Changed/changing to LTR?

#1

When Covid-19 hit our STRs several of the hosts on this forum discussed LTR.

We’ve weathered the first storm of complete shutdown, 2nd storm of partial reopening with extra cleaning, 3rd storm coming with predicted fall Covid-19 resurgence .

Please share your story.

Did you move to LTR?

How long are your leases?

Are you getting the money you need?

Any tips for someone considering this?

I’ve moved one of my rentals to long term. 12 months. With potential to extend to 18 but probably no longer. Depends on vaccine & travel industry. Not a Big money maker. Will pay bills and a little extra.

My second condo 30 day and greater rentals October-May. (7 months. - currently 4 are booked). Two of those months are at risk for canceling. I’ll cross bridge when I get to it.

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#2

We made the move to LTR. Mr MtnGal is in the covid high risk group. We decided not to continue
STR at this time.
The rent is about the low end of what we where making monthly on ABB. Fortunately the revenue is enough.
We found a great month to month tenant so it’s a win win.
Be be honest I don’t miss all the cleaning.
But in the future we would be open to doing STR again.
I’m also interested in other Hosts who have switched and how it’s going

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#3

A nice couple made us a great offer for LTR with a March 1st lease. Darn lucky. We have been doing LTR for many years, and were glad to switch this unit back. They are also great tenants. We are very pleased.

Then all the fun started, and we have been building out a new stay. We are now getting reasonably close to having it ready - and this will be a premium STR.

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#4

I seriously considered it, when the reservations for March and April all were cancelled.

Did you move to LTR? I did not move to LTR; My situation may be different than many others, in that my listing is on the same property as I live, so I’d really want to know the person before I committing and even then I’m not sure I’d want such. I realize I like the flexibility that STL provides. It allows me to host family, friends, and some neighbors’ family (around the holidays), or no one at all. But if I came across a STR guest that worked out and they approached me for LTR, that’s when I’d consider converting. I’ve had a few “Covid Nomads” that might return after it cools down in AZ that are already “tested”.

Are you getting the money you need? technically I don’t “need” the money, but the answer is YES; in May AirBNB bookings quickly turned around and they continue to come. June, July, & August bookings have made up for the shortfall of March / April. I’m now on track to match revenue, if not exceed 2019. This, despite the gap days now inserted, which have a larger impact because of my 3 day minimum.

Any tips for someone considering this? Many, especially @JJD, provided great information for long term leasing in this topic

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#5

I already had LTR guests in one rental due to some major renovations taking place on the building. Because of the noise from the renovations, I didn’t charge our usual rate but discounted it for the inconvenience.

Normally the money works out at more or less the same for us as STR because although the rent is a bit cheaper for STR, the expenses are lower so it balances out.

We’d been having much-needed work done on the other apartment and when that ended I had a couple who were self-isolating (not infected but just keeping out of the way) and they were repeat guests. So I continued along that route.

Our attorney reviewed the leases we use and amended them a bit to include things like abiding by COVID social distancing and so on.

I’m not using Airbnb for this because I’ve never understood why guests would use Airbnb for longer-term rentals if they were okay with credit checks etc.

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#6

Yes. I participated in that thread. Many of us discussed making the change. I thought it would interesting to see who took the leap.

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#7

Mostly. We have 3 extra apts in our house that we rent out. All 3 were previously on Airbnb for STR. Now we have mid to long term rentals in 2 of them (2 BR apts with full kitchens) and recently opened our studio (kitchenette only) for STR again on Airbnb.

5 months, 2 months, 3 months, 12 months, 9 months

Yes. The 2 that are mid to long term rentals now are covering our mortgage and utilities for the whole house. The studio for STR is mostly covering the rest of our expenses. We didn’t really need the income from rentals when we were both working, but now we are both unemployed. Monthly, it is averaging out. We’re making more than our slow months but not as much as our very highest months. As @jaquo mentioned, the rent is lower for some months but so are the expenses.

  1. Don’t do it on Airbnb.
  2. Sign up for Zillow and/or Furnished Finders but also list on Craigslist. You can have anyone who responds on Craigslist go through the application, background check and credit check through one of the other 2 places.
  3. Charge a larger deposit than the traditional 1 months rent. It’s furnished and there is more damage to be done.
  4. Know your landlord-tenant laws. And follow them.
  5. Provide a move-in/move-out check list with every single sheet, fork, end table, duvet, kettle, etc on it.
  6. Don’t charge a cleaning fee. Do have a solid lease and remind them of their cleaning obligations prior to move out. Encourage them to hire a professional. But be prepared to know what to charge them when it’s not clean enough. And, yes, they do have to move the appliances and sweep underneath.
  7. Don’t forget, there’s not a review. Feel free to uphold your lease and set boundaries :wink:
  8. Give them a treat and guest treatment sometimes, just because :slight_smile:
  9. Enjoy whatever you are going to do while you are not-cleaning.
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#8

I hear you. I had a nice job. It is gone. Lay-off. At best may have reemployment opportunity next summer. My goal for now is to stay afloat until next year.

Sending 18 month lease to couple tomorrow. I really don’t want to do LTR but $$$ talks & is needed.

My Summer STR Usually provides enough revenue to pay expenses (not mortgage- hoa dues high because of expensive hurricane insurance) for year. My summer earnings were less than 1/2 usual so must make a change.

I’m actually looking forward to less cleaning& maintenance. But I’m going to miss my usual time in the condo at beach. Oh well. It’s temporary.

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#9

So after five months of a LTR she moved out.
I’m not so sad about this as she didn’t keep the space clean at all. No harm done. We had all upholstered and carpets cleaned and hired a professional cleaner to finish up.
Now our focus is to find tenants for a minimum of 30 days or more with a lease. Just checked in a traveling nurse from Furnished Finder last night.
We will un snooze the listing on Airbb this week.

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