Tired of the inconsistencies that come with being a landlord? What if there was a way to attract reliable, high-paying tenants while minimizing the hassles of short-term vacation rentals and long-term lease agreements? Enter mid-term corporate housing rentals.
Unlike short-term vacation rentals, mid-term corporate housing rentals offer longer leases with reliable tenants and reduced vacancy rates. This model provides a steady stream of professional tenants, such as traveling nurses and corporate executives, who need furnished apartments for extended stays. Whether you own a condo, a single-family home, or a multi-unit property, transitioning into corporate house rentals can provide a financially rewarding alternative to conventional leasing arrangements.
For every landlord who has ever asked, “Should I rent my house to corporate housing?” this guide is for you. We’ll explore how corporate housing rentals can transform your property into a steady rent collection stream, dive into this business model’s unique perks (and challenges), and share actionable tips on effectively marketing and managing your space like a corporate rental pro with mid-term rental management software.
Looking for a Way to Self-Manage Your Mid-Term Rental?
Mid-term corporate housing refers to fully furnished properties, such as apartments, condos, or single-family homes, rented for extended months-long stays.
Mid-term corporate rentals sit neatly between short-term agreements and more traditional lease agreements. Unlike Airbnb-style short-term vacation rentals, they attract business travelers rather than weekend tourists. In contrast with long-term tenants, corporate renters are less likely to cause excessive wear and tear.
Ultimately, corporate house rentals aim to offer stable and comfortable living arrangements for professionals in need of accommodations for work assignments, relocations, or extended projects.
Key Features of Corporate Housing Rentals
Fully furnished and equipped spaces. Tenants arrive expecting a turn-key living experience. That means high-quality, contemporary furniture, a fully equipped kitchen with all the necessary appliances and cookware, and essential home comforts ready from day one. Think fast and reliable Wi-Fi crucial for remote work, smart TVs pre-loaded with streaming entertainment options for downtime, and comfortable bedding for restful nights.
Mid-term lease lengths: The typical duration of a corporate lease ranges from 30 days to 9 months, sometimes even extending to a year. This duration strikes a perfect balance, offering tenants the flexibility they need for temporary assignments while providing landlords with the stability of longer occupancy periods compared to short-term leases.
Reliable and respectful tenants: The target clientele for corporate housing often includes corporate executives on assignment, traveling nurses and medical professionals fulfilling critical healthcare needs, government contractors working on specialized projects, and relocating employees awaiting permanent housing solutions. These professionals generally prioritize a well-maintained living space and value a comfortable, functional home environment during their stay. You can typically expect responsible behavior and consistent rent payments.
Premium rental rates: Compared to traditional long-term leases for unfurnished properties, corporate rentals justifiably command premium rental rates. This premium reflects the added value of a fully furnished setup, the all-inclusive nature of utilities often bundled into the rent, and the seamless, hassle-free rental process designed to meet the immediate needs of the tenants who need such housing.
Financial Benefits of Corporate Rentals
The real draw of corporate rentals is the financial upside. Here are a few reasons why it’s such a wise investment:
Elevated rental income potential: Corporate rentals consistently command significantly higher rents than traditional long-term leases for similar properties. Companies and discerning professionals are often willing to allocate a premium budget for the convenience of a fully furnished, utilities-included living space coupled with a streamlined rental experience. This premium income directly translates to a more robust bottom line for you as the landlord.
Substantially reduced vacancy rates: Due to the inherent nature of corporate rentals catering to tenants with specific mid-term accommodation requirements, you tap into a remarkably steady demand, particularly in strategically located urban centers. Think bustling business hubs, thriving hospital districts, and prominent university towns. The consistent demand of these areas effectively shields you from the unpredictable off-season vacancy struggles that frequently plague landlords in the short-term vacation rental market.
More reliable and financially stable tenants: Business travelers, seasoned corporate executives, and dedicated traveling medical professionals are typically exceptionally responsible and financially reliable tenants. Because of their professional nature, their primary focus is their work assignment, not extended vacations or disruptive partying. For landlords, that means minimized concerns related to property damage, late rent payments, or lease violations. Knowing your property is in responsible hands gives you something unbeatable: peace of mind.
Potential for long-term corporate contracts: A particularly attractive aspect of corporate housing is the potential to secure a corporate lease. Companies directly lease properties to house their rotating employees or visiting personnel. These coveted agreements can translate into guaranteed year-round occupancy for your rental property, providing landlords a predictable and stable income stream while drastically reducing tenant turnover costs and the associated marketing efforts.
Minimized wear and tear: Consider the typical lifestyle of a corporate tenant. Often immersed in demanding work schedules that require dining out for convenience, corporate tenants generally spend less time in the rental unit than traditional long-term renters who apply to make a rental their primary residence. Their reduced occupancy time and professional lifestyles can translate to lower long-term maintenance costs for your property, preserving its condition and value over time.
Key Amenities for Successful Corporate Housing
Corporate tenants have great expectations, and the right amenities can make or break your rental’s success. To stand out in the competitive corporate house rentals market, landlords should offer high-quality amenities that cater to business travelers, which include:
High-speed internet and smart home features. Business travelers rely on fast, reliable Wi-Fi for remote work and video conferencing. They may also expect conveniences like smart locks and preconfigured streaming services.
Fully equipped kitchens. Unlike short-term vacation rentals, where guests may eat out frequently, corporate tenants expect functional, if not well-appointed, kitchens. Ensure your corporate rental features modern appliances, a comprehensive set of cookware and bakeware, small appliances like a coffee maker and toaster, and a complete set of dishes, glassware, and cutlery.
Cleaning and maintenance services. Offering optional cleaning services can be a selling point for busy professionals.
Convenient on-site laundry facilities. Access to on-site laundry facilities offers significant convenience extended stays. Whether in-unit laundry or easily accessible facilities within the building, this amenity eliminates the hassle of trips to laundromats, and corporate renters highly value them.
Comfortable workspaces. A dedicated desk or home office setup is a valuable feature, especially for remote workers.
Secure and convenient parking: Secure and easily accessible parking is a highly prized amenity, especially in urban environments or for corporate executives who travel with their vehicles. Dedicated parking spaces or guaranteed parking arrangements add significant value to your corporate rental listing.
Pro Tip: Landlords should consider partnering with local services to offer add-ons like gym memberships, restaurant discounts, or grocery delivery. Such touches will help to justify higher rents and could even earn you glowing reviews from tenants.
Marketing Your Property for Corporate Tenants
Once your property is ready, it’s time to find the right tenants. Here’s how to stand out:
List your property on the right platforms. Use TurboTenant’s rental management listing features to advertise your listing across multiple rental platforms to reach corporate tenants actively searching for housing.
Network with relocation agencies & HR departments. Companies frequently relocate employees. Contact HR departments, relocation specialists, and travel nurse agencies to establish direct leasing opportunities.
Optimize your listing description: Craft a compelling listing by highlighting its proximity to business hubs, hospitals, and transportation options. Remember to employ strong keywords to improve search visibility.
Use professional photos and virtual tours. High-quality pictures will make your listing stand out and show potential renters exactly what they’re getting.
Challenges in Managing Corporate Rentals
While corporate housing rentals offer the possibility of lucrative returns, they also come with added responsibilities:
Higher operational costs: Furnished rentals require upfront investment and periodic refurbishment in attractive décor to maintain contemporary standards and expectations. Be prepared for potentially higher operational costs encompassing utilities (often included in corporate rental rates), comprehensive insurance coverage, ongoing maintenance, and professional cleaning services between tenant turnovers.
Frequent turnovers: Shorter lease terms mean more frequent tenant transitions, requiring efficient screening processes, lease administration, move-in/move-out procedures, and, crucially, professional cleaning services to ensure a high standard of cleanliness and readiness for each new corporate tenant.
Market competition: The corporate housing market is rapidly expanding. Landlords must differentiate their listings with premium amenities and exceptional customer service to cultivate positive reviews and repeat bookings.
Economic sensitivity: Economic downturns may reduce corporate travel budgets, leading to lower occupancy levels. To offset such volatility, consider diversifying your tenant mix to include medical professionals whose demand is recession-proof.
How to Determine If Your Property Is Suitable
Not every rental property is ideal for corporate leasing. Here’s how to assess suitability:
Location matters: Properties near major corporate hubs, prominent hospitals and medical districts, large conference centers, easily accessible transportation arteries, and vibrant commercial districts tend to perform exceptionally well in the corporate rental market. If your rental is in a high-demand business district, it may be a strong candidate for corporate housing.
Property type considerations: Property size, interior layout, overall condition, and aesthetic appeal are all critical considerations for corporate tenant suitability. Condos and apartments are ideal for single professionals or small business teams. On the other hand, single-family homes are attractive to executives looking to relocate and families temporarily relocating for work or other reasons.
Market demand: Before committing to corporate housing, research local demand for specialized rentals. Analyze key economic indicators and industry trends within your city or region. Corporate housing could be a profitable niche if your city has a growing tech sector, major hospitals, a medical district, or central offices that bring a high influx of business travelers.
Adapting Your Property for Different Target Markets
Corporate housing isn’t one-size-fits-all. Mid-term corporate rentals can cater to different markets, ranging from high-end executives to more budget-conscious travelers. Here’s how to adapt:
Luxury corporate executives: High-end furnishings, concierge services, and premium locations are key for the C-suite.
Traveling nurses and medical professionals: Proximity to hospitals, flexible lease terms, and quiet living spaces are essential to these frontline workers.
Insurance housing clients: Families displaced by home repairs often need temporary housing, making single-family homes with kid-friendly amenities appealing.
Wrap-Up: Corporate Housing Rentals
Turning your property into a mid-term corporate rental can be a game-changer for your real estate portfolio. With the right setup, it has the potential to significantly boost your rental income, attract reliable tenants, and lower your vacancy risk compared to traditional leases.
However, success will require significant investment in strategic marketing, high-quality furnishings, consistent upkeep, and a thorough understanding of your target market. Understanding both the benefits and challenges will help you make an informed decision.
How TurboTenant Can Help
If you’re ready to answer the question “Should I rent my house to corporate housing?” with a resounding yes, TurboTenant is here to make life easy for you, simplifying the process with:
Advertising tools to list your property across dozens of sites and platforms.
Managing a corporate rental doesn’t have to be overwhelming. To get started, sign up for a free TurboTenant account today. Whether you own a chic downtown condo, suburban single-family home, or ideally located apartment, corporate housing rentals could be your key to easy profitability.
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