Icon
Shortlisted Properties on Your Criteria in Minutes
Icon
Find, Book and Manage Team Accommodation
Icon
42250+ UK Accommodation Options
Icon
Shortlisted Properties on Your Criteria in Minutes
Icon
Find, Book and Manage Team Accommodation
Icon
42250+ UK Accommodation Options

Profitability of Short-Term Let Investments in 2024: Is There Much to Gain?

The profitability of short-term investments in 2024 hinges on several factors, including market demand, regulatory changes, economic conditions, and location. From property rental hotspots to guest trends, many factors shape the short-term rental market in 2024. 

Keep reading to learn more!

Impacts on Short-Term Lets 2024

Serviced accommodation remains a popular choice for both business and personal travellers. Offering both convenience and value for money, many people adore these stays due to their homestyle qualities. However, there are a few factors impacting the profitability that buy-to-let landlords are experiencing. These include the following:

Market Trends

Trends such as remote working and moving around again after years of restriction are meaning that more people are booking stays. This can boost occupancy rates and rental income for short-term lets. Many guests are looking for convenient places to stay that still offer them a certain amount of comfort, which hotels do not often offer. Furthermore, many guests still consider cleanliness an important factor, meaning booking an entire property is a preferred option. 

Changing Finance Landscapes

Previously, rising interest rates have resulted in increased financing costs, affected mortgage payments for property investors and meant that guests have less money to spend on short-term lets. However, many of these issues have started to be lessened during 2024.

This means more people are travelling, businesses are willing to spend on corporate needs, and property hosts can afford to price their homes more competitively. 

Property Management Improving Profitability

2024 has also seen an increase in the number of property hosts choosing to invest in support from property managers. This not only allows a hands-off approach to be taken, but means that someone with a detailed knowledge of real-time trends can relatively manage fulfilment rates. 

Property managers cover tasks such as day-to-day operations, guest communications, check-ins, and maintenance, which ensures a seamless experience for renters and reduces the owner's workload. This can also improve profitability as a higher level of service is being offered which means increased rental can be asked for. By efficiently managing the property, property managers not only enhance guest satisfaction but also preserve the property's condition, ultimately protecting and potentially increasing the investment's value.

Are Short Term Lets Worth Investment in 2024?

In 2024, short-term lets remain a profitable investment across the UK.

The ongoing recovery of the tourism sector post-pandemic has boosted demand for flexible accommodation options, with many travellers seeking short-term rentals over traditional hotels for their unique experiences and amenities. However, location heavily influences profitability, with properties in prime tourist destinations or vibrant urban centres typically seeing higher returns. Property hosts must also consider new regulations given the nation's change in government. Despite potential challenges, the combination of strong demand and strategic management can make short-term lets a lucrative investment in the UK this year.


If you want to make the most out of your short-term let and keep bookings coming in, click here to learn more.