Overview
Buyers considering a property purchase in Whistler typically want to understand the revenue potential. Unfortunately, the financial statements may lack information and may leave questions unanswered. This is why your realtor cannot give you a solid answer; they don’t have all the information. However, they can refer you to a rental manager who can help fill in the details, so that you have more information from which to make your decision.
In comparison, the financial statements provided for phase 2 condos in the Four Seasons, Westin, and Pan Pacific provide all the relevant information. A phase 2 is considered business income, and these are extremely well-run operations. Not all phase 2 owners provide such detailed financials. Lodging Ovations, who manage First Tracks Lodge and the quarter-share properties at Legends and Evolution, also provides detailed financials.
The rental income statements are private documents belonging to the seller, and they may or may not be willing to share them with a potential buyer. Below are the questions most often asked. However, if you are thinking of a Whistler property as an investment that you will not use for personal use, please read the Investment page on this site.
Determining Nightly Rate
The variables in determining a nightly rate are:
- is the unit ski-in ski-out?
- ease of getting to the slopes?
- how modern is your unit?
- condition of the soft and hard contents?
- private hot tub or communal?
- competition from other owners?
- distance from the Village?
Owner Use
When considering the purchase of a rental unit in Whistler, it is essential to determine the intended usage. Are you going to use it for you and your family, with no rentals? Will you rent out the property on occasion? Is this a rental propert,y and the family will work around the bookings? This discussion should be had early on with your realtor who will inform you of any tax implications of your intended use.
FAQ
Projected annual gross revenue range is $45k – $50k with an occupancy range of 50% to 68%. Many variables must be considered, including location, facilities, and owner usage.
Projected annual gross revenue range is $84k – $100k with an occupancy range of 40% to 68%. Many variables must be considered, including location and owner usage.
Projected annual gross revenue range is $95k – $150k with an occupancy range of 46% to 68%. Many variables must be considered, including location and owner usage.
Projected annual gross revenue can range from $360,000 to over $600,000, with an occupancy of 40% or more. Many variables, including ski-in ski-out location and condition, and the quality of the home and its contents.
Recently renovated and upgraded units earn a higher nightly rate. Guests typically want to rent modern units. Soft furnishings are as important as the condition of the furniture.
All things being equal, yes, a private hot tub will command a higher nightly rental rate.
1) Ski-in ski-out location, 2) walk or bus to the slopes, and 3) village.
1) Village location. 2) Any location where the property has access to a swimming pool.
Most Whistler rental companies have an availability calendar for each property, which shows the nightly rate.
The revenue figure could be considered a report card for how well the rental management company has performed. In addition, the financials are private documents belonging to the owner. Owner usage needs yo be disclosed for the revenue figure to make sense, and the owner may not want that disclosed.
This is private information and belongs to the seller. It is the seller’s prerogative to reveal the revenue information.
Yes. The Four Seasons, the Westin, and the Pan Pacific are condo hotels with phase 2 zoning, and they provide full revenue reports. They operate as a business income.
Yes, depending on the property’s zoning. Self-management is supported by local cleaning companies who understand that you are running a business.
Yes, in Whistler, you need a municipal business license, and you also need to register with the BC Short Term Registry.
If you think I would be a good fit to work with you and your family, and you are not already working with a Whistler realtor, please contact me. My name is Marion Anderson, and I help people buy real estate in Whistler.
Marion
Marion Anderson Personal Real Estate Corporation
Sutton Group-West Coast Realty, Whistler
marion@marionanderson.com (604) 938-3885