How to get started in short-term rentals (2025 Update)

Kate Stoermer Author

Start a profitable short-term rental in 2025! Learn STR investing, setup, marketing, and operations. Watch the free video + download the STR Roadmap

Short-term rentals have become a dynamic and lucrative industry, offering a unique blend of hospitality, entrepreneurship, and real estate investing. These furnished lodgings, available for stays of less than 30 days, have revolutionized the way people travel and seek temporary accommodations.

Key Takeaways: 

✅ Short-term rentals (STRs) can outperform long-term rentals in both flexibility and income — but they are not truly "passive" without strategic setup. 

✅ Success in STRs requires mastery of hospitality, marketing, operations, and business systems. 

✅ The STR landscape is maturing: picking the right market, strong property setup, and great guest experiences are non-negotiable. 

✅ I created a free 30-minute "Getting Started in STR" video on YouTube to help you kickstart your journey — watch it HERE.

✅ You can also grab my STR Roadmap — a 30-page guide and analyzer tool — to shortcut your learning curve. Learn more here.

Why Short-Term Rentals?

Short-term rentals offer an alternative lodging option for travelers - and property owners the chance to tap into meaningful income streams. Unlike traditional real estate investments, STRs can provide both higher earnings and greater flexibility — including the opportunity to use the property yourself.  One of my first clients got into short-term rentals to stop writing big checks for the lodging accommodations every summer and instead they have an income producing STR that serves as their vacation spot too.   While short-term rentals offer significant upside, they aren’t a "set it and forget it" investment. Success requires hospitality excellence, strong marketing, guest-focused design, and a well-run backend business.

The Short-Term Rental Journey: What You Need to Know

• Acquisition: Finding the right property is crucial. At one time, demand far outstripped supply in most markets. Today, some markets have more supply than demand which makes it much more imperative to learn the art of marketing and niching - hallmarks of a successful short-term rental.  Location, amenities, and local regulations play a pivotal role in determining the success of your short-term rental.  Check out my blog post about data sources for analyzing income potential as well!

• Setting Up: Transforming your property into an inviting and functional space for guests involves careful planning and furnishing. Attention to detail can lead to rave reviews and repeat bookings, not to mention significantly higher income.  Design for short-term rentals is different than residential design; learn more about design for STR HERE. 

• Operations: Managing bookings, guest communication, and maintenance demands organization and efficiency. Outsourcing to a capable operator or mastering these aspects yourself is key.

• Marketing and Sales: Effectively promoting your short-term rental requires a strong online presence, appealing visuals, and a compelling narrative that resonates with your target audience.  You can outsource much of this to online booking platforms - they come with built in audiences and enable you to find success much sooner than you would marketing your place on your own; but those platforms come at a cost and limit your autonomy as an operator. Even with using those platforms, its a often a crowded market place; understanding how to best position your property within the market is key to success. 

• Business Backend: Behind the scenes, there's a business to run. From financial management to legal considerations, a solid backend ensures a smooth operation.

• Quality Control/Risk Management: Ensuring guest satisfaction and safety is paramount. Implementing quality control measures and addressing potential risks are integral to a successful short-term rental. I have a case study HERE where I rented a place that had several safety concerns - which I brought to the owners attention and learned he simply was unaware of the risks - and how you can avoid that rookie mistake. 

• Portfolio Growth: As you gain experience and traction, you may consider expanding your short-term rental portfolio. Each new property introduces unique opportunities and challenges. I've slowly worked on growing, and leveraged a partnership and private money for my second property - watch the case study HERE.  Portfolio growth is never just about more properties, though - its tax strategies as well.  If you are starting a short-term rental business through arbitrage or similar, then you have an entirely different set of challenges to sort through, too. 

The Road Ahead: STRs in a Changing World 

The STR market is maturing. Cities are tightening regulations, booking platforms are evolving, and guest expectations are rising. To thrive, hosts must treat their properties like true hospitality businesses — with professionalism, adaptability, and a focus on guest experience.

If you're ready to take the first step, I recommend you start by getting informed — and getting clear about your goals.

▶️ Watch my free 30-minute "Getting Started in STR" video on YouTube to jumpstart your journey: Watch Now.

📚 Want a deeper guide? Grab my STR Roadmap for only $5 — packed with the analyzer spreadsheet I personally use to assess income potential! Get it here.

Just Getting Started? 

The advice I give folks is lean into learning.  Podcasts, books, online content - get clarity about your goal and the path you believe suits you.   Check out my Mentors From Afar for ideas of folks and resources I've leveraged in my own journey and grab my 30 page guide - and bonus analyzer spreadsheet to walk you through this process for only $5!!

Frequently Asked Questions (FAQ)

Q: Do I need to own a property to start a short-term rental?
No — you can start through rental arbitrage or property management models, though ownership offers more control and long-term benefits.

Q: How much money do I need to start?
It varies, but budget at least for 3-month’s rent (or down payment if buying), furnishings, safety upgrades, platform listing fees, and a small cash reserve for emergencies and seasonal shifts

Q: Can I self-manage, or do I need a property manager?
You can absolutely self-manage, especially with today’s tech tools. Many owners outsource once they scale past one or two units.

Q: How quickly can I become profitable?
It depends on your market, property, pricing strategy, and how well you execute. Some STRs turn a profit within the first few months; others take longer.

Q: Where should I go next?

• Watch my free 30-minute STR Starter Video.

• Download the STR Roadmap and Analyzer Tool.

• Book a free 20-minute call if you want a little guidance personalized to your situation. Schedule Here.

🏡 Ready to start building your STR success story?

Watch the video, grab your roadmap, and take your first step toward owning a profitable short-term rental business — even if you're starting from scratch.

▶️ Watch the Video | 📚 Get the STR Roadmap | 📞 Book a Free Call

*****

Hey Boss! I'm Kate, owner/founder of The CEO Host. If you are interested in taking a leap into short-term rentals - or have some questions about your existing business, my goal - passion, and career, is to help YOU succeed. I've coached hundreds of folks getting started or looking to optimize, analyzed more deals (and duds) than I could count, completed thousands of hours of education and training, attended conferences... So don't be shy. A good CEO knows to bring in expert help - and that's what I'm here for! Lets HOP ON A CALL and chat!

Categories: : short-term rental investing, vacation rental investing