MID-TERM RENTALS IN DENVER

What isn’t there to love about the mid-term rental (MTR)? It’s flexible and can be a cashflow beast. Let’s break down the MTR and why it works so well as an investment.

What is a Mid-Term Rental?

A mid-term rental is a type of real estate investment where a property is rented out for a period of 1 to 12 months, often to corporate clients, travel nurses, nomads or individuals in need of temporary housing. Unlike traditional long-term rentals, which typically require a commitment of at least one year, mid-term rentals offer more flexibility to both landlords and tenants.

The Benefits of The MTR

Flexibility that Cash Flows!

Higher Return on Investment - Compared to a long-term rental a mid-term rental typically brings in a higher nightly rent due to it's convenience and flexibility offered to tenants.
Reduced Risk of Vacancies - MTRs can provide more stable income for landlords than STRs, but can still profit more than a long-term rental.

Flexibility - Since the rental period is shorter, landlords have the opportunity to reevaluate and adjust their rental rates more frequently, potentially increasing their income.
Easier Maintenance- Landlords are able to keep their properties in better condition, as tenants are less likely to cause wear and tear damage over shorter periods of time.

The Drawbacks and Risks to MTRs:

Market Risk – The demand for mid-term rentals can be unpredictable, and changes in the local economy or job market can impact occupancy rates and rental income.
Management Risk - Managing a mid-term rental property can be time consuming. If the investor doesn't have the experience or time to effectively manage the property it can impact the overall profitability of the property.

Legal and Regulatory Risk – MTRs are subject to various legal and regulatory requirements, such as landlord-tenant regulations and local zoning laws. Non-compliance can lead to fees and penalties.
Seasonal Risk - Mid-term rentals can be affected by seasonal factors such as school schedules, holiday seasons and weather patterns. Investors need to know their local calendars so they can plan a head for anticipated changes.

Get Educated on Mid-Term Rentals:

Pick up 30-Day Stay, co-authored by Zeona McIntyre and Sarah Weaver.

These investors have proven themselves the mavens of the MTR game with 30+ deals in their portfolios and the experience of coaching others on navigating this investment strategy.

30-Day Stay is a playbook for investors entering the MTR game, filled with tools and practical advice.

Listen to Podcasts from Invest2FI –

Some key episodes to tune into are:

Join a Mastermind Group on Social

If you’re looking for a group of like minded investors to help get your MTR to the next level or just getting started and want the guidance of other, then join a mastermind!

MID-TERM RENTAL CASE STUDY

CITY PARK MID-TERM

4 Bed | 3.5 Bath
1,950 sq/ft
Purchase Price: $550,000
Cash Flow: $1,372/month
CoC Return: 38.29%
NWROI: 234.32%

Ready to Look for a Mid-Term Rental in Denver?

Check out the latest on the Denver MLS, create an advanced property search to hone in on the right investment property for you!

Even better, connect with a FI Team Agent to create a MLS Search for you! Getting pre-approved by a lender and looking at listings in your price range is a great first step to educating yourself on finding the right investment property.

Ready to get started?