Why You Should Add Mid-Term Rentals To Your Investment Strategy

Mid-term rentals can be a valuable addition to your investment strategy for several reasons:

Steady income: Unlike short-term rentals like Airbnb or Vrbo, mid-term rentals typically have longer lease terms, ranging from a few months to a year or more. This provides a more consistent income stream, as you don’t have to worry about fluctuations in demand or seasonal occupancy.

Lower vacancy rates: Because of the longer lease terms, mid-term rentals tend to have lower vacancy rates than short-term rentals. This means less time and money spent on finding new tenants and dealing with turnover.

Higher quality tenants: Mid-term rentals tend to attract more stable and responsible tenants, such as traveling professionals, corporate relocations, or students on long-term study programs. These tenants are often willing to pay a premium for a well-maintained and furnished property, providing higher rental yields and lower risk of property damage.

Diversification: Including mid-term rentals in your investment portfolio can provide diversification and reduce overall risk. By spreading your investments across different property types and lease terms, you can minimize the impact of market fluctuations or economic downturns on your returns.

Potential for Higher Rental Rates: Mid-term rentals often command higher rental rates than traditional long-term rentals. This is because tenants are willing to pay a premium for a fully furnished and equipped space, and the landlord has more flexibility to adjust rental rates based on market conditions.