Top 5 Mistakes New Short-Term Rental Owners Make (And How To Avoid Them)
Investing in a short-term rental is exciting—especially in today’s market, where platforms like Airbnb and VRBO make hosting seem easier than ever. But beneath the surface, managing a successful vacation rental takes far more than a pretty listing and a welcome basket.
At Roav Retreats, we’ve seen it all—from burnt-out DIY hosts to ambitious investors chasing returns. Here are the top five mistakes we see new short-term rental owners make—and how our team helps you avoid them from day one.
1. Underestimating the Time Commitment
Many new owners assume managing a vacation rental is as simple as answering a few messages and hiring a cleaner. In reality, it’s a 24/7 business. You’re handling guest communication, maintenance calls, emergency requests, pricing adjustments, and reviews—all while trying to maximize revenue.
How we help:
We take over the day-to-day operations entirely. From dynamic pricing and guest communication to maintenance coordination and cleaning logistics, our team keeps your property running like a well-oiled machine—so you can be truly hands-off.
2. Setting the Wrong Price (and Losing Thousands)
Most new owners either price too high and lose bookings—or too low and leave money on the table. They rely on gut instinct or copycat listings instead of leveraging real-time data.
They may even take a step in the right direction and integrate with a pricing software like Pricelabs or Wheelhouse, and while that is better than nothing we’ve found that owners are still typically losing out on 15-20% in additional revenue by not hiring a management company with a dedicated Revenue Manager.
How we help:
We use revenue management software combined with local market insights from our Revenue Manager to dynamically adjust pricing based on demand, events, seasonality, and competitor trends.
3. Neglecting the Guest Experience
Great design gets people to book, but great experiences get them to come back. Many new hosts focus only on aesthetics and forget about the details that drive 5-star reviews: clear communication, thoughtful amenities, and seamless check-ins.
How we help:
Our 24/7 guest experience team creates a smooth guest experience journey—from automated pre-arrival messages to personalized local recommendations. We’ve refined every touchpoint to increase satisfaction, reviews, and repeat stays.
4. Skipping the Legal & Regulatory Homework
Every city has different rules—and new owners often don’t realize they need business licenses, lodging tax registration, or conditional use permits until it’s too late.
How we help:
We’ve done the homework. We guide our clients through local compliance from the start, help you stay legal, and even assist with permitting and inspections when needed.
5. Choosing the Wrong Property to Begin With
Not all homes make good short-term rentals. Some have poor layouts, weak location demand, or HOA restrictions that limit earning potential. Many owners don’t realize this until after the purchase.
How we help:
Thinking of investing in a new property? We offer pre-acquisition consulting—running the numbers, identifying red flags, and forecasting potential earnings so you can buy with confidence.
Final Thoughts
Owning a vacation rental can be incredibly profitable—but it’s not without risk. With Roav Retreats, you get more than just a property manager. You get a strategic partner who’s deeply invested in your success.
If you’re considering turning your property into a short-term rental—or buying your first vacation home—let’s talk. We’ll help you avoid costly mistakes and unlock the full potential of your investment.
