Long-Term vs Short-Stay Rental in Perth: Which Earns More?
Should you rent your Perth property to a long-term tenant, or run it as a short-stay or holiday rental? Comparing long-term vs short-term rental in Perth isn't just about the nightly rate. Short-stay can earn more per night, but it also costs more to run, depends on demand and comes with its own rules. Long-term rental gives steadier income with less involvement.
The right answer depends on your property, your building and what you want from it. This guide walks through the factors that decide it.
Want to see both options for your property? Call AZ Property on 08 9355 2757 for a free side-by-side estimate. We manage both long-term and short-stay properties from our Wellington Street office in the Perth CBD, so we have no reason to push you either way.
How the income works
Long-term income is the weekly rent multiplied by the weeks the property is let. Vacancies between tenants are the main thing that reduces it.
Short-stay income is the nightly rate multiplied by the nights booked. Both figures move with the season, local events, the day of the week and how well the listing is priced and presented. Quiet months can earn far less than peak months.
The costs side by side
| Cost or factor | Long-term rental | Short-stay rental |
|---|---|---|
| Furnishing | Usually unfurnished | Fully furnished and styled, replaced as items wear |
| Cleaning and linen | Tenant cleans; end-of-lease clean | Clean and linen change after every stay |
| Utilities and internet | Usually paid by the tenant | Usually paid by the owner |
| Management fees | A percentage of rent plus leasing fees | A higher percentage, covering guests, pricing and turnovers |
| Booking platform fees | None | Charged per booking by most platforms |
| Insurance | Landlord insurance | Cover suited to short-stay use |
| Registration and approvals | Not required | WA short-term rental registration, plus any council approval |
| Wear and tear | Lower | Higher, with more guests coming and going |
Strata levies, council rates and loan costs apply either way.
The rules to check first
Before you run any property as a short-stay or holiday rental in WA, check 3 things:
- Your strata by-laws. Some buildings restrict or ban short-stay use. Check with your strata manager before you go further.
- WA registration. Short-term rental accommodation in WA must be registered on the state's short-term rental register, and the registration number shown on listings.
- Local council approval. Some councils require approval for short-stay use, especially for unhosted stays. You can check requirements with your local council, e.g. City of Perth, City of Vincent, City of South Perth, etc.
Our AZ Property STRA team can explain and assist you with the registration process in more detail.
Which suits your property?
Long-term rental often suits owners who:
- Want steady, predictable income and fewer moving parts
- Own a property in a building that restricts short-stay use
- Own a larger home that suits families and longer tenancies
Short-stay often suits owners who:
- Own a well-located apartment near the CBD, transport, venues or the river
- Want to use the property themselves for part of the year
- Are comfortable with income that varies from month to month
Some owners switch between the two as their plans change, for example renting long-term now and moving to short-stay later.
Get a side-by-side estimate
We'll look at your property, your building's rules and recent demand, then show you both options in plain numbers. Call AZ Property on 08 9355 2757, visit us at 2/600 Wellington Street, Perth WA 6000, or start on our short-stay management page. You can also ask about our property management or read how our short-stay management service works.
FAQs
Does short-stay always earn more than long-term rental in Perth?
No. It can earn more per night, but higher costs and quieter months mean the net result varies. It depends on the property, the building and demand.
Can I use my apartment for short-stay if I'm in a strata building?
Only if the strata by-laws allow it. Check with your strata manager first.
Do I need to register my short-stay property in WA?
Yes, short-term rental accommodation in WA must be registered.
Can I switch from long-term to short-stay later?
Usually, yes, once any current lease ends and the property meets strata, registration and council rules.
Can I use the property myself if it's a short-stay?
Yes. Short-stay owners can block out dates for their own use.
How do you work out the estimate for my property?
We look at comparable rents and short-stay bookings near you, your building's rules and the property itself.
