Revenue Model for Furnished Apartment Rentals: Turning Short-Term Stays into Long-Term Profits

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Digital illustration showing a man with luggage near a furnished apartment, alongside a smartphone displaying a sofa, lamp, and rising bar chart symbolizing rental income growth.

Remember when renting out an apartment meant slapping a “For Rent” sign on the gate and hoping someone called? Those days are toast. These days, it’s all about convenience, flexibility, and a dash of Wi-Fi-powered charm. The market for furnished apartment rentals has exploded, fueled by digital nomads, remote workers, medical tourists, and weekend warriors alike.

People aren’t just looking for a place to sleep—they want a plug-and-play lifestyle. Whether it’s a month-long project in Berlin or a weekend in Bali, travelers want modern, furnished spaces with seamless booking. And here’s the kicker: the business model behind it can be seriously lucrative.

So how do platforms like Airbbnb, Blueground, or smaller local apps actually make money? In this blog, we’ll pull back the curtain on the revenue engines behind furnished apartment rentals—and how you can get a piece of that pie. At Miracuves, we help entrepreneurs build feature-rich clone apps that make launching your own rental platform a walk in the (smart-key-accessed) park.

Why Furnished Rentals Are Booming in 2025Post-pandemic shifts have radically reshaped how we live, work, and travel. Remote work became mainstream, gig workers exploded, and people started blending travel with their job.

According to CB Insights, the global furnished rental market is projected to surpass $100 billion by 2025, driven by:

  • The rise of digital nomads and remote teams
  • Increased mobility for short-term corporate assignments
  • Demand for travel alternatives beyond hotels
  • Tech platforms making rentals easier to manage

Core Revenue Streams for Furnished Rental Platforms

Booking Commissions

This one’s the bread and butter. Platforms typically charge 10–20% per booking, split between the guest and the host. The higher the volume, the sweeter the slice.

Example: Airbnb’s Stastica reportedly made over $8 billion in service fees in 2023 alone.

Cleaning & Turnover Fees

Some platforms add a markup on cleaning fees or even partner with cleaning services for backend profits.

Subscription or Listing Fees

Hosts can pay monthly/annual fees to list unlimited properties or access premium placement and analytics.

Pay-to-play visibility is big. Hosts can pay to appear at the top of search results, in newsletters, or as “featured” stays.

UX Visual: Highlighted featured listings layout

Payment Processing & Currency Exchange Margins

When platforms handle international payments, they often earn a margin on currency conversion.

Value-Added Services

From insurance and damage protection to furniture rental and property management—value-added services are upsell heaven.

White-Labeling & B2B Licensing Models

Beyond direct-to-consumer (D2C) platforms, some companies license their rental tech to hotels, agencies, or landlords as white-label software.

  • Revenue comes from setup fees, monthly SaaS subscriptions, and API usage
  • Often includes branding, booking engine, CRM, and channel manager integrations
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Image Source: ChatGPT

Bonus Revenue Tactics to Consider

  • Dynamic Pricing Tools: Offer yield management tools for hosts and take a percentage of performance gains.
  • Loyalty Programs: Paid tiers for frequent travelers, offering perks and discounts.
  • Marketplace Upsells: Partner with local experiences (tours, yoga classes, etc.) for cross-selling.

Challenges to Monetization

Let’s be honest: this isn’t an “if you build it, they will come” kind of game.

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Image Source: ChatGPT

Revenue hurdles include:

  • High competition and host churn
  • Regulatory roadblocks in urban areas (zoning, short-term stay bans)
  • Seasonality affecting revenue predictability
  • Security deposits, guest screening, and damage liabilities

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Conclusion

Furnished apartment rentals are no longer just side hustles—they’re smart, scalable businesses when done right. Whether you’re eyeing a niche platform for pet-friendly homes or a corporate housing app, the revenue models are flexible and proven.

At Miracuves, we help innovators launch high-performance app clones that are fast, scalable, and monetization-ready. Ready to turn your idea into reality? Let’s build together.

FAQ’s

1) How do furnished rental platforms make money?

Through booking commissions, listing fees, value-added services, and payment margins.

2) Is it profitable to build a furnished rental app?

Yes, with proper monetization strategy and host acquisition, it can scale quickly.

3) What’s the best way to attract hosts?

Offer low commissions, great UX, easy onboarding, and tools like dynamic pricing.

4) Can I build a local version of Airbnb?

Absolutely. Niche or regional platforms often do better due to focused branding and localized service.

5) What legal requirements should I be aware of?

Zoning laws, local permits, tax regulations, and short-term rental compliance.

6) Do I need to manage properties myself?

Not necessarily. Many platforms operate as pure marketplaces and let hosts handle operations.

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