Skip to content

The right question is not the one everybody asks

The question is not "which earns more". It is "which earns more net, for my home, in my area, with the time I have". The comparison is made between two net figures, not two gross rents: from the short let you take out cleaning, linen, utilities, platform commissions, more frequent maintenance and your own time; from the long let you take out the risk of arrears, the loss of the use of the home, and the maintenance you keep deferring until it lands all at once. Two flats in the same building can give opposite answers.

You will not find a percentage here that works for everyone, because there is no such thing. You will find the method for setting the sum up properly, and the points where I see almost everybody go wrong.

1. The gross figure is useless

The comparison people usually make puts the monthly rent of a long contract times twelve on one side, and the nightly rate of a short let times the nights they hope to sell on the other. Those two numbers are not on the same footing, and that is the error that makes everything after it worthless.

In a short let, between what you collect and what you keep there are items that simply do not exist in a long let: cleaning at every changeover, linen, utilities that stay with you, platform commissions, more frequent maintenance because the home is lived in far more, and time: replying to guests, check-ins, evening emergencies.

In a long let the rent looks clean, but clean it is not. There is the risk of arrears, which is not only the missing income but the months it takes to get the property back. There is the loss of use of the home, which has a value even if it has no price. And there is deferred maintenance: the property wears out without you seeing it, and when it is handed back the bill comes in one go.

What has to come off the gross figure, in the two formulas
ItemShort letLong let
Cleaning and linenat every changeovernot applicable
Utilitiespaid by youpaid by the tenant
Channel commissionson every bookinginitial agency fee only
Maintenancefrequent and spread outdeferred, all at handover
Risk of not being paidunsold nightsarrears and repossession times
Owner's timecontinuousclose to nil

2. Seasonality changes the whole argument

For a home by the sea in Sardinia the issue is not the nightly rate, it is how many months actually work. Income concentrates into a short window, while fixed costs run for twelve months: service charges, taxes, insurance, maintenance, having someone on the ground.

Out of this comes the most common bad habit: people look at a week in August, multiply it in their heads, and short letting looks unbeatable. The real sum is done across the whole year, empty months included. Where the season is long, short letting takes a structural advantage; where the window is very narrow, that advantage thins out, and sometimes disappears.

Seasonality also affects wear: a home that turns over many times in a few weeks ages quickly, and that belongs in the budget. On how the potential of a property is estimated I have written a separate guide.

3. The home, when you need it yourself

This is the point owners put last and that often decides the matter on its own. With a short let you keep your own weeks, as long as you block them in good time: the best dates sell months ahead. With a long let the home is not yours for the duration of the contract: under the standard formula, four years plus another four on renewal.

If it is the family home, where you intend to spend a few weeks a year anyway, the financial comparison is not enough to decide. There is one more question to add: what does it really cost you, not to be able to go there any more.

4. The tax picture, in two lines

Both formulas can sit under the flat tax, but under different rules. On short lets the rates and the two-flat threshold apply, as explained in the guide on the flat tax, and the taxable base is the full rent, without the 5% flat deduction. On an ordinary tenancy that deduction exists.

I stop here on purpose: the difference in taxable base weighs differently depending on your total income, and it is not a sum you do in one line. If the decision turns on this, it is made with an accountant, and we will arrange that conversation for you.

5. The obligations only the short let carries

Short letting brings with it a list of obligations a long let does not have, and they belong in the sum beforehand, not afterwards: the CIN to apply for and display in listings, the guest notifications to the police for every arrival, the tourist tax to collect and pay over to the municipality under rules that change from one town to the next, and the safety requirements, from gas and carbon monoxide detectors to fire extinguishers.

None of them is complicated on its own. Together they are continuous work, and that is why many owners start with short lets and go back to a long one after two seasons: not because it earned less, but because they could not keep the pace.

6. When the long let is simply the right call

I will say it without dressing it up, even though we live on short lets: in three cases the long let is the better answer.

The first: the home is in a city, outside tourist flows, and demand for short stays is thin all year. The second: you want neither the management nor the contact with guests, and you do not intend to delegate it. The third: the property does not meet the standard guests expect today, and putting it right would cost more than short letting could give back within a reasonable time.

7. The method, in four steps

First: look at your area, not at the market. Find homes comparable to yours in location, size and condition, and see how many weeks they are occupied across a full year, not on peak days.

Second: build two honest gross figures. On one side the annual rent your home genuinely achieves on a long contract. On the other the annual short-let income, with the nights you sell and not the ones you would like to.

Third: take out the costs, all of them. Item by item, using the table above. Estimates are made conservatively on income and generously on costs: if the sum still holds, the decision is solid.

Fourth: put your own weeks and your own time on the table. If the net figure from short letting does not clearly beat the long let, staying long is a legitimate choice. If it does beat it, one question remains: do you want to do that management yourself or delegate it? The questions to ask a manager are in the guide on how to choose a property manager.

Note. This guide explains a method of comparison and contains no yield estimates: results depend on the property, the area, the season and the management, and have to be worked out case by case. The tax side is covered in the guide on the flat tax and does not replace the advice of your own accountant.

Last updated in August 2026. We review figures, rules and references periodically; before making tax or operational decisions, check the linked sources and your circumstances with a qualified adviser.

Read these next

Want the comparison on your own home? Ask for the free valuation: we set the sum up on the net figure, with the real cost items for your area. The page for owners explains how we work.

Free valuation

Let's take stock of your options

Fill in the form: we contact you to collect the property details.

Frequently asked questions

Is a short let or a long let more profitable?

There is no answer that holds for every home. The right question is not which of the two earns more, but which earns more net, for that property, in that area, with the time and the availability the owner actually has. Two flats in the same building can give opposite answers, because the seasonality of the area, the condition of the property and how much the owner wants to use it all differ.

How do you compare the net return of the two?

By comparing two net figures, not two gross rents. From the gross of a short let you take out cleaning, linen, utilities, platform commissions, more frequent maintenance and the time spent managing it. From the gross of a long let you take out the risk of arrears, the fact that you cannot use the home, and deferred maintenance, which does not disappear but arrives all at once when the property is handed back.

How much does seasonality weigh on a home by the sea?

A great deal, and it changes the reasoning more than any other factor. A home by the sea in Sardinia concentrates its income into a few months, while fixed costs run for twelve. The comparison therefore has to be made across the whole year and not on the best weeks: looking only at high season leads systematically to overestimating short letting.

With a short let, can I still use the home myself?

Yes. With a short let you can block out the weeks you need in the calendar, as long as you do it early, because the best dates sell months ahead. With a long let, the home is not available for the duration of the contract: the standard Italian formula runs for four years plus another four on renewal.

What extra obligations come with a short let?

The CIN applied for from the Ministry of Tourism and displayed in listings, the guest notifications to the police for every arrival, the tourist tax to be collected and paid over to the municipality under local rules, and safety requirements such as gas and carbon monoxide detectors and fire extinguishers. A long let has none of this: it has contract registration and little else.

When is it better to stay with a long let?

When the home sits outside tourist flows and demand for short stays is thin all year; when the owner wants neither the management nor the contact with guests and does not intend to delegate it; and when the property does not meet the standard guests expect and putting it right would cost more than short letting could return within a reasonable time.