Short Term Rental Secrets / GUIDE
A working budget for a short-term rental
Separate revenue assumptions, recurring costs, and the cash needed when plans change.
Use a consistent revenue definition
State whether projected revenue includes cleaning charges or excludes platform fees. Compare months rather than relying only on a yearly total. A seasonal property can meet an annual estimate and still create difficult cash-flow periods. Keep assumptions visible instead of burying them in a single return figure.
Include the full operating list
List utilities, connectivity, insurance, management, cleaning, supplies, maintenance, permits, association charges, and the cost of replacing worn items. Include financing in the cash-flow view. Confirm the timing of payments, especially expenses billed annually or before the first reservation.
Run a downside case
Lower the booking assumptions and increase one plausible expense. Record how much cash the property would use and how long you could carry it. This is a planning exercise, not a prediction. Decide which assumptions require stronger evidence before you make a purchase decision.
Review actuals against the plan
After launch, compare the same categories each month. Separate startup expenses from recurring costs and note why each meaningful variance occurred. Revise the budget when evidence changes, while keeping the original version so you can learn which assumptions were useful.
Take the next step
For help exploring the acquisition process, start a conversation with BNB Accelerator. Bring the questions and records from this guide.