Editor’s Update 2023: Jia-Li is now a volunteer with Arizonans for Responsible Tourism. Learn more about AZRT here.
Jia-Li Delgado was once a high-powered executive in the mortgage industry. After a long career with Wells Fargo, she took a position as the vice president of operations with a prominent asset management group based out of Scottsdale, Ariz, relocating there with her then seven-year-old, Assata.
Just two years later, that company went out of business, leaving Jia-Li in a city where she knew few people and had no support system, with a young daughter at home, no job and no income.
In that moment, she felt utter despair. “Never having had an anxiety attack, I literally thought I was having a heart attack,” Jia-Li said. “It was total darkness and a sadness and fear I have never felt.”
Uncovering a new path in short-term rentals
She spent several months applying for similar jobs, but opportunities were few and far between. As her funds dwindled, she realized she needed a different way to support her family. It was then she remembered a trip to San Diego a few years prior in which she, Assata, and her older son, Manny, stayed in a short-term rental. She thought back to how happy she was with the personal touches offered by her host and how they made her feel so appreciated and welcomed.
She got in touch with the short-term rental owner in San Diego and peppered her with questions on how she got started, how she managed the details, and how she ran her business. The more she listened, the more convinced she became that this was the solution she needed and that she had what it took to be successful. Not long after that call, Jia-Li took the ultimate leap of faith and started her business, Palacio Properties, with three STRs.
That was just two years ago. Today, she manages 19 homes. In each of them, Jia-Li creates luxury surroundings for her guests, the majority of whom are vacationing in Scottsdale. As she wrote on her website, “We wanted to solve traveler’s demands for comfortable high-end accommodations in prime locations with the added home-like feel.”
Read more: Linda Curry: Setting the standard for Arizona short-term rentals
Optimizing short-term rentals for happy guests – and happy neighbors
Jia-Li knew from the beginning that in order to grow on her own, she needed processes that grow alongside her without losing her personal touch. She automated as many processes as possible, such as reservations, housekeeping, and check-in/checkout. This promotes a seamless transaction, which in turn, creates a happy guest.
A cornerstone scalable process Jia-Li instilled from the start is her good neighbor policies and systems to make sure her neighbors are just as happy. Her proprietary guest vetting process includes background checks, social media activity monitoring, and identity verification via Ring doorbell cameras. Her reservation agreement and house rules include quiet hours and occupancy limits with stiff fines and/or immediate cancellations for violations, all monitored by Ring and noise monitoring devices.
She provides a hotline for neighbors and building management as well as enforcement by an on-call field manager never more than 20 minutes away. To this day, Jia-Li has received zero complaints from neighbors.
Download Rent Responsibly’s Good Neighbor Guide to Preventing Nuisance Issues >
On the rare occasions guests have attempted to sneak parties past her rules, they have been caught every time before or at check-in before they became a nuisance to neighbors. “We have even had a bad review from one person actually complaining that we ruined her party since we kicked them out,” Jia-Li said. “Although it was a bad review in her eyes, we actually like the review because good guests will know they are not renting in a party area and bad guests know they will not get away with being sneaky.”
The unexpected return of short-term rentals
Outside of those rare exceptions, guests love Jia-Li’s warm hospitality, and she feels fortunate to have hosted people from all over the world. She treasures the relationships she has established that keep many of these guests coming back to her over and over.
Looking back, Jia-Li said there wasn’t a specific moment where she knew she had made the right decision to go into short-term rentals. “STRs felt right from the beginning, but the feeling of security is a daily struggle,” she said. “I think I was more about taking the right steps, making the right choices, to taking care of my family, and as long as I felt the step I made next was getting me closer to not being homeless, then it was a good day.”
While she works hard and it feels like her days never end, she finds an intrinsic satisfaction in the short-term rental business that she didn’t have in corporate America. One of the things she loves most is the freedom she now has. “I can take my princess to school and pick her up,” she said. “I get to meet great people, be there for my kids, and work in my PJs.” One of her happiest memories was being able to see Assata and Manny smile when she was able to get them Christmas gifts.
Read more: STR Manager Sara Alper Speaks Up for Entrepreneurs in Sedona
Perhaps most importantly, Jia-Li feels grateful that she has created a legacy for her children. After the sudden end to her traditional career path, she refuses to let the same thing happen to them. Palacio Properties ensures that they will always have jobs and financial security, and that knowledge brings her an incredible peace of mind.
Despite the initial hardship that put her on this path, Jia-Li asserts her experience is not one to be pitied, nor is it unique. “I am one of millions who have been through major struggles, one after another, and fight every single day to make it,” she said.
Even with 19 units under management now, she doesn’t make near the income she did in the corporate world. She is working toward that, but the progress is slow and, at times, painful. “I work 24/7,” she said. “It’s a commitment for sure, but my goal isn’t to be rich; My goal is to leave something behind for my kids. That makes it worth it.”
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