Buy-to-let landlords can now use Airbnb for long-term lettings

 

Before the events of the past few weeks, the short-term letting market was a booming business. While it’s expected to fully bounce back further down the line, Airbnb is offering a new alternative.

Airbnb is the international short-term letting giant that most people across the world have heard of, if not used. It’s gained a huge market share over recent years with its efficient booking system, useful app and easy service options.

For many buy-to-let landlords, short-term lettings are a great way to diversify a property portfolio. Long-term rentals will always have high demand, as more and more people rent rather than buy. But short-term and holiday lets come with their own set of advantages, and they have become more appealing to landlords in recent years. Read more about why in this article.

Shift away from short-term

The property hosting platform, which allows people to rent out all or part of their home to guests, has now announced some big changes. It recently received $1bn of private equity funding from Silver Lake and Sixth Street Partners – a massive investment for the firm. It is also set to raise a further $1bn in debt.

And an Airbnb spokesperson has revealed where the funding will be targeted.

“We will focus on longer-term stays. From students needing housing during school, to people on extended work assignments, Airbnb is a place where many have found longer-term housing.”

“In the future, dreams of living in another community will become a growing reality – in homes that come with the benefits of Airbnb.”

Airbnb classes a long-term stay as one of more than 28 days. In its new settings, you can book for anywhere from two weeks to six months.

The firm has recently blocked all bookings through its platform because of the coronavirus outbreak. It is only allowing stays to be offered to NHS staff and key workers, either for free or at a subsidised rate.

How long-term stays work

There is now a page on Airbnb’s website titled “Monthly stays made easier with Airbnb”. On it, it advertises the option to “stay for months”. It offers the opportunity to stay in one home for a longer period of time, “without committing to a long-term lease”.

For landlords exploring various letting options right now, this could provide a new avenue. The downside of short-term lets can be that they are more likely to have vacant periods. This option of having people sign up for months at a time could provide a balance, with a more predictable income stream for the landlord.

However, it is important to know the rules for where you live. In London, for example, there’s a 90-day annual limit on property listings. If you live outside this area, and you have guests for more than 140 nights per year, it may then be classed as a self-catering property or holiday let. This could mean business rates are payable.

At BuyAssociation, some of our investment opportunities allow short-term lettings and Airbnb options. We also cater for investors looking for long-term buy-to-lets, as well as owner-occupiers seeking a great investment for the future. Get in touch for more details.

Highgrove Mews

High Net Yield Freehold Houses

  • Commutable to London (27 mins to central Paddington station)
  • Rental demand extremely strong with large industry presence in Reading
  • Freehold with 4% net yield

£284,955 - £457,000

St Petersgate – Stockport Manchester

New Launch - Stockport Manchester, apartments from £160,000

  • Discounted launch prices from £160,000
  • Excellent transport links with 3 trains per hour to London Euston and only 9 mins journey to Manchester Piccadilly
  • Experienced development team

Assured Rent Housing Association Leases

Assured Rent Housing Association Leases

  • Assured rent & no rental voids
  • Tenant damage cover & newly refurbished inline with requirements of a corporate sitting tenant
  • Free property and lettings management

From £62,000

Emerging Birmingham Commuter Town With Properties From Just £104,000

The emerging Birmingham commuter town where properties are selling in an average of just 24 days

  • A collection of 62 two bedroom apartments and 28 one bedroom apartments.
  • DE14 is one of the fastest selling postcodes in the West Midlands.
  • 23 minute train journey into Birmingham New Street Station.

Properties from £104,000

Mill, Stockport

The Northwest's emerging property hotspot

  • Discounted off-plan 2-bed prices from £162,000
  • Completion date - Q4 2021
  • Rental yields - 6% plus

Discounted off-plan 2-bed prices from £162,000

South Central – Birmingham City Centre Apartments

Highly anticipated 28 storey launch in Birmingham City Centre with an impressive roof garden and communal facilities.

  • 154 units across 28 storeys
  • Residential multi-media community room, gym, roof garden and sky cinema
  • Excellent future connectivity via the metro system to other key transport hubs and locations around the city

from £205,800

ba-

Talk to us

Speak to our UK property experts today: 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

+852 9865 4446

Open from 9am-6pm HKT

Stamp Duty Calculator

.

Unlock members only investment opportunities and full development details. Join now – it’s free, quick and easy.

Login

Not a member? Sign up for free

Buy-to-let landlords can now use Airbnb for long-term lettings

Example

By submitting your details via this online form you agree to be contacted via email/phone/SMS by Direct Marketplace Ltd t/a BuyAssociation in relation to property investment and property developments . We do not share your personal details with third parties.  To view our full Privacy Policy click here.