Airbnb & VRBO Performance in Dover Delaware.

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Dover, Delaware: Airbnb & VRBO Vacation Rental Market Overview

In Dover, Delaware, the short-term rental market is navigating through evolving regulations, but it remains a viable and potentially lucrative option for hosts, with many areas allowing short-term rentals subject to obtaining necessary licenses and complying with local ordinances.

Market overview

Thriving Short-Term Rentals in Dover, Delaware: A Growing Market

Dover, Delaware, is witnessing a robust performance in its short-term rental market, despite the absence of a specific current ordinance directly addressing these properties. While the city is in the process of drafting stricter regulations, the existing landscape indicates a healthy demand. Although specific data on occupancy and average daily rates for Dover is not readily available, the overall trend in Delaware suggests a strong tourism sector. Short-term rentals, often defined as those offered for periods less than 30 days, are contributing significantly to the local economy, with many properties being utilized by travelers, medical students, and professionals. The proposed regulations aim to balance community needs with tourism benefits, ensuring that Dover remains an attractive destination for both residents and visitors.

Short Term Regulations

Short-Term Rental Regulations in Dover, Delaware for 2024

General Requirements and Restrictions

  • Residency Requirement: The owner of the property must be a resident of the City of Dover and can only offer their primary residence for short-term rental use.

Licensing and Inspections

  • Annual Short Term Rental Use License: The owner must obtain an annual license. An inspection by the City of Dover code enforcement office is required for the initial license and may be required at renewal.

Operational Limits

  • Rental Duration: Properties can be rented out for a maximum of 30 days per calendar year.

Occupancy and Guest Management

  • Maximum Occupancy: The number of guests cannot exceed double the number of available bedrooms in the property.
  • Guest Conduct: Owners must ensure that guests do not create public nuisances or engage in illegal activities.

Property Maintenance and Safety

  • Compliance with Codes: Properties must comply with all applicable property maintenance and safety codes, including fire safety laws and building codes.

Additional Regulations

  • Parking and Signage: The ordinance sets standards for parking, signage, special events, and information to be provided to guests.
  • Tax Compliance: Hosts must register with the Delaware Division of Revenue to collect and remit the 8% state accommodations tax and any local taxes.

Community Protection

  • Neighborhood Integrity: Regulations are designed to ensure that traditional neighborhoods are not turned into tourist areas and that individual dwellings are not used as pseudo hotels or party houses.
Neighborhood Performance

Top Neighborhoods for Airbnb Revenue in Dover, Delaware

1. Rehoboth Beach

  • Appeal: Rehoboth Beach is a highly sought-after destination due to its proximity to the beach, restaurants, shops, and various recreational activities. Properties like the "Classy Beach Getaway" are favored for their charm, cleanliness, and excellent host communication. The area also benefits from a convenient public transit system, making it easy for guests to explore.

2. West Cape May

  • Appeal: West Cape May is popular for its spacious homes that are ideal for group gatherings. Properties such as the "West Cape May Beach House" are praised for their beautiful settings and ample space for socializing. The area's close proximity to the beach and other local attractions adds to its appeal.

3. Wildwood Villas

  • Appeal: Wildwood Villas attract guests with their serene and convenient locations. The "Serene Beach Cottage" is a favorite, being just 1.5 blocks from the beach and close to stores. Repeat guests appreciate the consistent quality and comfort of these rentals.

4. North Cape May

  • Appeal: North Cape May is appealing due to its cozy homes and strategic location. The "Beach Life is the Sweet Life" cottage is highly rated for its comfort and proximity to key destinations like the ferry. It is also a favorite among families and those attending local events, such as USCG boot camp graduations.

5. Bethany Beach

  • Appeal: Bethany Beach offers family-friendly rentals that are well-maintained and conveniently located. Townhouses in this area are popular for their accessibility to beach activities and local amenities, making them a hit among families and groups.

These neighborhoods are particularly appealing due to their combination of location, cleanliness, and the quality of the rentals, along with the variety of amenities and activities available to guests.

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Design Tips

Furnishing and Design Tips for an Inviting Airbnb in Dover, Delaware

Understanding the Local Style

  • Dover, Delaware, blends a mix of historical charm and modern amenities. Reflect this by incorporating contemporary designs with rustic or historical elements.

Measuring and Layout

  • Measure your rooms carefully to ensure the best layout, avoiding blockage of natural light sources and providing ample space for movement.

Furniture Selection

  • Choose sturdy, easy-to-clean furniture. For example, opt for solid beds with storage, sofas with washable covers, and durable dining tables.
  • Consider space-saving furniture like sofa beds, folding tables, and ottomans with hidden storage to maximize functionality.

Comfort and Aesthetics

  • Use high-quality, durable towels in neutral colors that can be bleached for hygiene.
  • Provide essential amenities such as hairdryers, basic toiletries, and a first-aid kit.
  • Invest in comfortable, lightweight chairs that are sturdy enough to support various weights.

Kitchen Essentials

  • Equip your kitchen with modern appliances like coffee makers, microwaves, toasters, and kettles. Include basic cookware, utensils, and dinnerware. Additional items like blenders and sharp knives can enhance guest satisfaction.

Workspace and Connectivity

  • Ensure there is a sturdy desk and a comfortable chair for guests who need to work. Provide good lighting and easy access to power outlets. High-speed internet is crucial, and consider a Wi-Fi booster for larger spaces.

Safety and Accessibility

  • Install smoke detectors, carbon monoxide detectors, and a first aid kit. Consider making your Airbnb accessible to guests with disabilities by adding ramps, wide doorways, and grab bars in bathrooms.

Decor and Lighting

  • Use mirrors to make the space feel bigger and brighter. Choose mirrors with stylish frames for added style.
  • Integrate local artwork and decor that highlights Dover's unique culture to make the space more memorable for guests.

Storage and Organization

  • Implement smart storage solutions such as beds with drawers, wall hooks for coats, pegboards in the kitchen, and stackable containers. Provide a designated spot for guests' personal items, like a luggage rack.

Outdoor Features

  • If possible, include outdoor features like private gardens or BBQ areas to enhance guest experience, especially given Dover's pleasant climate.

Neighborhood Considerations

  • Furnishings should reflect the character of the neighborhood. For example, areas near historical sites might benefit from more rustic decor, while modern neighborhoods could feature contemporary designs.
Insider Tips
Practical Tips

Practical Tips to Run a Successful Short Term Rental Business in Dover, Delaware

To run a successful short-term rental business in Dover, Delaware, several practical tips can help you navigate local regulations and enhance the guest experience.

Noise Regulations and Guest Communication

Ensure you inform your guests about quiet hours and noise regulations to avoid any public nuisance issues, which are a key concern under Dover's short-term rental ordinance. Include clear guidelines on acceptable noise levels and quiet hours in both your digital and physical house manual.

Comprehensive House Manual

Create a detailed digital and physical house manual that includes essential instructions, such as Wi-Fi passwords, appliance usage, and emergency contact information. This manual will help guests navigate the property smoothly and reduce the need for frequent inquiries.

Simplified Check-in Process

Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide guests with a unique access code and detailed instructions on how to enter the property. This not only enhances convenience but also improves security.

Parking Instructions

Include parking instructions with photos in your house manual to help guests understand where and how to park. This is particularly important given the specific parking standards and potential restrictions outlined in Dover's short-term rental regulations.

By adhering to these tips, you can ensure compliance with local regulations, improve guest satisfaction, and maintain a positive reputation for your short-term rental business in Dover, Delaware.

Local Vendors

Here is a brief list of house cleaning providers in Dover, Delaware:

House Cleaning Providers in Dover, Delaware

The Cleaning Authority - Dover

  • Offers house cleaning services in Dover, Smyrna, Middletown, and surrounding areas.
  • Services include bathrooms, kitchens, living areas, and sleeping areas.
  • Uses a Detail-Clean Rotation System and eco-friendly cleaning products.

Maid For You

  • A female- and veteran-owned company providing residential and commercial cleaning services.
  • Offers various cleaning packages to meet different needs.

Shinosaur Cleaning

  • Provides deep cleans, recurring cleanings, move-in/move-out cleanings, and partial cleanings.
  • Uses eco-conscious cleaning products.

Merry Maids of Dover

  • Offers expert cleaning services with 40 years of experience.
  • Provides free estimates for their services.

For additional options, you can also refer to the list of 27 affordable house cleaning services in Dover, DE, available on Care.com.

Management fees

Dover, Delaware: Understanding Short-Term Rental Management Fees

In Dover, Delaware, managing a short-term rental property can involve a range of fees, 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 example, companies like GoSummer charge starting at 20% of the booking revenue, excluding cleaning fees, to handle comprehensive services such as housekeeping, routine maintenance, and amenity upkeep.

Basic services, which might only include listing and booking management, may incur lower fees. Additionally, hosts should be prepared for other potential costs, such as cleaning fees, repair expenses, and design or furnishing costs, which can be either included in the management fee or charged separately. Understanding these fees is crucial for hosts to manage their finances effectively and ensure compliance with local regulations, including the unique ordinances in Dover that govern short-term rentals.

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Why choose RedAwning

RedAwning is a tech leader in full-service short-term rental management, powered by our exclusive, unmatched tools.
Other property managers
Cost
Starting at 10%
25-40%
Guest communications
5-15 mins / 24 hours a day
1 hour+
Host communications
Dedicated phone and text line with no time on hold
Chat bots, hold lines and email threads
Insurance
Robust liability and dwelling coverage for every reservation
Spotty coverage with low claim approval rates
Contract
No cancellation fees
No contract lock-in
Just 90 days notice to cancel
Cancellation penalties
Number of Channels Your Listing is On
50+
2-4

Experience in numbers

Rest well knowing your property is managed by an experienced team powered by world-class technology.
+10-30%
in gross revenue
4.8 stars
guest rating
14+ years
managing STRs

Short Term Rental Calculator

Find out how much your property in Dover should generate as a short term rental and look at the performance of properties around yours.

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Furnishing checklist

This comprehensive checklist ensures that your rental is guest-ready with all the essentials to create a comfortable and memorable experience in Dover.

Living Room
Seating: Sofa, armchairs, and ottomans
Coffee Table
Entertainment: Smart TV (with streaming apps) and remote control
Decor: Area rug, wall art, plants, and throw pillows
Lighting: Floor lamp or table lamps
Charging Stations: Power strips or outlets with USB ports
Bedrooms
Beds: High-quality mattress with mattress protector
Linens: At least two sets of sheets per bed
Pillows: Hypoallergenic pillows (2-4 per bed)
Blankets: Extra throw blankets or quilts
Nightstands: With lamps or charging docks
Closet or Storage: Hangers, dresser, or luggage rack
Blackout Curtains or Shades
Bathrooms
Towels: Bath towels, hand towels, washcloths (2 sets per guest)
Shower Curtain & Liner
Toiletries: Shampoo, conditioner, body wash, hand soap
Bathroom Essentials: Toilet paper, tissues, trash bin
Hairdryer
Mirror: Full-length or wall mirror
Dining Area
Dining Table: Seating for the maximum number of guests
Place Settings: Placemats or tablecloths
Centerpiece: Vase with flowers or decorative piece
Kitchen
Appliances: Refrigerator, microwave, toaster, coffee maker, kettle
Cookware: Pots, pans, baking trays
Utensils: Forks, knives, spoons, spatulas, tongs
Dinnerware: Plates, bowls, glasses, mugs (2 sets per guest)
Cutting Board & Knives
Basic Spices & Condiments: Salt, pepper, oil
Cleaning Supplies: Sponge, dish soap, paper towels, trash bags
Outdoor Space (if applicable)
Seating: Outdoor chairs, benches, or lounges
Table: For outdoor dining or drinks
Lighting: String lights or outdoor lanterns
Grill: With necessary utensils and instructions
Outdoor Trash Bin
Extras to Elevate Guest Experience
Welcome Basket: Snacks, water bottles, or wine
Guidebook: Local recommendations and house rules
Board Games or Books: Entertainment for guests
Umbrella & Flashlight
Iron & Ironing Board
Laundry: Washer, dryer, and detergent (if available)
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⇤ Airbnb Statistics for Delaware