If you own a home in Stilbaai, a charming coastal town along South Africa’s Garden Route, you’re sitting on a potential goldmine. Stilbaai, also known as Still Bay, is a popular holiday destination known for its serene beaches, warm climate, and outdoor activities like fishing, hiking, and whale watching. With the rise of holiday rentals as a lucrative income stream, transforming your Stilbaai property into a holiday rental can help you generate significant revenue while covering costs like municipal fees and maintenance. In this blog, we’ll explore how to make your Stilbaai home a profitable holiday rental, dive into relevant market data, and explain why partnering with a trusted management company like Peace of Mind can make the process seamless and stress-free.
Why Stilbaai is Perfect for Holiday Rentals
Stilbaai’s appeal as a holiday destination makes it an ideal location for a rental property. The town attracts a mix of local South African families, retirees, and international tourists, especially during peak seasons like December to January and the Easter holidays. According to tourism data for the Western Cape, the Garden Route saw over 1.2 million domestic and international visitors in 2023, with numbers steadily increasing as travel rebounds post-pandemic. Stilbaai, with its tranquil setting and proximity to attractions like the De Hoop Nature Reserve, benefits from this influx.
The holiday rental market in South Africa has also seen significant growth. Platforms like Airbnb and Booking.com report that coastal towns like Stilbaai have experienced a 20-30% year-on-year increase in bookings since 2021. With average nightly rates for a well-maintained Stilbaai holiday home ranging between ZAR 1,500 and ZAR 6,500 during peak season, the earning potential is substantial.
Step 1: Understand the Costs of Ownership
Before diving into the holiday rental market, it’s important to understand the costs associated with owning a property in Stilbaai. These typically include:
- Municipal Costs: Rates and taxes for a mid-sized Stilbaai home (3-4 bedrooms) can range from ZAR 1,500 to ZAR 3,000 per month, depending on the property’s value and location.
- Maintenance: Coastal properties require regular upkeep due to exposure to salty air and humidity. Budget around ZAR 10,000 to ZAR 20,000 annually for general maintenance, including painting, roof repairs, and garden care.
- Utilities and Insurance: Electricity, water, and property insurance can add another ZAR 2,000 to ZAR 4,000 per month, depending on usage and coverage.
- Other Costs: If your home is part of a homeowners’ association (HOA), you may also have levies, which can range from ZAR 500 to ZAR 2,000 per month.
For a typical Stilbaai home, total annual ownership costs might range between ZAR 60,000 and ZAR 100,000. A well-managed holiday rental can help offset these expenses—and even turn a profit.
Step 2: Estimate Occupancy Rates and Revenue Potential
Occupancy rates for holiday rentals in Stilbaai vary depending on the season, the quality of your property, and how well it’s marketed. Here’s a breakdown:
- Peak Season (December-January, Easter): During these periods, occupancy rates can reach 80-90%. At an average rate of ZAR 2,500 per night for a 3-bedroom home, you could earn ZAR 75,000 over a 30-day peak season.
- Mid-Season (February-April, September-November): Occupancy typically drops to 50-60%. At the same nightly rate, you might earn ZAR 37,500 over 30 days.
- Low Season (May-August): Occupancy can dip to 20-30%, generating around ZAR 15,000 over 30 days at ZAR 2,500 per night.
Step 3: Prepare Your Stilbaai Home for Renters
To maximize your rental income, your property needs to stand out. Here are some tips to make your Stilbaai home irresistible to holidaymakers:
- Create a Welcoming Space: Invest in modern, durable furniture and coastal-inspired décor. Add thoughtful touches like board games, beach towels, and a braai (barbecue) area—Stilbaai visitors love outdoor living.
- Highlight Unique Features: Does your home have a sea view, a pool, or direct beach access? Emphasize these in your listing.
- Ensure Comfort and Convenience: Provide high-speed Wi-Fi, air conditioning or fans, and a fully equipped kitchen. These amenities are often non-negotiable for holiday renters.
- Safety First: Stilbaai is generally safe, but guests will appreciate security features like an alarm system, secure parking, and good lighting.
- Professional Photography: High-quality photos can make or break a listing. Hire a professional to capture your home’s best angles.
Initial setup costs for these upgrades might range from ZAR 20,000 to ZAR 50,000, but they’ll pay off in higher bookings and better rates.
Step 4: Partner with a Trusted Holiday Rental Management Service
Managing a holiday rental can be time-consuming, especially if you don’t live in Stilbaai year-round. This is where Peace of Mind comes in. As a trusted holiday rental management company, Peace of Mind offers a safe and transparent service that takes the hassle out of renting your property. Here’s why they’re the perfect partner:
- Comprehensive Management: From marketing your property on platforms like Airbnb and Booking.com to handling guest inquiries, check-ins, and cleaning, Peace of Mind does it all.
- Transparency: They provide detailed financial reports, so you always know how much your property is earning.
- Safety and Trust: With years of experience and a long list of satisfied clients, Peace of Mind ensures your property is in good hands. References are available on request, so you can hear directly from other Stilbaai homeowners who’ve benefited from their services.