Cambridge Rental Market: Are Long-Term Tenants Still the Safer Bet?

In 2025, Cambridge landlords are navigating a complex landscape. With rising costs, regulatory scrutiny, and shifting tenant expectations, one question persists: are long-term tenants still the safer bet over short-term lets? For many property owners, stability is now just as important as profit.

Pros and Cons of Long-Term Tenants in 2025

Long-term tenants—usually on Assured Shorthold Tenancies (ASTs)—offer predictable income, reduced turnover, and fewer voids. Especially in Cambridge, where demand for quality rental housing remains high among professionals, academics, and families, long-term tenants help landlords enjoy a more hands-off experience.

Benefits:

• Stable monthly income

• Less wear and tear from frequent turnover

• Lower management and cleaning costs

• Easier planning for repairs and upgrades

Drawbacks:

• Less flexibility to raise rents between tenants

• Potential for longer dispute resolution processes if issues arise

Short-Term Letting: Income Potential vs Risk

Short lets through platforms like Airbnb can yield higher per-night income—but only with consistent occupancy. In Cambridge’s seasonal market, short-term profits can fluctuate significantly.

Advantages:

• Potential for higher returns during peak seasons

• More control over availability and pricing

• Easier to update terms between stays

Risks:

• Higher void risk in off-peak periods

• More frequent maintenance and turnover costs

• Regulatory scrutiny, especially around planning and licensing

Regulatory Climate: What’s Safer in the Current Landscape?

The UK government continues to tighten short-let regulations, and local councils like Cambridge City are increasingly attentive to housing enforcement. This includes:

• Potential licensing for short-term lets

• Limits on number of nights let per year

• Council tax or business rate adjustments

By contrast, ASTs offer a more regulated, established framework. While long-term lets come with responsibilities, the legal environment is more stable and widely understood.

How Cambridge Stays Helps You Choose the Right Letting Strategy

At Cambridge Stays, we manage both short-term and long-term properties—but we guide landlords toward what makes the most sense for their property, location, and goals. Whether you prioritise stable income or want to optimise seasonal demand, we provide:

• Detailed income comparisons

• Regulatory insight based on your postcode

• Flexible property preparation services for either strategy

Want to Minimise Risk and Maximise Returns?

Long-term tenants may not always offer the highest short-term profit—but they often provide the most peace of mind. If you’re seeking reliable returns without the stress, Cambridge Stays can help you implement a smart rental strategy tailored to 2025.