Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Short-Term & Vacation Rental Discussions
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 8 years ago,

User Stats

33
Posts
12
Votes
Matt Donley
  • Bristol, RI
12
Votes |
33
Posts

Interesting observation with VRBO average rate and bookings

Matt Donley
  • Bristol, RI
Posted

I've been doing some research on a condo community near Disney to assess whether it would make a good investment property, so I've been compiling data on the type of condo I'd like to buy and recording their average daily rate and how many days over the next few months they are booked. I applied a conditional formatting in excel to create a heat map, sorted by average price of unit:

So the interesting thing I discovered is that there is a clear trend. The units that are priced higher have significantly more bookings 5 months into the future than the lower priced units. So not only are they earning more money per night, but they are clearly achieving a much higher occupancy rate as well. On the extreme ends of the spectrum the higher priced condo earns 300% of the low end unit. 

Now, obviously, the higher rate is generally associate with a newer remodeled unit which is professionally furnished and decorated, so what I'm trying to determine is the sweet spot for how often I should remodel in order to justify the high end price. I'm trying to run the numbers at refurnishing every 3 years and it seems to work out. Is this a common interval for remodeling a short term rental in the Orlando/Disney area?

Loading replies...