Cambridge is more than just a historic university town—it’s a thriving economic hub, a world-class tourist destination, and a prime market for short-term rental investments. With its consistent influx of tourists, business travelers, and academic visitors, demand for high-quality, well-managed short-term rentals continues to soar.
For landlords, this presents an exciting opportunity to maximize rental income, enjoy high occupancy rates, and benefit from flexible letting models. Whether you're considering listing your property on Airbnb or looking for a fully managed short-term rental solution, Cambridge is one of the best places in the UK to do it.
The Growing Demand for Short-Term Rentals in Cambridge
The short-term rental market in Cambridge is booming due to strong demand from multiple traveler demographics:
📍 Tourism: A Historic & Cultural Magnet
Over 8 million visitors flock to Cambridge annually, drawn by landmarks like King’s College Chapel, the Fitzwilliam Museum, and punting on the River Cam.
The city hosts numerous festivals and cultural events, ensuring a steady stream of short-term guests.
💼 Business Travelers: A Thriving Corporate Scene
Home to Cambridge Science Park, Silicon Fen, and Addenbrooke’s Hospital, the city attracts professionals from biotech, pharmaceuticals, and technology.
Corporate travelers prefer serviced apartments over hotels, leading to a rise in demand for high-quality Airbnb and short-term stays.
🎓 Academic Visitors: A Global University Hub
Cambridge University hosts thousands of researchers, guest lecturers, and students’ families who require short-term accommodation.
Major academic conferences throughout the year boost demand for high-end rentals.
For landlords, this demand means fewer vacancies and consistent rental income.
2. High Occupancy Rates and Strong Rental Yields
Short-term rentals in Cambridge outperform traditional long-term lets in terms of both occupancy and revenue.
📊 Key Data & Market Trends
Occupancy rates for short-term rentals in Cambridge can reach 80-90% in peak months (summer, university terms, and conference seasons).
Nightly rates for short-term lets can be 2-3x higher than standard long-term rents, especially in prime locations.
Cambridge ranks among the top UK cities for short-term rental profitability, driven by steady demand from both leisure and business travelers.
📅 Seasonality & Maximizing Revenue
Peak periods: Summer tourism, university graduations, and academic terms.
Business demand remains steady year-round, providing stability even during off-peak travel seasons.
Dynamic pricing models allow landlords to adjust rates based on demand, increasing overall revenue.
🔹 Tip for Landlords: Flexible pricing and strategic marketing can increase annual rental revenue by 30-50% compared to fixed long-term rents.
3. Cambridge’s Thriving Economy and Its Impact on Short-Term Rentals
💡 Silicon Fen: The UK’s Fastest-Growing Tech Hub
Cambridge Science Park and the Bio Campus house global companies like AstraZeneca, ARM, and Microsoft Research.
Thousands of tech professionals relocate for short-term projects, boosting demand for executive rentals.
🏥 Growth of Addenbrooke’s Hospital & Biomedical Research
Medical professionals, patients’ families, and researchers require flexible accommodation for short stays.
The hospital’s continued expansion increases demand for short-term rentals near the Biomedical Campus.
📈 Future Growth & Investment Potential
Cambridge’s expanding infrastructure and economic development make it a long-term hotspot for property investment.
High capital appreciation and strong rental yields offer excellent returns for landlords.
4. The Flexibility and Profitability of Short-Term Rentals
Short-term rentals offer greater earning potential and flexibility compared to traditional long-term lets.
💰 Higher Nightly Rates & Annual Returns
A well-managed short-term rental can generate 50-100% more revenue than a standard long-term lease.
Landlords can charge premium rates for peak seasons while keeping the property available for personal use when needed.
🚀 Fewer Risks & More Control
No long-term tenancy agreements, reducing risks of non-payment or eviction issues.
Regular property inspections ensure the property is well-maintained.
Professional property management services handle maintenance, guest communication, and compliance.
5. Key Locations in Cambridge for Short-Term Rentals
Certain areas in Cambridge offer exceptional rental demand and high occupancy rates.
🏙️ City Centre
✅ Ideal for tourists and business travelers✅ Close to Cambridge University, museums, and shopping
🏥 Near Addenbrooke’s Hospital & Biomedical Campus
✅ In demand by medical professionals, patients’ families, and researchers✅ A great choice for mid-term and executive stays
🏢 Around Cambridge Science Park & Business Districts
✅ Preferred by tech professionals and corporate guests✅ Ideal for longer short-term stays
🌳 Riverside & Scenic Areas
✅ Attractive to leisure travelers seeking a unique Cambridge experience✅ Perfect for luxury short-term rentals
6. Regulations and Compliance for Short-Term Rentals in Cambridge
Before listing a property, landlords must ensure compliance with local laws and tax regulations.
📜 Key Legal Considerations
Short-term rentals may require planning permission if operated beyond 90 days per year.
Landlords must adhere to fire safety, gas safety, and electrical safety regulations.
💼 Tax Benefits & Considerations
Properties classified as Furnished Holiday Lets (FHLs) may qualify for special tax advantages.
VAT and business rate exemptions apply under certain conditions.
🔹 Tip for Landlords: A professional property management service ensures compliance with all regulations, avoiding costly fines.
7. The Benefits of Using a Professional Property Management Service
Managing a short-term rental can be time-consuming. A trusted property management company can maximize rental income while handling the workload.
✅ Why Landlords Choose Professional Management
Optimized pricing strategies to maximize occupancy and revenue.
Full-service management: Cleaning, maintenance, guest communication, and compliance.
24/7 guest support ensures positive reviews and repeat bookings.
8. How Cambridge Stays Can Help You Succeed
At Cambridge Stays, we specialize in maximizing short-term rental profits while providing a stress-free, fully managed service for landlords.
🌟 Why Work With Us?
✅ Best customer reviews in Cambridge✅ Proven success in maximizing rental income✅ Expert local knowledge & hands-off management
📩 Contact us today for a free consultation and discover how we can maximize your rental income!
Cambridge is an exceptional market for short-term rentals, offering high occupancy rates, strong yields, and growing demand. Landlords can benefit from premium nightly rates, flexible letting options, and professional management services to ensure hassle-free success.
Ready to maximize your Cambridge property’s rental potential? Get in touch with Cambridge Stays today! 🚀
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