So, you have a duplex and wonder whether or not to Airbnb it, or perhaps you already have a tenant on one side of the duplex and want to move them over to Airbnb. Ideally, you’ll want to do what is more profitable, but that isn’t always straightforward. This will keep you wondering and asking
Should I Airbnb My Duplex Or Get A Tenant?
Getting a tenant or using your duplex for Airbnb will depend on what you aim to achieve in the end. If you want someone who can live for longer with a relatively low maintenance cost, you should get a tenant, but if you are looking to make more money, then Airbnb will be your best option.
In this article, I’ll explain how you can work out whether or not Airbnb will be profitable for your duplex business. I’ll also look at some reasons why Airbnb might not be for you and some of the things to consider if you want to offer Airbnb as an option for some or all of your rentals.
Is Using Airbnb On My Duplex More Profitable Than Traditional Monthly Rent?
Airbnb is a great way to make money by renting out your space to travellers. It’s also a great way to save money on housing costs. In general, renting out your duplex through Airbnb can be more profitable than traditional monthly rent, especially if you live in an area with high demand for short-term rentals.
Should I Airbnb My Duplex?
When you’re considering using your duplex for Airbnb, the first question you may ask yourself is whether or not it’s legal. And if it is, how do you go about doing it? In most states, platforms like Airbnb are legal. However, this doesn’t mean that you can simply advertise your property and collect rent.
It’s important to check with your local municipality before listing your property to avoid any legal issues down the road. Once you’ve verified that using your duplex for Airbnb is legal in your area, there are other factors to consider before deciding whether or not to list with Airbnb. Here are some of the factors you should consider:
Demand And Supply In Your Local Area
If you live in an area where the demand for available rentals exceeds Supply, then listing with Airbnb may be a good option for increasing rental income. But if there’s already a glut of available rentals in your area, especially when combined with rising rents, then having an Airbnb might not make sense since people will likely want to rent the available units as tenants.
Cost Of Advertising
Listing your duplex with Airbnb comes with no upfront costs. All you need to do is create an account and upload photos and descriptions of your duplex. However, if you want more exposure for your listing, you’ll need to pay for advertising on the site.
Suppose you’re offering your duplex as a hostel-style accommodation where multiple guests will be sharing a common area (living room). In that case, you will likely need insurance coverage for liability in case something goes wrong while guests are staying at the property (i.e., an accident that causes injury). The amount of coverage needed depends on how many people are staying at the property at any given time, as well as what activities they’ll be participating in while visiting.
Airbnb VS Rental? Which Is Better For My Duplex?
There are many factors you must consider before deciding whether to rent out your duplex or list it on Airbnb. These factors will help you and give you a clear guide on which of them is a better option. Listed below are the pros and cons of listing your duplex on Airbnb.
Pros Of Listing Your Duplex On Airbnb
- You don’t need to do much work. If you’re not a handy person, this is an easy way to make some extra money without doing much.
- You can make more money. With some properties, renting on Airbnb can earn you double what it would earn as a traditional rental property, especially if you have a nice home in a desirable location (or one that will become so).
- It’s easy to set up and manage. Once you set up your account, all you have to do is post photos of your property and accept bookings.
- You won’t have to deal with pesky tenants who complain about everything from the colour of the walls to the size of the bathtub.
Cons Of Listing Your Duplex On Airbnb
- You could lose your deposit or damage your home if something goes wrong while someone’s staying there (which happens sometimes). This is why many states require hosts to carry insurance in case something happens while guests are there.
- Listing your duplex on Airbnb will require a lot of maintenance since you only expect people to stay for a few days or hours. It will also require you to spend more money on utilities such as cleaning, toiletries, etc.
Pros Of Getting A Rental Tenant For Your Duplex
- You’ll get a steady income stream from your tenants (and their security deposits). This can help cover mortgage payments or even help pay for renovations.
- You don’t need much maintenance this is especially true if you hire a property manager to take care of things like cleaning, repairs, and collecting rent payments.
Cons Of Getting A Rental Tenant For Your Duplex
- It might be difficult to evict a tenant if they damage something or cannot pay rent.
- You may need to hire and pay a property manager, which will cost you more money.
- It is difficult to increase rent, especially when there is a pending agreement for six months or more.
Do You Make More Money From Renting Your Duplex or From Airbnb?
You can make more money from renting your duplex on Airbnb than you can from renting it to a long-term tenant. If you own a duplex and you’re looking to use it for Airbnb instead of regular renting, then it’s likely that you’ll be able to charge more per night compared with what a long-term tenant might pay each month.
Of course, this also depends on where you live and how nice your home is compared with others in your area that are available for rent on Airbnb (if any).
The cost of utilities and other fees associated with using your duplex for Airbnb is also a factor to consider. If your goal is to earn extra income through hosting travellers, then it’s important to take into account all additional costs associated with hosting guests at your place, like cleaning supplies, linens, towels, toiletries, etc., before deciding how much to charge.
What Factors Can Affect My Income From Listing My Duplex On Airbnb?
The first one is what kind of property you have. If you’ve got a beautiful duplex with a pool and in a good and busy location, it’s going to be much easier to rent out than if your duplex is in an interior area with less traffic and people around.
The second factor is location and season. If you live around a popular tourist destination during peak season, renting out your home will likely net more income than if you live in an area that doesn’t see a lot of tourists.
The third factor is the price. If your rent is too high, people won’t be interested in booking with you, but if it’s too low, there probably isn’t much profit margin left for you as a host. So you need to place a price that is not too high and not too low but just average and affordable. Most times, the price of your Airbnb is affected by the number of guests trying to get an Airbnb space at that location.
In the end, there are pros and cons to each option. If you’re looking for a way to make your rent more manageable and you have a flexible schedule, then Airbnb could be a good option. On the other hand, if you need the security of a tenant, then the risks of Airbnb may outweigh the advantages.
I am Inemesit Etim and I am honest, reliable, confident, and responsible in my work. I am a highly talented, detail-oriented creative content writer with 3+ years of experience writing helpful content that gives value to readers like you. My articles are a product of intense research, both from personal experiences and from reading through the experiences of others. I love home improvement and I am glad I can help you improve the quality of your home and living experience.