Head of Marketing

GM of San Diego

Head of People

Belong Co-Founders

Which will be more profitable for your home? We cover the pros and cons to weigh up your options

Short-Term Rental vs. Long-Term Rental: The Pros and Cons

Short-term vs long-term rental, airbnb vs property management — if you’re looking to rent out your home, this is one of the first decisions you will need to make. Is it more profitable to rent it to a single person/family or can you optimize your rental income by listing it as a short-term vacation rental on platforms like Airbnb, VRBO and HomeAway?

Ultimately it will depend on your personal circumstances, including how much time, money and energy you have to invest in managing the home. To help you weigh up your options, we dive into the pros and cons of both short-term and long-term rental for your home. 

The pros and cons of short-term vacation rentals

On the surface, the economics of renting your home as a vacation rental look promising. With rates charged per-night and huge fluctuations during holiday seasons, in the right location a vacation rental can be lucrative. It also allows you to access the home whenever you want it, so if you use the home throughout the year, this is a great option (provided you don’t mind the wear-and-tear on your furniture).

On the flipside, the payday that can come from a popular vacation rental becomes a lot less attractive when you factor in the number of hours you’ll spend working as a frontline customer service agent for your own property — especially when many Airbnb hosts are reporting a big increase in vacancy rates. 

Flexibility — you can rent out the home as little or as much as you like

You won’t need to put your furniture in storage if you are leaving temporarily

The per-night/per-week rates are higher than a flat monthly rental rate and can therefore be more profitable if the home is in a tourist hotspot and booked regularly 

There are several online platforms that are simple to list and manage bookings yourself

The property will be cleaned after every stay to help maintain the condition

You may be able to claim some costs on tax — such as fees, maintenance and cleaning

There is no guarantee of regular income as bookings will be inconsistent and you’ll be subject to last-minute cancellations

Many Airbnb hosts are reporting an increase in vacancy rates and that the work involved is making the option less profitable/unprofitable

You will need to handle all of your guest inquiries and demands — most likely on weekends, evenings and during holiday periods

You are removing housing options from your neighborhood and contributing to the rental price squeeze that is impacting families that are priced out of home ownership

The property will need to fully furnished and you will be responsible for the upkeep and replenishment of all amenities

You will need to hire a professional cleaner or be prepared for a lot of hard work between guests, cleaning the home throughout and laundering all bed linen and towels

You risk your home being destroyed during parties and a high turnover of guests (they’re technically banned, but there’s little you or Airbnb can do to stop them)

If guests are unsatisfied with the home or service, you could be forced to give a full refund within 24 hours, in accordance with Airbnb policies

There are ever-changing local regulations to comply with — some areas like LA have even outlawed short-term rentals for investment properties

You may need to collect and pay additional taxes or fees to have a legal short-term rental under local ordinances, which are becoming increasingly common 

You will have additional costs such as paying for all electricity, water, internet access etc

Neighbors don’t like short-term rentals, so you risk souring any relationships if you intend to come back to the home (and you could be in violation of your HOA agreement)

Management fees are high — if you don’t want to handle the workload yourself, you will pay up to 20-50% of total income generated for a company to manage a short-term rental



Airbnb guest coverage doesn't provide the right insurance to protect your home, with short-term rental insurance costing between 10-70% more than a homeowners policy

With rising inflation and property values in recent years, more Americans are feeling locked out of home ownership so they are renting for longer. There has been a sharp increase in rental pricing as a result, meaning the average rental homeowner is receiving drastically more money in rent than previous years. 

This means it’s a great time to hold an investment property and if you don’t intend to use the home during the year, having a long-term lease agreement on your home may be more profitable than a short-term rental, even at a lower per-month rate. 

Predictable income, with less vacancies and one person/family living in your home for 12-months or longer

High demand and attractive rental rates locked in for the lease term

Residents are vetted and screened, helping you to place responsible people in your home who will treat it as their own

With the right management, income can be truly passive, with no need to play customer service representative for holiday-makers

Provides a stable living environment for people who don’t want to, or can’t, buy their own home

Favorable tax breaks and capital gains depreciation

No need to furnish the home or worry about cleaning costs and replacing amenities

No utility costs, as residents will typically pay for these unless it’s included in their rent

Management fees are lower, usually around 8 - 10%

Less local ordinance hoops to jump through

You won’t have access to the home throughout the year as residents will be living there full-time

Short-term vs long-term rental, airbnb vs property management - which will be more profitable for your home? We cover the pros and cons to weigh up your options

Find out how to benefit from the Inflation Reduction Act's new carbon tax credits and rebates by making your residential or rental home more energy efficient.

How Homeowners Can Benefit From New US Climate Tax Credits and Rebates

The Inflation Reduction Act is now law and includes a big push to bring down energy costs for families while reducing climate pollution. In 2023, the Inflation Reduction Act will allocate $369 billion through tax credits and rebates to make it cheaper for homeowners to fit their residential and rental homes with energy efficient appliances and clean energy solutions (such as heat pumps and solar panels). 

Homeowners may qualify for up to $10,000 or more in tax breaks and rebates, depending on your household income and the type of energy-efficient upgrades being made to primary residences and second homes. While official details are being ironed out, this article is an overview of what we know so far and how to start planning your home efficiency updates.  

What are the new 30% tax credits and rebate schemes for home efficiency upgrades?

A tax credit is an attractive tax break for homeowners, allowing you to offset the cost of upgrades against your yearly tax bill. A tax credit is more beneficial than a deduction, because you receive the full amount (dollar-for-dollar) of the credit off your tax bill rather than using it to reduce the amount of your taxable income. 

This means that if you don’t have a tax liability, you won’t be able to take advantage of the credit on your refund. However, if you have insufficient liability to benefit, you can carry forward any unused credits to offset future tax bills. An accountant will be able to step you through eligibility and offer advice based on your individual circumstances. 

For the past few years there have already been tax credits in place for energy-efficient updates and appliances, however they have typically been reserved for primary residential homes and have been fairly minimal, capped at around $500. 

The Inflation Reduction Act will update and replace the older schemes, with new options set to roll out in 2023:

1. Energy Efficient Home Improvement Credit

The former ‘Nonbusiness Energy Property Credit’ is being replaced with the renamed Energy Efficient Home Improvement Credit as of January 1, 2023 (until 2032).

Every year, homeowners can apply for a tax credit for 30% of the cost of eligible home efficiency improvements made through the year. Examples of these upgrades include:

Installation of heat pumps/heat pump hot water heaters

Annual limits apply, with a $1,200 total cap per year and limits on some specific items. Heat pumps and water heaters are exempt from the limit, with a rebate of $2,000. 

The former Residential Energy Efficient Property Credit is being replaced with the renamed Residential Clean Energy Credit as of January 1, 2023 (until 2034).

These tax credits will help offset the costs of installing clean household energy solutions such as:

Solar power including panels and some battery storage options

Most eligible costs incurred from the beginning of 2022 would qualify for a 30% tax credit, with the exception of the new tax break for batteries which will begin in 2023. 

3. High-Efficiency Electric Home Rebate Program

In addition to the tax credit programs, the High-Efficiency Electric Home Rebate Program will provide an upfront point-of-sale rebate of up to $8,000 on the installation of eligible heat pumps that can heat and cool homes efficiently. There is also a rebate of up to $1,750 for heat pump water heaters and up to $840 to offset heat-pump clothes dryers. 

If a home needs to improve the electrical wiring or panels to support more modern and efficient appliances, there are also rebates available ranging between $2,500 - $4,000 to offset the cost. 

Better insulation and sealing is also one of the most cost-efficient (and fastest) ways to improve the energy efficiency in a home, so there is a rebate of up to $1,600 towards these costs. 

Can I apply energy efficiency tax credits towards updates on a rental home?

Investing in energy efficient improvements to your rental home can be a smart investment, attracting responsible and conscious residents while reducing your carbon footprint. 

Eligibility for the newer tax credits depends largely on your personal income and circumstances, however many of the credits and rebates are available for both a personal residence and second home. The schemes are geared toward low-medium income earners, so it’s worth getting professional advice on your situation before proceeding with any planned upgrades to your rental home. 

How can homeowners apply for the energy efficiency tax credits and rebates?

According to the bill, the rebates will start after December 31, 2022, so we expect further details on how to claim for credits and rebates to be revealed over the coming months. To be eligible for the point of sale rebates, household income cannot exceed 150% of the area median income as calculated by the Department of Housing and Urban Development (which you can find here). When regulations and protocols are put in place, they may differ from state to state. 

In the meantime, the best approach would be for homeowners to speak to a professional to plan out energy efficient upgrades and discuss eligible solutions to offset the costs for work commencing from 2023 onward. The bill will have annual limits and credits available for the next decade, so you may wish to prioritize costs and plan out yearly updates to take full advantage of the tax credits and rebate schemes. 

Looking for more inspiration? Check out 7 Cost-Effective Ways To Make Your Rental Home Sustainable in 2023.

This Q&A on rental inspections for your home shows how to manage routine inspections of rental properties and how they can protect your real estate investment.

Rental Inspections: Why You Need Them and What To Do With The Results

Regular rental inspections for your home are a great way to stay connected with your residents and uncover any fixable issues before they become expensive problems. This simple Q&A will cover the ins and outs of inspecting a rental property and what to do when you receive an inspection report for your home. 

Routine inspections of your rental home are essential to protect your investment, by keeping tabs on any wear and tear on the property. It’s also an opportunity to connect with your residents to make sure they’re happy and are sticking to the conditions of the lease agreement. 

During rental inspections, you (or a representative), should be looking for damage, but also for wear-and-tear on the property that has the potential to become an issue if left unattended. 

For example, some damaged roof tiles and cracks in the caulking is not an urgent issue — but if water seeps in and leaks — it is. Identifying basic maintenance work could be the difference between a small patch job and replacing the roof! 

The exterior condition of the home — including gutters and lawn upkeep

The internal condition of the home — such as any mold growth, water damage, or physical damage to walls or windows

Issues with the plumping such as toilet, sinks, or water line

Any malfunctioning appliances that need updating

Anything that creates an uncomfortable environment for your residents

Any violations of the lease agreement (e.g. keeping a pet without permission)

It also gives you an opportunity to spot any changes to the tenancy agreement. For example, if a couple has split and one resident has moved out, or if long-term guests are staying and haven’t yet been screened or approved as a resident. Giving them the opportunity to be screened and added to the lease is another way to protect your investment. 

How often do you need to inspect a rental property?

Generally routine inspections take place anywhere from 1-4 times per year. This could be done annually, seasonally, or quarterly, depending on your lease agreement. 

Your state laws will guide you to what is an excessive number of inspections per lease period. Regardless of where your home is located, all tenancy laws give residents the right to ‘quiet enjoyment’. This means that as the homeowner, you should not be bothering them with more than a few inspections a year.

Who should be conducting routine inspections on my rental home?

Who conducts the inspections of your home depends on how you manage your property. If you self-manage the home, you will need to either do the inspections yourself or hire a representative to do them on your behalf. 

If you use a property management company to look after your rental property, they will also do the inspections. Check the fine print on your management agreement to see how many inspections are included, as many property managers will charge fees per inspection. Particularly if you pay a lower monthly rate, you could be up for ~$150 per inspection and will need to factor this into your budget. 

If your home is on Belong’s residential network, we schedule home visits on your behalf to connect with the residents, assess if anything needs fixing, and ensure there are no lease violations occurring. Inspect reports and information can be delivered directly to your smartphone via the Belong app. And best of all — it’s free. There are no hidden fees when a Belong team member visits your home for an inspection. 

If we identify any maintenance issues or damage, we can connect you to the right professional in our extensive vendor network of over 10,000 contractors. You can even select a finance option to pay the cost of on your own terms. 

Learn More: Discover Belong PRO, the best alternative to Property Management in Seattle, Redmond, Oakland, and many more cities across California, Florida and Washington State.

How much notice do residents need before a rental inspection?

How much prior notice residents need varies depending on state law. For example, if you own a home in Seattle, you need to give residents at least two days’ written notice to enter. In California, it’s “reasonable notice” and 24 - 48 hours notice is presumed to be reasonable for most matters. 

Legal website Nolo has this handy chart of State-based laws for entry into rental properties. 

Of course, no one likes to be sprang upon, so keep in mind that these are legal minimums. It is courteous to allow a week or so to give your residents time to respond or reschedule. If you are providing written notice via the post, you should also allow six days for the mail to be received. 

If your home is on Belong’s residential network, we schedule home visits on your behalf and foster a positive relationship with all of our residents, making the process simple and stress-free. You won’t need to contact your residents because our Member Service Team will ensure both you and your resident have everything needed. 

See why thousands of US homeowners are ditching outdated Property Management in San Francisco,San Diego, Los Angeles, Tampa, Jacksonville, Concord, Berkeley, Orlando and more.

If you (or a representative) suggests a date and time that doesn’t work for the residents in your rental home, they can request an alternative. But they cannot outright refuse to let you or your management team inspect your property if you have followed the laws around notice. 

Is it ok to do a ‘drive-by inspection’ of my home when it’s being rented?

Drive-by (or walking/riding past) inspections are legal if you are truly passing-by to take a quick look at the outer condition of the home. For example, checking if the lawns are being maintained or if the gutters need to be cleaned. 

If you get out and start physically inspecting the home, or if drive-by inspections are being done too frequently — this could be viewed as tenant harassment and in violation of quiet enjoyment. 

What should I do with a rental inspection report?

Take the time to review any inspection reports to ensure there are no surprises. If your property is in good shape and there are no major differences or maintenance issues observed, great! You have the peace of mind that your home is in good hands. It’s a nice gesture to pass on your thanks to the residents to acknowledge and show your appreciation. 

If there are items that need addressing, it’s important not to put them off. You will either need to approve recommended repairs or, if you self-manage the property, start looking for quotes and arrange to have the situation rectified yourself. Be sure to keep the resident in the loop so they know what is happening and you can arrange to send in a contractor to work on the home. 

If a lease violation has been observed, Belong or a property manager may make a recommendation on how to mediate the situation or suggest issuing an eviction notice. State laws vary on how to manage evictions, so be sure to speak to Belong or your property manager on how to take the next steps. 

If you self-manage the property, it’s a good idea to obtain legal advice on how to proceed further and issue any required notices. 

Find out how Belong is making renting lovable 

If you like the sound of free inspections, wait until you see what else Belong has to offer. Belong is not a property management company, but a residential network offering unique services to both homeowners and their residents. From not charging fees for the essentials (marketing, inspections, pricing analysis, lease renewals and more) to guaranteeing rent, Belong will partner with you to achieve financial freedom. And you'll never need to lift a finger. Learn more and find out if your home is eligible at belong.com/homeowners.

Find out how the right property manager can work with your HOA, ensuring the Board will love having you as a landlord renting a home in the community.

How To Rent Your Home and Stay HOA-Board Approved

If you own a home with a HOA in place, you may face hurdles when looking to put the property on the rental market. Read on to find out how property managers can work with HOAs and why you need the right one in your corner to simplify the process of renting your home. 

Homeowners’ Associations don’t have a reputation for making life easier for landlords. HOAs are in charge of managing the community spaces they govern — keeping neighborhoods desirable and properties valuable. Some believe that this means keeping renters at a low ratio, or even out entirely. 

When HOAs restrict rentals it’s because they are under the impression that tenants are not as invested in a property as owners are and won’t care for them properly. It’s assumed there will not be as much effort or investment put into home maintenance and repairs. Some even believe renters make a community less livable, eroding the value of the neighborhood. 

This viewpoint ignores the fact that almost everyone will call a rental property ‘home’ at some point in their lives and some for longer than others. Renting in a community governed by a HOA is appealing to long-term renters because they can enjoy high quality amenities and community spaces to call home. 

Thankfully, there are ways to ensure your HOA will love having you as a rental property owner in the community. It starts by outsourcing the heavy lifting to the right property manager. 

How a property manager can work with your HOA

Most HOA boards are rental friendly, but have strict rules in place that govern how your property and tenants need to be managed. Bylaws may stipulate minimum lease periods, references, background checks, and even how many times owners can rent their property during a calendar year. This means if you get the rental process wrong at any point, you could face fines or an empty untenanted home. 

The best property managers know how to work with a Homeowners’ Association to make sure you not just follow the rules, but also get the most from your rental property, by ensuring:

The right price to keep your property value high

Regular maintenance and repairs to maintain curb appeal 

Ensure accurate rental pricing for HOA compliance

Property managers are responsible for an analysis of your home and local area to determine the best possible price for the rental market. Price the rent too high and you will struggle to get applications and lose visibility. Price it too low and you could bring down the value of neighboring homes and cause issues with your HOA. 

At Belong, we combine technology with a local human touch to identify the right price for your home. We collect absurdly rich data on your home and neighborhood, empowering our crack team of quants and proprietary algorithms to crunch the numbers. But unlike fully automated estimates, our local team refines this suggestion to ensure critical nuances are never missed. This informed approach ensures you’re not only getting the best possible price for your rental, it keeps the rent at the right price for your HOA-governed community. 

Homeowners are responsible for ensuring that any residents follow the rules and regulations of their HOA, known as Covenants, Conditions & Restrictions (CC&Rs). This doesn’t change if you don’t live there. If renters fail to follow the bylaws or CC&Rs, you as the homeowner will be held liable and could face fines.

The best way to ensure your residents are the kind of people that can play by the rules is to screen for high-quality, long-term renters who will love your home as much as you do. 

Belong ensures that all tenants are 100% vetted, focusing on long-term residents that are keen to feel at home and part of the local community. In fact, Belong is all about a sense of community. By ensuring that renters (or ‘residents’) are cared for just as well as our homeowners are, they remain well informed, have access to our 24/7 concierge support and are less likely to unwittingly break HOA bylaws. 

And in the unlikely event that the vetted resident isn’t complying with HOA terms or their rental agreement, Belong doesn’t charge eviction fees if they need to move out. 

Deliver HOA-approved property maintenance and fast repairs

There’s little a HOA board takes more seriously than curb appeal. If you’ve ever tried to paint your home the wrong color, you’ll know how quickly you can get slapped with a fine for breaching the rules around the appearance of your property from the outside. 

This is because a top priority for the HOA is to keep property values high — and aesthetics is a big part of that. Like resident behavior, the conditions and appearance of your home is ultimately the homeowners responsibility. 

While you expect a good resident won’t cause any damage, it’s also not up to them to manage repairs and maintenance. This is where Belong can make a world of difference. If something breaks, we fix it. We have an extensive vendor network of over 10,000 contractors across the country and can connect you to them in a flash with our 24/7 concierge support service. Your residents can even make maintenance requests through the app and get qualified help fast, without putting the work onto you. 

Not your garden-variety property management

When your property is taken care of to the highest standards, it’s easy for HOAs to love you as a landlord within the community. That’s why Belong goes out of its way to find residents that will love your home as much as you do — and treat it with respect and care. 

“Knowing my home is loved and cared for by my residents is something that I really appreciate because I love my home and I love sharing it with somebody else…. As a homeowner, when I say that Belong handles everything, Belong really handles everything for me.”
Sandra G, Belong Homeowner

If you have an HOA for a property you intend to rent, find out if your home qualifies for Belong here.

Sparsh Mehta

I grow new markets and bring our industry-changing experience to homeowners and residents around the country. Lover of the Outdoors, Scuba Diving, Skiing, Hiking, Live Music, and all things Technology.

Afton Brazzoni

Brett Jaffe

Flora Fiorillo

Jill Jaracz

Ale, Owen & Tyler Founders

Afton Brazzoni

Brett Jaffe

Flora Fiorillo

Jill Jaracz

Ale, Owen & Tyler Founders