who needs a medium-term rental?
Medium-term rentals have a large pool of tenants, that include: traveling nurses, corporate rentals, remote workers, potential home buyers and separated couples.
--> Medium-term rentals are 30+ day, furnished rentals <--
The term "medium-term rental" is an umbrella term that is also called: mid-term rentals, remote worker rental model, traveling nurse model, corporate rental model and subletting. All of these models are the same and should be called the "medium-term rental model" as that terminology applies to the largest tenant base.
Traveling nurses are likely the tenant pool that you most associate with medium-term rentals. Traveling nurses are high skilled and well paid medical professionals who travel to different hospitals and provide service. Because they tend to be well paid, professional and often female, these have long been a popular pool for landlords that want to rent furnished rentals for a month or more.
Remote Work is in high demand. Since Covid opened the door on this trend, high skill workers are demanding this from employers. We don't anticipate that trend will stop. We also primarily rent out our medium-term rentals to remote workers. These people want to travel the United States and experience different geographies now that they are no longer tied to their job location.
FUTURE HOME BUYERS
Home buyers often know they want to live in a city but recognize that they may not know the city very well. This is particularly true if they are out of state and/or don't have a close connection to that city. To avoid buying in an area that ultimately is a bad fit, some homebuyers elect to live in their city of choice for a month or two before buying a house. The benefit to this is that they can start their lives and research in the new city without having to blindly commit.
It's been our experience (particularly during covid) that struggling couples utilize 30+ day, furnished rentals. There are two primary reasons for this. The first is that the couple isn't sure if they want to divorce, so they are doing a trial run at different properties to see if it makes sense. The second is that they have decided to get divorced, but cannot sign a long-term lease or make any major financial decisions until the divorce is finalized.
College kids. Our furnished rental has 4 beds, 2 baths and is 1.2 miles from Colorado College. For the last two years, we have primarily rented to college kids (one group of 5, one group of 4) and have been happy with the results. College kids need furnished accommodations, often have wealthy cosigners (their parents) and tend to be very laid back.
how can we help with your medium-term rental model?
We've been operating multiple medium-term rentals since 2017, and many of our clients also prefer this model. Please reach out to either of us to discuss more. ERIN@ERINANDJAMESREALESTATE.COM OR JAMES@ERINANDJAMESREALESTATE.COM.
BUY THE BOOK ON MEDIUM-TERM RENTALS.
That's right. There's a book that can help you with your medium-term rental strategy.
Available on Amazon, you can buy it here.