Owning a holiday home feels like freedom. A place you can escape to on weekends, school holidays, or whenever you need a reset. But most holiday homes sit empty for much of the year while the costs keep going, from council rates to insurance, utilities, and regular upkeep like lawn mowing, pool cleaning, and pest control. And small maintenance issues that become expensive when no one is there to spot them.
That’s why more Australians are managing a holiday rental property instead of leaving it unused. Done well, your holiday home can cover its own costs, generate income, and stay well cared for. And you can still block out dates when you want to use it.
This guide explains how to manage a holiday rental property, what to avoid, and how professional management can help you earn more with less stress.
Market outlook in 2026
Short-term rentals remain a significant part of the travel market. More travellers want ample space, fully-equipped kitchens, and family-friendly stays. At the same time, the market is more competitive. Guests expect prompt replies, clear check-in instructions, hotel-quality cleaning, and great reviews.
Demand is expected to stay strong, especially in major cities and high-traffic holiday regions. Brisbane is also a market to watch long-term, with increased travel demand expected in the lead-up to the 2032 Olympics. BEDA’s State of the City report projects a 41% rise in Brisbane’s experience economy by 2031 in the lead-up to the event.
That means the opportunity is real. But so is the need to stand out.
Why location matters more than ever
Location plays a major role in earnings. For example, managing a holiday rental in Melbourne has brought increased demand in the 2025 financial year, with high-quality and well-presented properties outperforming the rest of the market. In more seasonal markets like the Sunshine Coast, earnings can swing depending on school holidays, weather, and local events. Take a look at the following statistics below:
Even within the same city, results vary based on:
- your suburb and proximity to attractions,
- parking, views, and outdoor space,
- pet-friendly features,
- how well your property is styled and photographed, and
- how consistently it’s maintained.
If you want a clearer picture of your potential returns, professional holiday rental management can help you price to local demand and reduce gaps in your calendar.
Preparing your holiday rental
If you want to manage your holiday rental well, start with the basics. The strongest results come from good foundations. You should:
1. Check the short-term rental rules for your area
Short-term rental rules vary by council and state. Before listing, make sure you understand how Airbnb works in Australia. Focus on:
- registration requirements,
- strata or building rules,
- noise and parking expectations, and
- guest limits and compliance.
2. Set up your property for guest-ready stays
Guests book based on photos, but they review based on comfort, cleanliness, and the small details. Refer to our helpful guide on how to set up a successful Airbnb in Australia for more guidance.
In summary, you should prioritise:
- reliable Wi-Fi,
- comfortable beds and quality linen,
- a stocked kitchen,
- clear house rules,
- safety essentials like smoke alarms, and
- a clean and welcoming feel.
3. Forecast pricing and factor in fees
Your pricing needs to account for:
- Professional cleaning and linen costs,
- platform and hosting fees,
- utilities,
- maintenance, and
- management fees (if you use a manager).
If you price too low, you may stay booked but earn less than you should. If you price too high, you may get gaps that hurt your ranking. Finding the right price for your Airbnb property relies on a dynamic pricing strategy, combining smart pricing tools with professional Airbnb management for better results.
4. Create a listing that converts
A strong listing does three things:
- makes the property easy to understand,
- highlights the best features fast, and
- sets clear expectations.
You should include:
- a clear title with key features (e.g. scenic views, parking, pet-friendly, family-ready),
- professional Airbnb photography and property styling,
- short bullet points for amenities,
- local highlights for guests, and
- clear check-in instructions.
Common mistakes new hosts make
Many first-time hosts start strong, then burn out. Not because the property is bad, but because the systems are not set up to handle the workload.
Here are some of the most common host mistakes to look out for:
1. Setting a static price
Pricing is one of the biggest levers in holiday rental performance. A static nightly rate usually leads to:
- missed revenue in peak periods,
- low occupancy in quieter periods, and
- poor ranking on booking platforms.
Smart pricing changes based on:
- seasonality,
- day of week,
- local events,
- booking lead time, and
- competitor performance.
This is where a strong holiday rental income projection matters. You need more than a “best guess”. You need a pricing approach that adapts.
2. Relying on one booking platform
Many hosts list on Airbnb and stop there. That limits demand. Multi-channel distribution for your property helps optimise your listing by reaching different guest types across:
- Airbnb
- Vrbo and its expanded distribution network, including Stayz, Trivago and Expedia
- Booking.com
- other niche booking sites (depending on the property)
Without proper calendar sync, though, multi-channel can create double bookings. That’s why professional management typically includes tools and systems to manage availability in real time.
3. Underestimating cleaning, upkeep and guest comms
Holiday rentals have frequent turnover, resulting in cleaning, linen, restocking, and inspections between every stay. Add guest communication on top, and that means:
- enquiries before booking
- check-in questions
- late-night messages
- issue resolution
- reviews and follow-ups
For most self-managing hosts, this becomes the hardest part. Airbnb income can be high, but it is rarely passive without support.
How professional holiday home management can help you earn more
If you want better returns without taking on a second job, professional management can make a big difference.
With Hometime, the goal is simple. We help you earn more while keeping your property available when you want to use it.
Better pricing, better distribution, better reviews
Professional management supports higher performance through:
- data-led pricing which adjusts daily,
- multi-platform listings,
- timely guest communication and support,
- consistent cleaning and linen standards,
- proactive maintenance coordination, and
- local hosting support to resolve issues quickly.
All of this helps protect your rating. And your rating affects:
- booking volume,
- guest trust, and
- nightly rates.
Use your holiday home when you want
One of the biggest myths about holiday rental management is losing access to your property. With short-term rentals, you control your calendar. You can block out:
- Christmas,
- long weekends,
- school holidays, and
- last-minute family trips.
You get the best of both worlds: income when you’re not using the property, and a holiday home that stays guest-ready year-round.
Ready to make your holiday home work harder?
Managing a holiday rental property can be rewarding, but it works best when the workload matches the returns.
With professional management, you can:
- earn more through smarter pricing and better distribution,
- keep your property guest-ready minus the admin,
- enjoy your holiday home whenever you like, and
- rest assured, it’s maintained year-round.
Want to see what your holiday home could earn? Sign up with Hometime and get an earnings estimate based on your location and property type.
