Unmasking the Realities of Short-Term Rentals: A Practical Approach
It's not uncommon to reach a crossroads in life where you're preparing to relocate and are contemplating what to do with your current home.One idea that may come to mind is turning your property into a short-term rental rather than selling it. It's a notion that's sparked the interest of many homeowners, with statistics revealing that 28% have considered this option.
The prospect of generating an extra stream of income from a property you already own is undeniably attractive. However, it's essential to assess the realities and responsibilities that come with managing a rental property before taking the leap. A recent Bankrate article succinctly summarizes the challenge: "Managing a rental property can be time-consuming and challenging." This poses the question: might it be more advantageous to sell?
Being a short-term rental owner is akin to running a small business. Property maintenance becomes your responsibility, and tenant screening becomes part of your routine. The inherent risks of this undertaking include potential property damages, regulatory violations, and even complaints from neighbors.
Moreover, not every house or location is cut out to be a successful short-term rental. The property's suitability largely depends on its location – is it in or near a popular travel destination? Is there a demand for short-term rentals in your area? These are crucial considerations that determine whether your venture could meet your financial expectations.
So, while the idea of renting out your house may initially seem like a good investment, selling could turn out to be the more viable option. To explore this further, consider seeking advice from a real estate professional. At Red Door Realty, our agents are ready to guide you on how sellers are currently thriving in our local market. By understanding your property's potential and the market dynamics, you can make an informed decision about the next steps for your home.
June 15, 2023