The Vacation Rental Owner’s Dilemma: Personal Use vs. Peak Season Profits

Maximize revenue or maximize your summer? That’s a dilemma all vacation home owners have. Summer is the peak season for vacation homes in the North Carolina coastal area. On one hand, it’s the best time for homeowners to enjoy the most exciting months full of great weather, local events, and have a proper “summer vacation” from work and school. On the other hand, the influx of tourists makes vacation rentals in high demand and you could be missing out on potential revenue for your rental business.

If you’re stuck on the fence of when is the best time to enjoy your property, we’ll give you a few things to consider to help steer your decision!

Investment property vs. second home

Homeowners have different motivations for purchasing properties in coastal destinations such as Wrightsville Beach. It’s estimated that more than 50% of the homes in the area are classified as vacant. Meaning that more homes are used for short-term rentals compared to long-term residents. The year-round population is approximately 2,500, compared to 30,000+ tourists who visit each year. These stats are comparable to other nearby areas in New Hanover County.

Wrightsville Beach is an excellent destination to purchase a second home. Residents have access to boating, beaches, fishing, golf courses, and other outdoor recreational activities. It’s popular for snowbirds and retirees who enjoy the laid-back coastal beach town setting. For these homeowners, the tourist season doesn’t impact their travel plans. They bought their home for pleasure, and the summer season is just one of the many times they can enjoy the coast at its best.

The popularity of the region attracts another kind of homeowner: investors and business owners. The premier coastal area presents an excellent opportunity to capitalize on the demand for vacation rentals. Wrightsville Beach and nearby areas already have the infrastructure to support vacation rental businesses, including property management companies and local tourism businesses. These homeowners should be more inclined to take advantage of incoming tourists and promote their properties to maximize occupancy during the peak season.

Effective booking management

The decision to use your property for your own pleasure vs. renting to others during the summer (or other busy times such as holidays) can be simplified by effective booking management. When it comes to vacation rentals in coastal destinations, travelers are advised to book early to secure their reservation. Homeowners who marketed their properties effectively before the summer arrived should already have an idea of the summer reservations. Also, understanding the local market lets you anticipate high-demand dates, such as the 4th of July weekend or the annual Carolina Beach Music Festival, which attracts thousands of people.

Homeowners can still capitalize on peak demand periods even without advanced bookings. Last-minute bookings and limited-time discounts are effective strategies to increase reservations. Instead of taking your property off the market for your personal stay, consider one of these options if your goal is to increase revenue.

Members of our Sea Scape Owner’s Club get transparent information about their property through the dedicated owner’s portal. You’ll see current bookings and other financial reports. Click here to learn more about our vacation rental property management services.

Alternative times to enjoy your property 

If you’re flexible with your travel plans, the best advice is to wait until later to visit your property when demand declines. Beach season in Wrightsville Beach (and neighboring North Carolina beaches) lasts from April 1 until September 31. The summer months (June-August) are usually the busiest times of year with lots of tourists. Early May or late August are good alternatives to still enjoy summer-like weather with less demand.

The off-season, from October to March, is also an excellent alternative. Known as the “locals’ summer,” it gives a more “local” feel to the beach towns with fewer tourist crowds, warm weather, and seasonal activities. It’s also when the beaches are most pet-friendly!

If you’re still set on visiting during the summer, there are ways to make it work without sacrificing availability for travelers who want to book your vacation rental. Homeowners can fit in a mid-week vacation in between weekend bookings to enjoy before the next guests arrive. Also, consider a shorter stay. Your reservation calendar may have an opening for 2-3 days, rather than planning an entire week-long trip during peak travel season.

Get property management assistance for your vacation rental

Owning a vacation home in the coastal North Carolina region gives homeowners the best of both worlds: a revenue-generating property and a place to call “home” in one of the best coastal regions in the US. Finding the balance between renting out your property and living in it depends on your goals as a homeowner. It can be an investment in your vacation rental business or serve as extra income whenever you’re not in town.

To help you determine the best use for your property, consult with our expert team at Sea Scape Properties. Our property management team works with homeowners to determine their individual goals and tailor a success plan that works best for you! Click here to learn more about vacation rental management.