May 17, 2024

Mid-Term Rentals 101: Learn all about this rental type and why you should consider investing in them

What is a mid-term rental?

In the world of rental properties, two categories have been getting all the attention for far too long: short-term rentals and long-term rentals. It's no secret that short-term rentals, like those found on popular platforms Airbnb and Vrbo, offer travelers the flexibility and convenience they desire. On the other hand, long-term rentals provide stability and security for tenants who are looking to settle down in one place for an extended period.

But what about the rental properties that fall somewhere in between? Millions of tenants need a place to call home for a few months, whether it's due to a work assignment, relocation, or personal circumstances. That's where mid-term rentals (MTRs) come into play.

Mid-term rentals, as the name suggests, are properties that are fully furnished and available for rent for 30 days or more. These rentals offer the best of both worlds: the flexibility of a short-term rental without the hassle of constantly moving, and the stability of a long-term rental without the commitment of a year-long lease.

  • Short-Term Rentals: Furnished properties available for rent for as little as one day, often listed on sites like Airbnb or Vrbo. Tenants are typically vacationers.
  • Mid-Term Rentals: Furnished rentals available for rent for 30 days or more, with Furnished Finder as the leading listing platform. Tenants are professionals, relocating families, and more.
  • Long-Term Rentals: Unfurnished rentals for 12 months or more. Tenants are typically individuals or families.

Mid-term rentals provide the perfect solution for a diverse range of individuals, including traveling medical professionals, business travelers, professors, and academics, as well as relocating families

Mid-term rental benefits:

Quality professional tenants vs. vacationers booking by the day

For quite some time, travel nurses & medical professionals were the go-to tenant for mid-term rentals. Although they still makeup a significant portion of the mid-term tenant population, other groups including digital nomads, corporate contractors, displaced and/or relocating families, academics and other travelers are powering mid-term rentals to be the fastest growing rental type in the US. These travelers are highly professional, reliable, and responsible. They are truly living at a property versus staying at a property. What does this mean for you? Less wear, tear, and damage to your property, more reliable communication, no parties or huge celebrations to worry about, and a stable, agreeable tenant base to work together with.

Who are MTR travelers?

  1. Traveling medical professionals - Travel nurses and other traveling medical professionals work at hospitals or facilities in need for an average of 13 weeks at a time, often extending their contract after their initial stay.
  2. Business professionals & digital nomads - In today’s remote world, digital nomads travel and work from anywhere. Business professionals also travel for temporary contracts to work on special projects.
  3. Families (relocating or buying/selling/renovating) - Families need mid-term rentals for many reasons whether they are in the midst of house-hunting or are doing a home remodel.
  4. Professors & Academics - Professors may work for only a semester at a time at some universities, and are in need of housing. Additionally, academics, students in training programs, and interns need housing.
  5. Insurance placements - Whether due to a natural disaster or things like an appliance flood, when families or individuals are displaced from their homes, insurance will house them in mid-term rentals.

How do I decide how much to charge for rent?

With long-term rentals, rents are low, and sometimes provide only a break-even in terms of cash-flow benefits. Short-term rentals have high cash-flow, however they also have extremely high set-up and operating costs. Mid-term rentals are right in the middle. With a benchmark of 1.5-2x of long-term rent, they bring in substantially more cash flow than long-term, without the headache or steep start-up costs of a short-term rental. Because mid-term tenants are professionals, the tenants are reliable and reputable, unlike short-term rentals.

The rental rate for mid-term rentals is variable depending on the market, size of property, seasonality, and more.

Although short-term rental rates are higher per night than a mid-term rental price, with short-term rentals, you have constant turnover, and need multiple bookings every month to reach full profitability. With mid-term rentals, one booking can fill your calendar for 3 months of the year or more.

With long-term rentals, you are committed to a tenant for at least an entire year. Mid-term rentals give you the opportunity to welcome a few tenants per year.

Mid-term rentals maximize your time

By focusing on mid-term rentals, you can reduce the time spent managing your online marketing presence as compared to short-term rentals. No more back and forth with 1-night or weekly stays. Instead, screen and book tenants who will provide you with a steady rental income of at least 30 days, and oftentimes 3 months or more. This allows you to secure your next booking with ease, while enjoying the benefits of consistent occupancy.

With an average stay of 90+ days, you need just 4 tenants per year to keep your calendar full!

Protect your property

Mid-term rental tenants don’t just visit your property like they would with a short-term rental. They aren’t there to vacation. They are there to live and as such, they truly care for your property. Say goodbye to the Bachelorette parties and hello to professional tenants that care for your property as if it were their own.

Additionally, you have access to your property far more often than with a long-term rental. This means you can address maintenance needs, updates and upgrades before they become an expensive problem. And no more wall dings from furniture being moved every 12 months, or patching up walls from each tenant hanging different wall art.

Rent legally

Short-term rental bans and strict regulations are popping up constantly. The easiest way to avoid these regulations and short-term rental bans is to pivot into mid-term rentals.

Additionally, with mid-term rentals, you can avoid paying hotel tax to your local municipality for markets that are cracking down on STRs with additional fees like these.

Many HOAs are outlawing short-term rentals, but recognize the value of mid-term rentals. The noise, frequent turnover, neighborhood disruption, and nuisance that STRs create is avoided with stays of more than 30 days and professional tenants. You can assure your neighbors that the area will be enhanced with your property, rather than negatively affected.

Listing your property for rent

The Furnished Finder platform has emerged as the trusted leader in mid-term rentals. With millions of traveling professionals and families relying on our services, Furnished Finder has become the go-to source for monthly furnished rentals across the country.

Sure - you can list your mid-term rental with short-term rental or long-term rental platforms, but why would you rely on a website that thinks of mid-term rentals as an after-thought behind their real business? List with Furnished Finder and see why we're the go-to choice for hundreds of thousands of landlords getting into the mid-term rental market. We only specialize in mid-term rentals, so you know you're joining a community of subject matter experts on this unique type of traveler and rental experience.

What sets Furnished Finder apart from other rental platforms is our unique approach. We believe in giving landlords full control. Unlike other platforms, Furnished Finder doesn't interfere with bookings or charge commissions or booking fees. Landlords maintain full control over their rentals, with unlimited access to all your potential tenants contact information, you decide what to charge and who stays at your property every time. Get started listing your property today >

Resources for landlords interested in mid-term rentals

At Furnished Finder, we are committed to our customers and have a comprehensive library of resources to make you the best mid-term rental landlord possible. Explore the resources below to learn more about this incredible market.

The Landlord Diaries” - Furnished Finder’s exclusive podcast where mid-term rental landlords Kelly Bailey & Katie Lyon talk with experts in the field giving you valuable information to start or expand your MTR journey. Playlists are available per your specific interest including:

KeyCheck - Furnished Finder’s sister company created is a resource for all the tools you need for securing bookings. Here you’ll find tenant screening to help you vet potential tenants, customizable lease templates for your state, renters insurance, and more.

E-Books - We have put together two insightful e-books for landlords: Best Practices for Landlords Looking to Rent to Travel Nurses, Corporate Travelers, and other Monthly Tenants and A Guide to Listing Photos for Landlords.

Stats page - Our Stats page is a great resource for data on supply and demand in your area.

Facebook Group - Our Facebook community has over 140,000 members and is a place for both landlords and travelers to connect, gather feedback from each other, and learn more about the mid-term rental market.

Reviews - Our Reviews page is a great place to hear what other landlords think after they have used Furnished Finder for their mid-term rental.

30 Day Stay - a Book by Sarah Weaver & Zeona McIntyre

Listen to the Podcast here

Author: Furnished Finder Staff