Increase Rental Revenue: Designing For Profit

Owning a vacation home comes with substantial costs, including property taxes, utilities, insurance, and maintenance.

To offset these expenses and increase rental revenue, many owners explore renting out their properties.

Here are insights and strategies for designing a vacation home for short-term rentals—room by room—with the goal of maximizing profit.

Understand Your Target Market Before Designing

Increase Rental Revenue: Designing For Profit
Entering the competitive market of short-term rentals requires careful consideration of guest expectations.

Today’s travelers seek unique experiences, often shying away from conventional hotel rooms.

To stand out and increase rental revenue, your vacation home’s design must be Instagram-worthy, capturing potential guests’ attention.

Marketing, booking, and managing various vacation rental properties have provided valuable insights into different primary and secondary target markets.

We consider factors like length of stay, specific interests, and seasonal demands to tailor designs that enhance appeal.

Beach House

– Families on vacation

– Families attending events like weddings

– Beach escapes

Lake House


– Families on week-long vacations

– European travelers seeking a “Canadian” experience

– Fishers during late spring/fall or winter ice fishing

Aligning design with the needs of your target market is crucial in maximizing attractiveness.

Reflect Your Location Through Decor

Your vacation rental’s decor should seamlessly integrate with its surroundings to help increase rental revenue.

If situated by a lake or beach, guests should feel that ambiance throughout their stay.

While whimsical touches can elevate experiences, balance is key; personalized decor attracts guests willing to pay a premium for memorable stays.

For location-themed decor ideas, consider platforms like Wayfair or Birchlane to find items that complement your style.

Personalized Accents and Decor Tips:


1. Add personal touches reflecting your personality (avoid personal photos).

2. Ensure decor aligns with the property’s surroundings.

3. Embrace quirky elements.

4. Maintain a cohesive color palette.

Determine Hosting Capacity

Understanding the maximum number of guests your property can accommodate is vital for effective management and safety measures—both critical in efforts to increase rental revenue.

Implementing features such as motion-activated exterior cameras helps monitor guest check-ins while ensuring compliance with occupancy limits.

Bedroom Design Strategies


Guests primarily use bedrooms for sleeping and storage; therefore comfort should be prioritized in design choices aimed at increasing rental revenue:

1. Invest in quality mattresses (e.g., Endy Mattresses) for optimal comfort.

2. Provide comfortable bedding options—consider 4 pillows per bed (2 Down Feather & 2 Memory Foam).

3. Use coordinated duvets that reflect overall decor.

4. Offer multiple sets of bedding per bed.

5. Incorporate adequate lighting and charging stations.

6. Include hooks for towels and personal items.

Living Area Design

Ensure your living area accommodates the maximum number of guests allowed at your property:

1. Utilize indoor/outdoor rugs to anchor spaces.
2. Consider slipcovers or throws for easy maintenance.
3. Provide ample seating arrangements.
4. Label light switches for guest convenience.

Dining Area Design

Provide sufficient seating options both indoors and outdoors:

1. Use versatile furniture like extendable tables.

2. Encourage al fresco dining experiences to leverage scenic views.

3. Supply placemats and napkins for added comfort.

Well-Equipped Kitchen Design

Kitchens play a pivotal role in guest satisfaction:

1. Maximize counter space while accommodating two cooks comfortably.

2. Install modern appliances complemented by thoughtful lighting (e.g., under-cabinet lights).

3. Fully stock kitchens with necessary utensils; opt for granite or quartz counters as they are more durable than marble.

Functional Bathroom Design


Clean bathrooms are essential:

1. Incorporate vanities with ample counter space alongside coordinating towels and fun shower curtains that add personality.

2. Include large mirrors for practicality.

Efficient Mudroom Design

Mudrooms keep properties organized:

1. Add boot trays for shoe storage along with ample hooks for bags/jackets.

2. Create a closet space designated for gloves/hats.

3. Consider rugs to trap dirt before entering main areas.

Increasing Your Revenue through Thoughtful Design

Designing a vacation rental property involves strategic thinking aligned with enhancing guest experience while focusing on how each element contributes towards an increase in rental revenue potential!

By aligning designs with target markets, reflecting local themes accurately through decor choices—and implementing practical solutions—you can optimize every aspect effectively!

Ready to take action? Join our email list today or visit our landing page to receive a free estimate on your rental property value!

Picture of Brian Lemoine (CEO at Palmaway)

Brian Lemoine (CEO at Palmaway)

Brian has extensive marketing experience in the rental management space, with a proven track record of increasing earnings, over his competitors, for his owners and investors.

Book you vacation now

Download the guide to increase your rental income

Book your vacation now

Download the guide to increase your rental income