Running a vacation rental can be a rewarding business, but it also comes with costs—from cleaning fees and maintenance to utilities and software subscriptions. Fortunately, there are practical strategies to reduce expenses without compromising guest experience or property quality. Here’s a guide for vacation rental hosts looking to save money while keeping their rentals competitive and profitable.
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1. Shop Vacation Rental Software Deals
One of the easiest ways to cut costs is by taking advantage of discounts on tools that streamline your operations. Booking platforms, channel managers, dynamic pricing tools, and guest communication software are essential, but their subscriptions can add up quickly. Keep an eye out for vacation rental software deals to access software at lower rates. Bundling software or taking advantage of seasonal promotions can help you save hundreds or even thousands of dollars annually.
2. Optimize Energy and Utility Use
Utilities are often one of the largest recurring expenses for hosts. Small changes can make a big difference:
Smart thermostats justify their cost within 2-3 months for most properties:
- A Nest or Ecobee runs $150-250 installed, but setting your AC to 78°F when empty versus 72°F when occupied saves roughly $30-50 monthly in warmer climates
- The scheduling feature means you can cool the property down two hours before check-in rather than running it full blast for the entire vacancy gap
- Some hosts report 15-25% reduction in annual HVAC costs just from automated vacancy adjustments
Water heating is the silent budget killer nobody talks about:
- Tank water heaters keep 40-50 gallons hot 24/7 whether anyone showers or not
- Dropping temperature from 140°F to 120°F saves approximately 6-10% on water heating costs and guests genuinely cannot tell the difference
- For properties with frequent vacancy gaps, a smart water heater controller ($80-150) can drop to vacation mode automatically between bookings
The lighting math people skip:
- A typical 3-bedroom rental might have 30+ bulbs running several hours daily
- Replacing incandescent with LED saves roughly $3-5 per bulb annually
- Across 30 bulbs, that is $90-150 yearly from a one-time investment of maybe $60
3. DIY Where Possible
While hiring professionals is sometimes necessary, doing certain tasks yourself can reduce costs. Simple painting, landscaping, or minor repairs can be handled by hosts with basic tools and time investment. Even small maintenance savings can add up, especially if you manage multiple properties.
Repairs worth learning yourself (with approximate handyman costs you would save):
- Running toilet fix: $75-150 service call vs $12 flapper replacement you install in ten minutes
- Leaky faucet washer: $80-120 service call vs $5 part and a YouTube tutorial
- Clogged garbage disposal: $100-175 service call vs usually just an Allen wrench reset that costs nothing
- Drywall patch between guests: $100-200 per hole professionally vs $15 patch kit that handles multiple repairs
- Replacing light fixtures or ceiling fans: $80-150 labor vs straightforward swap if you follow instructions
Where the DIY line should stop:
- Anything involving your electrical panel or new circuit wiring
- Gas line work of any kind
- Plumbing beyond simple fixture repairs
- HVAC repairs beyond filter changes and basic troubleshooting
- Roof work or structural issues
The risk calculation matters here because a botched electrical repair that causes a fire or a gas leak that injures a guest costs infinitely more than whatever you saved avoiding the professional. But probably 60-70% of common rental property issues fall into the learnable category.
4. Negotiate with Service Providers
Cleaning, landscaping, and maintenance services often allow for negotiation, especially if you’re a regular client or managing multiple units. Ask for discounts for bulk services, off-peak scheduling, or recurring contracts. Even a small percentage off per visit can result in substantial annual savings. Most hosts treat their cleaner’s rate or landscaper’s quote as fixed numbers when these are actually negotiable relationships where your leverage increases over time. Service providers value predictable, reliable clients more than one-off jobs at higher rates, and once you have established yourself as easy to work with, asking for adjusted pricing is completely normal.
What gives you negotiating leverage:
- Consistent volume: “I can guarantee you 8-12 cleans per month year-round” is worth a lower per-clean rate to most cleaners.
- Schedule flexibility: Offering your cleaner first choice of time slots or letting your landscaper batch your property with nearby clients saves them time, which has value.
- Prompt payment: Paying within 24 hours of service completion rather than waiting until you feel like it makes you a preferred client.
- Longevity: After 6-12 months of reliable work together, asking “is there any flexibility on the rate for a long-term client” is reasonable.
Realistic savings examples:
- Cleaning: Moving from $120 per turnover to $100 through volume commitment saves $400+ annually at just two turnovers per week.
- Lawn care: Annual contract at $150/month vs per-visit billing often saves 15-20% over the year.
- Pool service: Bundling chemical supply with maintenance instead of buying separately typically saves $30-50 monthly.
5. Buy in Bulk and Reuse Supplies
Stock up on essentials like toiletries, cleaning products, and kitchen staples in bulk. Not only does this lower unit costs, but it also ensures you don’t run out of supplies during busy periods. Look for deals at wholesale retailers or online subscription services that offer discounts for recurring orders.
The per-unit cost difference between retail and wholesale purchasing is significant enough that ignoring it means choosing to spend more money for the same products. And the throwaway habit most hosts develop—replacing items that still work because replacing feels easier—compounds the waste.
Bulk purchasing math that matters:
- Toilet paper: Retail 12-pack averages $0.80-1.00 per roll vs Costco 30-pack at $0.50-0.65 per roll.
- Hand soap: Individual bottles at $3-4 each vs gallon refill at $15-20 that fills 8-10 dispensers.
- Trash bags: Box of 40 at retail for $12 vs box of 200 from restaurant supply for $35.
- Cleaning supplies: Concentrate bottles from janitorial suppliers dilute to 10-15x the product at roughly 60% less cost than buying ready-to-use retail bottles.
The reuse mindset shift:
- Glass soap dispensers refill indefinitely rather than throwing away plastic pump bottles constantly.
- Dishes with small chips that do not affect function stay in rotation rather than getting replaced for aesthetics.
- Linens with minor stains become cleaning rags rather than trash.
- Slightly worn towels move to the “pool towel” or “pet towel” category rather than the garbage.
Where to actually buy:
- Costco Business Center (different from regular Costco, more commercial products).
- WebstaurantStore for cleaning supplies, trash bags, food service items.
- Amazon Subscribe & Save for consumables with predictable usage rates.
- Local restaurant supply stores often sell to the public at contractor pricing.
6. Keep an Eye on Insurance and Taxes
Insurance is necessary, but coverage can often be optimized. Compare quotes from multiple providers and review your policy annually to ensure you’re not paying for unnecessary coverage. Similarly, stay on top of property tax assessments—mistakes happen, and sometimes a reassessment can lower your annual tax bill.
These two expenses feel fixed and administrative so hosts tend to set them up once and then ignore them for years, which almost always means overpaying. Both deserve annual review because the potential savings justify the time investment.
Insurance optimization:
- Getting 2-3 competing quotes every 18-24 months keeps your current provider honest on pricing.
- Coverage levels you needed when starting (higher liability limits because you were nervous, replacement cost coverage on items you have since replaced) might not match current reality.
- Bundling your rental property with other policies sometimes unlocks discounts you would not get on standalone coverage.
- Some hosts find switching providers saves $200-500 annually for equivalent coverage.
Property tax assessment errors are more common than you think:
- County assessors make mistakes on square footage, room counts, property classification.
- Comparable properties used for valuation might not actually be comparable to yours.
- Recent improvements by previous owners sometimes get double-counted or incorrectly attributed.
- The appeal process varies by location but typically involves filing paperwork showing the error with documentation.
How to check for tax assessment mistakes:
- Pull your property record from the county assessor website.
- Verify square footage matches your actual property (measure if uncertain).
- Confirm room and bathroom counts are accurate.
- Look at the comparable properties used for valuation and check if they are genuinely similar.
- If anything seems wrong, the appeal process usually costs nothing but time.
7. Time It
Buying items when you need them means paying whatever the current price happens to be, while buying during predictable sale cycles means getting the same items for 20-40% less. Rental properties need constant restocking and occasional furniture or appliance replacement, so timing these purchases saves meaningful money over a year.
Predictable discount windows:
- January and July: Linens, towels, and bedding during white sales
- September-October: Outdoor furniture clearance as stores make room for holiday inventory
- November (Black Friday/Cyber Monday): Electronics, smart home devices, small appliances
- Holiday weekends (Memorial Day, Labor Day): Mattresses and large furniture
- End of month: Appliance floor models when salespeople push to hit quotas
Stocking strategy:
Watch for Costco instant rebates on items you use regularly and stock up during those windows
Keep a running list of items that need replacement soon so you can wait for sale windows rather than buying urgently at full price
Buy backup supplies before you run out rather than emergency purchasing at retail when you suddenly need something before a guest arrives
Final Thoughts
Saving money as a vacation rental host doesn’t mean cutting corners on quality—it’s about working smarter. From leveraging software deals to optimizing utilities, negotiating with service providers, and automating processes, there are multiple ways to reduce expenses while improving efficiency and guest satisfaction.
By applying these strategies, hosts can maintain profitable operations and ensure their vacation rentals remain competitive in an increasingly crowded market. The key is to prioritize savings that enhance both your bottom line and the guest experience.