Higher rents for short-term rentals are attractive to many landlords, who believe that they will make more money in this business. To be successful, however, landlord should consider the following:
There is a higher cost to make your property a short-term rental. The property must be tastefully furnished and be supplied with utilities and internet service. The rental must be marketed continuously. In between guest stays the property must be cleaned and bed linens must be washed and changed.
Short-term rental fees generally are much higher than long term rentals. Short-term guests are less tolerant to any interruptions in their customer experience and therefore places a higher demand on the landlord.
The short-term rental market is more prone to interruptions in the economy than long-term rentals. This was demonstrated by the Covid pandemic when people were afraid to travel. During the pandemic there was in uptake for long-term rentals as people tried to find properties offering more space.
Not every location is suitable for short-term rentals and Maricopa owners are mainly relying on rentals during the non-summer months with the property remaining vacant during the summer. The lack of income during the long summer in Maricopa may cancel out any profits made during the winter. You still will be required to have the property maintained during these months.
Long-term rentals offer a better option. First, you will spend less money getting your property rent ready since you do not have to provide furniture. Using a quality property management company, you’ll get your property marketed correctly and your prospective tenants properly screened. Your long-term tenant will provide you regular income to meet all the expenses associated with renting out your unit.
Most important, you haven’t got the stress of having to manage the property between short term guests. Also, the less frequent tenant turnover means less expenses on management fees, lower costs on advertising, and generally less work associated with keeping the property rent ready.
Please contact us if you are thinking of converting your property to a long-term rental.
Maricopa residents Sherman and Euphemia Weekes have more than 30 years’ experience in property management and own Crest Premier Properties. Licensed Realtors and active members of the National Association of Residential Property Management with a Certified Residential Property Management designation.
This sponsored content was first published in the November edition of InMaricopa magazine.
Renting is never a good idea unless you really research the potential renter(s)….I have seen many, many people who rent out their fine homes, only for the renter to immediately move in assorted family members, and then they all trash the house. My neighbor has had to basically remodel his entire home 3 times now in just a few years, as the “management company” he was using kept renting his home out to renters who trashed the place. Two of them actually ripped out his toilets and counter-tops to sell them when they were evicted for non-payment of rent. Landlords beware!