Short-Term Vacation vs Long-Term Rental in Guadeloupe: Which Yields the Best Return?

When investing in rental property in Guadeloupe, an essential question arises: is it better to opt for short-term holiday rentals (Airbnb, luxury villa lettings) or long-term furnished residential leases (executives and relocating professionals)?

Both models address distinct wealth management, tax, and operational goals. Here is a clear breakdown to guide your acquisition in 2026.

---

Comparison Overview

• 1. Short-Term Holiday Rentals: High Gross Yields & Personal Lifestyle
• 2. Long-Term Leases: Steady Income & Low Maintenance
• 3. Financial Comparison: Net Yield & LMNP Tax Structure
• 4. Top Micro-Markets According to Your Rental Strategy
• 5. Structure Your Investment with Caroline DE LIGNY

---

1. Short-Term Holiday Rentals: High Gross Yields & Personal Lifestyle

Guadeloupe welcomes over 800,000 tourists every year, fueling ongoing demand for private pool villas and ocean-view properties.

Key Benefits:

• Higher Gross Returns: A 3 to 4-bedroom villa in Sainte-Anne or Saint-François commands between €1,500 and €4,000 per week, generating potential gross yields of 8% to 12%.
• Personal Use: Owners can reserve weeks for their own Caribbean family vacations.
• Zero Risk of Unpaid Long-Term Rent: Tourist reservations are paid upfront upon booking.

Operational Considerations:

• Concierge and housekeeping management fees (typically 15% to 25% of turnover).
• Seasonality: peak high season from December to May, secondary summer peak in July-August, and quieter shoulder months in September-October.

2. Long-Term Leases: Steady Income & Low Maintenance

Furnished long-term leases primarily target business executives, corporate managers, and medical professionals on assignment:

• Predictable Cash Flows: Consistent monthly rent 12 months a year without seasonal turnover gaps.
• Minimal Management: Utility bills (water, electricity) are paid directly by the tenant.
• Strategic Locations: Centered around the economic powerhouse of Jarry and the residential municipality of Baie-Mahault.

3. Financial Comparison: Net Yield & LMNP Tax Structure

Metric	Short-Term Holiday Rental	Long-Term Furnished Lease
Average Gross Yield	8% to 12%	5.5% to 7.5%
Net Yield (After Expenses)	5% to 7%	4.5% to 6%
Annual Occupancy Rate	65% to 80%	95% to 100%
Management Effort	High (or via concierge)	Low
Personal Use Allowed	Yes (blackout weeks)	No
Optimal Tax Scheme	French LMNP with depreciation	French LMNP with depreciation

In both scenarios, the French Non-Professional Furnished Landlord (LMNP) tax regime allows full depreciation of the property, eliminating income tax on rental earnings. See our guide on real estate taxation in Guadeloupe.

4. Top Micro-Markets According to Your Rental Strategy

• For Premium Holiday Rentals: Saint-François (Marina/Golf), Sainte-Anne (Gissac/La Caravelle), Deshaies (Leeward Coast), and Le Gosier.
• For High-Demand Year-Round Tenancy: Baie-Mahault (La Jaille, Destrellan, Moudong) and Petit-Bourg.

Explore our prime apartments for long-term rental income:

• New 3-Bedroom Apartment in Baie-Mahault
• New 2-Bedroom Ground Floor Apartment in Baie-Mahault Destrellan

5. Structure Your Investment with Caroline DE LIGNY

Whether you target maximum gross revenue through holiday rentals or the ease of long-term tenancy, I assist you in stress-testing your financial projections and connecting you with trusted local property managers.

Explore our full property portfolio in Guadeloupe or contact me today (WhatsApp: +33 690 49 39 96).