January 3, 2025 · CalculateRealEstateROI Editorial
Short-term rentals typically gross 2–3x the revenue of long-term rentals on the same property — but they also carry 3–5x the operating expense ratio and meaningfully higher regulatory risk.
Advertisement
On a net basis, well-located STRs in liquid vacation markets often outperform LTRs by 30–60% in cash flow. In secondary cities with restrictive STR rules, the math reverses.
Use the Airbnb profit calculator to model both scenarios for any property before committing to a strategy.