In Athens, Georgia, short-term rentals are thriving, with an average 44% occupancy rate, a daily rate of $380, and monthly revenue of $20,463, making it an attractive market for investors.
Thriving Short-Term Rental Market in Athens, Georgia
Athens, Georgia, is experiencing a robust short-term rental market, driven by its vibrant cultural scene and status as a college town. The city boasts an average occupancy rate of 44% for its short-term rentals, indicating a strong demand for these accommodations. The average daily rate stands at $380, contributing to a substantial monthly revenue of $20,463. With a diverse range of listings, including entire homes and private rooms, Athens offers attractive opportunities for investors and travelers alike. The city's unique blend of university events, cultural attractions, and a thriving music scene continues to make it an appealing destination, ensuring a healthy and profitable short-term rental market.
Short-Term Rental Regulations in Athens, Georgia for 2024
Definitions and Types of Short-Term Rentals
- Short-term rentals (STRs) are defined as accommodations for transient guests rented for less than 31 consecutive days, often advertised through platforms like Airbnb, VRBO, and others.
- STRs are categorized into two types: Home Occupation (owner-occupied) and Commercial (non-owner-occupied).
Zoning and Location Restrictions
- Commercial STRs (non-owner-occupied) are prohibited in single-family residential neighborhoods.
- Home Occupation STRs (owner-occupied) can operate in many areas of the county, including single-family residential zones, provided the owner lives on the premises.
Licensing and Registration
- All STR hosts must obtain a business license and register to pay the 7% Hotel Motel Tax.
- Hosts must also comply with the Georgia state sales tax and a $5 nightly fee, which must be collected and submitted to the Georgia Department of Revenue.
Operating Requirements
- STRs must comply with rules on parking, nuisances, allowed activities, and occupancy limits.
- Commercial STRs must provide contact information to neighbors within 300 feet of the property boundary and post safety and emergency contact information for guests.
Sunset Clause and Phase-Out
- Existing commercial STRs in residential zones have two years to cease operations or come into compliance with the new ordinance.
- Properties identified as legal non-conforming STRs can continue to operate for up to 24 months before they must comply with the new regulations.
Enforcement and Compliance
- A new STR coordinator position has been created within the ACC Code Enforcement division to track and enforce compliance with STR regulations.
- The county is contracting with Rentalscape to collect data on STRs to aid in enforcement.
Tax Compliance
- STR hosts are subject to state and local sales taxes and hotel-motel fees. Short-term rental marketplaces like Airbnb and VRBO are required to collect these taxes automatically.
- Hosts must register with the Georgia Department of Revenue and comply with local tax requirements.
Documentation and Application for Legal Non-Conforming Status
- Property owners must provide specific documentation, including affidavits, verified STR listings, receipts from rental payments, and evidence of renting for exchange of value, to be included on the Legal Non-Conforming STR List.
Change in Ownership
- A change in ownership of an STR will result in the loss of legal non-conforming status, requiring the STR to come into compliance with the STR ordinances to continue operating.
Top Neighborhoods for Airbnb Revenue in Athens, Georgia
1. Downtown Athens
- Appeal: Downtown Athens is highly sought after due to its central location, allowing guests to walk to numerous award-winning restaurants, the Georgia Theater, UGA Campus, The Classic Center, and Sanford Stadium. The proximity to key attractions and the vibrant nightlife make it an ideal spot for visitors.
2. Five Points
- Appeal: Five Points is a historic and centrally located neighborhood, known for its charm and walkability. Guests can easily access shops, restaurants, and UGA's campus. The neighborhood's quiet yet convenient location makes it a favorite among visitors, especially during game days and other university events.
3. Normaltown
- Appeal: Normaltown offers a mix of urban and residential living, with easy access to historic boulevards, restaurants, and the UGA campus. Its proximity to downtown Athens and the stadium, along with free curbside parking, makes it a popular choice for guests looking for a convenient and relaxed stay.
4. North Campus Area
- Appeal: The North Campus area is appealing due to its immediate proximity to UGA's famous Arch and the North Campus. Guests can walk to various campus landmarks, restaurants, and entertainment venues, making it perfect for those attending university events or exploring the campus.
5. Five Points Village Area
- Appeal: This area is known for its quaint charm, with attractions like the Avid Bookshop, Jittery Joe’s coffee shop, and several pubs and restaurants. The neighborhood's walkability and the presence of local amenities make it a desirable location for guests looking to experience the local culture.
These neighborhoods are highly rated and generate significant Airbnb revenue due to their prime locations, walkability, and proximity to key attractions in Athens, making them highly appealing to a wide range of guests.
Furnishing and Design Tips for an Inviting Airbnb in Athens, Georgia
1. Choose Functional and Durable Furniture
- Opt for furniture that is easy to clean and maintain. For example, consider sofas with washable covers and wooden chairs over upholstered ones.
- Select solid, sturdy pieces such as solid wood over particle board to ensure longevity.
2. Reflect Athens' Unique Style
- Incorporate elements that resonate with Athens' vibrant music scene, local culture, and historic landmarks. Consider rustic, modern, or eclectic designs that align with the city's aesthetic.
3. Utilize Smart Storage
- Invest in space-saving furniture like beds with drawers, wall hooks, and stackable containers to keep the space tidy and functional.
- Use cabinets and shelves to store essentials, ensuring guests have a designated spot for their personal items.
4. Optimize Layout for Natural Light and Space
- Measure your rooms carefully to ensure the best layout. Avoid blocking natural light sources and leave ample space for guests to move around.
- Use mirrors to make the space feel bigger and brighter.
5. Select Timeless and Neutral Colors
- Choose neutral colors for bedding, towels, and furniture to create a consistent and welcoming atmosphere. White or light-colored bedding can give a hotel-like feel and is easier to maintain.
- Avoid mixing different whites from various brands to ensure consistency.
6. Enhance with Local Touches
- Incorporate local elements such as artwork, decorative items, or furniture pieces that reflect the city's culture and history. This can include items related to the University of Georgia or the local music scene.
7. Ensure Safety and Accessibility
- Mount TVs and secure large mirrors to the wall for safety. Consider making your Airbnb accessible to guests with disabilities by including features like ramps, wide doorways, and grab bars in bathrooms.
8. Provide Essential Amenities
- Equip your kitchen with essentials like a coffee maker, microwave, toaster, and kettle. Also, provide a hairdryer, basic toiletries, and a first-aid kit to enhance guest comfort.
9. Add Plants and Decorative Touches
- Use plants and decorative items to liven up the space. These can include items from local markets or stores that reflect the city's unique style.
10. Consider Off-Season Updates
- Plan furniture updates during the off-season or short gaps between bookings to minimize disruption and keep your place in top shape for guests.
Practical Tips to Run a Successful Short Term Rental Business in Athens, Georgia
To run a successful short term rental business in Athens, Georgia, several practical tips can help you navigate the local regulations and enhance the guest experience.
Noise Regulations and Guest Communication
Ensure compliance with Athens-Clarke County's noise regulations by informing guests about quiet hours. Include this information in both digital and physical house manuals to avoid any misunderstandings. Clear communication can help mitigate noise complaints from neighbors, which have been a significant issue in the area.
Comprehensive House Manual
Create a detailed house manual that includes essential instructions, Wi-Fi passwords, and other important details. This manual should be both digital, accessible through a welcome message or a shared document, and physical, placed in a conspicuous location within the property. This helps guests quickly find the information they need, reducing the likelihood of issues and improving their overall stay.
Simplified Check-in Process
Utilize smart locks to streamline the check-in process. This eliminates the need for physical key exchanges and allows guests to enter the property at their convenience. Additionally, provide clear parking instructions accompanied by photos to avoid any confusion, especially in areas with limited parking options.
Additional Tips
- Ensure your property is zoned appropriately for short-term rentals and comply with all local regulations, including obtaining a business license and registering to pay the 7% Hotel Motel Tax.
- Implement strict house rules and require security deposits to manage potential property damage, especially during peak seasons like football games and festivals.
By following these tips, you can create a smooth and enjoyable experience for your guests while adhering to the local regulations in Athens, Georgia.
Here is a brief list of house cleaning providers in Athens, Georgia:
House Cleaning Services in Athens, GA
Two Maids
- Provides professional house cleaning services with experienced, trained, and background-checked cleaners.
- Fully bonded and insured, supplying all necessary cleaning supplies and equipment.
- Customizable services, including one-time deep cleans and recurring cleaning schedules.
Maid Teams
- Offers residential and commercial cleaning services since 1986.
- Customizable cleaning schedules and services, including deep cleaning of kitchens, bathrooms, and other areas.
- Bonded and insured, with a focus on customer satisfaction and detailed tasks upon request.
Molly Maid of Winder and Athens
- Provides custom cleaning services tailored to individual needs and preferences.
- Offers one-time, move-out, and recurring cleaning services with no contracts.
- Includes services such as floor cleaning, dusting, and washing/sanitizing of surfaces.
Merry Maids of Athens
- Offers expert cleaning services with 40 years of experience.
- Provides services to restore balance to your home and give you back your time.
- Customizable cleaning plans to meet specific needs.
Short-Term Rental Management Fees in Athens, Georgia: A Guide to Service Levels and Costs
In Athens, Georgia, managing short-term rentals, particularly through platforms like Airbnb, involves a range of fees that can vary significantly based on the level of service provided. Typically, management fees for short-term rentals in Athens range from 10% to 30% of the rental revenue. Full-service management, which includes comprehensive services such as guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum, often starting at around 15% to 25% of the rental income.
Basic or half-service management options, which may leave some tasks such as cleaning and guest communication to the property owner, can be less expensive, starting as low as 10%. Additionally, property owners may incur extra fees for services like cleaning, repairs, or professional design and furnishing of the rental property. Understanding these fee structures is crucial for property owners to maximize their rental income while ensuring their properties are well-managed and compliant with local regulations in Athens-Clarke County.