STR...LTR? What does that mean? Though only one letter, it makes a big difference! We are talking short-term renting versus long term renting. In todays market, these two categories of real estate represent opposite revenue opportunities, but you can only choose one.
Short-term renting, also known as vacation renting, alternative stays, or Airbnb-ing, is any home that is rented for 28 days or less. Though, these terms are flexible as there is a demographic of renters who are looking for 3-4 month stays. (Traveling nurses, professors, etc.) Many travelers are using sites like Airbnb, VRBO, Booking.com, and Google Travel to find homes that will rent short term to them. There is no application process or fees, a very simple rental agreement, and flexible arrival/departure dates. Often, travelers are looking for an experience. They want the best bang for their buck while still feeling at home. Often, short term rentals have different amenities than hotels, such as laundry, yards, and full kitchens. All these things are what attract a traveler to a short-term rental.
But why would a homeowner be seeking these kind of "tenants" out, rather than finding a person or family looking to stay for a long time? Often, the answer to this question is a personal one. A home is one of the largest investments many will make in their lifetime. Short term renting is a major way to protect it while also being able to see a return.
For example, when short term renting, you have a cleaner in the home inspecting and maintaining its integrity and cleanliness. Damages are noted and addressed in a timely manner.
Guests are rated on their level of care they give your home, so many treat short term rentals as if it were their own. Guests are also held accountable for damages.
You can also see massive returns on a short term rental. Many owners saw an 8-15% ROI in the year 2022.
Because you would be hiring a management company, you know the yard will be well cared for. No animal poop, obnoxious weeds and over growth, or long term damage is likely.
All of the above are difficult to maintain when renting to tenants. Many argue that having tenants is easier to manage. This is true! But that is where Idaho Vacation Rental Management comes into play! Hiring a property management company takes much of the hassle out of short-term renting, while still protecting your investment and making you money.
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