Environment-Friendly Rental Models
From bigger news outlets to online forums, climate change is getting more attention.
And it’s not surprising.
Especially since many countries throughout the world in 2022 experienced record heat waves.
Per the NCEI’s Global Annual Temperature Outlook, the year 2023 will rank among the 10-warmest years on record.
As a mid term rental (MTR) investor, you should be aware of climate change and how each of the 3 main rental models impacts the environment.
The 3 models that I’m referring to are short term rentals (STRs), mid term rentals (MTRs), and long term rentals (LTRs).
Knowing each models’ environmental impact and how to make your rental more environmentally friendly is extremely important.
You can not only help the environment, but also ensure that your mid term rental business becomes more profitable.
Check out the 3 main rental models below!
1. Short Term Rentals (STRs)
Short term rentals are usually rented from a weekend to a month. They experience significant tenant turnover and require more work than the other models below.
With this model, you’d spend more time maintaining the unit, cleaning it, and doing guest check ins/check outs.
Large guest turnover and higher maintenance costs can increase your rental’s carbon footprint. Short term guests might be more likely to have the electricity and gas sources running for longer periods of time, which can raise costs. Short term rentals can also experience higher wear and tear, or depreciation.
Short-term rentals may encourage more frequent travel, which increases greenhouse gas emissions from transportation.
2. Long Term Rentals
Long term rentals are standard apartments, condos, or townhouses that are rented for at least a year. Some landlords and even a few tenants might prefer long term rentals because they’re more stable. However, this model can be the least profitable of the 3 since long term rents are lower than shorter term ones.
Long term rentals could also have a lower environmental impact since there is much less maintenance work required. Long term tenants are also more likely to establish a sense of community, leading to a reduced need for car travel and resulting in fewer greenhouse gas emissions.
Long term rentals also don’t require frequent cleanings since there isn’t a constant churn of tenants compared to short term rentals.
3. Mid-Term Rentals
Mid-term rentals are the middle ground between short and long term rentals. Typically, tenants can rent these from a month to 6 months. They’re very popular among workers who frequently travel from work location to location on short assignments.
Mid term rentals offer the best of both worlds. You can charge higher rates than short term rentals, but don’t have to deal with the constant flow of new tenants.
They also have a lower carbon footprint compared to short term rentals since they have lower maintenance costs. You can also make your MTR more sustainable by installing ENERGY STAR Certified products and water leak detectors.
It’s important to understand the different features of each rental model and their unique impact on the environment.
So that you can run a lean business and fight climate change at the same time! Small steps like having ENERGY STAR appliances and water leak detectors can make your MTR much more sustainable. They can also save you tons of money in the process!
But tell me, how else are you making your rental more sustainable? Please let me know since I’m always looking for more ways to make MTRs more environmentally friendly!
Learning about the different types of rental models can help you prepare your mid term rental (MTR) for climate change!
Letting you help the environment, your tenants, and your wallet at the same time!
Besides preparing your MTR business for climate change, it’s also important to focus on the right niche.
I’d like to show you a niche that caters to a special type of healthcare worker. This niche is recession and pandemic proof since it actually grew during COVID-19!
Discover the #1 niche for MTR investors in 2023 with my 1 hour, free online masterclass preview.