Becoming a Passport Bro (Part 5): Finding Affordable Housing

In the words of DJ Quick, “If it don’t make dollars, it don’t make sense.” If you plan on being overseas for an extended period, you'll likely need to find affordable housing. Saving money, in essence, has a similar effect to earning money over a fixed time horizon. Short-term housing is great if you're only traveling somewhere for a few days; in that case, spending $60-100/night on an Airbnb or hotel, depending on your destination, isn't a big deal. However, if you're going to a first-world country, you can double those prices. But since most people are interested in places where they can stretch their dollars, I'll focus on that. When you extrapolate that to 30 days, you're spending $1.8 - $3k per month on short-term housing, which isn't financially wise if you're looking to make your money last.

Here’s a guide I like to follow for myself (assuming the same location):

1. 1 - 7 Days: Airbnb or Hotel

2. 7 - 28 Days: Airbnb

3. 29 Days +: Long Stay

4. 6 Months+: Long Stay

Part 1: During such a short stay, you likely won’t benefit from any long-stay discounts. If you're in a market where Airbnb costs are roughly the same as a hotel, then go ahead and book the hotel. You'll likely get daily cleaning, access to food, and other amenities without the hassle of ridiculous cleaning fees or unusual check-out requests. Some hosts may ask for a $300 cleaning fee and then expect you to clean the entire place. No one wants to clean an apartment at 7 am before catching a flight, especially after paying a cleaning fee.

Warning: Some hotels are strict about the number of guests you’ve registered in your room. This means that if you've booked for 1-2 people, any additional guests won't be allowed unless you pay more and/or register them.

Part 2: For stays lasting 7 - 28 days, Airbnb tends to offer better value. Many hosts provide weekly and/or monthly discounts ranging from 10-30% off the daily rate. Given the hassle hosts face managing multiple guests, cleaning, check-ins, and checkouts, they often prefer longer-term guests. Consequently, even with existing long-stay discounts, I usually negotiate an additional 10-20%. Despite these discounts, Airbnb prices are still significantly higher than private rentals in the same location.

Part 3: For stays longer than a month, I highly recommend renting a private apartment. My preferred platform for this is Facebook Marketplace because it's international. I like staying in one place for several months, so this option suits me well. Some markets have local apps or websites for private housing searches. Besides Facebook Marketplace, there are usually many local groups available. If you make even one local friend, ask them for apartment-hunting advice. This could save you hundreds, if not thousands, over time. Many private landlords require a deposit equivalent to 1-2 months' rent, depending on the apartment's furnishings. I recommend furnished places to avoid the hassle of dealing with furniture for short stays. Additionally, many private rentals offer all-inclusive pricing, eliminating the need to set up utilities separately.

Part 4: For stays over 6 months, you're likely to secure a genuine local price. This opens up options with rental companies. Although many people prefer renting apartments for 1 year or more, some rental companies or individuals are flexible with 6-month leases. This often requires a deposit, even for unfurnished places. Before opting for this, ensure you'll stay in that location for at least half a year. Buying used furniture usually costs less than the savings from a longer-term lease. However, setting up utilities and internet might be necessary in many cases, though some private landlords might offer an all-inclusive option.

In Conclusion, you don’t want to go overseas and spend as much or more than you did back home. Housing will likely be your biggest living expense, so it’s wise to be frugal when possible. That’s all I have for you this week. Catch you on the flippity flip.