Hilton Hotels has recently opened a new property in the heart of Puerto Vallarta’s Hotel Zone. Hilton joins the club of many new hotels that have introduced new product to the Puerto Vallarta – Riviera Nayarit market in the last 12 months which includes Hard Rock and Dreams among others. Large hotel chains, which are long-term businesses thinkers (they don’t factor projections in years, they do it in decades), are usually planning ahead of the curve in a market. This is good news for Puerto Vallarta because they will invest in co-marketing plans with airlines and promotional room upgrades to the destination. Being prepared before investing is in their organizational plan. Behind every large hotel chain is an army of number crunchers who study the market and approve any investment in new property and destinations. They study things like market saturation and potential growth. Attracting more visitors to the destination is important to their long-term vision. This means they know they will need to make sure more people get to their new hotel and the area. The “pie” of potential vacationers is only so large that hotel chains want their piece.
These large hotel companies are hoping to grab some of the condo rental market and that means the vacation rental property owner needs to be prepared and prepared in a good way. Local Puerto Vallarta statistics show that the average foreign investor who purchases a home in Puerto Vallarta has visited, on average, 5 to 7 times before they purchase their new home in paradise. Before they purchased they either stayed in a hotel, timeshare, or as a guest with friends. More vacationers staying in hotels translates into more activity in the property sales market. That is good for property values and makes for a healthy investment climate and economy.
What does this mean for the condo owner who rents out his vacation property? Well there is more competition in the vacation market but if you really take a look at the situation the better, and more unique experience you can provide a vacationer the larger slice of the pie you will grab.
As lifestyles become more transient, consumers become attached less to gathering possessions (once they’ve reached a certain level) and more to collecting experiences, such as through travel. Visitors search for authentic and unique experiences that stretch the imagination and create potent memories to last a lifetime – much more enduring than most consumer goods.
Status used to be based on pure consumerism. Those who bought the newest or the most expensive branded luxury goods had the highest status. This is changing. Status is also gained through doing something different and gathering unusual experiences. Premium consumers increasingly want rare and ‘money-can’t-buy’ experiences. This means that the old worn out rattan furniture, or that old flower print couch just isn’t going to cut it anymore. By the same token neither are negligent property managers. A chain like Hilton Hotels puts care into their guest’s experience.
So, a good starting point for any hotel or vacation rental owner is to be aware of key trends and what they might mean, now and in the future. Participation and creativity are increasingly important. Property owners that rent out their property should make sure that not only their property is in great condition and in style but that the vacationer has a complete experience, a memorable experience. Translated this means make sure your property is maintained properly and this may mean a change of property managers. Make sure that it looks great and is comfortable. Your property needs to be at least as nice as the home the vacationer lives in and if it can be nicer than their home they will be back more often. Have options for them while they are on vacation. Easy options that will give them experiences they won’t soon forget.
Hotels and vacation rental properties work hand in hand in the community, both stimulating local economies and both benefiting from each other. In the Puerto Vallarta area vacation property developers build golf courses that hotel guests use. They create a need for full time long-term jobs in the market that benefit local families.
Some vacationers have wasted memories and money on bland and forgettable hotel rooms, savvy tourists have relaxed by private pools, enjoyed spectacular unobstructed views of the ocean, mountains and cityscape, cooked in roomy kitchens, and slept in past noon on their departure dates. Although it’s easy to make hotel reservations, it’s not always the smartest and most cost-effective thing to do. Do your homework. Make sure that vacation renters can find your property special and memorable and they will want to come back year after year (until they fall in love with Puerto Vallarta and buy a home of their own).
Timothy Real Estate Group has professional designers and stagers that can help you prepare your home for the war. Gorilla tactics that work because it is a Price War and a Beauty Contest that can mean making and saving more with your property investment. Stay informed about Puerto Vallarta Real Estate and sign up for our newsletter… click here
Timothy Real Estate Group – An innovative company setting new standards in Real Estate sales and services has the most professional and experienced Realtors in the Puerto Vallarta area who understand the intricacies of Mexican Real Estate ownership, the local market, Puerto Vallarta property codes and regulations and financing. The Timothy Group uses that knowledge to provide a sound analysis on every aspect of property ownership. Timothy Real Estate Group is known for professionalism and experience and they bring this to every transaction they work on for the benefit of Real Estate investors and developers alike. Ask about our Real Estate Listings