Are you looking for a new and exciting investment opportunity? If so, consider investing in short term rentals! In recent years, the short term rental market has seen explosive growth. As investors have become increasingly interested in this asset class, the question often arises: Why should I invest in a short-term rental?
If you’re on the fence, this blog post is for you! In this post, we will outline some of the top benefits of owning a short term rental.
There are so many reasons to consider investing in short-term rentals. They offer an opportunity for consistent and relatively high returns through monthly cash flow. Systems can keep this lucrative investment low effort. Free vacations!!! And as with all real estate investments, they provide tax benefits not seen in other investment classes. Given these factors, it’s no wonder that the short-term rental market is growing at such a rapid pace.
They generate more income than traditional long-term rentals.
- The market is growing rapidly- As more and more people opt for vacation rental properties over traditional hotels, the demand for short term rentals will continue to grow. Many travelers are discovering that staying at a STR can be less expensive and more comfortable than staying at a hotel.
- The daily rate is higher – Since short term rentals are geared towards travelers, owners can charge a much higher daily rate than they would get for a long-term rental.
You can manage your property remotely.
- With the help of technology and various online resources, it’s easier than ever to manage your STR from afar. You can use platforms like Airbnb to list your property and screen guests.
- You can also hire a property management company to take care of the day-to-day tasks, such as cleaning and maintenance. Or you can look into cohosting and online platforms to take the hard work out of managing while keeping more money in your pocket!
You get a vacation home of your own!
- One of the best parts about owning an STR is that you can use it as your own personal vacation home when it’s not being rented out.
- This not only saves you money on a place to stay, your vacations can even be used as a tax write off. Win-Win!! So make sure you choose a location you would enjoy spending your vacations at.
If you’re looking for an attractive investment opportunity with significant potential upside, short-term rentals should certainly be on your radar. This type of investment can be incredibly lucrative, but it’s important to understand the challenges involved before making a decision. Check out our post on the top 3 challenges of owning a STR.