Los Angeles Property Management for Short-Term vs. Long-Term Rentals: What’s Right for You?

So, you’ve got a second home in sunny Los Angeles sitting empty, and it’s time to decide—do you rent it out long-term for a stable income or dive into the world of short-term vacation rentals for potentially higher profits?

Let’s break down each option, the pros and cons, and how a Los Angeles property manager could make all the difference.

Short-Term Rentals: A High-Energy, High-Reward Option

What’s a Short-Term Rental Anyway?

It is a cozy, fully furnished space where guests can kick back for a few days or months. That’s your typical short-term rental (STR), catering to vacationers and business travelers who crave more space, privacy, and homey touches than a standard hotel can offer.

Why Go Short-Term?

Flexibility and Profit Potential

Short-term rentals can bring in the big bucks, especially if you’re savvy about timing. For instance, you could raise rates to capture higher demand during peak travel seasons or around significant LA events like the Oscars or Coachella. Many property owners in LA adjust prices seasonally, which is something local property managers can easily handle for you. They analyze demand, adjust nightly rates, and maximize occupancy—without you lifting a finger.

Your Vacation Home, Too

One of the joys of short-term rentals is that you can use the place yourself. Want a weekend at your beachside retreat? You can block off dates and go. With a long-term tenant, you’d be locked out until their lease ends. A good Los Angeles property manager can help you coordinate bookings and personal stays to get the best of both worlds.

Lower Wear and Tear

Short-term guests don’t live in your place year-round, so the property may see less overall wear than if a tenant were there daily. Of course, this also means keeping up appearances to ensure each new guest has a flawless experience. This upkeep, from regular cleaning to minor repairs, is part of what property managers do best.

Challenges of Short-Term Rentals

Fluctuating Income

Short-term rentals can be hit or miss. Summertime could be booming, while winter may slow down. Managing this fluctuation can be tricky, but property managers in Los Angeles understand the local travel patterns. They can help smooth out these ups and downs, ensuring you’re always set for the peak and low seasons.

More Maintenance and Housekeeping

Since new guests mean new expectations, you must keep everything spotless and well-maintained. Each stay brings fresh demands on your property, from ensuring the AC works in the summer heat to ensuring towels and linens are top-notch. If you’re not keen on constant cleaning and restocking, a Los Angeles property manager can arrange professional housekeeping and maintenance services to keep your property in excellent shape.

Local Rules and Regulations

LA has strict guidelines for short-term rentals, and you’ll need to ensure your property is compliant to avoid fines. This is where a property manager shines—they know the ins and outs of LA regulations and can help secure the permits you need to operate smoothly.

Long-Term Rentals: Consistent, Hands-Off Income

What’s a Long-Term Rental (LTR)?

When a tenant signs a lease for several months, even a year, that’s a long-term rental. It’s the arrangement where you get a steady monthly income and know exactly who’s living in your property daily.

Why Go Long-Term?

Stable, Predictable Income

Long-term rentals are the tortoise to short-term hare—slow and steady. You’ll receive consistent rent payments every month, a huge perk if you’re looking for reliable income. Tenants generally cover their utilities and upkeep, so you don’t have to worry about daily maintenance and fluctuating bookings.

Less Turnover and Fewer Costs

With a long-term lease, you don’t need to frequently clean or refresh the property. It’s often easier to manage because tenants typically cover minor upkeep needs. You only have to step in for more significant maintenance issues, which a Los Angeles property manager can handle seamlessly, so you stay hands-off while keeping everything in check.

Lower Vacancy Rates

Having a tenant in place for months or even years reduces vacancy risk and can help cover mortgage payments without interruption. Suppose you’re not interested in managing tenant relationships or handling maintenance requests. In that case, this is another area where LA property managers provide tremendous support—they oversee tenant relations, repairs, and property checks, so you don’t have to worry.

Challenges of Long-Term Rentals

Limited Earning Potential

Unlike short-term rentals, you can’t adjust the rent whenever demand spikes. A year-long lease locks in the rate, meaning less flexibility to capitalize on LA’s high season. With long-term tenants, you’re generally charging a lower rate than you could per night with a vacation rental.

No Personal Use

Renting long-term means your property is off-limits as a vacation spot for you. Once tenants move in, the home is theirs to enjoy, and you’ll need to respect their privacy.

Finding the Right Tenant

Screening and selecting tenants can take time, but it’s crucial for long-term rental success. This process requires careful consideration of credit scores, references, and rental history. A Los Angeles property manager can handle this process with expertise, ensuring you get reliable tenants who will respect your property.

So, What’s Right for You?

Choosing between short-term and long-term rentals in Los Angeles depends on your goals. A short-term rental might be ideal if you’re looking for flexible, potentially high earnings and don’t mind seasonal fluctuations. You’ll also enjoy occasional personal stays and the freedom to adjust rates with market demand. Just keep in mind the upkeep and the possibility of inconsistent income.

On the other hand, if steady income and less day-to-day management sound appealing, a long-term rental could be a better fit. With a single tenant, you’ll gain peace of mind and fewer maintenance needs. Los Angeles property managers can also handle leasing, repairs, and tenant relations, so you enjoy a hands-off investment.

Whichever path you choose we, at Landon Pacific Property Management can help you maximize your rental’s potential—taking care of compliance, booking schedules, tenant screenings, and daily maintenance. We’re all about finding what works best for your lifestyle and financial goals while maximizing your property’s unique potential in the City of Angels.