The number of nights a property has been booked by guests divided by the total nights the property is available to be rented.
A variable pricing strategy where a host makes frequent adjustments in the price of their property in response to market factors, such as demand or competition.
An electronic payment service for transferring funds by wire between two parties.
A document that introduces guests to a property and provides a personal invitation into their home.
A physical book or binder that hosts create with all important information regarding a property and local attractions.
A website or mobile app that provides guests with information about a property both before and during their stay.
A pricing condition with specific rates for weekend visits, usually higher due to increased demand.
Additional amenities that add value and drive higher rates or occupancy levels to a property. Examples include pools, hot tubs, pool tables, and sofa beds are all value-added items.
An alternative to a hotel, vacation rental refers to a private accommodation rented to travelers for a short-term stay. It usually provides a more “at home” feel as amenities include an entire furnished apartment, house, cottage, cabin, or lodge. Also called “short term rental”.
The Vacation Rental Management Association is an organization that advocates on behalf of the vacation rental industry, including education, information, networking, and research.
The fee charged by vacation rental management companies to the owner of the rental. This is usually a percentage of the total rental revenue.
A potential guest
A transient use is the temporary rental of a residential property, typically for less than a year. The most common types of transient use are vacation rentals and short-term rentals.
An official organization that promotes travelers a city, country, or region. Usually sponsored or funded by local businesses or government and provide information about the area.
When a property is decorated with a specific theme, whether the entire property or a particular room.
Contribution to a property as a direct result of the labor of the owner other than simple funding.
A property that has devices that are connected with each other and can be accessed through one central point, for example, a smartphone, tablet, or laptop.
A digital lock that does not require a key to operate, allowing renters to enter a code or use their smartphones to access a property. Also called an “electronic lock”
A home suited for the occupancy of one family.
When a property has significant differences when compared to the photos or description used in the original listing.
Shoulder season is the travel period between the peak (or high) season and off (or low) season for a particular property.
A property that is rented to guests for a short period of time, usually less than 30 days.
A combination of hotel and apartment where you get the luxury of extra space and comfort of home but the conveniences and services of a hotel room. It’s also called an “apart-hotel”.
The final price offered to a guest, including all fees associated with the booking.
The self check-in is an option offered by some distribution platforms (Airbnb, Vrbo) that allows guests to enter your rental when you arrive without meeting directly with the property manager or owner.
A refundable amount of money that a property owner collects from their guests in addition to the total rental amount at the time of booking. The deposit is to cover any guest damages to the property. The deposit is returned at the completion of a visit if the property in the same condition they found it. Also referred to as a damage or breakage deposit.
Adjusting the rates charged for a vacation rental based on the period of the year.
A process where a property owner or managers evaluate prospective guests before allowing them to book a rental. Also called “guest screening”
Most cities and/or states require hosts who rent out their vacation homes to charge and collect a tax on the income earned. Depending on the distribution channel these might need to be calculated and submitted directly by a host or handled by the platform directly.
Feedback from previous guests about a specific property. Reviews are valued by potential guests for a perspective on a vacation rental and are important to attract new bookings.
Revenue management involves the use of analytics to optimize the financial results of a vacation rental. As each property has a set amount of fixed costs and a perishable inventory (a night without a booking cannot be resold at a later date) a certain number of nights must be sold at an appropriate rate to break cover costs.
Also known as “income” It’s the total amount of money generated by a vacation rental.
Revenue per available room (RevPAR) is a metric used to measure the performance of a vacation rental. It is calculated by multiplying a property’s average daily room rate (ADR) by its occupancy rate.
A performance measure used that compares the net income of a vacation rental to its revenue. It compares the amount of net income generated for each dollar of revenue generated.
A performance measure that evaluates the profitability of an investment. To calculate the ROI of a vacation rental, the profit of the property is divided by the cost of the property.
A notification via email, SMS, or other means to a guest. This usually includes a specific booking reference number, time period, and rate. Additionally can include additional information such as a rental contract and house rules. Also known as a “booking confirmation”
Reserving a vacation rental property for a specific time period for a particular guest. Also known as a “booking”
The process of monitoring how others perceive your business and taking action when necessary to address any negative feedback. The goal is to keep the general consensus is in line with your company goals.
Travelers who return to the same rental property after having stayed there previously.
A binding document between a property owner and guest outlines the specific arrangements made between the two parties.
Local restrictions applicable to short-term rentals which set legal requirements on whether properties can be offered for short-term rental. For example, the total amount of days they rent out each year, minimum rental periods, and licensing requirements. Requirements differ by city or state, search for yours in our short-term rental city directory.
A reservation that qualifies for a refund.
A reservation for a property that was made due to a recommendation from another guest.
Property consisting of land or buildings.
An agreement between a property owner and an online travel agency that provides the same rate for a property on all the distribution channels including the individual property owner’s website.
The published rate for a night’s stay without any discounts or premiums included.
The price for a reservation offered to a potential guest. A quote is offered before a formal reservation or booking.
Specified hours when guests are expected to keep noise to a minimum.
A request for more information from a potential guest asking about a listing or short-term rental property.
A special rate that a guest must meet certain conditions in order to book. Examples include working for a specific corporation, membership club, or promotional package rate with specific booking conditions.