What is a short term rental? And why are there so many fees attached to a reservation?
An increasingly popular way to travel in the United States is by the week or month when going on vacations or adventures. Why wouldn't you if you had the time and resources? Unfortunately these getaways do not fall into long-term rentals or seasonal rentals. Any stay less than 6 months at a property is technically considered to be a short term rental (STR)and they have some laws and rules of their own.
Why dont most Real Estate offices offer these services?
Some rental companies do and are popping up near destination locations. Some Realtors and Brokers do go out of their way to help people find a vacation home or short term rental. But understand they arent really making any money from it so its an act of labor and love.
Guest communication is tiring while managing accounts, and babysitting cleaners and owners can be a nightmare. Its too much work for not enough money for most. Recently I had my first security issue and scare with a rental I help manage and first, I panicked. Second, I contacted the property manager for help. Third, cried a little then snapped myself out of it because the short term rental market is tough. All rentals can be a tough specialization within real estate.
Speaking of security and being tough, there are TONS of security issues in the STR world - issues from who is renting, who are they bringing and do they have a valid ID? Are they a registered sex offender? With identity thieves on the rise you cant be too careful. Property cameras are not legal when a property is set up primarily as a short term rental.
So lets say you find a nice place on AirBNB for $199/night, cheaper than the average $250 which is what most Americans spend on a nightly hotel, for 3 nights so thats $597. Then add 9% because youre staying in a room and New Hampshire charges 9% Meals and Rooms tax (not super high compared to other states) so plus $53.73 comes to $650.73. But sometimes theres a 3% transaction fee. In addition there is a $75-$200 fee for cleaning and linens. Now is the time to start a cleaning business or get into the rental market, and, by the way - its exploding! Particularly in unique or exotic places such as near a Ski Mountain perhaps?