Calendar showing 1 month - mid-term
Photo by Estée Janssens on Unsplash

What is the Mid-Term Market for housing?

Nowadays, we all know about the 'short-term' rental market thanks to the proliferation of sites like Airbnb, Booking.com, Trip Advisor and a host of others.  Whereas we used to only have the choice between renting a hotel room or a bed in a hostel, now pretty much every type of property imagineable is available to rent for the 'short term.'

Where does the 'short-term' end and the 'mid-term' begin?

Technically a 'short-term' listing is defined as anything 28 days and less.  

So if you are looking to book a room on a 'mid term' basis, you are looking for a room for 29 days or more - technically. 

In the same way we used to only think about travel as hotels and hotels, we generally only think about any accommodation for more than a month as living with roommates or signing a lease. 

What does 'mid term' really mean?

Let's start with a month or two.  

If you want to rent a room or a home for two months, you are in the mid-term market.  But there are several challenges that emerge when you think about renting a room for two months:

  • how will I find someone suitable to live with for exactly two months?
  • will I need to sign a lease or tenancy agreement?
  • what if I need to extend my stay beyond two months?

These are questions we have spent years thinking about, and in fact designed our whole product around.  So let us share with you how we see it. 

Mid-Term means flexibility in the rental market

Interns, young professionals working on a temporary contract, digital nomads, and remote employees may have periods where they need flexibility and a month-to-month rental contract that is affordable relative to rent (not many people can afford Airbnb prices for a few months!).  For this use case, it is generally better to live with someone who has a spare room in their home who is amenable to a mid-term agreement.

Rent a room in a shared house
Rent Aude's spare room in North London

On the other hand, couples, families, foreign executives and those with a little extra money in the bank may want their own space. These types of serviced apartments are already available on the market, but they usually cater towards the luxury, high-end crowd rather than those who just want a comfortable place in a vibrant area for a few months.  For this use case, we like to think of it a Premium mid-term rental. 

One-bed flat to rent in Islington
Premium one-bed flat to rent in Clerkenwell

In both cases, the ultimate measures are quality and flexibility.  You can't have one without the other for it to considered mid-term - at least that's our opinion. 

Who uses Mid-Term platforms?

According to meta-search engine HomeToGo, mid-term rentals is a rapidly-growing category:

The fact that more and more city-centric inventory has shifted from short-term to mid-term rentals underlines the necessity to take this sector seriously ...  HomeToGo had in excess of $50 million in booking volume in 2018 for mid-term rental properties. ShortTermRentalz

While in its infancy, the trend is growing in Europe, and everyday on RoomForTea we see more and more demand for mid-term housing. 

Yet still, we spend a lot of time thinking about what mid-term really is and what it will become.  As it's not enough to simply plow people into homes for a few months, we believe that trust and safety are paramount to the experience in cities like London.

How long do you prefer to rent for? What motivates you to rent for this specific length of stay? Reach out to us with your comments!

 

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