In the private property rental market, long-term rentals and Airbnb offers share the market. However, each of these two projects directs owners towards different constraints and advantages. To help you take stock, discover in this comprehensive guide the major differences between long-term property rental and making your house or apartment available through Airbnb services.
Long-term Rental or Airbnb: which Offer to Choose?
Before deciding how you will profit from your real estate investment, it’s important to distinguish between a long-term rental and an Airbnb offer. In the first case, rental income is stable throughout the duration of the lease. However, when you put your house or apartment up for seasonal rental, revenues vary according to seasonal occupancy. Although, regarding short-term rental pricing, the Airbnb principle is subject to a more complex tax regime than the classic lease agreement. Indeed, tourist rentals require, for example, the payment of tourist tax as well as the declaration of received rents on your income tax return.
Regarding the practical aspect, long-term rental requires regular maintenance of the various equipment contained in the accommodation. However, Airbnb offers require the intervention of a cleaning and housekeeping company much more frequently. Moreover, with each tenant departure, it is essential to change the bedding, provide consumable accessories such as soap, shower gel, or make welcome trays available to tourists.
Before choosing the type of contract you wish to offer your future tenants, it is therefore essential to calculate all the costs inherent to your accommodation throughout its use by tenants.
Legal Implications of Long-Term Rental or Airbnb Rental
When you rent out your property for a long term, you enjoy greater flexibility in realizing your project. Indeed, the number of Airbnb rentals is much more limited depending on the geographical area in which your apartment or house is located. Furthermore, as an owner, you can put your primary residence up for Airbnb rental for a maximum of 120 days per year. For this, it is essential to make a declaration to the town hall of your place of residence in order to understand the feasibility of your project.
But also, from a legislative standpoint, the fundamental differences between long-term rental and Airbnb rental lie in the legal weight of the rental contract. The housing lease, signed between the two parties under private agreement, is a genuine contract that allows the signing parties to benefit from rights and duties supported by law regarding the essential points of the document such as rent setting, duration of the rental contract, conditions for terminating the lease, etc. While Airbnb rental must rather comply with general terms and conditions of sale and use of the premises. However, in both cases, the owner is required to have their contractual implications with civil liability insurance related to the property that protects them in case of conflict.
Implementing your Advertising Strategies for LLD and Airbnb
In a particularly competitive market, each owner must implement a real advertising strategy for renting out their property, whether it’s a long-term rental or an Airbnb rental. Year-round rentals are published, in the vast majority of cases, by real estate agencies responsible for their promotion. However, you have the possibility to distribute your ads by your own means using popular and varied networks such as the Internet, local newspapers, or classified ads.
Regarding Airbnb rentals, the advertising strategy is more focused on online platforms. Indeed, tenants most likely to rent short-term accommodations have a greater tendency to book online. Using a specialized agency like Bnb Groom Services allows you to save time and money on marketing and customer relations. Moreover, our agency is based on the French Riviera, an ideal location for the rental management of your holiday home, with a high-end concierge service!
