02 Feb 3 reasons why you should choose short term rental over long term rental
Short let or not to short let, that is the question! If you are struggling with a short term or long term rental, don’t worry, you are not the only one in this case. Both options have their advantages and disadvantages. However, there are 3 reasons which might definitely tip the scales in favour of the short-term rental!
#1 Short term rental is more profitable
On average, the price per night of your flat in short-term rental is higher than the price in long-term rental. As you are targeting people who are on holidays, you are directly competing with hotel prices which are usually very high especially in London, so you can implement higher price per night than long term rental. This is especially true during bank holidays and seasonal peaks where you can double your income compare to long-term rental!
Not only short-term rental is an attractive market because of its high price, it’s also an attractive market because of the growing demand from travellers which favour more and more a stay in a flat than in a hotel. A survey conducted on popular travel sites highlighted the fact that in 2017 there will be an increasing number of travellers looking for a vacation flat instead of a hotel. The demand for holidays apartments is increasing faster than the properties switching to short-term rental, so you can benefit from the supply and demand law and apply high price while maintaining a high occupancy rate. At City Relay we achieve an 80% occupancy rate among the flats we fully manage!
On the long term, short term rental is definitely a more profitable solution.
#2 Short term rental will provide you flexibility
Short term rental enables you to pick the exact days where you want to rent your flat, you will still be able to come back home whenever you decide to.
It is also a very convenient option when you want to sell your flat but still need cash flow while waiting for the next owner. It will enable you to gain more income while scheduling viewing between one check-in and one check out. It is the best way to make the most out of your apartment!
#3 Short term rental will prevent your flat from wear and tear compare to long-term rental
Contrary to the common belief that welcoming different people in your flat every week will increase the risk of damage, you will be surprised to learn that it’s quite the opposite! Flats which are short let are cleaned and checked after every checkout. If something is wrong with the flat, it can be fixed very soon by the landlord or the company managing the flat. On the contrary, if you rent your flat for a year let’s say, you don’t know in which state you are going to have it back and depending on your tenants you might have a very bad surprise…
To top it off, if you short let your flat guests won’t stay long, they won’t redecorate your flat and add their ” personal touch”, so you will find your home just as you left it.
Tempted? But afraid that short letting your flat will be too time-consuming? Don’t worry! At City Relay we can take care of everything for you! We will list your flat on more than 20 booking platforms, handle the check-ins, check-outs, hotel style cleaning, guests communication 24/7; so just relax and start making your property a profitable investment!