Airbnb or long-term rental – which is the better deal in Varna?

Varna is one of the cities in Bulgaria where renting out property can be a serious source of income. The city combines seaside tourism, universities, working professionals, families, business travel and constant demand for housing. That is why many owners and investors ask themselves one important question: is it more profitable to let a property short-term through Airbnb and Booking, or is a long-term rental the wiser choice?

The answer is not the same for every property. An apartment near the Sea Garden, with good looks and the right furnishings, can have strong potential for short-term letting. Another property in a residential area, close to a university, hospital or large employer, may bring a more stable income from a long-term rental. The best choice depends on the location, the condition of the home, the season, the costs, the time needed for management and the owner's readiness to be actively involved with the property.

At first glance, Airbnb often looks more lucrative, because the nightly rate can be significantly higher than the daily equivalent of a long-term rental. But short-term letting involves more costs, more commitments and greater dependence on the season. A long-term rental looks calmer and more predictable, but sometimes brings a lower yield and requires careful selection of a tenant.

1What is the main difference between Airbnb and a long-term rental

What to compare from the start

Before deciding which model suits you better, compare not only the potential income but the real profit after costs. It is important to consider:

• where the property is located;
• what type of guests or tenants it would attract;
• how many months of the year it can be actively occupied;
• what maintenance, cleaning and management costs it will have;
• whether you have the time to deal with short-term letting;
• what legal and administrative requirements must be met;
• whether the property suits tourists, students, families or working people.

The biggest mistake is to compare only the monthly rent with the possible income from nightly stays. The real yield only becomes clear after all costs and vacant periods are deducted.

2When Airbnb can be more profitable in Varna

Short-term letting can be a very good option in Varna, but not for every property. The strongest potential lies with homes close to the sea, the centre, the Sea Garden, the beach, restaurants and bars, tourist areas, important city landmarks or convenient transport. Guests booking a short stay look for convenience, a good location, cleanliness, easy check-in and a pleasant feel.

Airbnb can be more profitable when the property presents strongly and can be sold well as an experience, not just a place to sleep. That means quality furnishings, attractive photos, good amenities, a good description, quick communication and a high guest rating.

Properties with the best potential for short-term letting

In Varna, the following are usually better suited to Airbnb:

• small and medium-sized apartments near the centre or the sea;
• homes close to the Sea Garden;
• apartments with a view, a terrace or an excellent location;
• properties suitable for tourists, business travellers or weekend guests;
• well-furnished homes with easy self check-in;
• apartments that do not require complex maintenance.

With this type of property, short-term letting can bring a higher gross income, especially in the active summer season. But the owner must be ready for more dynamic management.

3What the costs of Airbnb are

Airbnb looks very attractive when you only look at the nightly rate. But short-term letting has more running costs than a long-term rental. They must be included in the calculation, because otherwise the yield may be overestimated.

The most common costs of short-term letting

With Airbnb, you should plan for:

• regular professional cleaning;
• laundry and replacement of bed linen and towels;
• guest supplies;
• platform commissions;
• internet, TV and utility costs;
• repairs and faster depreciation;
• maintenance of furniture, appliances and equipment;
• time spent communicating with guests;
• management by a company, if the owner does not handle it personally;
• administrative and tax obligations.

With short-term letting, wear and tear on the property is usually faster. Different guests use the home in different ways, and frequent check-ins and check-outs mean more need for oversight and maintenance.

4Seasonality in Varna

Varna has a strong summer season, but short-term rentals are not equally active throughout the year. Summer can bring high occupancy and good prices, but outside the season interest can drop. That does not mean Airbnb does not work in the other months, but income becomes less predictable.

Why seasonality is key

If a property relies mainly on tourists, you need to count not only the peak season but the whole year. July and August may be very good, but in winter occupancy may be weaker. That is why it is important to do an annual calculation rather than look only at the strongest months.

For example, if an apartment earns good income for 3–4 active months but stands empty or is hard to let for the rest of the time, the final annual yield may turn out close to that of a long-term rental. The difference is that with Airbnb the effort and costs are greater.

5When a long-term rental is the better choice

Advantages of long-term renting

The main advantages are:

• stable monthly income;
• fewer commitments to guests and bookings;
• lower cleaning and supply costs;
• less administrative dynamics;
• easier budget planning;
• lower risk of vacant periods with a good tenant;
• calmer management of the property.

Long-term renting is especially suitable if the owner does not live in Varna, has no time to manage short-term bookings, or does not want the property to be used intensively by different guests.

6Risks of long-term renting

Long-term renting also has risks. The most important is the choice of tenant. If the tenant does not pay regularly, damages the property or refuses to vacate on time, the problems can be serious. That is why the contract, the deposit and prior screening are very important.

How to reduce the risk

With a long-term rental, it is wise to work carefully even before signing the contract. The owner should check who will live in the property, what their expectations are, for how long they are looking for a home and how running costs will be settled.

Good practices include:

• a written contract with clear clauses;
• a deposit that covers possible damage or unpaid obligations;
• an inventory of the furnishings and the condition of the property;
• regular communication with the tenant;
• clear rules on repairs, pets and maintenance;
• payment by bank transfer, when possible.

These steps do not remove the risk entirely, but they reduce it significantly.

7How to compare the real yield

To make the right decision, you need to compare the annual net yield, not just the monthly income. That means calculating how much is left after all costs, vacant periods and management.

A sample comparison logic

For Airbnb, you need to calculate:

• average nightly rate;
• expected occupancy by month;
• annual gross income;
• cleaning, laundry and supply costs;
• platform commissions;
• electricity, water, internet and maintenance costs;
• taxes and administrative costs;
• management, if an external company is used.

For a long-term rental, you need to calculate:

• monthly rent;
• annual income;
• periods without a tenant;
• repair and maintenance costs;
• taxes;
• fees that remain with the owner;
• any intermediary costs.

Only then can you see which model is more profitable for the specific property.

8A sample comparison formula

The simplest way is to compare the net annual income.

Net income from Airbnb = annual income from nightly stays – all annual costs

Net income from a long-term rental = annual rent – all annual costs

If Airbnb brings a higher net income but requires much more time, effort and risk, the owner must decide whether the difference is worth it. If the difference is small, a long-term rental may be the more sensible choice. If the difference is significant and the property is in a strong tourist area, short-term letting may have the advantage.

9Which areas of Varna suit Airbnb better

For short-term letting, areas that are convenient for tourists and short stays have stronger potential. This includes central parts, zones near the Sea Garden, the beach, restaurants and bars, cultural sights, pedestrian areas and easy transport.

Suitable areas may include:

• Centre;
• Gratska Mahala;
• the area around the Sea Garden;
• Chayka;
• Briz, if the property has a good view and convenient access;
• areas with a quick connection to the beach and the central parts.

Here it is important to look not only at the district but at the specific street, access, parking, noise and convenience for guests.

10Which areas suit a long-term rental better

For long-term renting, areas with year-round city life, transport and services often work well. Tenants think more practically: how long the commute to work or university will be, whether there are shops, whether it is convenient for a family, what the costs are and whether parking is possible.

Areas with good potential for long-term renting may include:

• Levski;
• Tsveten Kvartal;
• Chayka;
• Mladost;
• Vazrazhdane;
• Wider Centre;
• areas around universities, hospitals and large employment zones.

These locations may not bring as high an income per night, but they can provide a steadier monthly income.

11Administrative and legal requirements

Why this affects your choice

If the owner does not want to deal with registrations, platforms, guests, reports and cleaning, Airbnb may prove too demanding a model. If, however, the property is in an excellent location and can be managed professionally, the administrative effort may be justified by the higher income.

12When Airbnb is the better choice

Airbnb can be the better choice when the property has a strong tourist location, excellent appearance, easy access, good furnishing and the possibility of professional management. It suits owners who are ready to think actively about price, occupancy, reviews, communication and the quality of the stay.

This model is more suitable if:

• the property is close to the sea, the centre or the main tourist sights;
• the home is small or medium in size and easy to maintain;
• self check-in is possible;
• the owner can provide fast communication;
• there is a reliable cleaning arrangement;
• the expected net income is significantly higher than long-term rent.

If these conditions are met, short-term letting can be more profitable.

13When long-term rent is the wiser choice

Long-term rent is the wiser choice when the owner is looking for stability and minimal involvement. It suits homes in neighbourhoods with constant interest from local tenants, students, families and working people.

This model is more suitable if:

• the property is not in a strong tourist area;
• the owner does not want to manage guests and bookings;
• the home is larger and harder to maintain for short-term stays;
• there is steady demand from long-term tenants;
• the difference in net income between the two models is not large;
• the owner prefers predictability to higher but variable income.

With the right tenant, long-term rent can be a much calmer and more sustainable option.

14The best solution depends on the specific property

There is no universal answer as to whether Airbnb or long-term rent is more profitable in Varna. Airbnb can bring higher revenue with the right location, a strong season, good management and quality presentation. But it demands more work, more upkeep and better organisation. Long-term rent offers greater predictability, fewer operational tasks and a steadier monthly income, but often with a lower profit ceiling.

The wisest approach is to run a realistic annual calculation for the specific property. If short-term letting brings a significantly higher net income and the owner is ready to manage the process, Airbnb can be the better choice. If the difference is small or the property is not strong enough for tourist rental, a long-term contract is often the safer solution.

In Varna, both models can succeed. The question is not which is better in general, but which is more suitable for the specific apartment, the specific location and the owner's specific goal.