Financing Your Short-Term Rental With Preferred Capital Funding

Investing in a short-term rental property can be an excellent way to boost your income, and it can also offer you and your family a place to vacation when it is not occupied. Websites like Airbnb and VRBO make it easier for investors to advertise and rent out a property for shorter stays, making short-term rentals a popular way to earn supplemental income. If you are located in Conyers, Georgia, and interested in investing in a short-term rental property, Preferred Capital Funding can help. Read on to learn more about your financing options for short-term rentals.

What Is a Short-Term Rental Property?

A short-term rental property is usually purchased by an owner intending to lease a property rather than live there. Because they are commonly used by people on vacation, stays at a short-term rental property usually range from a few days to several weeks; however in some cases, short-term rentals can work for renters needing a place to lease for less than a year. Short-term rental properties have lease terms that are less than twelve months and typically are single or multi-family homes, townhomes, or condominiums.

Advantages and Potential Drawbacks Of Short-Term Rentals

Investing in a short-term rental property can offer several advantages for a borrower, including the fact that it can potentially be very profitable. There is currently also a high demand for vacation rentals, and it is relatively easy to market a property to potential short-term renters. Short-term rental properties also have potential for increased appreciation in value over time, and owners of the property can use the property for their own personal use for a specific amount of time without losing any tax benefits. It is important to note some potential drawbacks of short-term rentals, including possible city restrictions or regulations that limit short-term rental use, required management and cleaning between guests, and the possibility of less bookings during vacation off-seasons.

Benefits of Financing a Short-Term Rental With Preferred Capital Funding

Preferred Capital Funding can help you finance a short-term rental property and offer several benefits, including:

• Loan underwriting that is based on market rents. It is not necessary to have a long-term lease in place, and you are not required to verify your tax returns or outside income.
• We offer peace of mind with a 30-year loan and no balloon maturities.
• You may borrow in a corporate entity, with your identity protected.
• We do not require a minimum income or amount of revenue.

If you are interested in earning extra income by investing in a short-term rental property in Conyers, Georgia, contact Preferred Capital Funding today for a consultation. We can work closely with you to help determine the best financing option for your situation.