Reducing Void Periods with Corporate Tenants and Insurance Bookings
For landlords navigating the ever-changing landscape of the UK rental market, filling vacant properties is a primary concern. One effective strategy to mitigate void periods lies in attracting corporate tenants and securing insurance bookings. In this blog, we will explore how these two segments can not only reduce the time your property sits empty but also enhance the overall profitability of your investment.
Understanding Corporate Tenants
Corporate tenants are typically professionals who require accommodation for extended periods—often ranging from 30 to 90+ nights. These tenants are usually linked with businesses that require them to travel for work, be it for project work, training, or temporary relocations. Unlike standard holiday guests, corporate tenants are looking for a comfortable, fully-furnished home where they can focus on their professional responsibilities without the distractions that often accompany shorter stays.
Benefits of Corporate Tenants
1. **Reliable Income**: Corporate bookings often lead to longer tenancies, which provides landlords with a more predictable income stream. Companies may even book properties for specific employees, ensuring minimal void periods.
2. **Reduced Wear and Tear**: Tenants who stay for longer durations are typically more respectful of the property, leading to less wear and tear compared to weekend party guests. This factor can significantly save on maintenance costs over time.
3. **Streamlined Invoicing**: Working with corporate clients generally means streamlined invoicing processes, allowing for quicker payments and less administrative hassle. This can also be a significant advantage for landlords who dread the late-night phone calls from those last-minute holiday guests.
Connecting with Corporate Clients
To successfully attract corporate tenants, landlords should consider building direct relationships with businesses in their area, or using specialized platforms that work closely with corporate clients. Here are several strategies to enhance your visibility:
– **Utilize a Management Company**: Partnering with a company like Keapr can help streamline connections. With a network of 92+ distribution channels and a robust database of contractor and insurance clientele, Keapr ensures that your property gets seen by the right people.
– **Tailored Listings**: Create listings that highlight your property’s amenities suited for corporate guests, such as high-speed internet, dedicated workspace, and proximity to public transport or business centres.
– **Networking**: Attend local business events or trade shows to get in front of potential corporate clients and build valuable relationships.
Understanding Insurance Bookings
Insurance bookings refer to stays arranged for individuals who have been displaced from their homes due to unforeseen circumstances, such as fire, flooding, or damage. Many insurance companies partner with landlords to provide suitable accommodation for their clients during the claims process.
Benefits of Insurance Bookings
1. **Shorter Void Periods**: Similar to corporate bookings, insurance bookings can fill empty properties quickly, often with little notice.
2. **Guaranteed Payments**: Insurance companies typically provide guaranteed payments, reducing the risk of unpaid rent. This assurance of income is invaluable, particularly in uncertain economic climates.
3. **Easier Resourcing**: Just as with corporate tenants, working with a management provider like Keapr can streamline all of the arrangements for insurance bookings, covering everything from property management to invoicing.
How to Attract Insurance Bookings
1. **Market Appropriately**: Ensure your listing is visible on platforms that cater to insurance companies. This includes working with a management service that has established relationships in the insurance industry.
2. **Stay Ready**: Keep your property in exceptional condition and always ready for the quick turnaround that insurance tenants require. An emergency-friendly setup can dramatically increase your chances of being booked under such circumstances.
3. **Flexible Stays**: Consider offering flexible stay options that cater to the unknown duration typically associated with insurance bookings.
The Financial Impact of Reduced Void Periods
Each day your property remains vacant is a day of lost income. By catering specifically to corporate and insurance tenants, you can ensure that your rental home is occupied more consistently. Longer average stays of 30 to 90+ nights create significant opportunities to generate revenue with fewer interruptions and less seasonal fluctuation.
In addition, engaging in direct bookings can enhance your revenue further. According to our data, 64% of our bookings are not from platforms like Airbnb or Booking.com. This figure demonstrates the power of optimising your booking strategy, allowing you to take advantage of more lucrative, non-OTA distribution channels.
Conclusion
For UK landlords, the approach of filling void periods through corporate tenants and insurance bookings can lead to a stable income, lower turnover rates, and a more stress-free property management experience. By partnering with a qualified management company like Keapr, landlords benefit from better visibility, streamlined processes, and a focus on higher-quality stays that cater specifically to their needs.
If you are a landlord looking for higher-quality, longer stays, speak to Keapr today.