AirBnB vs Conventional Rent in Salem, MA.

2 Replies

I recently purchased property in Salem, MA. 3 Bed, 1 bath. I could reasonably rent it out conventionally for $2,000-$2,200. It's close to the university and downtown. Salem always has a tourist draw that gets stronger as it gets into spring and summer and in October you can pretty much write your own ticket. AirDNA ranks it a B+ market. I don't think I could get hurt either way, I'm just trying to determine best use. Any information will be helpful! Thanks!

Hello Tim!  They are completely different.  One is short term (AirBnB) and the other is typically long term investment.  AirBnB’s are more seasonal and closely tracts to the economy which is closer to a change that a typical rental is.  People always need a place to live versus vocational use.  It is typically related to the demand or history of the subject area. Good luck to you!

Hi Tim,

You definitely want to be aware of the changing ordinances around short-term rentals. Here's the updated information: https://www.salem.com/home/news/city-salem-begins-short-term-rental-registration

I own several properties in Salem and have found traditional leasing to greatly reduce headaches. With long-term rentals, I experience very little vacancy since the city is faced with such a significant housing crunch. I own another property in a neighboring town and the highest and best use is a vacation rental. Your neighbors are really the ones that make or break that experience. It can create a lot of tension. 

Create Lasting Wealth Through Real Estate

Join the millions of people achieving financial freedom through the power of real estate investing

Start here