Wondering if your second home could work as a vacation rental? You’re not alone.
Let’s break down the costs, the income, and the math behind a successful rental.

So, you’ve got a second property sitting there. Maybe it’s a family cottage. Maybe it’s that investment condo you bought with big dreams and a Pinterest board full of coastal throw pillows. And now you’re wondering: should I turn this place into a vacation rental?

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That question is more common than you’d think—and it’s a good one. It’s also not a decision to rush. Because behind every dreamy Instagram-worthy listing is a whole lot of work, planning, and elbow grease.

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In this episode, we’ll help you figure out whether stepping into the vacation rental business is the right move for you—and that property. You’ll learn how to weigh the risks and rewards, size up your local market, and decide if your second home is ready for centre stage.

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What You Need to Know Before You Jump In

There’s something alluring about the idea of making money while sipping coffee from your deck. But before you let your imagination run wild, you need to ground yourself in some realities.

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First up? The costs. That charming fixer-upper with “so much potential”? It might also need new plumbing, a Wi-Fi upgrade, and a deep clean that would terrify your average mop.

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Startup costs often include:

• Renovations or repairs

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• Furnishings and décor

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• Licensing and permits

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• Photography and listing setup

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Don’t forget the ongoing expenses either: utilities, cleaning, maintenance, taxes, and platform fees all take their slice.

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Think of it like this: if your property is the star, the behind-the-scenes crew is massive—and they all need to get paid.

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Is Your Property in the Right Spot?

Location can make or break a vacation rental. Being near a beach, mountain, or wine trail? That’s golden. Being 40 minutes from the closest café? That’s a harder sell.

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Ask yourself:

• What draws visitors to the area?

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• Is there year-round demand, or are you banking on one busy season?

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• Are there shops, restaurants, or attractions nearby?

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Also, take a moment to check local regulations. Short-term rentals are under a magnifying glass in many cities. Some places require permits. Others ban them outright. It’s better to know before your guests are knocking on a door that legally can’t open.

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What Kind of Host Do You Want to Be?

This one’s big. Owning a vacation rental isn’t a passive gig. It’s part hospitality, part logistics, and part diplomacy—especially when a guest finds a spider in the bathtub and demands a refund.

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So think about:

• Are you hands-on, or will you hire help?

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• Do you have time to manage bookings, messages, and turnovers?

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• Are you willing to handle the 3 a.m. “How do I turn on the heat?” texts?

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If you’re all-in on guest experience and love the idea of creating a space people rave about, this could be your calling. If you already feel overwhelmed just reading this? Maybe wait or hire a property manager.

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Will It Actually Make You Money?

Now let’s talk numbers. Because dreams are lovely, but mortgage payments are due monthly.

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Start by researching similar rentals in your area. What’s their nightly rate? What’s their average occupancy?

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Use that data to map out your revenue potential. Then subtract your costs. If you’re still in the green? That’s promising. If not? It’s back to the whiteboard.

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Want a shortcut? Tools like AirDNA or Mashvisor can help you size up the competition and estimate your ROI.

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Ask Yourself This: What’s the Why Behind Your Yes?

Some folks get into vacation rentals for the extra income. Others want to share a beloved family cabin. Some just want an excuse to redecorate and expense the cushions.

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So ask yourself:

• What’s driving this idea?

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• Is it financial freedom?

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• Is it turning a passion for hosting into a business?

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• Is it keeping the property in the family while making it pay for itself?

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Whatever your “why,” let it guide you. Because that’s the part that’ll keep you going when the laundry piles up, the internet goes down, and the guest drops a one-star review because “the seagulls were too loud.”

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If you’re serious about setting your property up for success, check out our course: “Mastering Vacation Rentals: Start, Manage, & Thrive in the Rental Business.” It’s packed with strategies, templates, and everything you wish you knew before your first guest arrived.

Here are the 5 key takeaways of this episode.

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Are you thinking about turning a second property into a vacation rental? What’s stopping you—or pushing you forward?

Let us know in the comments!

In Conclusion

Turning a second property into a vacation rental isn’t about putting a key under the mat and calling it a day. It’s about strategy, heart, and the willingness to treat this like the real business it is.

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If you go in prepared—with your goals clear and your eyes wide open—this could be one of the most rewarding (and yes, profitable) decisions you’ll make.

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And if you’re still feeling unsure? That’s OK. Start small. Read more. Ask questions. Take the leap when it feels right. Because when you do it for the right reasons, you’re not just creating a rental. You’re building a story that guests will want to return to—again and again.