How much do you make from short rentals?

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What is the average profitability of a vacation home?

In recent years, more and more property owners are asking a simple but decisive question: How much do you really make from short rentals?
And right after that: what is the average profitability of a vacation rental compared to other forms of rental?

Legitimate questions, especially in a context where the tourism market has grown but also become more competitive, regulated and complex.

In this article I want to respond in a way Concrete, transparent and based on real numbers, clarifying what to expect from short rentals today and how to properly assess the profitability of a vacation rental.


How much do you make from short rentals?

The correct answer is: depends, but within very precise ranges.

On average, a house intended for short-term rentals. Can generate from 20% to 60% more compared with a traditional annual lease.
But beware: turnover is not profit.

To understand how much you really make, you need to consider at least these factors:

  • Location (primary, secondary or emerging tourism)
  • Property type (apartment, villa, number of rooms)
  • Actual seasonality (not theoretical)
  • Placement level (average price/night)
  • Operating costs (housekeeping, maintenance, utilities, errands)
  • Business strategy and distribution

A practical example

A well-located tourist apartment can bill:

  • 15.000 - 25.000 € annual gross in secondary locations
  • 30.000 - 60.000 € annual gross in established tourist locations
  • Even beyond 80.000 € for villas or premium properties

But the true data to watch is the net margin, not turnover.


What is the average profitability of a vacation home?

Speaking of realistic and sustainable numbers, the average net profitability Of a vacation home today lies between:

the 5% and the 9% net annual,
with higher peaks only in very well-managed cases or in high-end properties.

This percentage is already net of costs, and should be compared with:

  • 2-3% average of a classic residential lease
  • Returns often more uncertain than other financial instruments

Beware of a common mistake

Many owners assess profitability based on ideal scenarios, not real:

  • employment at 100%
  • overly optimistic average prices
  • underestimated costs
  • management time not valued

The result? High expectations and concrete disappointments.


Short-term rentals yes, but with a sustainable model

Short-term rentals really work When:

  • the risk is under control
  • costs are certain
  • income is predictable
  • management is professional

And it is precisely from this need that the RevenHome.


RevenHome: from theoretical profitability to guaranteed profitability

With RevenHome, we have turned the classic paradigm of short-term rentals upside down.

Instead of promising hypothetical turnovers, we offer owners a certain income, through the model of the “vacuum full”:

  • Seasonal guaranteed fee
  • Amount agreed upon before, not after
  • No risk of employment holes
  • No variability in collection
  • Management fully in our charge

The owner knows how much does he earn, when e without surprises.


So: is it worth investing in short-term rentals?

The answer is yes, But only if you think in terms of real profitability, not of dreams.

Short-term rentals are a powerful tool
But they require expertise, numbers and vision
Most importantly, a model that protects the owner from the risk


Conclusion

If you are wondering. how much do you earn from short term rentals or what is the average profitability of a vacation home, the answer is not a magic percentage, but a method.

A method that transforms the tourism potential of your property into stable, predictable and sustainable income.

This is exactly what we do every day in RevenHome.


Manuel Gruni