True Cost of Renting

The True Cost of Renting an Apartment or House

On paper, a long-term Airbnb rental may seem comparable to renting a studio or one-bedroom apartment. However, traditional rentals come with hidden costs that Airbnb stays often do not.

1. Furnishings and Household Supplies

Most traditional rentals require tenants to furnish the space themselves. This means purchasing:
✔ Bed, mattress, and linens
✔ Sofa, chairs, and tables
✔ Kitchen essentials (dishes, cookware, utensils)
✔ Cleaning supplies and vacuum
✔ Bathroom necessities (shower curtain, towels, toiletries)

Even at budget prices, fully furnishing an apartment can cost $2,000 to $5,000 upfront, which isn’t a factor with Airbnb since most are fully furnished.

2. Utility Bills

Airbnb hosts typically include electricity, water, and internet in the rental cost, while renting an apartment or house means managing separate bills. These can add $85 - $200 per month, depending on the type of accommodation.

3. Lease Flexibility

Most landlords require a 12-month lease with penalties for breaking it early. In contrast, many Airbnbs offer month-to-month stays, allowing more flexibility if your situation changes.

4. Move-In Costs

Apartments and houses usually require:
✔ First month’s rent + security deposit
✔ Possible last month’s rent
✔ Application and credit check fees

This means an upfront cost of $3,000 or more, compared to Airbnb, where you typically just pay per month without these extra deposits.

When Does Airbnb Make Sense?

A long-term Airbnb makes financial sense if:
✅ You want a fully furnished space without the hassle of buying furniture.
✅ You prefer flexibility without a long-term lease.
✅ You want utilities and internet included in a single monthly payment.
✅ You need a short-term housing solution while relocating, job hunting, or saving for a house.

When a Traditional Rental Might Be Better:

🏠 If you plan to stay in one place for more than a year, an apartment or house might be more cost-effective in the long run.
🏠 If you prefer having your own space rather than sharing with an Airbnb host.
🏠 If you’re willing to invest in furniture and household items for a more permanent home.

Final Verdict: Which Saves More?

For short- to mid-term stays, a long-term Airbnb can be the more budget-friendly option, saving thousands on furniture, utilities, and move-in costs. However, for those committed to a long-term stay (1+ years) and willing to invest in furnishings, renting a traditional apartment or house could be the better financial move.

Best for Flexibility & Short-Term Savings: 🏡 Long-Term Airbnb
Best for Long-Term Stability & Investment: 🏢 Traditional Rental