Advise on Small Hostel Business in Myanmar

[claire]

Hi,

I need some advise about the plan I'm going to do. I would like to rent small private rooms in my apartment in Myanmar, Yangon. My apartment is at 5th floor and just about 15 or 20 mins drive to downtown area. Walking distance to night market and one of the tourist attractions areas. So of course traveler got to use stair to go 5th floor. However, I will provide airconditioned, bedframe, and moderate facilities for my visitors. What i'm afraid is that visitors will be ok to go 5thfloor using staircase? The price range i'm thinking is about 10USD to 20USD per pax per night.

[claire]

is that possible idea? visitors will be willing to go 5th floor if they are provided with full facilities and low budget for accommodation?

[vangogh]

Welcome to the forum claire. I think it's possible. Not everyone is going to want to climb 5 floors to get to their room, but I would think young people looking for a room for a night or a few days would be more interested in the budget prices than not wanting to climb the stairs. My guess is an older couple isn't going to want to stay in one of your rooms, but I think a 20 something visiting your country and needing a place to sleep would.

Try to think about the type of person who would be willing to climb the stairs for a budget room. That person is a potential customer. Once you identify the type of person you'll be able to refine your marketing to appeal to that type of person. So I wouldn't aim marketing at couples in their 60s, but I would definitely try to get the word out to younger people who probably won't mind the stairs.

I hope that helps.

[Harold Mansfield]

Sounds like you're just renting rooms. It doesn't sound like it has anything to do with being an actual Hostel. I'm guessing as long as you're following your local laws, what's the problem? I don't think anyone can tell you what's required in Myanmar, you'd have to ask Myanmar. I'm sure in some places a mat on the floor is legal and others have fire, safety, and other requirements.

Sounds like maybe you're looking to do an AirBNB or Couch Surfing type of thing.

[Youltorbed]

OK

I don't see any problem. Start by submitting your entry to as many travel websites as possible.

One word of advice though, when offering something like that capitalize on the positives, and don't talk about the negatives so much.

[Margaret]

I think it is absolutely fine. You can get strong returns from short-term let (as you said your apartment in walking distance to tourist attraction areas). There is research on risks and profits of short-term rantal business https://tranio.com/traniopedia/tips/high_yields_on_real_estate_where_to_find_them_and_ what_to_know/. It says that a short-term rental property would make you a stable and high profit – about 5% yield. To minimise risk, you can use the services of professional management companies (this costs 20−25% of the total rental revenue), the expenses will be rewarded with higher occupancy rates