Maximizing Your Real Estate Investment with Mid-Term Rentals

Real estate investment is a time-tested strategy for building wealth, but navigating this landscape effectively requires a nuanced approach. For some rental property investors, it includes passively investing in single-family rentals through companies like Roofstock. For others, it includes actively purchasing, remodeling, and renting homes through approaches like the BRRRR (Build, Renovate, Rent, Refinance, Repeat) method. Furnished Finder falls somewhere in-between – it demands some of your time to find and manage tenants but doesn’t require your complete and total attention to be successful. 

Furnished Finder helps you maximize your real estate investment by focusing on a growing and underserved market: mid-term rentals.  

Why Mid-Term Rentals? 

Mid-term rentals offer a sweet spot between long-term commitment and short-term flexibility. They require less management than a short-term vacation rental and earn more than a long-term lease. They cater to a specific market segment that includes: 

• Corporate travelers: Professionals on temporary assignments. 
• Traveling medical professionals: Nurses and other medical professionals who travel for 13-week contracts (or longer) with hospitals. 
• Relocating families: People in transition between homes. 
• Academics and graduate interns: Those needing temporary accommodation during visiting professorships or apprenticeship programs. 
• Renovators: Homeowners who are renovating their primary residences and need temporary accommodation in the meantime.  

These tenants require furnished properties that are equipped for longer stays than a typical vacation rental – think about home office amenities, washer and dryer, and comfortable bedding. In exchange, mid-term tenants need less luxury and more practicality. 

How to get Started 

1. Understand Your Market 
   Before diving in, research your local market to identify demand for mid-term rentals. Look for areas with high corporate activity, universities, or neighborhoods undergoing significant development. Market analysis will guide you in pricing your rental competitively and positioning it effectively. Use Furnished Finder’s Stats Page to learn more about the rental market for your property.  
2. Invest in furnished properties 
   One of the primary attractions of mid-term rentals is the furnished aspect. Invest in quality furnishings and modern amenities to make your property more appealing. Your furniture does not have to be the most expensive brands, but it should be comfortable, clean, and well-maintained. Equally important is having high-speed internet, a fully equipped kitchen, and comfortable beds and bedding. Mid-term renters spend most of their time at your property eating and sleeping since they are often traveling for work assignments, making the quality of cooking and sleeping equipment that much more important. 
3. Set the right price  
   Pricing is crucial for attracting and retaining tenants. Mid-term rentals often command higher rates than long-term rentals but should be priced lower than short-term rentals.  To determine the right price for your property, we suggest the following: 
   Research comparable properties: Adjust your rates based on the local market and property features. If you have a 2 bedroom/2 bathroom in Austin, look up similarly sized homes in a similar neighborhood to get a sense for the market price of your home. Include utilities and internet: Mid-term travelers expect utilities and internet to be included in the price of their rental, so factor these into your pricing. Be flexible: Offer discounts for longer stays or off-peak times to maintain occupancy. 
4. Market effectively 
   Publish your listing on Furnished Finder to begin attracting mid-term renters. Highlight the unique benefits of your property, including distance to major business centers, hospitals, and/or universities, plush amenities like king size beds, and other features that matter to mid-term renters. 
5. Streamline the lease process 
   A smooth leasing process enhances the tenant's experience and reduces vacancy periods. Make the rental process as straightforward as possible by using KeyCheck’s digital custom lease generator. Offering flexible lease terms, such as extensions, goes a long way in securing business travel and insurance housing tenants who often end up needing to stay for additional time. That said, provide clear agreements to cover anything important to you, such as rent payment timelines and pet policies
6. Find a local handy perso 
   Use word-of-mouth or a company like Taskrabbit to find a professional who can help with repairs should any issues arise (and they will!) so that you’re not scrambling at the last minute. 
7. Create a welcome guide for your guests 
   Making a comprehensive guide to your home will save you a lot of time, especially in the initial days of a rental. Include details about any idiosyncrasies in your home (i.e., that hot water knob in the shower needs to be turned all the way to left) and tips for a positive experience. This is a great place to include information about wi-fi, trash day, and other logistics that will be integral to the renter’s stay. 
8.  Stay in your property before your first rental 
   Stay in your rental for at least one night to see any needs that arise as a resident, whether it is a new coffee maker in the kitchen or a fan in the bedroom. Simply sleeping in the bed can teach you whether your pillows are comfortable enough or you need to step it up a notch. Remember, mid-term tenants are coming to live in your home, not vacation in it. 

Mid-term rentals offer a unique opportunity for real estate investors to capitalize on a growing market segment. By understanding your local market, investing in high-quality furnishings, setting competitive prices, and maintaining high standards, you can maximize the returns on your investment. Effective marketing, streamlined leasing processes, and consistent communication will further enhance your success in this promising rental niche. 

With careful planning and execution, mid-term rentals can provide a lucrative and stable income stream, positioning you for success in the ever-evolving real estate landscape.