Everybody loves the idea of Airbnbs: passive income, beach vibes, freedom. But here’s the truth nobody on Instagram wants to say out loud:
Short-term rentals have turned into a full-time job disguised as “passive income.”
Meanwhile, the investors who quietly hold long-term rentals in the right markets (like Myrtle Beach’s Carolina Forest and Conway) are winning big — steadier returns, fewer headaches, stronger equity growth. That’s why I call long-term rentals the silent goldmine of 2025.
Short-Term Rental Reality Check
Let’s break down what’s actually happening:
- STR revenue is down 8–12% year-over-year in most U.S. coastal markets. Myrtle Beach included.
- Occupancy rates have dropped from 73% → 61% as supply exploded and travel softened.
- Local ordinances are tightening. Some HOAs now fine owners $500+ per violation or restrict nightly rentals altogether.
- Insurance costs for short-term properties jumped 15–20% across Horry County.
So, while the social media gurus show screenshots of summer bookings, they’re not posting the off-season zeros, or the 5 A.M. texts from guests who can’t find the Wi-Fi password )))))
The Long-Term Rental Advantage
Long-term rentals (LTRs) are boring… until you realize boring is profitable.
Here’s why:
- Stable Occupancy: 94–96% in Horry County (per CoStar Q3 2025 data).
- Lower Turnover: Tenants stay 1–3 years on average vs. weekly guest churn.
- Predictable Costs: No cleaning crews, no dynamic pricing tools, no constant maintenance from wear-and-tear.
- Financing Friendly: Banks love LTR income consistency for refi and portfolio growth.
And the kicker?
With Myrtle Beach property values stabilizing (median price ~$347K), LTR yields are back in the 7–9% cash-on-cash range for properly structured deals.
Real-World Example: Carolina Forest vs STR in MB
Carolina Forest Townhome (3BR, 2.5BA)
- Purchase: $320,000
- Rent: $2,050/mo
- Taxes + Insurance + HOA: ~$400/mo
- Net: ~$1,650/mo → ~$19,800/yr
- Annual ROI (20% down): ~9.5%
Now compare that to a nearby STR condo at similar value:
- Gross nightly: $180/night × 180 nights = $32,400
- After cleaning, platform fees, HOA ($600+), utilities, taxes, mgmt → Net ~$17,200
And that’s with hustle.
Taxes, HOA Drama & True ROI
Taxes: LTR owners qualify for depreciation, mortgage interest, insurance, repairs, and mileage deductions. STRs are “active businesses”—meaning self-employment tax and more bookkeeping.
HOA Rules: 2025 has been the year of the “No Airbnb” amendment. Carolina Forest, Grande Dunes, and Surfside communities are tightening enforcement. One violation = one lawsuit waiting to happen.
Insurance: LTR premiums average $900–$1,200/year. STR coverage? Try $2,400+.
When the spreadsheet dust settles, LTRs are pulling similar gross yield with half the risk and effort.
While others chase likes, the silent goldmine is paying mortgage, equity, and peace of mind — every single month.