Financial Differences between Short and Long Term Rentals I

Which is best for the home owner will always be best determined by the homeowner themselves and not the home owner across the street or across the country. Old school neighbors and friends will push their own opinions based on their experience. Our millennial friends and family will naturally gravitate to the newest school of thought. It is pretty easy to figure out if short term or long term are best for the home but this doesn’t mean that it is best for the homeowner.

Sure we want to be real estate barrens but then we have to consider the home. Homes in areas that are frequented by tourists will do better than homes in more rural settings.

Houses in Chicago will get more hits and therefore more short term rentals than the same house in Buffalo.

People that seek out short term rentals are generally looking for convenience to local attractions or are interested in a unique experience. A large Teepee in the dessert, a boat on the San Francisco Bay are perfect for short term rentals.

A house in suburban St. Louis seems like a better idea for a long term rental.  It is not always the desire of the home owner. Sometimes it is dependent on the unique quality of the residence. The more unique the better and the more the home owner offers the guest the better. Satisfied guests return to the same house as much as 25% when they feel their needs were met or exceeded. Guests have been known to book a house 3, 4 and 5 years in advance.