Managing Accommodation for London Olympics

Visitors to London during this summer’s Olympic Games can expect to be charged up to three times the normal rate for London Olympic accommodation, despite a sharp increase in the number of hotel rooms available. There are many agencies on the internet that you can use to book your accommodations, based upon your planned dates and requirements. You may want contact them via email before you book, since some of them may have flats not listed on their websites.

The market for long-term accommodation is likely to remain fairly consistent. Reputable estate agents are reminding landlords of the continuing benefits of a long- term corporate tenant, and encouraging them to retain relationships, rather than taking the chance that they may be able to make a short-term gain by serving notice and letting their property out during the Games. The cost of renting a home during the Games is witnessing extraordinary hikes as many homeowners realise the potential of making a mint during the Olympic fortnight. The London 2012 Olympics look set to be a gold rush for homeowners as well as athletes after rental prices for the games fortnight in several of the capital’s Olympic boroughs shot up to 35 times their usual price. People who are thinking to rent Olympic property should be aware that it is a criminal offence to let a London property for less than 90 Days without permission. Landlords will risk fines of up to £20,000 and a criminal record if they do not get planning permission to let during the Olympics.

The shorter-term market is where we are likely to see the greatest challenges, as landlords, agents and accommodation providers look to gain financial advantage from the Games. Stories abound of properties being offered for eye-watering sums, and the increase in costs itself is certainly an area of concern for our clients. It is the search for long-term property, rather than any disruption to the market itself, that is likely to be the problem. Home searches may have to be done on foot, or by public transport, rather than in a car, especially on days when road closures are likely. Estate agents are responding to the challenge by opening at different times and operating longer hours. For the long-term rental market, the Olympics is likely to offer a fantastic legacy in the development of the area around the Olympic Park, which will see areas such as Stratford become more sophisticated, and more attractive to the corporate tenant. The provision of new, cost-effective rental property, coupled with great transport links to the city and Canary Wharf, plus new additions to the infrastructure, will make the eastern side of the city a more attractive location, and increase choice after the Games.

There’s no denying that the Olympic accommodation offers a great opportunity for serviced apartment operators and agents, and most will be asking for higher rates during the Olympics period. This won’t come as a surprise to many: a quick glance at business traveller forums will tell you that most business travellers are prepared to accept a modest increase in rates. However, wise property providers will take advantage of a rare opportunity to show how their product differs from other business accommodation options. Serviced apartments are less likely than hotel rooms to get fully booked during the Olympics period, because they are more geared towards longer stays: operators are more likely to accept longer, corporate stays than short-term Olympics stays which might fetch a slightly higher nightly rate.

Things to Consider Before Renting Your Property

With demand for Olympic accommodation in London during the 2012 Olympics looking set to far outstrip the supply of hotel rooms, there is a huge opportunity for property owners in the capital to market their properties for the event. London is consistently one of the most in-demand destinations, but as it plays host to visitors from around the world for the Olympics, we anticipate demand for London apartment rentals to soar further still, particularly those in close proximity to key Olympic sites and with good transport links to top tourist attractions and sights. In fact, booking enquiries for London properties in July and August 2012 have increased by 695% compared to the same period last year and many owners are already fully booked for the summer. During major sporting events, exhibitions and festivals, property owners typically raise rates from 50% to 200%, depending on the popularity of the event and the location of their property.

Things to consider when renting out your property for short-term holiday lets are listed here. Check the rules relating to short-term rentals in your destination or borough. Check with your mortgage provider that your mortgage allows short-term lets. Check you have appropriate insurance for holiday lets. Ensure your home is safe and complies with regulations concerning gas, electrics, etc. If your property is on a complex or in a block, check the lease allows short term lets. Put items of personal or sentimental value in a lockable cupboard or storage. The size of the properties sought out by event holidaymakers varies depending on the type of group, and to some degree, the type of event. This is good news for owners because you shouldn’t feel limited in your marketing options simply because of the size of your house. Larger, luxury homes could easily accommodate a corporate group or large family, but a two bedroom apartment could house a group of old friends reuniting for Olympics. Even studios would be ideal for a couple on a budget that would prefer to cook their own meals while on holiday and save some money, especially when compared to hotel rooms or larger properties.

Due to the scarcity of accommodation in some cities during special events including Olympics 2012, most hotels and holiday rentals elevate their rates. It’s the simple principle of supply and demand: A large number of holidaymakers seeking a smaller, somewhat fixed number of rooms will drive up prices to a rate that only the most motivated holidaymakers will pay. When setting your rental rate to rent Olympic property, you should first research hotel rates in your area. Keep in mind that your home offers considerably more living space and amenities like a kitchen, big-screen television, etc. that could justify charging slightly more per night than a hotel room. Location is another factor to consider when pricing your home for an event. If your home is within walking distance to the event venue, you can charge premium rates, however if your home is located in the suburbs thirty miles away, you probably can’t charge the same as holiday rentals and hotels right in the thick of the action.

The Internet offers many easy and cost-effective vehicles to drive potential renters to your home for a special event. On vacation rental websites, you pay a flat subscription to advertise your home for a fixed period of time. You then build an advertisement with photos, detailed descriptions of your home, your location, and your amenities. Once your ad goes live, travellers will be able to find your home through the search engines or by going directly to the website itself. An interested traveller can either call you or send you an inquiry through the site that’s then routed to your email address. For more information on renting a property during Olympic 2012, click here accommodation for Olympics 2012.

Insured Property Rentals for 2012 Olympics

The ‘Olympic effect’ was being used as a marketing tool for East London property developments even before London was confirmed as the 2012 venue (in 2005) and this proved to be successful in boosting demand and pricing levels. In 2002, capital values per square foot in Stratford (the main Olympics venue) traded at a 17% discount to Greater London, narrowing to just a 6% discount by 2007. Today, weaker property demand and a general shift away from emerging residential markets has resulted in this discount widening slightly again in Stratford. But as we get closer to the Olympics, activity is picking up strongly in short-term rentals.

A recent survey has revealed that 50% of Brits in the South East who plan to, or have already rented out their homes for London Olympic accommodation are looking to escape the UK for a Mediterranean break. Interestingly the sexes have been divided on what they plan to do during the Olympics. Whilst more men said they’d go abroad while they rented out their property, more women said they’d bunk with friends. Either way, 40% of home owners surveyed said they would be or have already rented out their main residence for the weeks in July and August during which the games take place. However anyone thinking of renting a room for the Olympics faces a long list of legal requirements. There are obligations, finance, tax, insurance, gas certification and other safety issues to consider. For many this can be daunting, and many companies offer a range of services to rent Olympic property.

It is estimated that up to one in three property owners are said to be considering either letting out premises to a visitor or taking in temporary occupiers during the Games. However, many do not realise that this could invalidate their existing insurance policy. Employers who are also landlords that are hoping to make additional income during this summer’s Olympic Games in London could have a nasty surprise if anything happens to the property or its contents. A number of insurance firms have warned people looking to rent out either their residential or commercial premises (including parts such as driveways or car parking areas) to visitors during the sporting extravaganza that they need to check that they have relevant insurance cover in place. The concern is that many people will only realise that they are not adequately insured at the point of making a claim which means that they could end up personally covering the cost of any damage or losses. Therefore, at the earliest opportunity people should be checking their policy and, if necessary, informing their insurance provider if their current cover is not adequate. Both residential and commercial landlords should also ensure that they put in place a lease/licence agreement and seek professional advice from a lawyer to protect their position and ensure peace of mind.

Existing landlords in London and beyond are also considering ways that they can make the Olympics work for them. Prices have become hugely inflated in East London, with many landlords citing the Games as a justification for significant rent increases even in long-term lets. If you have a property in the East End or another affected area and you would like to rent it for Olympic accommodation, you should think carefully before dramatically hiking the rent. As we have previously discussed, rents in London may have found their peak. It may well be counterproductive to force out reliable tenants in exchange for a few pounds a week. As always, flexibility and sensitivity are key to successful rent negotiations. On the other hand, landlords should also be alert to the increased risk of sub-letting. If your tenancy agreement precludes sub-letting, you may wish to remind your tenants of this in order to avoid potential problems.

Renting Olympic Property

You may not be stepping up to the podium at this summer’s Olympics, but if you own a property near one of the Games’ venues, you could still end up a winner. The going rate for a rental property near the Olympic stadium is £2,000 per week for a two-bedroom flat and £3,500 for a six-bedroom house. There have even been reports of one homeowner asking £10,000 a week for his detached house near the Greenwich equestrian centre.

And once the athletes have gone home, the demand for accommodation will remain. With young buyers struggling to reach the first rung of the housing ladder, it’s clear that more and more people will have to rent. The going rate for a rental property near the Olympic stadium is £2,000 per week for a two-bedroom flat and £3,500 for a six-bedroom house. There have even been reports of one homeowner asking £10,000 a week for his detached house near the Greenwich equestrian centre. Internet searches reveal a host of specialist websites to rent Olympic property at a much lower and more competitive price. The luxury rental market looks set to make owners a fortune but demand for the more ordinary home is not as buoyant as expected. Experts believes the problem is that compared to previous Olympics, many more people live close to London’s site and a lot of people are jumping on the bandwagon making supply exceed demand.

As with any money making event, dubious looking websites appear that will be a fly-by-night operation. Just typing ‘Olympic accommodation’ into Google lists a plethora of websites that have been set up to allow home-owners to list their properties, it’s very difficult to work out which you can trust. These websites may be fine to use, but you should always be careful of websites that suddenly pop up with search engine friendly names and are unlikely to be around once these Games are finished. What security do they offer if things did go wrong? Established site like 2012-accommodation have a reputation to protect and will want to ensure things run smoothly and all problems are properly dealt with.

Here are some top tips when renting out accommodation for Olympics. Make sure that you have good photographs that show your property in its best light. If you are renting out an entire property, make sure it is clean before visitors arrive and clear it out of any clutter. Leave clear instructions to visitors on how to use some of the appliances around the house such as the oven and washing machine, to ensure that you will need to be contacted infrequently while the property is being let. Look at other properties that are being listed and price your property accordingly. Take into account the distance to Olympic events and the local area attractions. You don’t want to price yourself too low, or scare people off with sky-high prices. Make it clear in your home description exactly where it is located, how far it is to the nearest transport link and an estimate of how long it will take to get to the stadium and other venues. While the Olympics are at the forefront of many visitors minds, it is important to mention what is in the local area to where your property is – after all, many will want to go sightseeing and soak in the London culture. It is worth asking for a deposit if someone else is going to be renting your property entirely. You should arrange this with the perspective tenant beforehand and should give you some more piece of mind, as tenants will be more likely to treat your property with the utmost care.

Rent property for London Olympics

As the 2012 Olympics draws even closer, London property owners are still being told they can make some quick cash renting out their properties and rooms during the Games. It sounds like an appealing prospect – renting out your house for a month, while the rental money funds a holiday away in the sunshine, or just a good wad of savings cash. But how much will it cost to get your home up to scratch so it is fit for potential renters – and what fees eat into potential profits? Will your mortgage lender allow you to rent your home? Will you need special insurance? What kind of demand is there to rent Olympic property? Which websites can you advertise your property on safely?

Rental prices for renting out rooms, flats or houses are predicted to be sky-high in London during the ‘boom’ time of the Olympics – July to September. A two-bedroom flat in Islington, according to holiday lettings website homeaway.co.uk, could fetch over £3,500 per week, while a three-bedroom house in Newham, where the Olympic park is located, can secure around £2,200 per week. Renting out your London home or spare room during the Olympics could cost more than you might expect, with plenty of red-tape to cross before you can rent. If you want to rent out your home for London Olympic accommodation, you need to tell your insurer. Standard residential buildings insurance will typically exclude renting out your home and even those who live in flats covered by a communal landlord’s insurance policy are likely to find small print that excludes short term lets. If you don’t sort out your buildings insurance and your home burns down, you could find your insurer refuses to pay out. Some insurers are offering temporary cover for the games, but you’ll need to read the small print to see what you are covered for.

If you are going to rent out accommodation for Olympics 2012, or otherwise, make sure you take any valuables along with you and store them away. The period of the let cannot exceed six weeks, the homeowner needs to be claims free and the house cannot be rented by more than two tenants or one family. All insurers differ, so it is imperative you contact yours to make sure you are covered for all possible scenarios, however it is unlikely any will insure you against theft or damage by tenants. There is also the vital aspect of advertising your space. It is important to be wary of unauthorised sites, as many ‘fly-by-night’ pages have been set up around the Olympics. Always check the credentials of a potential advertiser, and ensure your property is correctly and truthfully presented.

The Olympic Games undoubtedly offers the potential for homeowners to make money, and rental price quotes have soared during the summer months. However, it would be wrong to assume it is an easily achievable extra income, as there are a number of hoops to jump through to prepare a property for letting. There is also the personal sacrifice of sharing your home with strangers for a month or alternatively allowing people unknown to you to occupy it. It is important to let your insurer know your letting plans and it will vary depending on which company you’re with and your terms. You don’t want to be facing an insurance nightmare from letting out during the Olympics. Every mortgage provider may be different. It is advisable to contact your provider to gain advice on an individual basis, but it is unlikely that a short-term letting, with some stipulations, will be too much of a problem for homeowners, however, you may find that they refuse permission so don’t make any rental commitments before finding out.