> ## Documentation Index
> Fetch the complete documentation index at: https://docs.mogul.club/llms.txt
> Use this file to discover all available pages before exploring further.

# Operating Strategies

> LTR, MTR, and STR — when we use each and what it means for returns.

### Long-Term Rental (LTR)

* **Lease length:** ≥ 12 months
* **Pros:** Stable occupancy, predictable income, lower turnover costs, tenant-paid utilities
* **Cons:** Lower yield ceiling, must follow landlord-tenant laws, debt-service risk in high-rate climates

### Medium-Term Rental (MTR)

* **Lease length:** 1–12 months (3–6 mo sweet spot) — often PadSplit models
* **Pros:** Higher yield than LTR, still solid occupancy (travel nurses, grad students), mitigates high interest rates
* **Cons:** Appreciation not always as high, meaning value upon sale is not equivalent to other models

### Short-Term Rental (STR)

* **Stay length:** Nightly / weekly (Airbnb, Vrbo)
* **Pros:** Highest potential yield, dynamic pricing flexibility
* **Cons:** Regulatory risk, intensive management, seasonality, owner-paid utilities

mogul states the operational strategy at the onset with the operation that maximizes risk-adjusted returns for each property based on local regs, demand drivers, and numbers.