Short term vs long term; What’s the difference?
You may be thinking about which lettings solution would work best for you. From renting your property for less than 3 months or 6 months or more there is a lot to consider.
Short term lettings are on the rise, so many are asking about the advantages and disadvantages of them. If you are a tenant, you might also want to know which solution would work best for you, the differences between them, and where property management companies might come into play. This short guide will cover their questions that might be on your mind.
Short term
Short term lettings are people staying in an area for less than 3 months. The guests usually consist of businesspeople working elsewhere, family visiting their kid at boarding school or holiday travellers staying for a week. Short-term let’s allow guests to stay in serviced homes, with bills, maintenance and Wifi all taken care of. They are much spacious and comfortable than staying in hotels which allows you to make yourself at home and also they are more cost-efficient than hotels.
Experience shows that as a property owner, you can also earn more with short term letting.
Short-let management companies, such as Guestlee, allow property owners to not worry about legal requirements that have to be considered when letting out a Buy-to-Let Property, and there are no HMO certificates or gas safety certifications.
however, short-term lettings appear to be more hassle. You will have to manage frequent visitors, clean-up after each guest more often, and take care of bills and maintenance. Luckily, GuestLee takes away all that trouble for you, creates your listings, cleans up after your guests, offers 5 stars hotelier services to your guest, and provides them with peace of mind knowing there is also someone available 24/24 to take care of your guest.
Long-term
Investing in and managing long term rentals by owner can be associated with a unique set of challenges that are worth noting. First, the stability in cash flow is offset by a generally lower earning potential, in comparison to short term rentals. This is because it is usually not feasible to charge premium rates for long term stays, while travelers are often more inclined to pay higher rates if they are only staying for the weekend. In addition, especially during the off-season, it may be more difficult to find longer-term tenants; owners should plan ahead for longer vacancy periods. Finally, because guests will stay in the property for longer stretches of time, personal use of the property can become limited at the time.
