How to change ramp up periods for properties

The Ramping Up Period feature in Forecast in SummerOS helps account for the time it takes for a property to reach full revenue potential after starting or undergoing renovations. This guide will walk you through how to set a ramp-up period, adjust start dates, and modify ramp percentages for your property.

Watch now to get started, or keep reading for step-by-step instructions.

What is the ramping up period?

The ramping up period represents the time it takes for a property to achieve stabilized revenue. During this period, revenue may start lower and gradually increase over a set number of months.

Step 1: Access the ramping up settings

1. Upload your property and go to the Sets tab.
2. Open the Projections tab.
   • Here, you’ll see the monthly revenue projections distributed across 12 months based on market data.

Step 2: Set the start date

1. In the Monthly Forecast section, locate the start date.
2. Click Edit to update the start date.
   • Example: If you expect the property to go live after renovations on February 1, 2025, set the start date to February 2025.
3. Click Save to apply the new start date.

Step 3: Define the ramping up period

1. Set the ramp length:
   • Use the ramp length toggle to select the number of months for the ramp-up period.
   • Example: Choose 6 months if you expect the property to stabilize within half a year.
2. Adjust the starting percentage:
   • Set the percentage of stabilized revenue expected during the first month of the ramp period.
   • Example:
     • 50% means the property will earn half of its projected stabilized revenue in the first month.
     • Increase to 75% if you expect stronger initial performance.
3. Set the escalation percentage:
   • Add a year-over-year escalation rate if you expect revenues to grow annually.
   • Example: A 2% escalation means projected revenue increases by 2% each year.

Step 4: Save your ramping projections

1. Summer Forecast will now adjust the revenue projections to reflect the ramp-up period:
   • Example: If your stabilized revenue is $18,000/month, and you set the first month to 75%, the projection will display $13,500 for the first month of the ramp-up period.
2. Click the Save Projections button to finalize your settings.

Reviewing your ramping up period projections

• The projections tab will display updated monthly revenues based on your ramp settings.
• You can view how each month’s revenue grows during the ramp period and stabilizes at 100% thereafter.
• If needed, reset projections to default market data by clicking the Reset button.

Why use the ramping up period feature?

• Realistic expectations: Accounts for reduced revenue during start-up or renovation phases.
• Custom flexibility: Adjust the length and percentage to match your property’s unique conditions.
• Data-driven planning: Aligns with your financial and operational goals for a smooth transition to stabilized performance.

The ramping up period feature in Summer Forecast provides an effective way to model property performance as it grows to full potential. Use it to set realistic projections and better plan your short-term rental strategies. For more assistance, visit the Help Center or contact our team at support@summeros.com!