Monthly property rentals (sometimes referred to as mid-term rentals) are on the rise, and property owners who are looking to take advantage of this exciting trend need to act fast. No longer just reserved for traveling nurses or temporary housing needs, monthly rentals have become a popular option for professionals, families, and even remote workers looking for flexible housing options. With demand for monthly rentals increasing, now is the perfect time for property owners to enter this growing market and start reaping the benefits. In this article, Jesse Vasquez, the founder of AirVenture Hosting Co. (opens in new tab)and the owner of 11 rental properties, talks about the monthly housing rental market and how property owners can make the most money by adding value and solving problems.
"It’s not about you; it’s about helping other people. Once you do that, everything else will follow."
Jesse explains that one of the best ways to secure a dependable stream of high-quality tenants and get paid a premium for his properties is through relationship building and helping others. He spends most of his time building relationships with staffing agencies, most of which are for travel nurses.
Travel nurse staffing agencies, also known as recruiters, play a key role in the monthly property rental market, as they are responsible for placing traveling healthcare professionals in temporary housing. Building strong relationships with these agencies can help you get on their preferred vendor list, which can lead to a steady stream of high-paying, high-quality tenants. By offering value-added services such as transportation and other sought-after amenities, you make it easier for these agencies to place their clients in your properties and stand out from the competition.
His relationship building doesn’t stop with travel nurse staffing agencies, however. Thanks to Furnished Finder, he’s now establishing connections with business professionals, insurance companies, families relocating, digital nomads, and their corresponding employers and staffing agencies. Understanding what these tenants and employers are looking for, he is able to make everyone involved happier
It’s easy to understand why he’s so happy. Jesse receives $5,000–$6,000 per month for one of his two-bedroom homes in Modesto, California, thanks to the contract he has secured with a recruiter. The recruiter is willing to pay the higher premium because Jesse makes their job easier.
Recruiters and staffing agencies are often paid a percentage of the travel nurse’s salary when they secure a new work assignment. By highlighting the benefits of working with him and the thoughtful amenities and conveniences his properties offer, it becomes a "no-brainer" for these recruiters to consider Jesse for their travel nurse housing.
"The more problems you’re able to solve, the bigger your business is going to get."
In speaking with his tenants, Jesse realized that renting a gas-friendly vehicle from a rental car agency can cost over $2,500 per month. By offering the option of renting a car from him (and having it conveniently waiting for them in the garage of his property), Jesse is able to save his tenants money on their rental car, save them the headache of picking up the rental car, as well as make more money. It’s a win-win! He runs his car rental business through the Turo.com (opens in new tab)personal car rental platform.
Jesse sets up each of his rentals as an all-inclusive "one-stop shop" for traveling professionals by packaging housing, transportation to and from the airport, his optional rental car, grocery delivery, and other conveniences that, again, make the jobs and lives of the recruiters, as well as those of his tenants, easier. By solving as many problems as he can, his business is able to grow, and he attracts more and more renters.
For the property owners that aren’t ready to add a car rental option to their property, there are still simple problems that can be solved easily and inexpensively. Simple things like adding blackout curtains, an extra phone charger, new towels, and stocking the fridge or pantry with complimentary wine and food can make a huge impact on the value you’re able to provide.
Technology is also able to solve many problems. Jesse suggests every property owner add a smart thermostat (he recommends NEST (opens in new tab)), a smart doorbell camera (he recommends RING (opens in new tab)), and a noise detector that automatically alerts him, as well as the tenant, via text message if any loud noises are detected (he recommends Noise Aware (opens in new tab)).
Now is the time to start connecting with recruiters. Some of his Master Class students don’t even have a property to offer yet; they’re laying the groundwork and establishing the connections they’ll need to succeed in the monthly rental market once they acquire a property.
His Masterclass, MTR Blueprint (opens in new tab), details how to connect with housing specialists using tried-and-true scripts and talking points, build sales funnels, secure monthly rental housing contracts, get on the preferred vendor list for recruiters, and get direct bookings.
Stopping the Scroll
Another tip Jesse shares regarding securing tenants is being able to stop potential renters from scrolling past your listing on Furnished Finder. To do that, you’ll need to make sure your property’s furnishings and style are appealing, not just adequate, and the pictures you post capture your property in the best light possible.
Furnishing and Style
Furnishing your monthly rental with up-to-date furniture and a unique style is important for attracting potential tenants. No one wants to live in a rental property that looks outdated or like it was decorated by someone's grandmother. By investing in modern and stylish furniture, you can make your rental property more appealing to potential tenants and stand out from the competition.
In addition to updating the furniture, consider adding some personal touches and a unique style to the space. This could be in the form of artwork, bold "pops" of color, decorative accents, or even small plants. These small touches can help make the space feel more homey and welcoming, which can be especially important for tenants who are living in a new city or country for an extended period of time.
Overall, furnishing your monthly rental with up-to-date furniture and some unique style is important for making the space more attractive and welcoming to potential tenants. By doing this, you can increase your chances of getting good tenants and making as much money as possible.
Photography
Taking high-quality photos during the day is important for showcasing your rental property to potential tenants. The property will look brighter and more real in daytime photos, which will help potential tenants understand the layout and features of the space better.
When it comes to residential photography, there are a few tips to keep in mind. First, it's important to make sure the space is clean and well-lit. You may need to bring in additional lighting just for the pictures. Better yet, purchase additional lighting for the property itself. This will make the property look more inviting and appealing to potential tenants. Second, try to capture a variety of angles and perspectives. This will help potential tenants get a more complete understanding of the layout of the property. Finally, consider using a wide-angle lens to help capture the full scope of the space. This will allow potential tenants to get a better sense of the size and layout of the property. By following these tips, you can ensure that your photos are high-quality and will help attract potential tenants to your rental property.
Paying a professional property photographer to take your photos is a cost-effective way to showcase your monthly rental property. While it may seem like an added expense, hiring a professional photographer can save you time and energy in the long run and ultimately help you attract more high-quality tenants.
Professional photographers have the skills and equipment necessary to capture high-quality, visually appealing photos of your property. These photos will be more likely to attract potential tenants and help you stand out from the competition. Professional photographers can also save you time and energy by taking care of the whole photo shoot for you. This lets you focus on other parts of managing your rental property.
As a side note, pay attention to your Furnished Finder featured image (the one that represents your property in search results). Be sure you’re choosing the best one, since this is the first thing potential tenants will see and may be your only chance of catching their attention.
The Booming Monthly Rental Market
Jesse emphasizes just how big the monthly rental market is becoming. He only hears about Furnished Finder and monthly rentals when he meets and networks with other investors. "It’s the new shiny object."
COVID-19 has had a significant impact on the monthly rental market, removing many of the lifestyle barriers that had previously held it back. Digital nomads, who can work remotely from anywhere in the world, are one of the groups that have greatly benefited from this shift. Since these people can work from anywhere, they can travel and live in different places for long periods of time. This makes monthly rentals an attractive housing option.
Families have also taken advantage of the ability to work remotely and are now able to relocate for extended periods of time, whether it be for the summer or longer. This allows them to experience new cultures, explore new cities, and take a break from their everyday lives. monthly rentals give these families a flexible and easy way to find a place to live. They can live in a fully furnished and equipped home for the length of their stay.
This lifestyle shift has so much potential for property owners that a recent study released by AirBnB showed the monthly rental space had grown by over 22%, and 29% of their income over the last few quarters was from rentals of 28 days or more. In other words, it's the fastest emerging market in the property rental world. Getting into the monthly rental market now, just as it is emerging and growing, can set property owners up for a very secure and profitable business into the future.
Hedge funds are buying properties worth millions of dollars for the purpose of monthly rentals. They see the monthly rental market as a lucrative investment opportunity, as demand for these types of properties is expected to continue growing in the coming years. If the hedge funds are doing it, it's usually a good indicator of a smart investment.
Analyzing Your Area for Monthly Rental Demand
Jesse breaks down the steps anyone looking to connect with recruiters and housing specialists should take:
Determine the level and type of hospitals in your area.Level 1 and 2 hospitals typically have more beds, an intensive care unit, a nurse-to-patient ratio of 1:2, and a high demand for travel nurses. Level 3 and 4 hospitals are generally smaller and more rural, and they typically transfer their patients to Level 1 or 2 hospitals. Level 3 and 4 hospitals tend to have fewer travel nurses.
Go to FurnishedFinder.com (opens in new tab)and look for the number of properties in your area and the number of people searching for properties in your area.
For example, in Jesse’s area, there are only 13 monthly rental whole houses available, and 26,000 people searched for those houses. This means that his area has a high demand but a very limited supply.
Within your Furnished Finder account, check out the Unmatched Leads (opens in new tab)section to discover how your property is being missed within Furnished Finder’s search results. For example, a traveler may have been searching for a property with two bedrooms that allowed pets and was under $2,000 per month. Your property may be priced at $2,100 per month and not accept pets; therefore, it did not show up in this specific search. After looking through the available unmatched leads, you can determine if you’d like to make changes to your property's listing in order to attract more leads.
You also have the ability to contact those potential tenants and learn if they were able to find a place to live, who their recruiters are, how long their stays are, whether they are traveling alone or in groups, and what kind of difficulties they are encountering in this market.
Armed with this information, you can learn how best to serve your tenants, as well as, track down their recruiter’s contact information, reach out to them, and lay out how you can make their job easier. Be sure to highlight your property's thoughtful styling, furnishings, and how you've addressed your tenants' most sought after needs and amenities. A video walk-through of your property (hopefully done by the same professional photographer you hired for the photos) is an excellent way to reassure them that you are the type of professional they can rely on.
You can also simply call your hospital’s HR department and ask them what agencies their hospital is connected with.
Maximizing Profits Through Furnished Finder
Travelers never book directly through Furnished Finder, which saves the traveler and property owner money since there are no booking fees (AirBnb and VRBO both charge up to 13%). Furnished Finder simply facilitates tenants finding property owners and vice versa, allowing the two to come to a rental agreement that works for both of them. You are also often able to avoid the tourism tax that can accompany short-term rentals in popular cities.
In conclusion, the MTR market is on the rise and presents a significant opportunity for property owners to take advantage of this growing trend. By focusing on building relationships, adding value, and solving problems, property owners can secure a dependable stream of high-quality tenants and earn a premium price for their properties. By offering amenities such as transportation and other value-added services, property owners can stand out from the competition and attract a wider range of tenants, including traveling nurses, business professionals, families, and digital nomads.