Latest news with #shortTermRentals
Yahoo
15 hours ago
- Business
- Yahoo
The Goldilocks Lease–Real Estate Investors Find Profitable Work-Around To Increase Returns Despite Airbnb Bans
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Airbnb (NASDAQ: ABNB) gave birth to a cottage industry of short-term rentals worldwide, and astute real estate investors dove in with both hands. High profits motivated property owners to become short-term rental specialists. Many local governments responded with short-term rental bans, but landlords have devised a new workaround: the mid-term lease. These goldilocks leases are now generating better returns than short-term rentals while simultaneously complying with local regulations. This trend, which is a winner for real estate investors, but still has the potential to leave traditional renters out in the cold, was recently profiled in Business Insider. Property owner Zeona McIntyre discovered the potential of mid-term leases during the COVID pandemic. When the pandemic set in, the chaos caused by stay-at-home orders and travel restrictions led to her losing nearly all her Airbnb bookings. Don't Miss: GoSun's breakthrough rooftop EV charger already has 2,000+ units reserved — become an investor in this $41.3M clean energy brand today. Invest early in CancerVax's breakthrough tech aiming to disrupt a $231B market. Back a bold new approach to cancer treatment with high-growth potential. 'I was really open to doing whatever I needed to get my properties rented,' she told Business Insider. McIntyre found success on a website called Furnish Finder. The platform focused on offering leases longer than 30 days but less than one year to working professionals. It turned out to be the happy medium between Airbnb and being a traditional long-term landlord. 'I realized there are tons of people looking all the time for longer stays, and longer stays are kind of awesome because people don't need as much from you. They're OK to go buy their own toilet paper and change the batteries because they're living there,' she said. It was a classic case of necessity being the mother of invention, and the mid-term rental business was so good to McIntyre that she converted all of her income properties to the new format. 'My bread-and-butter is these mid-term rentals,' said McIntyre. 'I want a longer tenant in there, and I don't want to have to think about it for three months.' Business Insider says she is not alone in discovering the potential advantages of mid-term rentals. Other landlords are beginning to realize that taking this middle-of-the-road approach offers a host of potential advantages. Trending: This Jeff Bezos-backed startup will allow you to become a landlord in just 10 minutes, with minimum investments as low as $100. The flexibility aspect of mid-term leases and the fact that tenants tended to be working professionals make life easier for both the landlord and the neighbors of the rental unit. Working professionals are much less likely to throw the kinds of loud parties that renters on a two or three-week holiday might throw. On top of that, mid-term landlords are discovering that they have a lot more leeway to operate without government oversight. According to Business Insider, many short-term rental bans or registration requirements apply to properties offering stays of less than 30 days. Short-term rental registration also often included high fees and tax surcharges. Other cities and local governments limited the number of short-term rentals that could exist in a given area. In most cases, mid-term leases are not subject to these kinds of restrictions. That's why McIntyre told Business Insider she believes that mid-term rentals are the "sweet spot of real estate investing." She went so far as to say she considers them to be 'a whole different vibe from short-term rentals, and way less stressful.' Many short-term rental landlords can attest to the high levels of detail and stress that go hand in hand with the high rents. When you factor that in with the reduced regulatory picture, McIntyre's point becomes even clearer. 'Short-term rentals have been under scrutiny, and the ever-tightening regulations are constantly changing,' she said to Business Insider. 'But there is sort of this magic number that, as soon as a listing is over 30 days, these rentals get classified into a long-term rental bucket, and then you don't have the extra taxes or have to have a short-term rental permit." Keep this in mind if you're a landlord looking to boost your returns without going the short-term leasing route. See Next: $100k in assets? Maximize your retirement and cut down on taxes: Book your free call with a financial advisor to start your financial journey – no cost, no obligation. Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Here's how you can earn passive income with just $100. This article The Goldilocks Lease–Real Estate Investors Find Profitable Work-Around To Increase Returns Despite Airbnb Bans originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
Khaleej Times
2 days ago
- Business
- Khaleej Times
Dubai: A global hub for business and the impact on the short-term rental market
Dubai, a city synonymous with ambition, luxury, and relentless growth, has firmly cemented its position as a global hub for business, finance, and tourism. This strategic positioning, coupled with a proactive government vision, has fostered an environment that constantly attracts world-class conferences, exhibitions, and events. This booming conference scene, in turn, has a profound impact on Dubai's short-term rental market, driving demand, shaping trends, and creating lucrative opportunities for property owners and professional management companies alike. The city secured a record 437 bids for international business events in 2024, a 20 per cent year-on-year increase, with an aim to host 400 global economic events annually by 2025. These include world-renowned trade shows like Gitex and Arab Health, major cultural festivals, and sporting events, which collectively draw in millions of visitors annually. In 2024, Dubai welcomed 18.72 million international overnight visitors, a 9 per cent year-over-year increase that surpassed the previous record of 17.15 million in 2023. These attendees, a significant portion of whom are business travellers, delegates, and exhibitors, often require flexible, short-term accommodation that goes beyond the traditional hotel offering. The short-term rental market provides a diverse range of options from studio apartments to luxury villas, catering to varied budgets and preferences. The most immediate impact is the significant increase in demand for short-term rentals, especially during peak conference seasons. This leads to higher occupancy rates for holiday homes, outperforming traditional hotel stays in many prime locations. For instance, average occupancy rates for short-term rentals in Dubai can reach as high as 85-95 per cent per cent during busy periods, evidence of the strong demand driven by business tourism. The hotel sector's average occupancy rate in 2024 was 78.2 per cent, up from 77.4 per cent in 2023, with occupied room nights rising to 43.03 million. This heightened demand allows property owners to implement dynamic pricing strategies. During major conferences and events, nightly rates for short-term rentals can soar, leading to substantially higher rental yields compared to long-term leases. A typical short-term rental listing in Dubai was booked for 255 nights a year with a median occupancy rate of 70 per cent and an average daily rate of Dh620 in 2023. This lucrative potential has attracted many investors to acquire properties specifically for the short-term rental market, with a typical host income reaching Dh156,000 in 2023. While leisure tourists remain a significant segment, the conference scene brings in a distinct type of guest: the business traveler. These individuals often seek properties that offer more space, privacy, and amenities conducive to work, such as dedicated workspaces, high-speed internet, and fully equipped kitchens. This has led to a greater emphasis on furnishing and equipping properties to meet the needs of this discerning clientele. Proximity to major exhibition centres, business districts, and transportation hubs becomes a crucial factor for short-term rental properties catering to conference attendees. Areas like Downtown Dubai, Business Bay, Dubai Marina, and proximity to the Dubai World Trade Centre experience particularly high demand during business events, as convenience and ease of commute are key for delegates. Within this evolving landscape, several trends are emerging. While luxury properties have traditionally dominated Dubai's short-term rental scene, there's a growing recognition of the need for mid-market and budget-friendly options. Not all conference attendees or business travellers are looking for ultra-luxury, and a broader range of price points allows Dubai to cater to a wider audience, further bolstering its appeal as a conference destination. This segment offers attractive returns for investors due to consistent and predictable demand. The short-term rental market is also increasingly leveraging technology to enhance efficiency and guest experience. This includes AI-powered dynamic pricing algorithms, smart home solutions for seamless check-ins and energy management, and virtual reality tours for prospective guests. Property management platforms are becoming more sophisticated, offering owners real-time insights into their property's performance. In a competitive market, providing exceptional guest experiences is crucial. This goes beyond just a clean and well-maintained property; it includes personalised recommendations, responsive communication, and tailored amenities. Companies are focusing on creating a 'home away from home' atmosphere, often incorporating local touches and offering concierge-style services. The global rise of remote work has led to an increase in digital nomads seeking longer-term short-term rentals, i.e. monthly stays. Dubai's attractive visa options and high quality of life make it a popular choice, with Dubai maintaining its position as a top global destination for long-term remote workers. Dubai government bodies such as the Department of Economy and Tourism (DET), have been proactive in regulating the short-term rental market. Licensing requirements, quality standards, and tourist fees ensure a structured and secure environment for both hosts and guests. This regulatory framework fosters trust and contributes to the sustainable growth of the market. Within this evolving landscape, professional property management firms are essential in navigating the complexities and maximising the potential of the short-term rental market. Companies like Frank Porter, for instance, offer comprehensive services that span the entire lifecycle of a short-term rental property, from initial setup and interior styling to dynamic pricing, multi-platform marketing, and round-the-clock guest support. By leveraging technology and expertise, these businesses help property owners maximise their returns while ensuring a seamless and high-quality experience for guests, whether they are business travellers attending a conference or tourists exploring the city. In conclusion, Dubai's growing conference and events calendar is a key catalyst for the growth and evolution of its short-term rental market. The continuous influx of business travellers and delegates creates consistent, year-round demand for flexible accommodation, leading to higher occupancy rates and attractive rental yields. The impact of mega-events like Expo 2020 (which attracted over 24 million visitors) has also been significant, contributing to a surge in short-term rentals and increased property values and rental yields in key areas. As the city continues to expand its global reach and attract diverse visitors, the short-term rental sector is set for further innovation, with technology and professional management increasingly defining its trajectory. The writer is CEO and Founder of Frank Porter.
Yahoo
20-06-2025
- Business
- Yahoo
Spanish court rejects Airbnb appeal and keeps order to block nearly 66,000 listings
MADRID (AP) — A Spanish court on Thursday rejected an appeal by Airbnb and left in place an order to block almost 66,000 rental listings that the government said violated local rules. The government has said the platform's short-term rentals in city centers and tourism hot spots are contributing to Spain's housing crunch while the country welcomes record numbers of visitors. Last month, Spain's government ordered Airbnb to block 65,935 listings in the country after the Consumer Rights Ministry flagged them for violations. It said Airbnb had to immediately take down 5,800 of them. The ministry has said the listings it flagged did not include their license number or specify whether the owner was an individual or a company. It said others listed numbers that didn't match what authorities had. In a statement, Airbnb said the ministry's actions went against Spanish regulations that hold owners of short-term rentals, not the platform, as responsible for listing such information. It also said the Madrid court's decision was not made on the merits of the ministry's order, adding that will take longer to decide. The company asserted that Spain's housing crisis comes down to 'a lack of supply to meet demand,' and said anything else "is a distraction.' Last month, Consumer Rights Minister Pablo Bustinduy told The Associated Press that the tourism sector could not "jeopardize the constitutional rights of the Spanish people,' including their right to housing and well-being. Carlos Cuerpo, the economy minister, said in a separate interview that the government had to tackle the unwanted side effects of mass tourism. He advocated for building more housing while regulating short-term holiday rentals.
Yahoo
19-06-2025
- Business
- Yahoo
Spanish court rejects Airbnb appeal and keeps order to block nearly 66,000 listings
MADRID (AP) — A Spanish court on Thursday rejected an appeal by Airbnb and left in place an order to block almost 66,000 rental listings that the government said violated local rules. The government has said the platform's short-term rentals exacerbate Spain's housing crunch while the country welcomes record numbers of tourists. Last month, Spain's government ordered Airbnb to block 65,935 listings in the country after the Consumer Rights Ministry flagged them for violations. It said Airbnb had to immediately take down 5,800. An Airbnb spokesperson could not be immediately reached for comment on the Madrid's High Court's decision. The ministry has said the listings it flagged did not include their license number or specify whether the owner was an individual or a company. It said others listed numbers that didn't match what authorities had. Last month, Consumer Rights Minister Pablo Bustinduy told The Associated Press that the tourism sector could not "jeopardize the constitutional rights of the Spanish people,' including their right to housing and well-being. Carlos Cuerpo, the economy minister, said in a separate interview that the government had to tackle the unwanted side effects of mass tourism. The Associated Press Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CBC
15-06-2025
- Business
- CBC
Airbnb bookings in B.C. at risk of cancellations amid short-term rental registration woes
Short-term rental platform Airbnb says thousands of reservations in B.C. are at risk of cancellation due to delays with the province's short-term rental registration process. But as Tanushi Bhatnagar reports, the government says it has given the hosting platform enough time to comply.
