At one time or another, most people will have stayed in a short term let. In fact, the global popularity of short letting is predicted to pose a significant threat to the more conservative hotel industry in the coming years. But what exactly is a short let?

Well, put simply, a short term let is the rental of a furnished property that lasts for a maximum of six months. The average tenancy period for a short let falls between a single night or a few weeks and this is why they are so popular with holiday-goers and people travelling for business. Short term lets are private and convenient, and thanks to Airbnb, short term letting has become an industry in its own right over the last decade. The very word Airbnb is often used to describe a short term let and people all over the world are trying their hand at short term letting. And it’s not just professional landlords that are choosing to short let, anybody with a property can become a host if they are willing to put the time and effort into providing a quality guest experience! 

So, what are the benefits of short-letting?

1. Higher Nightly Rates

The main reasons why short term letting has become so popular is that you can earn far more in short rental income than you would by renting to a long term tenant. Short term lettings are priced by a higher nightly rate meaning hosts can earn far more substantial rental incomes. Obviously, the more attractive the location, the more lucrative the occupancy rates. Airbnb, for example, uses dynamic pricing to automatically maximise nightly rates for their hosts depending on the location and seasonal events. This means that hosts can make the most from popular holidays and events in their local area and charge accordingly. Hosts are in full control of their rental prices and these prices are flexible; this is an attractive prospect indeed, especially to a long term letting veteran!

2. Problematic tenants won’t be occupying your property for long

Most short let companies carry out comprehensive guest vetting to minimalise the risk of property damage and the filing of insurance claims. Thanks to the level of guest vetting technology these days, it is unlikely that hosts will suffer an unpleasant tenant experience. But as I mentioned previously, holiday goers and business travellers won’t be around for the long haul! There is also a variety of short letting insurance available for both hosts and guests, and of course, Airbnb provides its own insurance scheme for cohosts.

3. Short letting is extremely flexible

An obvious point, but a crucial one! When short letting, hosts have the advantage of being able to pick and choose when their property is available for occupancy. Hosts, and their friends and family, can use the property themselves whenever they like with no added inconvenience. Instead of plunging into the world of hosting headfirst with a long let tenant, hosts can test the waters by renting out their property for a few nights before deciding if short term letting is for them. If hosts decide to sell their property, there is no notice period required for tenants. Hosts can simply stop taking bookings and put their property up for sale.  

4. Meeting new people 

Granted, not everyone enjoys meeting new people but short term letting is a great way to meet new people from all walks of life. You can choose how hands-on a host you want to be but if you enjoy meeting new people then it can be a sociable, enjoyable element of the short letting process.

5. You can earn extra money whilst selling your house

If you are in the process of selling your house and have moved into your new property, then short letting is a great income generator during the lengthy process of finding the right buyer.

There are some significant benefits to short term letting. However, there is also a lot of time and effort required for the maintenance, cleaning and checking in and out of the property and this can put many potential hosts off. But it doesn’t have to!

Alongside the meteoric rise of short term letting, a new kind of property management company was founded, to provide an end-to-end management service for short let hosts. Pass the Keys® removes the stress and hassle of short letting for hosts and uses a dynamic pricing strategy so hosts can sit back and relax whilst reaping the benefits of short term letting. It really is that simple! 

To learn more about why it’s worth hiring a property management service, check out this blog post. Or, to find out more about Pass the Keys® and the services we offer as a professional Airbnb cohost, head to our website or give us a call on 020 8050 2818 today.