Before we start…
Every week I sit down and write newsletters to you, my faithful readers.
Sometimes I enjoy it, a lot. Like this blog. Be prepared to read more about my thoughts on buying a property for Airbnb rental use. If you missed Part 1, where we began discussing AirBnBs in Playa del Carmen, you can read it here. Now, let’s get to business.
AirBnBs statistics & data
According to MetDigitalData, prices for Airbnb accommodations in Quintana Roo and the Caribbean have increased up to 300% more than five years ago.(source Inmobiliare Aug 2023).
Say what now???
When Airbnb began operations in 2016 in Quintana Roo, it started with a small number of rentals available. Less than 100. They were the fresh young upstart going up against the rental giant VRBO. By the end of 2022, there were 62,000 rentals in Quintana Roo by the end of 2022. More have joined the ranks since then.
More properties and higher prices??? How is this possible???
Many owners this year have not caught up to the fact that charging the same rental rates in pesos (MXN) this year costs a lot more in dollars (USD) than it did last year. Due to the fall in the strength of the USD.
They are pricing themselves out of the market.
What is the net result of that?
Many tourists are returning to traditional hotel accommodations for short stays, according to the report. OOOOPS. Why? The report says they provide superior service for the same price or in some cases even less.
If you are thinking that Airbnb is a quick and easy side gig to earn money, think again. Living Riviera Maya “generally” does not advise our buyers to think of their beautiful vacation property as a cash cow.
Think “personal use for enjoyment and family memories”. With some rentals to cover the expenses of ownership. Maybe you can make 3% – 5% return on investment, depending on location and amount of personal use. Then you have your realistic expectations fulfilled.
Consider these before buying
Next consider this:
- Among the main Airbnb searches, “lodging with swimming pool” increased by up to 80 percent.
- Likewise, the preferred areas were the Hotel Zone, downtown Cancun, Playa del Carmen and Tulum.
- Trendy areas and trendy amenities are the name of the game.
If you do go the Airbnb route, with this handy information you know you have to be com-pe-ti-tive.
My friends who own and rent a luxury beach properties in Playa since 2006 gave me these pointers for rental properties:
- Always consider the condition of your rental property.
- Always be upgrading.
- Always be paying attention to guests and their comments and questions.
- If your property manager suggests a fix, do it.
- Visit your property with an eye as a guest. How they might see it?
Are the beds comfy? Is the bathroom clean? I mean really clean; not full of past guests’ hair? Are the pillows fresh and new?
No stains on the pillows or sheets?
- Can you add some value propositions like breakfast certificates at a nearby restaurant?
- A guest pass or two at a nearby attraction?
Stand out from the crowd and look after your property and look after your people and you will always do well.
We have some owners who have continuously had positive cash flow on their properties. Who made money even during COVID because they chose to go with an established well-organized property management company.
My top picks
These are my top picks with all the points above.
Consistently a top earner and a beautiful beachside condo. On sale now at a reduced price
Unique and beautiful 2 bedroom 2 bathroom luxurious condo for sale adjacent to the beach in downtown Playa del Carmen, with all the amenities and services of a five-star hotel.
When only the best will do
Discover the pinnacle of relaxed, beachside living in a coveted Mexican Caribbean location. Ownership of these magnificent spacious condo residences has access to get the membership to an exclusive Beach Club, which boasts pools, a private stretch of white-sand coastline, and an inspiring array of dining, social, and wellness venues—including the members-only beachfront Owner’s Club.
Classy condo downtown
Prepare to be captivated by this immaculately designed penthouse, boasting exquisite high-end furnishings and top-notch finishing. With a generous living space of 139.402 square meters (1,500.50 square feet) spread across two floors (5th and 6th), this penthouse offers a grand and lavish living experience like no other.
Trendy location and awesome amenities
Magnificent opportunity, prime-location condos for sale in downtown Playa del Carmen. The most stylish equity investment in Playa del Carmen is in this brand-new downtown development, an exclusive Residence project that raises the standards of design, luxury, and comfort in developments along the Riviera Maya.