4 Reasons Why You Should Employ a Short-Term Strategy

So you’ve done the hard part—you’ve invested in property so you can make more money—woo-hoo! Now, how can you get the most out of your investment? How can you make money easily? Dare I say (nearly) “effortlessly?”

Traditionally, you’d find a long-term renter for your property, but a lot of property owners are beginning to navigate away from this approach. Why? 

When COVID-19 hit, a lot of property owners found themselves in a bad position—they couldn’t kick their tenants out, even if they didn’t pay rent. 

So a lot of property managers are now looking into renting out their property short term. Not to say that long-term renters aren’t beneficial, but the benefits of short-term rentals are (seriously!) too incredible to ignore. 

If you’ve never rented out your property on a short-term basis, now might be the time to start. Here are 4 reasons why. 

You Can Charge More 

When you invest in property, you want to get the most out of your investment. That’s the point, right? 

Well, you can easily charge double when you’re renting out your property for a few days or weeks as compared to a year. Long-term rental strategies inherently limit your earning potential because they force you to charge a set price every month. A solid short-term rental strategy will uncap your earning potential. 

Not only that, but the best guests are the ones who don’t mind paying a higher price. If they’re choosing you over a hotel, it’s usually not to save money. These guests appreciate quality and they’re looking for a great experience. They’ll usually take really good care of your property and leave you a good review. 

So not only can you charge more, but people will happily pay more. 

Of course, with tenants coming in and out so frequently, more maintenance is required. ‘But who does the cleanings in between guests?” — We got you! Our experienced cleaning team comes in between each and every reservation to make your home or condo tidy and turnover the linens. You can read more about the places where we pay a little extra attention in our last blog! Even better, this service comes at no expense to you, the property owner!

Your Property Is Well-Maintained 

Sure, it’s great when you have long-term tenants and you don’t have to worry about keeping your property clean—but that strategy can go both ways. Long-term tenants settle into your property and may not do a great job of maintaining it. In fact, they may damage it with little or no option for recourse on your end. While you may not have to worry about consistent maintenance, you still have to worry about damage, disturbance to the neighborhood...and hope that your tenants are being respectful.  

When you rent out your property short term, your property is frequently cleaned, deep cleaned and maintained to prepare for the next guest. So ultimately, your property will stay in better condition, and years down the road you’ll be glad. 

Personal Use 

One of the age-old advantages of owning vacation rentals is personal use. When you travel, why not save on expenses and stay in your own vacation home!? If you have short-term tenants, this is really easy to do. If your renters are long term, that won’t be possible. 

You Can Adjust Your Pricing 

The market is always in flux, and when your renters are long term, you can’t always take advantage of it. When your renters are short term, you can easily adjust your pricing according to season and demand so you’re maximizing profits. 

Peak seasons are a great time to make more money—you could easily charge 20% - 30% more during the summertime and the holidays. It’s important to think about your price adjustments ahead of time, though, because lots of people will book rooms months in advance, and you don’t want to lose money. 

More Money in Your Pocket 

Ultimately, there are so many perks to short-term rentals, it’s no wonder why property managers are reconsidering their rental strategy. If a long-term tenant doesn’t pay, kicking them out and trying to find a new one is costly and time consuming. If a short-term tenant doesn’t pay, they can’t stay. 

A solid short-term strategy will put more money in your pocket and help you keep your property in great condition so guests will love how they feel in your space for years to come. 

Next Steps 

So, now you’re excited and you really want to implement a short term rental strategy. Now what?

Our goal is to help you form a solid rental strategy so you have maximum occupancy, make as much money as possible, and get amazing reviews. We help with design, staging, listings, cleanings...the works! We take care of everything so you can spend more time doing what you love (while making money, of course).