Rental arbitrage is a business model where an individual or entity rents a property longterm and then rerents or sublets that property on a shortterm basis. Arbitrage is the simultaneous purchase and sale of the same asset in different markets in order to profit from a difference in its price.To put it into context, arbitrage is when a trader buys and sells an asset at different locations, at the same time. Arbitrage trading is a type of trading method that involves buying and selling an asset in one market while immediately selling it in another. Rental Arbitrage is a smart technique to earn money in any type of property including a multifamily house, duplexes, or triplexes. Airbnb rental arbitrage is the act of renting a property longterm and then rerenting it shortterm on vacation rental sites like Airbnb or Vrbo.