Since the introduction of the 90-day rule, a London regulation that places a 90-day limit on the number of days a host can let out their property on Airbnb, many landlords have experienced a financial crunch. Because London landlords can no longer let their properties year-round on Airbnb, many have seen a significant decrease in their income.
Looking for a solution to their cash flow problem, many landlords have turned to professional property management companies to maximise the return on their property investments.
Well-established property management companies that offer a comprehensive service should be able to offer a combination of types of bookings throughout the year to aid landlords affected by the 90-day rule.
To maximise landlord income during the 90 days of Airbnb letting, a property management company should be able to schedule short lets during the best times of the year. This would typically take place during high season, between May and September, when maximum occupancy is customarily more attainable. During the high season, landlords can typically earn more per night than in quieter times of the year.
To forego the gamble of applying with the local council for the ability to short let more than 90-days, landlords should find a property management company that can ensure the occupancy of their investment properties year-round.
UK Airbnb management company, Pass the Keys, is doing just this – with their innovative tech platform and industry expertise, they are at the forefront of finding the perfect cash flow solution.
To offer landlords a fully managed solution to their cash flow problems, Pass the Keys offers medium-lets (3-6 months) and long-lets (6 months or more) in combination with short-lets. “We’re offering this to hosts who look for a one-stop-shop solution to maximise their occupancy or are restricted by the 90-day rule in London,” says Zoe Vu, Co-founder of Pass the Keys. She continues, “In the past, you’d need to employ a high street letting agent to successfully market and let your property. If you were to also benefit from short let, you would need to do it yourself or work with an Airbnb Management company such as Pass the Keys.”
With Pass the Keys offering both short-let and medium / long-let, landlords now have a single provider maximising their rental yield. Pass the Keys CEO Alexander Lyakhotskiy comments on the recently added product line; “This is a natural extension of our product portfolio at Pass the Keys, designed to improve the all-round lettings process and to offer landlords a hassle-free experience at attractive yields.” Zoe Vu adds; “Our service has been designed with landlords in mind from the very beginning, with the aim to make the lettings process as straightforward and efficient as possible. Our job, to put it simply, is to find you the best tenants for your property in the quickest time possible. All our properties are listed on the major UK property portals, such as Rightmove, Zoopla and Primelocation. As a result, we can guarantee that your home will be seen by thousands of prospective tenants.”
Pass the Keys’ mixed let strategy not only allows landlords to fill their property year-round while abiding by the 90-day rule,maximising their income, but it also solves another issue faced by many landlords in the short let market – the issue of falling occupancy during low seasons. While landlords can make a hefty income during high seasons, demand for short let properties can decrease during low seasons, resulting in unsatisfactory returns. Because a mixed strategy will allow landlords to source tenants/guests looking for longer lets, they will be able to maximise occupancy during low seasons, receiving a monthly income on par or better than a typical long let landlord.
Interested in finding a solution to the 90-day rule and maximise your yield by mixing up short-let and long-let? Get in touch with the Property Advisor team at Pass the Keys on +44 20 8050 2818.