So You Want to Buy a Vacation Rental at Lake Chelan?
The Basics on Where, How, and With Whom...
Everyone seems to be doing it: buying a vacation rental in Lake Chelan. And for good reason. Vacation rentals can be a great way to enjoy a second home and make a little money. But before you buy, here are some basics you need to know.
WHERE
I covered the question of where vacation rentals are allowed in the Lake Chelan valley in a previous post. Here is the summary:
Only select homes and condos within the Chelan city limits (and its Urban Growth Area) can be used as short-term vacation rentals.
In Chelan County, a tiered structure exists with percentage thresholds used to limit short term rentals in various areas.
The question of where to own a vacation rental isn’t limited to regulations. Your satisfaction and that of your guests are main drivers. Do you want a secluded getaway? Or a home a short walk from downtown? Homes within a fifteen-minute drive to Chelan or Manson are popular. Homes beyond this drive time may suffer lower occupancy.
HOW
Getting a vacation rental off the ground is straightforward: buy and furnish a house and establish your rental management structure (more on this below). A bit of work, yes, but not rocket science. The important question is how to run a successful vacation rental. The basics need to be in place: cleanliness, functionality. But you can get these at a hotel. The secret sauce that drives return renters back to your place will be the little touches:
The games shelf is well stocked.
Good supply of floaties (if the rental has a pool or is near water).
The kitchen has full sets of matching flatware, knives that are a pleasure to cook with, and quality wine glasses.
The beds are a pleasure to sleep on. You get the idea.
Be prepared for broken items and wear and tear. It goes with the territory. Your guests will sign a damage waiver before they rent and you’ll be paid back for the big stuff that breaks. But be prepared to replace small items that go missing or are in need of repair. Smile through this! Chips and scuffs are a sign you are making money!
WITH WHOM
Who will manage your property? In the Lake Chelan valley there are two main firms that provide complete management services: Vacasa, and Windermere Rentals.
Both cover marketing, reservations, guest services during the rental, as well as management of the housekeeping and any small maintenance. The firms will take anywhere from 25% to 40% of your gross rent based upon level of services. This can seem like a lot, but remember they are the middle ground between you, your home, and your guests.
If occupying that middle ground doesn’t scare you, the HomeAway / VRBO or AirBnB route may make sense. HomeAway and AirBnB will take care of the marketing and reservations. Your job is to keep the home stocked, clean, and in good order. And you will need to be ready to act when emergencies come up (some who rent from afar use the service of a local home care firm to deal with such small emergencies.)
THE ART OF HOSPITALITY
If all of this sounds intriguing, you may be just the candidate for owning a vacation rental home. Know that it is a significant responsibility. Your guests will impact the neighborhood where you buy. Be thoughtful to other neighbors. If you self-manage, establish structures to police renter behavior.
But also be gracious and fun-loving. The art of hospitality is as old as humankind. When your family shares its home you are helping other families and friends strengthen their own bonds. This is a good thing.
