SHORT-TERM RENTAL BENEFITS
How could you benefit from short-term rental?
Short-term rentals (STR) offer several advantages over traditional renting for landlords in the UK.
What are the key benefits?
Higher Rental Income
STR properties can generate significantly more revenue than traditional long-term lets, especially in high-demand areas. Nightly rates are often much higher than equivalent monthly rents, leading to greater annual returns.
2. Flexibility & Control
Personal Use – Landlords can block out dates to use the property themselves.
Adjust Pricing – Rental rates can be adjusted dynamically based on demand, seasonality, and local events.
Easier to Regain Possession – Unlike long-term tenancies, there are no lengthy eviction processes; landlords can simply stop accepting bookings.
3. Reduced Risk of Problematic Tenants
Since guests stay for short periods, there's less risk of dealing with long-term problem tenants. Issues such as non-payment of rent and eviction disputes are minimised.
4. Less Wear and Tear
While STRs require frequent cleaning and maintenance, guests typically cause less long-term damage than long-term tenants. Regular cleaning and inspections help keep the property in better condition.
5. Tax Benefits
Furnished Holiday Let (FHL) Tax Advantages – If the property qualifies as an FHL, landlords can benefit from:
Potential capital gains tax relief (Entrepreneurs’ Relief or Business Asset Rollover Relief)
6. Market Demand & Growing Trends
Increased demand from business travellers, contractors, and digital nomads looking for flexible, high-quality accommodation.
Growth in staycations and leisure travel within the UK.
7. Diversification of Income Streams
STR allows landlords to mix direct bookings, Airbnb-style platforms, and corporate lets, reducing reliance on a single income source.
However, STR does require active management, frequent cleaning, and compliance with local regulations (such as planning permission in certain areas). Many landlords mitigate this by hiring a management company.
Is Short-term rental right for you?
While STRs require more hands-on management, this can be outsourced to a property management company, like Gough Groves. To understand if STR is right for you, fill out our quick form (1-2mins) and receive a free personalised quote .