Advantages & Disadvantages Long-Term vs Short-Term

If you have acquired a property in a tourist hotspot like Marbella, enlisting the property as a short-term booking or a long-term booking can be a huge dilemma. You get to consider many variables like location, revenue generation, seasons, lifestyle, and your vacation calendar.

To give you an idea of what to expect, we have prepared the below article to guide you on the advantages and disadvantages of short-term and long-term bookings.

Short-term Bookings

Short-term booking is when a client reserves your listing for a short period – usually three nights to seven days. Currently, listing companies have boosted the popularity and accessibility of these bookings to accommodate tourists who are looking to explore a new location.

Long-Term Bookings

Long-term booking is when a client reserves your rental listing for a longer duration – usually for a few months. (Very common in Marbella is11 months long term contract or from Nov until may, June. These types of bookings are ideal for customers relocating to Marbella through Rentals in Marbella or looking to move into a new locale or those who have temporary jobs or perhaps working online.

As a homeowner, the above bookings have their pros and cons. We will cover each aspect in detail below.

Advantages of Long-Term Bookings

The most significant advantage of long-term bookings is business security. Your home gets booked for a long time. The probability that your home is empty and not generating money is low. You, therefore, cut down on costs accrued when customizing your home each time a client makes a booking. A long-term vacation means that you coordinate housekeeping once in a couple of months.

Secondly, when a guest books your home for a long time, they cater for utilities like cable, electricity, internet, gas, and water, unlike short-term bookings where you get to pay for all the utilities.

Finally, extended bookings generate a lot of money during slow times. Therefore, when a client books your home during the low season, you still make money even when tourists have left. You may have to charge less, but your home still has a guest instead of being empty.

Disadvantages of Long Term Bookings

The most significant disadvantage of long-term booking is that you relinquish the ability to inspect your house when your customer occupies the listing. You, therefore, leave your rental in the hands of your guest, unlike short-term bookings where you regularly inspect it, even when it gets occupied. The only way to know if there is an issue is when the customer alerts you directly.

Secondly, if you are a travel enthusiast, long-term booking means that you can’t go to your property if you want to take a short vacation. As the property owner, you have to look for other accommodation options.

The third disadvantage of long-term bookings is that most tourists seek short-term bookings when touring a new place. They are always on the move. Thus, if you list your rental for extended booking, you spend a lot of time looking for clients, making it hard to keep it full throughout the year.

Advantages of Short Term Booking

Short-term bookings allow you to manage your calendar for any tourist looking for emergency rentals. They are ideal if you also use your rental for personal vacations. You can use it for your weekend vacations and after leaving, enlist the property for a short-term guest.

Secondly, you can boost rental income by adjusting prices when necessary. You can, therefore, increase or decrease your rates based on demand. Use this strategy during peak seasons or when there is an event near your rental listing.

Disadvantages of Short Term Bookings

There is an equal chance, just like long-term bookings, when your home does not get booked for long periods. You, therefore, do not generate any income.

In some instances, some rules and regulations require you to pay occupancy taxes and obtain special licenses for bookings that last less than one month.


As a homeowner, different strategies work best for your rental listing depending on the location, season, revenue goals, and lifestyle. Regardless of what you choose, a reliable property manager helps you make the best decision.

Feel free to contact us at Rentals in Marbella with any doubts you might have and we will support you!


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