These can be quite difficult to find as a tenant so. A short-term rental is generally considered to be one that lasts less than a full year. They can be quite difficult to find as a tenant, so you might find that a short-term rental will attract a lot of attention quickly. A long-term rental is considered to be a residential rental of a dwelling.
In many European countries, renting a home is the norm and home ownership is much less popular. For others, getting on the real estate ladder and buying their own house or flat is considered much more important. Short-term rentals are for people staying in an area for less than 3 months. Guests are usually students looking for a place for a term, interns on short city placements, business people working out of the office or holiday travellers.
Short-term rentals allow guests to stay in serviced homes, where bills, maintenance and WiFi are taken care of. They are much cheaper than hotels and more spacious, allowing you to feel at home. The main advantage of a long-term rental is that you have a guaranteed income for a year or more (unless the tenant stops paying, of course). Since cash flow is critical, especially if there is a buy-to-let mortgage to pay, many landlords prefer to opt for long-term rentals.
Short-term rentals can be risky, so it is worth considering the main pitfalls before entering this market. The costs of long-term rentals are significantly lower as, unlike short-term rentals, you are not responsible for the running costs of the property, such as utility bills, TV licenses, etc. During a long term rental, the landlord can get a lower rate compared to short term rentals, but it is still significantly more lucrative than a long term rental over a 12 month period. It used to be a rather grey area, but more recently the term has been used to stand between shorter holiday rentals of a couple of weeks to a month and long-term residential rentals that last for years.
Long-term rentals are the preferred option for landlords who wish to earn a steady income each month with minimum effort, but this nirvana is entirely dependent on finding good tenants. Medium-term rentals offer similar flexible solutions to short-term rentals, but due to longer booking periods, they can also offer reduced rates for tenants. On the other hand, what makes a short-term rental good is what makes a long-term rental not so good. Long-term rentals are ideal for people looking to settle in a particular area for six months or more, or to put down roots for the long term.
Deciding whether a short-term or long-term lease is the right option for you depends largely on your personal circumstances and preferences. Talk to a specialist mortgage broker: Some of the smaller lenders are still open to short-term leases, but their products are often only available through an intermediary. In addition, with a long-term rental you do not have to face the expense of furnishing the property, as many, but not all, tenants bring their own furniture when they move in. Short-term rental contracts can be surprisingly difficult to find, so offering your property on a short-term basis could open up a healthy rental market.