""Short-term rentals typically cash flow more, "but you do have more involvement," Shirvani, a full-time psychologist who invests in real estate on the side, told Business Insider. "There are guests coming in and out, so there are just so many different logistics." With mid- and long-term rentals, "once you find an appropriate tenant and the place is doing well and the maintenance is all done, you don't really get involved as much, but the rental income is generally going to be lower," she added."
""There are some very legitimate tax benefits that you could take, and so I wanted to be able to take advantage of that," she said, referring to the short-term rental tax "loophole" that allows investors to use property-related losses to offset their taxable income. "And, I just enjoy design and being a little more hands-on. I like to create those nice spaces for people and families to stay at.""
Nicole Shirvani balances a full-time medical career with part-time real estate investing, owning a mix of long-, mid-, and short-term rentals and renovating a triplex into a mid-term unit. Short-term rentals generally produce higher cash flow but demand more active involvement for guest turnover and logistics. Mid- and long-term rentals require less ongoing management once tenants and maintenance are established, but typically generate lower rental income. Short-term properties offer diversification, design engagement, and tax advantages that can allow property losses to offset taxable income. Her vacation rentals produced six-figure revenue since January 2024. She evaluates location and local Airbnb rules before purchasing.
Read at Business Insider
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