Your communication strategy matters more in a downturn.

During stable economic periods, many homeowners may not think twice about the day-to-day operations of their short-term rentals. But during times of uncertainty, whether it's a recession, fluctuating demand, or shifts in travel behavior, they pay much closer attention.

As a property manager, how you communicate with your homeowners during these times can make or break their trust in you. Clear, proactive, and empathetic communication isn’t just a courtesy; it’s a strategy. It helps reduce anxiety, set realistic expectations, and reinforce your value as a professional partner.

Here’s a comprehensive guide to how vacation rental property managers can keep communication strong and productive with owners, even when the market feels shaky.

1. Be transparent and honest

• Regular updates: Keep homeowners informed with frequent updates about the market, bookings, and any changes in local regulations or trends. Transparency builds trust and reassures owners during uncertain times.
  
  For example, if local tourism demand dips, don’t wait for owners to ask about their property’s performance. Send an update explaining the trend, how it’s affecting similar homes, and what steps you're taking in response.
• Set realistic expectations: If bookings slow down or if there’s potential for market challenges, communicate this early. It’s better to manage expectations than to have homeowners caught off guard.

2. Provide data-driven insights

• Performance reports: Share regular reports that detail key performance metrics like occupancy rates, average daily rates (ADR), and revenue per available rental (RevPAR). This data will give homeowners a clear view of how their property is performing and can help you make data-backed decisions together.
  
  Numbers tell a powerful story. For instance, instead of simply saying “bookings are down,” show how this month compares to last year and where their property stands versus your portfolio average.
• Market comparisons: Include comparisons to similar properties in the market. This helps homeowners understand where they stand in relation to the competition and whether there are areas that can be improved.

3. Highlight your value as a manager

• Demonstrate efforts: Be proactive in showcasing how you’re adjusting operations to address market changes. Whether it’s adjusting pricing, optimizing cleaning processes, or utilizing new marketing strategies, demonstrate how you’re continuously working to maximize their property’s profitability.
• Showcase technology use: If you’ve implemented tools or systems that enhance efficiency (e.g., automated messaging, dynamic pricing), explain how these innovations are benefiting the property and its performance.

4. Discuss flexible options and strategies

• Pricing strategy adjustments: Be open to adjusting pricing strategies in response to market demand, and be strategic about offering discounts. By showing homeowners how your team relies on dynamic pricing tools to maintain bookings even when demand fluctuates, you can build trust.
• Alternative booking strategies: Discuss the possibility of increasing long-term bookings, offering extended stays, or targeting different traveler personas (e.g., remote workers, local getaways) to boost occupancy.
• Promotions and discounts: If necessary, talk through the idea of offering special promotions or discounts, particularly for off-peak times, to attract guests and maintain cash flow. To provide added value for guests without impacting your daily rate, consider working with local vendors to provide welcome gifts or amenities at the property, or offer complimentary early check-in or late checkout.

5. Prepare for changes and challenges

• Prepare for downtime: If you anticipate slower booking periods (e.g., off-peak seasons or economic downturns), communicate this early on. Share your strategies for maintaining engagement with guests, keeping the property maintained, and ensuring owners are still receiving rental income.
• Crisis communication: Be ready to communicate quickly in the event of unforeseen circumstances, like a natural disaster, a local lockdown, or changes in local regulations that affect short-term rentals. Outline your plan for how you will handle the situation and keep their property safe.

6. Listen to their concerns

• Encourage open dialogue: Invite homeowners to share their concerns or suggestions. This shows you value their input and that you’re working together toward mutual success. Providing a platform for open conversation also helps manage any issues before they escalate.
• Tailored communication: Recognize that every homeowner has different needs and concerns. Tailor your communication based on their preferences, whether that’s frequent phone calls, detailed email reports, or quick text updates.

7. Offer solutions, not just problems

• Proactive problem-solving: If a problem arises (e.g., low occupancy rates, maintenance issues), come to the homeowner with a solution, not just the issue. Whether it’s adjusting the marketing strategy, making improvements to the property, or highlighting their property in email communication, present a plan to solve the problem.
• Cost-saving ideas: In times of economic strain, homeowners will appreciate suggestions for cutting costs without compromising the guest experience. Discuss areas where operational efficiencies can be made (e.g., optimized cleaning schedules, energy-saving initiatives) without affecting the overall quality of the service.

8. Highlight positive feedback and results

• Positive reviews: Share guest reviews and feedback with homeowners regularly. Positive feedback reassures them that the property is being well taken care of and that the guest experience is strong.
• Success stories: If certain properties or strategies are outperforming, celebrate these successes. Whether it’s a property getting excellent reviews or a marketing campaign that’s driving more bookings, make sure homeowners know when things are going well.

9. Set up regular check-ins

• Quarterly or monthly meetings: Schedule regular meetings with homeowners to review the performance of their property and discuss any changes or goals for the future. Whether this is through a call or a video conference, regular check-ins help maintain a strong relationship and keep everyone aligned.
• Seasonal preparation: Before peak seasons, check in with homeowners about plans for the upcoming months, whether it’s preparing the property for more guests, offering new services, or updating rates based on demand.

10. Be empathetic

• Understanding homeowner concerns: Recognize that property owners are facing their own challenges, whether it's financial uncertainty or concern over guest satisfaction. Acknowledge their concerns and show empathy.
• Personalized communication: Tailor your approach to the homeowner’s personality and preferences. Some owners may prefer detailed financial updates, while others may appreciate a high-level overview. Adjust your communication style to build a stronger, more trusting partnership.

Clear communication builds lasting trust

Uncertain economic times can strain even the best relationships, but thoughtful, proactive communication helps property managers deepen trust with homeowners instead of losing it. By being transparent, data-driven, empathetic, and solutions-oriented, you show owners that you're not just managing their property, you’re protecting their investment and partnering for long-term success.

The market may fluctuate, but your commitment to strong communication should remain constant.