Should You Switch from Long-Term to Short-Term Rentals?
If you're currently renting your property on a traditional 12-month lease at $2,000/month and wondering if converting to short-term rentals could earn you significantly more, you're asking the right question. But the answer isn't always simple—it depends on your property's location, condition, local regulations, and your financial goals.
The Income Reality Check
*Based on typical 3BR/2BA properties in Metro Atlanta managed by PeachHaus
When Switching Makes Sense
Prime Location for Tourism or Business Travel
Properties near Vinings, Marietta Square, Downtown Atlanta, or Alpharetta's corporate corridor perform exceptionally well as STRs due to consistent demand from tourists, business travelers, and event attendees.
Current Lease is Ending Soon
Don't break an existing lease. Wait until it expires naturally (or offer a buyout). STR conversion works best when you have a clean transition window—typically 60-90 days to furnish, photograph, and list the property.
Property Can Command Premium Nightly Rates
STR success requires higher nightly rates to offset vacancy and turnover costs. If comparable properties in your area are booking at $150+/night, the math likely works in your favor.
Your City Allows Short-Term Rentals
Critical first step: Check local STR regulations. Cities like Marietta, Kennesaw, and Atlanta have specific licensing requirements. Some neighborhoods prohibit STRs entirely through HOA rules.
When You Should NOT Switch
Local STR Regulations Are Restrictive or Unclear
If your city has a permit cap (like some Atlanta neighborhoods) or unclear enforcement, the risk may outweigh the reward. In these cases, consider mid-term rentals as a safer alternative.
You Can't Afford 3-6 Months of Low Occupancy
STR income is volatile—great in summer, slow in January. If you need guaranteed monthly cash flow and can't tolerate income swings, stick with long-term leases or explore Hybrid Strategy options.
Your Property Needs Major Upgrades
STR guests expect boutique hotel quality—modern furniture, fast WiFi, fully stocked kitchens, premium bedding. If your property needs $15K+ in upgrades, calculate whether the ROI justifies the investment.
The True Costs of Converting
Typical Conversion Budget (3BR/2BA)
At +$1,800/month additional income, payback period is typically 5-10 months
The Conversion Timeline
Month 1: Research & Planning
- Verify local STR regulations and HOA rules
- Get a free property analysis to estimate STR income potential
- Notify current tenant of non-renewal (if applicable)
- Budget for furnishing and setup costs
Month 2: Setup & Preparation
- Order and install furniture package
- Install smart locks and WiFi upgrades
- Apply for STR permits/licenses
- Set up utility accounts and increase insurance coverage
Month 3: Launch
- Professional photography and listing creation
- Launch on Airbnb, VRBO, and Booking.com
- Implement dynamic pricing strategy
- First bookings typically arrive within 1-2 weeks
The Better Alternative: Hybrid Strategy
Why Choose Between STR or LTR?
Instead of committing to short-term only, PeachHaus's Hybrid Rental Strategy dynamically switches your property between short-term and mid-term rentals based on market conditions. Capture peak STR rates during high-demand periods, then fill gaps with 1-6 month corporate and insurance tenants.
Related Resources
Short-Term Rental Management
Learn about our full-service STR management and what's included
Mid-Term Rental Management
Discover how 1-6 month corporate housing can fill income gaps
Case Studies
See real examples of properties that switched from LTR to STR
Hybrid Rental Strategy
Maximize income by dynamically switching between rental models
Get Your Free Property Analysis
Not sure if converting to short-term rentals makes sense for your property? Get a free, no-obligation income analysis comparing your current long-term rental income to projected STR and MTR earnings—with specific data for your neighborhood.