Leave a Message

Thank you for your message. We will be in touch with you shortly.

A cozy living room with a light-colored couch, pillow, blanket, coffee table, side table, hardwood flooring, and white walls.

Renting or Selling Your House: What's the Best Move?

For Sellers Laura Miller Edwards Realty Group July 17, 2023

 
If you’re a homeowner ready to make a move, you may be thinking about using your current house as a short-term rental property instead of selling it. A short-term rental (STR) is typically offered as an alternative to a hotel, and they’re an investment that’s gained popularity in recent years.
 
While a short-term rental can be a tempting idea, you may find the reality of being responsible for one difficult to take on. Here are some of the challenges you could face if you rent out your house instead of selling it.
 

A Short-Term Rental Comes with Responsibilities

Successfully managing your house as a short-term rental takes a lot of time and effort. You’ll have to juggle tasks like dealing with reservations, organizing check-ins, and tackling cleaning, landscape, and maintenance duties. Any one of those can feel demanding, but all together it’s a lot to handle.
 
Short-term rentals experience high turnover rates, as new guests check in and out frequently. This home traffic can lead to increased wear and tear on your property—meaning you may need to make more frequent repairs or replace your furniture, fixtures, and appliances more often. 
 
Think through your ability to make that level of commitment, especially if you plan to use a platform that advertises your rental listing. Most of them have specific requirements hosts must meet. An article from Bankrate explains:
 
"Managing a rental property can be time-consuming and challenging. Are you handy and able to make some repairs yourself? If not, do you have a network of affordable contractors you can reach out to in a pinch? Consider whether you want to take on the added responsibility of being a landlord, which means screening tenants and fielding issues, among other responsibilities, or paying for a third party to take care of things instead."
There’s a lot to consider before taking the leap and converting your house into a short-term rental. If you aren’t ready for the work it takes, it could be wise to sell instead.
 

Short-Term Rental Regulations

As the short-term rental industry continues to grow, regulations have increased. Legal restrictions commonly include limits on the number of vacation rentals in a particular location. This is especially true in larger cities and tourist destinations where there may be concerns about overcrowding or housing shortages for permanent residents. Restrictions may also apply to the type of property that can be used for short-term rentals.
 
Many cities also require homeowners to obtain a license or permit before renting out their properties. Nick Del Pego, CEO at Deckard Technologiesexplains:
 
Renting short-term rentals is considered a business by most local governments, and owners must comply with specific workplace regulations and business licensing rules established in their local communities.”
It is important to thoroughly check whether short-term rentals are regulated or prohibited by the local government and your homeowners association (HOA) before even considering renting out your home. 
 

Bottom Line

Converting your home into a short-term rental isn’t a decision you should make without doing your research. To decide if selling your house is a better alternative, let’s connect today.

Recent Blog Posts

Stay up to date on the latest real estate trends.

Mortgage Rates

What’s Behind Today’s Mortgage Rate Volatility?

If you’ve been keeping an eye on mortgage rates lately, you might feel like you’re on a roller coaster ride. So, what’s driving this constant change?

A hallway with a wooden staircase that has a black railing.

Housing Inventory

Don’t Let These Two Concerns Hold You Back from Selling Your House

If you’re debating whether or not you want to sell right now, it might be because you’ve got some unanswered questions.

Down Payments

The Majority of Veterans Are Unaware of a Key VA Loan Benefit

For over 79 years, Veterans Affairs (VA) home loans have helped countless Veterans achieve the dream of homeownership.

For Buyers

Avoid These Top Homebuyer Mistakes in Today’s Market

Here’s a sneak peek at the most common missteps buyers are making in today’s market and how a great agent will help you steer clear of each one.

Pricing

Why Home Sales Bounce Back After Presidential Elections

With the 2024 Presidential election fast approaching, you might be wondering what impact, if any, it’s having on the housing market.

A white kitchen with a stove and a sink. The kitchen has stainless steel appliances and granite countertops.

For Sellers

Planning To Sell Your House in 2025? Start Prepping Now

If your goal is to sell your house in 2025, now’s the time to start prepping.

Selling Tips

Secrets To Selling Your House Quickly

Seeing your house sit on the market without any bites is the ultimate frustration. Selling a home quickly in a shifting market requires a strategic approach and an in-… Read more

Agent Value

Don’t Fall for These Real Estate Agent Myths

When it’s time to buy or sell a home, one of the most important decisions you’ll make is who you’ll work with as your agent. That choice will have an impact on your en… Read more

For Buyers

The Down Payment Assistance You Didn’t Know About

Most first-time homebuyers qualify for programs that can help with that upfront expense. But few actually take advantage of it.

Work With Us

Get assistance in determining current property value, crafting a competitive offer, writing and negotiating a contract, and much more. Contact us today.