Orlando Vacation Homes Rentals

posted by orlandovacationhome on Sep 17

Checking the latest data on the Orlando CVB web site, indicators show that hotel rates are dropping at a much faster rate than occupancy.

In a market where lodging products have become commoditized (little or no differentiation), it is important to understand that there are significant differences between hotels and vacation home communities (see our reviews on the right).

When hotels drop their rates, it typically has a treacherous impact on their profitability. Some credible news sources now claim that as many as 1 in 5 hotels are in some stage of foreclosure. Vacation homes have also seen huge amounts of foreclosures, but such issues can be largely prevented by renting a home from a larger reputable management company.

Bargains now abound in Orlando as the competition for the consumer lodging business grows fierce. However, for the price of a decent hotel room, you can typically rent an entire house with your own private pool. If arriving with a family, it can be much more enjoyable for everyone to have their own bedroom and television as well enjoy large common spaces such as kitchens and living rooms.  This may be contrasted to staying in a cramped hotel room. Many Orlando vacation homes also come with private pools and full garages.

In conclusion, if you are planning on coming to Orlando, consider renting a vacation home from a well established and reputable management company. Consult our unbiased vacation reviews and profiles and details of various vacation resorts in the area.

Orlando Vacation Homes

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posted by orlandovacationhome on May 22

Summer is here and if you have planning flexibility, you can ascertain some nice discounts for golf in Orlando, Florida. For our purposes, we’ll list some of the best golf courses near the Highway 192 vacation home corridor. The good news for vacation rental guests is that there are plenty of courses to choose from within a short 15-20 minute drive from most vacation home communities. Summer greens fees by category in Orlando are:

Premium Group (Summer golf rates in Orlando, Fl for this group tend to run from $40 to $65 depending upon the time of day)

• Falcon’s Fire Golf Club 3200 Seralago Boulevard; Kissimmee, Florida 34746 Phone: 407-239-5445
• Mystic Dunes Resort 7850 Shadow Tree Lane; Celebration, Florida 34747 Phone: 407-787-5678
• Orange County National Golf Club 16301 Phil Ritson Way; Winter Garden, Florida 34787 Phone: 407-656-2626
• Orange Lake Resort and Country Club 8505 W. Orlo Bronson Memorial Highway Kissimmee, Florida 34747 Phone: 407-905-1050

Value Group (Disney area golf rates for this group tend to run from $25 to $40 depending upon the time of day)

• Highlands Reserve Golf Club Club 500 Highlands Reserve Boulevard; Davenport, Florida 33897 Phone: 863-420-1724; We profiled this course in a previous post.
• Ridgewood Lakes Golf Club 200 Eagle Ridge Lane; Davenport, Florida 33837 Phone: 863-424-8666

Disclaimer: Please call course golf shops for specific rates and tee times for your Orlando golf vacation. This information was gathered from diligently reviewing websites and visiting with golfers in the area. Summer greens fees in Orlando quoted for all courses can change at any time. Always inquire about condition of course greens due to occasional drought and damaging heat conditions.

Orlando Golf Course

Orlando Golf

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posted by orlandovacationhome on Feb 28

Spring Break Orlando Florida - Dramtically Lower Hotel and Vacation Home Rates Being Offered

As usual, we have been talking to many hoteliers and vacation home managers in the Orlando area. We do this to get some forecasted near term travel outlook in the local Orlando tourism and convention markets.

Many of the hotels we spoke to have had an okay December 2008 with an unusually strong Christmas. January 2009 was below par when compared to last year. However, February 2009 numbers appear to be way down when compared to last year, and the bookings the pace for spring break (March/April) is significantly slower.

On the bright side, guests are making reservations, but they are booking at the very last minute. As an example, race week for the Daytona 500 in February 2008 filled Orlando three months in advance. This year, hotels were not getting a significant portion of their reservations until 3 days in advance.

Many short term rental management companies we spoke to last week think a general decline of 15-20 % in the number of visitors to Orlando would be realistic for 2009 as the United States and much of the world teeters on the edge of an economic recession, and possible severe recession.

In conclusion, 2009 short term rental bookings in Orlando will be off significantly from 2008. In addition, long term booking windows will become a thing of the past.

Much to the delight of those persons who still decide to visit the Orlando area in 2009, they will benefit from dramatic rate cuts, free upgrades and whatever else short term rental companies can do to entice visitors to stay with them over the competition.

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posted by orlandovacationhome on Jan 7

For those who love golf, but do so on a budget, we would like to bring you a new feature section. One of the great things about Orlando is the multitude of courses in the area. However, some of the better courses including Orange County National, Metrowest, Hyatt Grand Cypress and Falcon’s Fire will all set you back during peak times in the neighborhood of $90 (or more) per round. We found several very playable courses in the area at half that rate.

Our first selection as one of the “best value” courses in the area is the Highlands Reserve Golf Course in Davenport. This is adjacento to the Highlands Reserve Resort community. Although scratch golfers may not find this course challenging enough, those with handicaps of 8 or higher will find this course very desirable.

We found this course to be preferable to others of similiar greens fees in the area because of it’s scenic beauty and quality of greens. The style of course is much like a Scottish links course, but with pine lined fairways.

We felt the fairways were not quite as spongy as one would expect from a higher rated course and some of the par 4’s were a little short, but the true rolling nature of the greens make this course a great value for the money. It’s also very convenient to the vacation home corridor and Disney just south of the 27/192 intersection in Davenport.

Highlands Reserve Golf Club Facts

6,649 yards from the back tees - Slope 118 - Par 72

Address: 500 Highland Reserve Boulevard, Davenport, FL 33897

Contact: 877–508-4653 ; Website www.highlandreserve-golf.com

Greens Fees: Drop dramatically after 1:00 p.m.

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posted by orlandovacationhome on Jan 2

When evaluating your choices for Orlando vacation home rates, options and accommmodations, keep in mind that size does matter. Let’s look at some Orlando vacation rental options when compared to a hotel room.

A typical hotel hotel room runs approximately 325 square feet in size. The average nightly rate in Orlando for that hotel room runs around $80 per night depending on the time of year or .25 cents per square foot if you are evaluating a cost average based on size. Two hotel rooms could tightly accomodate eight people for a total of $160 per night.

For a three bedroom vacation villa/home that will sleep eight to ten persons, it will run around the same amount ($160/night) depending on time of year, amenities and subdivision. Such a vacation home/villa will be roughly 1,800 square foot on average. Therefore, for a much larger home, your per square foot cost is .09 cents per square foot, plus you get the use many amenities that typical Orlando hotels do not have such as a fully equipped kitchen, private garage and private pool.

In summary, Orlando vacation homes/villas represent significantly better value than hotels if you are traveling with 4 or more persons. Based on our caluclations, hotel rental rates run around .25 cents per square foot while vacation homes are in the .09 cents per square foot range on average.

Why would you book a hotel in Orlando? Please consult our blog postings for helpful tips, consumer information and community reviews.

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posted by orlandovacationhome on Dec 6

If the most recent data is to be believed, hotel revenues in Orlando are dropping at possible catastrophic rates, and this could be an indicator of what some may have already felt in the metro Orlando vacation home industry.

Data for Orlando vacation home occupancy and rate is difficult to collect, as the industry is very fragmented. However, as market indicators, we are inclined to consider hotel data trends to help as a mirror to the vacation home industry.

Recently SMITH TRAVEL RESEARCH, a provider of hotel industry data, reported that revenue per available room tumbled 13.2 percent nationally during the week Nov. 9-15, 2008 compared to a year earlier. Revenue per available room, or RevPar as it is termed, is a key gauge of a hotel’s revenue performance.

At the local level, metro Orlando has begun to see the largest drops in both rate and occupancy across the board for the hotel industry since 2001. For the week ending November 15^th, 2008 hotel Rev PAR dropped by a whopping 27.3 % according to the ORLANDO CVB records .

So what are the ramifications for the Orlando vacation home market? Hotel data now tells us that a short term combination of rate and occupancy are in a state of significant decline. Not a surprise given the current economic environment, but the level and rate of the decline is much more devastating than what is being reported on some media outlets. It remains to be seen if these short term indicators become longer term trends for the Orlando market and can provide some basis for an Orlando tourism forecast.

Possible ramifications in the vacation home industry could include:

1.     Rev PAH (Revenue per available home), is going to most likely drop significantly, as occupancies decline and some owners and home managers alike, quickly drop their rental rates.

2.     This could impact vacation home prices due to the fact that vacation homes would have a lessened ability to generate income, which would logically be reflected in the underlying home sales prices.

3.     Like any business, those homeowners that are best positioned to “hunker down” will be the ones that survive. Such factors could include: limited levels of debt, high rental occupancies, good locations and marketing strategies, excellent maintenance, and the overall experience of a good vacation home management company.

The good news for families, and even some event type groups seeking economic alternatives to hotel rooms, is that they may now logically consider the benefit of vacation homes. This helps the vacation home option become more mainstream. Please see our other posts detailing the economic viability of renting Orlando vacation homes and the value they provide to consumers. In addition, the best run vacation home management companies will most likely survive and the services they provide will become more essential.

In conclusion, there is no sugar coating the data. The drop in both rate and occupancy appears to have come so quickly and deeply that major media, and even many in the tourism industry, do not yet recognize. Expect possible systemic failures in Orlando’s tourism industry if these trends continue. Unfortunately, no one can preidict the future including us.

As always, our blog tries to inform you objectively, so subscribe.  Check the ORLANDO CVB data here.

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posted by orlandovacationhome on Nov 12

1. Call the Orlando vacation home management company directly- This will give you a feel of the type of customer service the company offers. Are the individuals that answer the phone courteous, professional and knowledgeable? Are you treated like a number or does the staff really try to make suggestions based on your Orlando vacation villa rental needs?
2. Homeowners are not always the best source for directly booking an Orlando vacation villa rental - This often is the cheapest route in terms of rental rate, but if something goes wrong, an owner may not be in town to help you. So if renting by owner, do your homework. If they do not have staff personnel to respond quickly and often the quality assurance of your stay could be in question.(see other related blog posting on this topic).
3. Better Business Bureau Linkage - Look for the BBB sign on the Orlando vacation home management company’s website. You should be able to click on the logo and see the company’s history with vacation home consumer comments. Without this important feature, the vacation villa management company may not be fully disclosing its operational history.
4. Other Affiliations - Look for the vacation home management company to be well established and be members of various other professional organizations in their area. Often these affiliations are clearly shown on their web site. 

Again, there are lots of vacation home management companies in the Orlando area. If you do a little shopping of Orlando vacation home reviews and ratings on this blog, you will greatly increase your odds of having a great Orlando vacation home rental experience with no surprises. Chances are that your overall Orlando vacation will be positive as well.

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posted by orlandovacationhome on Nov 11

If you are visiting Orlando Florida and looking for a vacation villa rental, there is great news. There is a huge oversupply of Orlando luxury vacation homes for rent. This means deals to be had abound for your Orlando vacation. For about the price of a mid-market hotel room, you can rent a fully equipped vacation villa home with your own private pool and do as much self-catering in a full kitchen as you like.  This would certainly help you cut down on your dining and entertainment bills. Thousands of homes were built over the last ten years, and now many owners need to rent them. On any single night in Orlando, many of these homes sit empty.

Occupancies Dropping

In Orlando, the hotel industry will be the first to tell you their occupancies plunged in September 2008 over 2007, with room revenues dropping by as much 20-25%.

Many Owners Need to Rent

Many vacation homeowners are now feeling the pinch of the housing crisis, and many of the speculators who bought now need to generate additional income to the pay the mortgage.

What does this mean to you, the renter?

1. Shop around. There are thousands of Orlando villas and hundreds of vacation home rental management companies. Make sure you rent a good home, get a great deal and stay in a great location for your Orlando vacation.
2. Always pay by credit card.
   

   Orlando Vacation Homes - Great Deals for Renters!

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posted by orlandovacationhome on Nov 8

The third quarter earnings report for Disney was not pretty. In many investors’ eyes, it raised more questions than answers. Chief Mouse Executive Bob Iger reported that the first half of 2009 looks to be just shy of 10% under last year’s booking pace. He also alarmed analysts by stating that his predictive view of the attendance market is “limited”.

Disney responded by rolling out a new “buy 4 days/nights, get 3 free” promotion. This is strong evidence of the weakness coming into 2009, and the theme park market will need to perform some heavy discounting in the new year to stay on par with last year.

Disney Earnings Impact Orlando Vacation Villa Homes

Presumably area hotels must do the same to bring in their market share of tourist dollars. Vacation home rates will almost assuredly follow suit because staying in a home is an upgrade from the regular hotel stay, and that consumers may not be in the financial mood to take advantage of that upgraded experience. The dollar has also appreciated making foreign exchange rates less attractive for international travelers. Although air travel pricing has been sluggish to drop, gasoline pricing has been cooperative for the consumer lately. We suspect that regional drive-to traffic may need to replace lost international traffic in 2009 if Orlando vacation home rentals are to keep pace with last year’s figures. In that light, vacation home marketers must do a better job of highlighting the advantages of a vacation home over a hotel stay and then delivering on that Orlando vacation promise.

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posted by orlandovacationhome on Nov 1

We started this blog with this tagline promise “… the inside scoop”. We never thought good news would be this hard to find much less discussed publicly.

Although it’s no large consolation for Orlando villa homeowners who are losing their homes to foreclosure, the recent 50%+ slide in petroleum prices

Gas / Petrol Prices Down

should be a big boon for the Orlando vacation home industry/market. This would include both the domestic and international travel market that is desperate for some good news. This drop in fuel should help bring about firmer occupancy demand for the Orlando vacation home market. We have established in another blog that vacation villas in Orlando can present a great value to consumers in general when purchased at a distressed level from a bank. Those on the ground in Orlando estimate that transient occupancy demand is now off by as much as 15% year over year due to the recession. Disney attendance by all accounts is off as well.

As stated in another area of the blog, one cannot be sure where the bottom is for actual vacation home pricing. There are many factors that come into play in evaluating this. However, one can be sure that lower costs for petro should eventually help turn the travel market in the right direction to the benefit of vacation home owners and consumers. Demand in the vacation home rental consumer market does play a role in the valuation equilibrium which is played out in the form of net rental revenues to the home owner. Let’s hope that will be the case moving into 2009.

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