attorneys, oil company employees, sales representatives, and traveling nurses. As you can see, this is a form of accommodation primarily meant for traveling professionals.
4. Productivity-Oriented Design
One of the most important things you need to keep in mind when providing a corporate rental is the fact that some of the above-listed people might work from home. This is why it’s a smart move to outfit an efficient home office on-premises in order to allow your visitors to enjoy the productivity-oriented design of the place. The most efficient way to handle this delicate task is to reach out to professionals specializing in workplace design and build and seek their counsel. This way, outside of all the commodities of outstanding accommodation, your guests also get an extraordinary work area to brag with.
5. Making It Feel Like Home
The next thing you should take into consideration is the issue that there’s a reason why people prefer corporate housing to other lodging options for the same purpose. The first thing to mention is a sense of safety and privacy. This is why the place needs to be secure and have that warm and cozy sense of a family home. When a person is away on a business trip, this is usually when the nostalgia kicks in the strongest. This way, they’ll be able to efficiently fight this concept and achieve some outstanding results while doing so.
As you can see, this is your opportunity to rent out the house that you own like a corporate rental property, without having to invest too much in the remodeling of the place. Still, keep in mind that these professionals may look for more than just an ordinary rental home and in order to survive in this industry, you must always look for a way to accommodate them.
This article has been contributed by Stella Ryne.