Inside Furnished Rentals: What’s Included and How They Work

Answer

Furnished rentals have become a popular option for tenants seeking flexibility and convenience. In the U.S. market, a furnished rental is a residential property leased with essential furniture and appliances already in place, allowing renters to move in with minimal setup. This FAQ entry explains what defines a furnished rental and highlights key considerations.

In a typical furnished rental, landlords include a basic inventory of items, such as:

• Living room: sofa, coffee table, TV stand, lamps
• Bedroom: bed frame, mattress, dresser, nightstands
• Dining area: table, chairs
• Kitchen: refrigerator, stove, microwave, cookware, dishes
• Utilities & services: often include Wi‑Fi, cable, and sometimes utilities in the rent

Leases for furnished units often span shorter terms—commonly month‑to‑month or 6‑ to 12‑month agreements—though some landlords offer long‑term leases. Rent prices for furnished rentals frequently run 10–20% higher than similar unfurnished properties, reflecting the value of included furniture and convenience.

Key advantages of furnished rentals:

• Move‑in ready: no time or expense buying furniture
• Ideal for corporate assignments, interns, or temporary relocations
• Flexibility of shorter leases

Potential drawbacks to consider:

• Higher monthly rent and possible additional cleaning or wear‑and‑tear fees
• Limited ability to personalize décor
• Inventory lists: tenants may face charges for missing or damaged items at move‑out

For stays under 30 days, some jurisdictions impose transient occupancy taxes (TOT), similar to hotel taxes. Longer leases generally fall under standard residential property tax structures. Buyers of furnished investment properties should consult the IRS guidelines on rental income and depreciable assets to understand allowable deductions for furniture depreciation.

Before signing a furnished lease, buyers are recommended to verify the complete furniture inventory, security deposit terms, pet policies, and maintenance responsibilities. It’s also wise to ask about insurance: renters should carry a liability and personal property policy to cover belongings.

In summary, furnished rentals offer a turnkey housing solution for tenants seeking ease and flexibility. However, they come with higher costs and stricter inventory controls. Before making a final decision, it’s advisable to consult a licensed local attorney or real estate agent to review lease terms and ensure compliance with state and local regulations.