The Property Manager's Glossary

Entering the world of short-term rental and property management can be fascinating, but also a little overwhelming, especially when you are faced with many technical terms and complex concepts. With the aim of bringing order to this sea of words and providing clear guidance for newcomers, we have created an essential glossary for property managers. 

Here we will expose the terms that we consider essential to begin to successfully explore this fascinating world:

  1. Dry coupon

The flat tax regime represents a tax option that simplifies the taxation of short-term rentals. This system replaces the IRPEF and related surcharges with a fixed tax calculated on the income of the property. This simplification can be advantageous for owners of properties intended for short-term rental.

  1. Home Launch

The House Launch is a crucial process that goes from the signing of the contract to the arrival of the first guest. It includes activities such as checking the apartment and supplies, creating advertisements on online platforms and creating eye-catching photoshoots to attract potential guests.

  1. Lead Time

Lead Time represents the time interval between a customer's booking and his actual arrival at the property. This concept is fundamental for operational planning and reservation management.

  1. Short rental

Short-term lets refer to renting property for periods of less than 30 days. This type of rental can be categorized in two ways: Holiday Home (CAV) and Tourist Rental (LT). The Holiday Home is an extra-hotel structure, while the Tourist Rental is the provision of a property without additional services.

  1. Online Travel Agency (OTA)

OTAs are online platforms that connect guests with accommodation facilities. These digital agencies offer up-to-date information on accommodation availability and rates.

  1. Dynamic Pricing

Dynamic pricing is a strategy that involves updating rates in real time. This approach is based on factors such as market demand, seasonal events and other elements that can influence prices.

  1. Property Management Software (PMS)

A PMS is software that facilitates the management of real estate properties. It includes features such as reservations, check-in/check-out, rate management, maintenance and financial reporting.

  1. Property Managers (PM)

The Property Manager is the key figure in the management of short-term rental properties. This person coordinates all activities related to the rental, from launching the advert to managing cleaning and customer service.

  1. Rent-to-Rent

Rent to Rent is a business where you rent a property and then sub-let it to others. This formula requires the contract to be a Management Mandate Without Representation, i.e. a contract in which the rental manager takes care of the daily activities of the rental, but does not legally represent the owner. The manager makes money from the difference between the rent paid to the owner and the higher rates for sub-tenants.

  1. RevPAR

RevPAR is a financial indicator used in the hotel industry to evaluate the performance of accommodation facilities. It represents the average income generated by each available room.

  1. LEAF management

LEAF management includes four crucial aspects in real estate management: Legal, Economic, Administrative and Fiscal. These areas cover all key aspects of property administration and management.

Short-term rental and property management can seem complex due to the many technical terms involved. This glossary offers clarity and guidance to those venturing into this area. With this solid foundation, you will be more confident in meeting the challenges and opportunities of this ever-evolving field.