The beginning stages of the real estate investment process can always be difficult, but the Branson nightly rental market can be extra overwhelming. In recent years, the nightly rental market has exploded in this area and proven profitable to many investors, leading to the creation of many developments specifically designed for the nightly rental business. Frankly, sifting through the selling points and drawbacks of each of these developments can be confusing and even intimidating. Here are a few questions to simplify your discernment process and get you thinking critically about what you want in a nightly rental property:
1. Where would I want to stay? If you’re having trouble narrowing down your options, you can always begin by asking this simple question. We believe that you will find maximum success in this business if you can provide good reasons for why someone would want to stay in your nightly rental property. In other words, you should invest in a vacation rental for the same reason that someone would choose to stay in your vacation rental. If you can clearly articulate the features you’d want in a property, you’re well on your way to knowing which to prioritize. Also, remember: one benefit of owning a nightly vacation rental is that your investment property can also be a place for you to kick your feet up and relax! Therefore, it only makes sense to invest in a property that you’d enjoy staying in!
2. Who is my market? While the above question is perfect for getting you thinking about the different features that nightly rental properties can offer, you don’t want to assume that your preferences reflect those of the average Branson tourist. Conducting in-depth market analysis is a great next step, and one that will give your intuitive thought process some statistical teeth. While we know it may sound boring or, at worst, grueling, it’s important to do your due diligence and research Branson tourism demographics. Based on your findings, you can decide who you want to market to. Are you going to cater to elderly tourists or young families? With this in mind, should you prioritize lake views or proximity to Silver Dollar City? How will this affect your decorating or property descriptions? The truth is, Branson attracts visitors from many different and overlapping demographics, but having a target audience will help you narrow down the properties you are interested in and be more intentional about the process as a whole.
3. What am I willing and able to pay? Not to make this all about money, but, at the end of the day, you’re going to have to purchase a nightly rental property within your budget. Not only is it important that you are able to afford your nightly rental property up front, but you also need to be prepared to cover all the costs associated with your property going forward. Between your mortgage, maintenance costs, and property management bills, the costs can stack up, so you need to be intentional about buying with your ongoing financial situation in mind.
We understand that purchasing a nightly rental can be a daunting task! However, if you spend time reflecting on these questions, we believe you will have a great jump on identifying a profitable property. Our team is prepared to help you during each stage of the process, from conducting market research to touring nightly rental properties. When you are in need of assistance, we will be ready to work with you!