Real Estate Information Source: What Is a Short-Term Rental?

Real Estate Information Source: What Is a Short-Term Rental?

Are you looking for a way to meet interesting people and make a little cash while doing it? The answer is to use your living space as a short-term rental. Short-term rentals are attractive to vacationers because they're often cheaper than getting a hotel.

Since you'll have so many people coming in and out, you'll have to keep up with regular maintenance. That means you'll be more likely to catch small problems before they turn into larger ones.

There are a few things you'll need to know before you get started. Check out this quick guide to learn everything about short-term rentals in Phoenix, Arizona.

What Is a Short-Term Rental?

So, first things first. What is a short-term rental? It's as the name suggests.

It's a home or building that people rent for a short time. These units are usually only occupied by the same residents for about a month, sometimes less.

These homes are also known as vacation rentals because vacationers often book them instead of staying at a hotel.

Types of Short-Term Rentals

There are different types of rentals that you can offer vacationers to maximize your income potential. If you own a vacation cabin, you can opt to rent it out while you're not staying in it.

You can also offer an accessory dwelling. For example your garage or a shed that's on your property. The last option is to let vacationers rent a single room in your home.

Benefits of Short-Term Rentals

Maintaining a short-term rental can be a time commitment, but there are benefits to doing it. It's a flexible source of extra income.

You choose when you want to offer your home for rent. When you're on vacation, you can either continue renting out your home while you're gone or close off bookings.

Your short-term rental will attract more families than a hotel thanks to the privacy potential. You'll also have access to great tax deductions, and you'll get to meet a wide array of interesting people.

Things to Know Before Investing

If all of the benefits sound great to you, there are a few things you need to know before you invest in a short-term rental.

Don't quit your day job. Offering a short-term rental has a lot of income potential, but it's not consistent. During the off-season, you could go months without seeing a single renter.

Whereas landlords only have to work to bring in renters once every few years or so, you'll be doing it around the clock. You can hire a property management team in Phoenix, Arizona, to help you out.

With the extra wear and tear on the property, you'll have to be extra diligent when it comes to your maintenance routine.

Your Guide to Short-Term Rentals

Offering a short-term rental will allow you to meet a lot of interesting people while also adding extra money to your pocket. However, it can be a lot to manage on your own. Let us help you!

PMI PHX SW has been helping people like you in Phoenix, Arizona, keep up with their short-term rentals for over 20 years. Schedule a consultation with one of our property management professionals today!