I’d like to thank Jim Anderson and Park City Rental Properties (PCRP) for providing the slides and much of the information used in this blog. Many of my clients use PCRP to manage their Park City vacation rentals and the feedback has been very positive.
I help my clients purchase the property that will best suit their needs. But I am not an expert in the rental market. I rely on the expertise of rental projections from PCRP and others to help my clients make good decisions when purchasing a rental property.
Usually there is a balance between potential rental income and the physical condition of the property. For example, you can buy a brand new townhome in Black Rock Ridge, which is outside of Park City limits. However, the rental income will not be as strong as an older condominium for the same price near the ski slopes. Which is more important? Location and income or owning a large, brand new property? I provide the information and let my clients make the decisions.
New Trends in the Park City Vacation Rental Market
As I write this blog in the middle of August, 2020, there are new trends in the Park City vacation rental market. We are seeing people visit Park City who are not on vacation, but working from home with an internet connection. Their kids are doing online schooling. They are enjoying Park City’s trails, open restaurants and other amenities instead of being trapped in a city. These visitors are renting larger properties and staying longer (28% longer, according to PCRP). Many are driving to Park City from California, Arizona, Nevada, Texas, and even further away. I’ve recently seen license plates from New York and Virginia.
What Amenities are Important to Renters?
See the graph below. People staying for longer periods of time are bringing their pets and very few properties allow pets. If you own a 4 or 5 bedroom property, you are competing with fewer other vacation rental properties. Owning a property with air conditioning is also an important amenity for summer rentals. Other valuable amenities are a community pool in the summer and a hot tub and fireplace in the winter. PRCP has also seen an increased demand in visitors requesting a home office. At a minimum, the vacation rental should have good internet. Make it easy for visitors to work from your vacation rental!
What Qualities do Visitors Want in a Rental Property?
They want a newer look that has been updated within the last 5-10 years. Homes with lots of log furniture are a challenge to rent (and sell). In order to maximize income, your rental should be the “best in its class”. That means thoughtful touches like a fully stocked kitchen with items visitors are used to using at home, like an Instapot, rice cooker and crockpot. PRCP also recommends its owners maximize bed configuration (heads in beds), have at least one king sized bed, and install flat screen TVs in every room.
Some of the Park City properties they singled out as good income generators are Bear Hollow Village near Kimball Junction, Blackstone and Red Pine at Canyons Village, and Silver Star at Park City. Outside of Park City towards the Jordanelle Reservoir, they are finding 4 and 5 bedroom homes are renting better than those with 3 bedrooms.
For answers to specific questions, feel free to reach out to Jim Anderson at email@example.com.