The short-term rental market in Ankeny, Iowa, is thriving, with a median occupancy rate of 66%, an average daily rate of $144, and an annual host revenue of $36,000, making it a highly profitable and stable investment opportunity.
Thriving Short-Term Rental Market in Ankeny, Iowa
Ankeny, Iowa, is experiencing a robust and profitable short-term rental market, making it an attractive destination for Airbnb hosts. With a median occupancy rate of 66%, indicating that typical listings are booked for 241 nights a year, the demand for short-term rentals is strong. The average daily rate stands at $144, contributing to an annual host income of approximately $36,000. This performance is bolstered by the city's lenient regulations on short-term rentals and its appealing blend of small-town charm and big-city amenities, drawing a diverse mix of visitors including business travelers, families, and outdoor enthusiasts. The peak months, particularly June through August, see the highest demand, further highlighting the potential for significant revenue in this market.
Short-Term Rental Regulations in Ankeny, Iowa for 2024
General Definitions and Restrictions
- Definition of Short-Term Rental: Any dwelling offered for a fee for thirty days or less, including entire homes, apartments, condos, cabins, and private rooms.
State and Local Regulations
- Prohibition on Local Restrictions: Cities and counties in Iowa, including Ankeny, are restricted from prohibiting short-term rentals, requiring licenses or permits specifically for short-term rentals, or charging fees for these rentals. Any regulations must be enforced in the same manner as those for similar non-short-term rental properties.
Health and Safety Standards
- Compliance with Health, Fire, and Safety Regulations: Ensure the rental meets health, fire, and safety standards, including functional fire extinguishers, smoke detectors, and adherence to food safety standards if meals are provided.
Zoning and Land Use
- Classification as Residential Land Use: Short-term rental properties are classified as residential land use for zoning purposes.
Specific Local Ordinances
- No License or Permit Fees: Cities, including Ankeny, cannot require a license or permit fee for short-term rental properties.
Property and Occupancy Requirements
- Single-Household Detached Structure Limitation: Only one short-term rental is allowed per single-household detached structure.
- Owner-Occupancy or Tenant-Occupancy: In certain districts, the short-term rental must be owner-occupied or tenant-occupied with the property owner's consent.
Tax Obligations
- State and Local Taxes: Short-term rentals are subject to a 5% state hotel tax, and may also be liable for city and county sales taxes. Property owners must file tax returns each period regardless of their rental income.
Emergency Contact and Public Health
- Emergency Contact Requirement: Cities may enact ordinances requiring an emergency contact for short-term rental properties.
- Public Health and Safety Regulations: Cities can regulate short-term rentals for protection of public health and safety related to fire and building safety, sanitation, or traffic control.
Noise, Property Maintenance, and Nuisance Issues
- Regulations for Noise, Property Maintenance, or Nuisance Issues: Cities can enforce ordinances related to noise, property maintenance, or nuisance issues in the same manner as for similar non-short-term rental properties.
Rental Housing Inspections
- Regular Inspections: While not specific to short-term rentals, all rental units in Ankeny must be registered and inspected by City staff on a regular basis to ensure compliance with the Property Maintenance and Housing Code.
Top Neighborhoods for Airbnb Revenue in Ankeny, Iowa
1. North Central Ankeny
- Appeal: This neighborhood is highly rated for its quiet residential setting, proximity to Prairie Ridge Sports Complex, and easy access to the High Trestle Trail. The homes here, such as the "Upscale Home Near Parks and Trails, I-35 Access," feature amenities like elevated decks, ground-level patios with fire pits, and convenient access to restaurants and breweries.
2. Northwest Ankeny
- Appeal: Located on the northwest side, this area offers homes like the "Dream Home in Metro Suburb w/ Self Check In," which are situated in quiet cul-de-sacs with large fenced yards. These homes are well-equipped with full kitchens and ample outdoor space, making them ideal for family trips.
3. Central Ankeny
- Appeal: Centrally located homes, such as the "Vibrant 4 bedroom house 2 king beds in Ankeny," are close to everything, including downtown Des Moines, shopping, and restaurants. These homes often feature multiple living spaces, pool tables, and well-stocked kitchens, making them perfect for families and groups.
4. Ankeny’s Entertainment District (The District)
- Appeal: Homes near The District, like the "Cozy 5 bedroom home in Ankeny," are appealing due to their proximity to restaurants, entertainment, and amenities like DMACC and Hyvee grocery. These homes typically have large fenced backyards and are stocked with essentials, making them family-friendly.
5. South Central Ankeny
- Appeal: This area is known for its safe and quiet neighborhoods, with homes such as the "Newly Remodeled Home with Walk-In Shower." These homes are close to parks, the High Trestle Trail, and offer modern amenities like high-speed internet and PlayStation 4.
These neighborhoods are highly appealing to guests due to their combination of quiet residential settings, convenient access to amenities, and well-equipped homes that cater to various needs, whether for families, groups, or business travelers.
Creating an Inviting Airbnb in Ankeny, Iowa: Tips for Furnishing and Design
Embrace Local Architectural Styles
- Incorporate elements of Ankeny's predominant architectural styles, such as Arts & Crafts, Colonial Revival, Victorian, and European Romantic, into your design. For example, use broad open porches, low sloping roofs, and exposed structural elements like rafters and brackets for an Arts & Crafts feel.
Use Custom Color Schemes
- Adopt custom color combinations that align with the traditional styles of Ankeny. Consider using color palettes that are systematically designed to maintain the city's unique aesthetic, such as those inspired by the Arts & Crafts style.
Incorporate Natural Elements
- Since Ankeny emphasizes connection to the land, incorporate natural elements into your design. Use materials like wood, stone, and plants to bring a sense of the outdoors into your space.
Create a Walkable and Connected Feel
- Reflect Ankeny's walkable and connected community by designing spaces that encourage interaction. Use open layouts and comfortable seating areas to foster a sense of community among guests.
Add Local Touches
- Incorporate local artwork and decor to give your Airbnb a unique and authentic feel. This could include pieces that reflect Ankeny's history, culture, or natural surroundings.
Attention to Detail in Design
- Pay attention to design details such as fonts, legibility, and color philosophy to create a cohesive and visually appealing space. This can include creative solutions like custom illustrations or unique design elements that surprise and delight guests.
Mix Eclectic Design Elements
- Arts & Crafts homes in Ankeny are characterized by an eclectic mix of design elements. Apply this principle by combining different styles and textures to create a unique and inviting space.
Focus on Comfort and Functionality
- Ensure that your space is both comfortable and functional. Use high-quality furnishings and decor that not only look good but also serve a purpose, making the space feel welcoming and practical for guests.
Discover Ankeny, Iowa: Local Attractions and Insider Tips
Local Attractions
Uptown Ankeny
- Explore the historic Uptown Ankeny district, known for its walkable Main Street vibe.
- Visit the Ankeny Farmers Market every Saturday from May to September.
- Shop at unique boutiques like Real Deals, Paisley Pineapple Children’s Boutique, and more.
- Enjoy dining at Leaning Tower of Pizza, Trailside Tap, and Porchlight Coffeehouse.
The District at Prairie Trail
- This entertainment oasis offers chic boutiques, buzzy bistros, and a movie theater.
- Check out popular eateries like Cinnaholic and Whiskey River.
- Enjoy the green spaces, bowling alley, arcade, and the trendy event space, Toast.
Outdoor Activities
- High Trestle Trail: A 25-mile trail between Ankeny and Woodward, featuring a stunning 130-foot high bridge over the Des Moines River Valley.
- Prairie Ridge Sports Complex: A 200-acre park with sports fields, a fishing pond, playground, and more.
- Otter Creek Golf Course: A picturesque golf course designed by Paul Miller.
- Ankeny Miracle Park: An all-inclusive playground designed for special needs youth.
Arts and Culture
- Ankeny Art Center: A museum showcasing local and emerging artists, with an annual Art Supply Garage Sale and Arts Festival.
- AR Workshop: Offers DIY workshops for activities like jewelry making, candle making, and more.
- Ankeny Community Chorus, Ankeny Community Theatre, and Ankeny Area Historical Society: Engage with local arts and historical groups.
Family Fun
- Urban Air Trampoline Park: Features trampolines, an elevated ropes course, skyglider zipline, climbing walls, and more.
- B&B Theatres Ankeny 12 & B-Roll Bowling: Catch the Summer Kids Series and enjoy bowling and arcade games.
Insider Tips
Events
- Ankeny SummerFest: A mid-July festival at The District at Prairie Trail with live music, activities, and fireworks.
- Beats & Eats: Thursday evening events at the Ankeny Market Pavilion with live music and food trucks.
- Pizza Fest: An annual festival in June celebrating pizza.
- Ankeny All-City Play Day: A free event with activities like bike rodeos, foam parties, and face painting.
Dining and Nightlife
- Firetrucker Brewery: Known for its patio and events like the 5K Beer Run.
- Jethro’s BBQ ‘N Lakehouse and Flavory Bistro: Local favorites for a delicious meal.
- Sweet Swirls Rolled Ice Cream: A unique dessert spot.
Shopping
- Delaware Avenue: Find shops, retail spaces, and restaurants, including Brown Dog Bakery and Fiscus Diamond Jewelers.
- Costco Ankeny: Conveniently located near other shopping areas.
Transportation
- Park and Ride: Use the Des Moines Area Regional Transportation (DART) service for convenient travel to Des Moines or Ames.
- Local Airport and Des Moines International Airport: Easy access to flights.
By sharing these attractions and tips, your guests will have a comprehensive guide to enjoying all that Ankeny, Iowa has to offer.
Practical Tips to Run a Successful Short-Term Rental Business in Ankeny, Iowa
To ensure a smooth and profitable short-term rental business in Ankeny, Iowa, several practical tips can be implemented:
Noise Regulations and Quiet Hours
Inform your guests about noise regulations and quiet hours to maintain a peaceful environment and comply with local noise and nuisance ordinances. Clearly communicate these rules in your listing and provide a reminder in the house manual to avoid any potential issues.
Digital and Physical House Manual
Create a comprehensive digital and physical house manual that includes essential instructions, Wi-Fi passwords, and other important details. This manual should cover everything from how to use appliances to emergency contact information, ensuring guests have all the information they need at their fingertips.
Simplified Check-in Process
Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide guests with detailed instructions on how to access the property, along with photos of the lock and any other relevant entry points. This not only enhances convenience but also reduces the likelihood of check-in issues.
Parking Instructions with Photos
Include clear parking instructions in your house manual, accompanied by photos to help guests identify the designated parking areas. This helps prevent confusion and ensures that guests park in the correct spots, avoiding potential fines or disputes with neighbors.
By implementing these strategies, you can enhance the guest experience, reduce potential issues, and maintain a positive reputation for your short-term rental property in Ankeny, Iowa.
Here is a brief list of house cleaning services providers in Ankeny, Iowa:
House Cleaning Services in Ankeny, IA
phClean
- Offers recurring and deep house cleaning services.
- Customizable plans, 24-hour satisfaction guarantee, and modern equipment.
- Serves Ankeny, Ames, Des Moines, and surrounding areas.
Molly Maid of Ankeny
- Provides customized cleaning plans with no contracts.
- Offers one-time, weekly, bi-weekly, and monthly cleaning services.
- Specializes in home cleaning, move-out cleaning, and sanitizing high-touch areas.
MaidPro
- Offers weekly, bi-weekly, or one-time house cleaning services.
- Customizable maid service plans tailored to individual needs.
For additional options, you can also refer to local listings on platforms like Care.com, which lists multiple affordable house cleaning services in Ankeny, IA.
Ankeny, Iowa Short-Term Rental Management Fees: A Comprehensive Guide
In Ankeny, Iowa, the fees for managing short-term rentals can vary significantly, typically ranging from 10% to 30% of the rental revenue, depending on the level of service provided. Full-service management, which includes guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum. For instance, companies like GoSummer charge around 20% of the booking revenue, excluding cleaning fees, for their comprehensive services such as dynamic pricing, daily property reviews, and guest management.
On the other hand, basic services that may only include rent collection, tenant screening, and minimal maintenance support could be less expensive. Additional fees may also apply for services like cleaning, repairs, or property design and preparation. These extra costs can include consumables fees, as seen with GoSummer's $25 per reservation fee for items like linens and toiletries.
Overall, the choice of management service level and associated fees depends on the property owner's specific needs and the level of involvement they wish to maintain in the rental process.