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Listing Owners

Owners Ask: How Do I Price My Listing to Rent?

Guests have more options than ever for booking their next vacation. How can you price your KOALA listing to outpace the competition?

Laura Gohl - Aug 11, 2020

You’ve created a listing on KOALA potential guests will love. But how do you price your listing to give yourself the best chance of getting booked? Read on for the definitive guide to pricing your timeshare to rent (even in an uncertain market).

Consider Fair Market Value (Not Your Costs)

When pricing your listing on KOALA, it may be tempting to base desired earnings on your maintenance fees or even your purchase price. While a vision of making a profit relative to your costs is naturally appealing, it’s crucial to consider what vacationers are willing to pay (or are already paying) for a comparable listing in your destination. Be careful not to lean into cognitive biases that could distort your understanding of – and willingness to accept – fair market value for your timeshare rental. 

How Do I Find A Comparable Listing?

Timeshare resorts will often rent spare rooms through major booking sites such as Expedia or Booking.com. Check out the price on similar listings to determine an ideal listing price that’s sure to make your listing competitive.

What (Exactly) Is a Comparable Listing?

A comparable listing will feature these 3 key details:

  1. It is located in the same resort, or in a similar resort in the same destination (with access to similar amenities).
  2. It has the same number of bedrooms.
  3. It is available for the same (or very similar) dates. 

The list above will help you find a solid comparable, but it’s also important to consider:

  1. Your cancellation policy: demand is higher for flexible cancellations – often a strict (non-refundable) policy will feature a lower price. Conversely, you may be able to earn more from a listing with a flexible cancellation policy!
  2. Your specific unit type: a 2-bedroom deluxe will likely be priced higher than a 2 bedroom standard. When possible, price against a comparable unit that matches yours.

How Should I Set My Price to Compete?

There are exceptions, of course, but we typically recommend setting a price that is at least 25% below what you see for comparable listings on platforms like Expedia or Booking.com. “Fair market value is a strong indicator of how to price your listing. But resorts often price their units to make the highest profit, and they can handle a certain number of vacancies every week. With timeshare ownership, however, it’s essential for your listing to get booked. Pricing at least 25% below what you see on the booking sites sends an impossible-to-ignore signal to potential renters.”

Questions about how to price your listings? Check out a video of our pricing guide!

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