The vacation rental business is growing. Each year more people prefer to stay in a house or condo than in a hotel.

Turning your property into a vacation rental can be an excellent investment, especially in a tourist destination as important as Tulum in the Riviera Maya, which receives more than one million visitors per year.

Are vacation rentals profitable?

Vacation rentals are a great way to earn passive income. The main factor of its profitability is the location since the demand and rate you can charge per night depend on this. The more attractive the area, the more demand it will have and the higher the income.

In the case of Tulum, we are talking that it has become one of Riviera Maya’s tourist hotspots, so every month there’s a huge flow of visitors looking for a place to stay while they are at the destination.

How to manage a vacation rental if you don’t live near the property?

If you have already decided to invest in a property to convert it into a vacation rental, this question is probably haunting your head.

Don’t worry. Many homeowners don’t live near their vacation rental properties, but this is no problem. There are many property management companies that take care of all the work that requires human presence: cleaning, maintenance, arrival and departure processes, etc.

Also, you can take advantage of technology. For example, automate the check-in and check-out process with electronic locks that work with codes and can be configured remotely.

How to start your vacation rental business?

The first thing is to have a property that can generate income. As we have mentioned, location is a crucial factor in this business. Houses or condos with immediate access to the destination’s attractions such as the city center, the beach, natural beauties, etc., are the best option for an investment property.

In addition to the location, make sure of the following. Make Your Property Look Amazing: Decorate and furnish your house to make it a nice, guest-friendly space. If they feel comfortable, they will most likely want to return another time or recommend your property to friends and family who are visiting Tulum. There’s no better advertising than “word of mouth”.

Offer amenities and services: Such as good quality Wi-Fi, a Smart TV, a hairdryer and even a washing machine in case guests want to wash their clothes. People want to make the most of their vacations; the more amenities and services you offer them, the happier they will be.

Make your house stand out on the listings: Invest in professional photography to make your house photos look amazing. Also, take the time to write a clear description in which you highlight the main attributes and advantages of staying at your property, mentioning the distance to the main attractions of Tulum and the area in which your house is located.

Decide the right rate: Make sure that the rates you set cover the expenses you must incur (such as cleaning and maintenance) but that they are competitive with the rest of Tulum’s vacation rental market. You should do your research to ensure your property is priced appropriately for its location, size, amenities, and services.

Put out your property on the vacation rental market: Publish your house or condo on different platforms like Airbnb, Booking and Vrbo.

By spending a little time and effort, you can have a successful vacation rental business. If you don’t have the time, remember that hiring a property manager can be a great option, as this person will take care of everything, and you get to enjoy the income from the business.

Looking for an investment property in Tulum?

Without a doubt, Tulum is one of the best places to make real estate investments in Mexico. Its magnificent location in the heart of the Riviera Maya has made it a destination with high economic development that benefits the real estate market and the vacation rental business.

If you want to buy in Tulum, come to us. At Riviera Tulum, we offer built houses and residential and commercial lots in a private development with 24/7 security, excellent amenities, and a few minutes from the beach.

Get in touch with us! Our advisors will be happy to guide you, answer all your questions and help you find the ideal property or land for your vacation rental business.