Booking platforms like Airbnb and VRBO have made it easier than ever to parlay properties into extra income, especially if they’re near a prime vacation destination, as evidenced by the fact Florida claimed nine spots on Vacasa’s “Insider’s Guide to the Top 25 Markets for Buying a Vacation Rental.”
But the data shows some urban properties can be money makers, even if they’re in Midwestern cities hours away from sand and surf. Not just any home or apartment will rake in rental cash, though. Aspiring investors should research regulations for short-term rentals in their target cities and obtain the proper licenses where they’re required, said Thaddeus Hanscom, head of partner programs for Vacasa, a Portland, Oregon-based vacation property management company.
“Second, when buying or designing your home, think about future guests. Homes a little farther out from the city center, a short drive to local attractions, can be great earning properties, drawing in multiple families for reunions and family celebrations,” Hanscom said. “On the other end of the scale, upscale condos with high walkability scores and great photography can generate significant year-round income.”
Whether investors opt for a photogenic downtown loft within walking distance of bars, restaurants and performance venues or a large, centrally located house that can host extended families, they should do their homework to purchase properties with lasting…