Investing in a short term rental was the best decision we’ve ever made – David R. Start Now
Homeowners & Investors
We tailor our partnerships based on your specific needs and property, which means each partnership is unique and deserves a unique agreement. Once your property is active on the booking platform, all checkouts are paid via direct deposit or e-transfer on the preceding month based on the partnership structure agreed upon.
Owners can expect a small onboarding fee to cover initial digital set up and professional photography. Recurring expenses that are the owner’s responsibilities are: any home bills, insurance, internet, consumables guests use like paper products, toiletries and cooking essentials and all repair and maintenance expenses to keep the property in excellent condition. These vary from month to month, but are usually a small amount each month. If any damages are at fault of the guest, we will ensure these are reimbursed through the proper insurance channels and invoiced back to them.
There are many variables that come into play. Size of property, current interiors, if the property already has any usable furniture, or needs to start from the beginning, these are only some of the factors we consider. In general, you can expect anywhere from $10,000-20,000 on most 3+ bed homes. On average this comes out to $5-$10/sqft. The most important investment is in the bed linens and mattress quality. We help coordinate the interior design and furnishing of the property and have it set up to launch in as little as 2-3 weeks because we know where to look, what to buy and what works for a short term rental property.
Most of our contracts start at 6-12 months, but we recommend all of our clients try us out for a minimum of 3 months. It takes time to prepare a listing and is a big initial investment from us and a homeowner and we want to ensure we can provide a fair chance for your listing to do well on the market. We do not believe in locking our clients into long-term contracts from the beginning, as we understand circumstances can change for each and every person.
While we do encourage our clients to have a long-term outlook for their real estate investment, we do provide flexibility in our agreements. Generally after an initial contract, we can re-evaluate and discuss further how to move forward.
The cleaning fee is charged to the guest. We collect the fee to pay our staff and our professional housekeeping team cleans the units to ensure each unit is cleaned to the highest of standards.
Contigo Properties manages all the major headaches of short term hosting:
Simply put, we strive to stand out from the average competition and our listings and reviews speak for themselves. We do not take shortcuts and only take on select properties with great homeowners who understand the risks/rewards of the Short Term Rental industry.
Yes, each city has their own regulations for short term rentals and anyone operating a short term rental must apply for a business license. We help you obtain a license and also maintain the license year round on your behalf.
As long as the property has the right zoning and is legally able to operate, we can help set the property up for success. We only take on select properties we feel fit our portfolio to maintain our high standards for our guests.
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Yes. Although we have our own coverage for any damages and issues, we do not have ownership in your home. Homeowners are recommended to add short term rental specific insurance to their policy for extra coverage. We have several contacts to assist with providing this coverage if your carrier does not cover short term rentals. Please contact us for more information regarding this matter.
Of course! It is your home after all. We require several weeks notice in case there are advance bookings. All current bookings must be honored, but we will always honor the owner’s request if the unit is available.
Our objective is to make everything as simple and passive as possible for all of our partners, this includes taxes as well. Contigo Properties will collect and remit the appropriate sales taxes and tourism levies on your behalf. That being said, we highly recommend enlisting the help of a tax professional before collecting your first rental revenue from your short term rental to understand your tax obligations. Since you are receiving income from your property as a homeowner, you will still have the responsibility of filing this income on your own personal tax returns. Your tax professional can help you calculate what you need to submit for GST. Everything else we take care of for you.
We get to know our guests with several points of communication before they book, and we keep consistent communication with them during their stay. We first engage with the guest to discover their intentions for visiting, number of guests, etc… There are signs from their communication that help us decide whether or not to proceed with the inquiry. Before any guest books with us, they must provide Government issued ID, read our house rules and consequences for breaking them. We also take security deposits and have them sign a Rental Agreement.
With years of experience and over 5000 guests hosted, we understand that guests behave differently when they know they may not receive their deposits back for any damages they cause. Although rare, if an unworthy guest does obtain accommodation, we act quickly to evict them through our use of exterior security cameras, noise monitors, and 24/7 on call security team. If we wouldn’t rent our own properties to a particular group, we certainly wouldn’t be renting yours to them either.
Without a doubt, short-term rentals are better maintained. First, there is a substantial difference in how long-term tenants treat the properties. Most guests aren’t living in the properties but rather enjoying the area and just using the home for rest and relaxation leaving behind very little wear and tear. Secondly, our team is in your property often cleaning, maintaining and protecting your investment. Long-term rentals come with more risk and you stand to earn more annually on a furnished rental sold by the night opposed to a yearly tenant. If you would prefer to receive a steady, predictable income each month, similar to what you receive from a long-term tenant then ask us about our fixed income model agreement.
While we typically average between 80-90% occupancy year round regardless of seasonality, as with any investment, past performance is no indication of future results. If you decide to go with our Partnership model, during our initial onboarding we get very clear on exactly how much income needs to be produced in order to cover your costs on a monthly basis as our baseline target. Of course, it is always our intention to outperform this benchmark. Although we can’t guarantee performance, many of our partners have typically produced anywhere from 25–100%+ more monthly income than they would have by renting their properties as a long-term rental.
If we didn’t answer your question, please don’t hesitate to ask. Please use our Contact Us page to submit your question. Someone will get back to you as soon as possible.
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