Surf Style Vacation Homes | A Guide to San Diego Property Management

Local ■ Professional

■ Proven Track Record

619.535.6918 1010 Turquoise St Suite 302 San Diego, CA 92109 www.surfstylevacationhomes.com

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TABLE OF CONTENTS 03 → Your Partner in Property Management 04 → Meet the Team 05 → The Surf Style Difference 06 → End-to-End Solutions & Field Experience 07 → Distribution & Pricing 08 → Complete Management of Guest Experience 09 → On the Ground Services 10 → Market & Performance 11 → Fee Breakdown 12 → Preventative Maintenance 13 → Testimonials

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YOUR PARTNER IN PROPERTY MANAGEMENT Your Success is Our Success: At Surf Style Vacation Homes, we focus on one product – San Diego County property management.

100% of Surf Style’s business is dedicated to property management. We founded our company to provide exceptional property management services that prioritize your success.

Our Commitments: ✓ Maximizing Your Investment: We are dedicated to maximizing the value of your real estate investment while ensuring your property is well-maintained.

✓ Partnership Mentality: Our approach goes beyond day-to-day operations.

We aim to build long-term relationships based on trust and shared goals.

✓ Expert Advice: Our experienced professionals offer cost-effective recommendations to enhance your property's appeal and implement creative strategies to maximize revenue.

✓ No Expense Markups: Our aim is to keep expenses low for our homeowners; expenses incurred from third-party vendors and retailers is the cost we pass on to you with no additional mark-up fees.

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MEET THE TEAM Local ■ Professional

■ Proven Track Record

Cheri

Cassie

General Manager

Reservations Manager

Dana

Vare

Operations Coordinator

Area Field Manager

Farrah

Chase

Office Administrator

Area Field Inspector

Your Support Team • Office staff available M-F from 9-5 (619) 535-6918 • After hours emergency support line available outside regular business hours (619) 780-4100 • Available for meetings in our office, your home or virtually upon request

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THE SURF STYLE DIFFERENCE Industry Standard

SelfManaged

Managing Your Property Owner login to our web-based reservations system

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Monthly owner statements & disbursements

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Reservation management & hands-on dynamic pricing

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Manage city licensing, quarterly, quarterly reports & 1099s

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Local consults for interior design & home set-up

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Advertise homes on 18+ booking platforms

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Insurance & damage protections

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Supervise contractors & vendor appointments

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Inspections after each guest departure

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Annual preventative maintenance

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Devoted maintenance team with the best rates offered

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Pest control, landscaping, carpet cleaning

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Maintaining Your Property

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END-TO-END SOLUTIONS & FIELD EXPERIENCE We combine years of maintenance & market experience in San Diego with thoughtful technology integrations to leverage data to achieve operational excellence and maximize your property’s potential ROI.

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DISTRIBUTION & PRICING MARKETPLACES Heavy investment in the largest online marketplaces means ideal placement for your home among search results. Our Marketing team takes a proactive strategy, anticipating industry shifts and

investing early in up-and-coming marketplaces to stay ahead of the curve.

PRICING Surf Style implements a dynamic variable range pricing model. This fluid pricing scheme is rooted in supply and demand economics - where prices are crafted contingent on the individual customer and market variables.

We focus on maximizing REVPAR—revenue per available room night— to generate the highest potential yield on your home, with sensitivity to risk tolerance. Higher quality guests can accommodate more flexible pricing, while lower quality guests require higher levels of screening.

RISK TOLERANCE While it is our goal to maximize REVPAR, individual pricing strategies will also account for the owner’s opportunity cost of renting their home and maintaining appropriate risk/return tolerances.

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COMPLETE MANAGEMENT OF GUEST EXPERIENCE BEFORE STAY ■ Manage lead pipeline for new guests ■ Property level detail & instructions provided to the guest ■ Ensuring the property is guest-ready (linens set, fully stocked supplies, lights working, plumbing maintained, HVAC set, etc.)

■ Guest support team available to answer any questions the guest may have upon arrival (entry instructions, parking inquiries, etc.)

DURING STAY ■ Guest Services staff available 7 days a week for general assistance ■ Enforce all rules and policies ■ In-house local team to troubleshoot any problems prior to enlisting vendors ■ Liaison with specialized area vendors and contract labor as needed or requested ■ Itineraries available to enhance the guest experience with recommendations for surf lessons, yoga sessions, private chefs, and top San Diego restaurants

AFTER STAY ■ Manage housekeeping—scheduling, quality control & special requests ■ Identify any maintenance issues, initiate work orders and see through to resolution ■ Retrieve lost items ■ Solicit guest feedback and respond to reviews promptly

■ Prepare and deliver monthly owner statements

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ON THE GROUND SERVICES MAINTENANCE & HOUSEKEEPING ■ Surf Style team consists of expert Property Specialists ■ Emphasis on immaculate and inviting properties for guests ■ Maintenance team focuses on upkeep, timely repairs, and proactive maintenance ■ Housekeeping partners ensure high hygiene and presentation standards

DESIGN & FURNISHING ■ Focus on inviting, comfortable, and aesthetically pleasing spaces ■ Emphasis on creating a memorable guest experience ■ Utilize interior designer contacts

OTHER NOTABLE SERVICES WE MANAGE ■ Trash Collection ■ Pool & Spa Service ■ Window Washing ■ HVAC Repairs & Maintenance ■ Plumbing Repairs & Maintenance ■ Carpet Cleaning ■ Landscaping Services ■ Keypad Installations ■ Internet & Cable Installation and Troubleshooting

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MARKET & PERFORMANCE VACATION RENTAL MARKET OVERVIEW

A TRACK RECORD THAT SPEAKS FOR ITSELF

Daily and weekly rentals of wellfurnished properties to tourists

Surf Style consistently outperforms the competition with 10-15% higher occupancy rates. This speaks volumes about Surf Style’s ability to attract and retain guests, setting it apart as a leading force in the vacation rental markets that we serve.

I.

STATE OF THE MARKET

The overall space is expanding rapidly, while undergoing dramatic changes in the face of local regulation and shifting consumer demand. With record high inventory levels and nuanced regional markets, the stark competition requires industry knowledge and experience to set up your home for success.

II. KEYS TO HOMEOWNER SUCCESS Set high standards, deliver a consistent/quality vacation experience, be flexible, tolerant, & accommodating.

Be open to suggestions & potential upgrades to optimize rental positioning.

RevPAR LTM Market

Surf Style $-

$50

$100

$150

$200

$250

III. ADVANTAGES ■ Substantial income out of an otherwise idle asset ■ Potential tax benefits

2023 Average Occupancy

■ Maintain use of your investment ■ Personal use of the property ■ Less deferred maintenance ■ Overall higher revenue then marked rent ■ No realtor fees or downtime between tents

Market

Surf Style 0%

10%

20%

30%

40%

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FEE BREAKDOWN Fee Type

Costs

City of San Diego STRO Registration (short term vacation homes) *Surf Style will assist application and renewal processes

STRO Application Fee: $25-70 License Fee: $100-$1000 (fee determined by Tier)

City of Encinitas Vacation Home Registration (all Encinitas homes)

$425

VRBO Annual Subscription (fiscal year renewal)

$599

Annual Linen Package (fiscal year renewal)

Varies-based on: # beds & # guests

Handyman Services (as needed)

$65/hour

Trash Service (as needed)

Average $50 per month

Professional Photos

Daytime 0-999sq ft: $159 Daytime 1,000-1999 sq ft: $179 Daytime 2,000-2,999: $229 Twilight: $350+ Drone: $249

Management Fee

20% Short-Term 10% Monthly 7% Long-Term

Fees and rates are subject to change, Surf Style will notify owners of all relevant changes

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PREVENTATIVE MAINTENANCE We understand having a great vacation rental means implementing a robust preventative maintenance plan. Not only does our team inspect homes after each checkout, we ensure your home is maintained in top condition by conducting annual preventative maintenance.

MAINTENANCE PERFORMED ✓ Clean dryer vents ✓ Clean fridge vents ✓ Descale dishwasher ✓ Test & update smoke alarm ✓ Test & update carbon monoxide detector ✓ Clean microwave filters ✓ Clean & sanitize drains ✓ Service tankless water heater ✓ Sweep woodburning fireplaces ✓ Service gas fireplaces ✓ Roof inspections ✓ Perform backflow service ✓ Seasonally turn on/off heater pilots ✓ Service HVAC units

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HEAR WHAT OUR OWNERS HAVE TO SAY

“

This was our first rental experience and I’m so glad I went with Surf Style. Our house looked better when we got back than when we left it! ” -Cristine S.

“

Surf Style is great at managing vacation rentals. They boosted income and lowered expenses at my rental home in Mission Beach and turned it into a successful year-round rental deposit being a remodeled 75+ year old home.

They always deliver on the income numbers and I have been referring them business for 5+ years now.”

-Robert B.

“

We have had an excellent experience with Surf Style: they have been very responsible and communicative; they have handled all issues in a very professional manner and have rarely needed to contact us; our reviews have been consistently excellent, both regarding the home as well as the service and communication provided by Surf Style. We feel fortunate to be working with them and recommend them highly.”

-Richard G.

“

I have been with Surf Style for over 2 years, for my rental property in La Jolla shores. Nick and his staff do a great job! They have very good repair people and they respond to any issues in a timely manner. The cleaning people do a good job, and communication is never a problem. I highly recommend Nick and his team!”

-David W.

Local ■ Professional

■ Proven Track Record