property/hax

Short-term rentals

The short-term rental playbook (after the regulation reset)

March 22, 2026 · 8 min read

Short-term rentals had a moment. Then cities tightened regulations and the market got more honest. Both things are true: STRs can still produce excellent returns, and the easy era is over.

What to look for in a market

  • A clear, stable regulatory environment, no pending bans
  • Year-round demand drivers, not just one festival weekend
  • Local property managers who know what they are doing
  • Rent-to-price ratios that work as a long-term rental fallback

Underwriting honestly

Use AirDNA or comparable data, but discount the projections by 15 to 20%. Then back out a realistic operating cost stack: cleaning, supplies, platform fees, utilities, insurance, management, and a vacancy buffer. If the deal still cash flows, you have something.

The operational reality

An STR is a small hospitality business. You need a guest experience that earns 5-star reviews, a cleaner who never misses a turn, and a system for handling the 1am call when the WiFi goes down. Plan for it before you close, not after.

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