Airbnb & VRBO Performance in Hot Springs Arkansas.

Short-Term Rental Regulations in Hot Springs, Arkansas for 2024

Licensing and Registration

• Business License Requirement: Owners of short-term residential rental properties must obtain an annual business license. The application must include the owner's name, address, phone number, a list of all rental addresses owned in the city, and the contact details of a local person responsible for handling emergencies and complaints.
• Annual Fee: The initial application fee and subsequent annual business and occupation tax is $50 per bed within the property.

Caps and Limits

• Maximum Number of STRs: A cap of 700 short-term rentals is allowed within residential zones per calendar year.

Safety and Quality Standards

• Certificate of Occupancy (CO) Inspection: Required for new STR licenses or if the maximum occupancy has changed from what is listed on the STR license.
• Annual Inspections: Mandatory annual inspections to ensure compliance with safety and quality standards.

Local Management and Emergency Response

• Local Property Manager Requirement: STRs must have a local property manager on-call at all times, who can be on-site within 60 minutes to address issues.

Occupancy and Parking

• Maximum Occupancy: Limited to two occupants per bedroom, plus two additional occupants.
• Off-street Parking: Must be provided in accordance with city codes.

Compliance with City Codes

• Noise Regulations: STRs must comply with local noise regulations to prevent disturbances in neighborhoods.
• Solid Waste Ordinance: STRs must comply with the Hot Springs Solid Waste Ordinance.

Taxation

• Hotel, Motel, Restaurant (HMR) Tax: STR properties are subject to the local HMR tax. Owners must collect and remit this tax to the municipality, either through platforms like Airbnb and VRBO or personally if not using these platforms.

Transparency and Communication

• Contact Information and Local Information: Contracts for temporary tenancy must include comprehensive contact information. Rental sites must visibly post important local information for renters, such as regulatory guidelines, emergency contact numbers, and specific STR regulations.

Top Neighborhoods for Airbnb Revenue in Hot Springs, Arkansas

1. Downtown Hot Springs

Downtown Hot Springs is a highly appealing area for guests due to its proximity to historic Bathhouse Row, various restaurants, and the vibrant nightlife. Properties like Capone’s Loft and Miss Fancy (Ladies of the Court) offer unique, luxurious, and historic experiences that attract a wide range of travelers.

2. Lake Hamilton

Lake Hamilton is a favorite among guests seeking waterfront experiences. Rentals such as the Cozy Yurt in a quiet cove on Lake Hamilton, Lion House on Hamilton, and Heatherwood Lodge provide stunning lake views, private docks, hot tubs, and access to water activities like kayaking and paddleboarding. These amenities make it an ideal spot for both relaxation and outdoor adventures.

3. Northwoods/Park Avenue Neighborhood

Located near the Northwoods Trail and Cedar Creek Trail, this area is perfect for mountain bikers and hikers. Homes like the Northwoods Contemporary w/ POOL and HOT TUB and Downtown* Northwoods Getaway offer modern amenities, convenient access to trails, and a short walk to downtown shops and restaurants.

4. Lake Catherine/Diamond Head Community

This gated community offers a serene and secluded environment with access to amenities such as golf courses, pools, and tennis/basketball courts. The Hideaway - Your Perfect Getaway Vacation is a popular choice here, providing a lakeview home with a hot tub and easy access to Catherine State Park.

5. Historic Park Avenue Neighborhood

This neighborhood, known for its historic charm, is home to properties like the Bloom house, historic downtown. Guests appreciate the eclectic decor, local art, and the quiet, hilly streets that are just minutes away from bathhouse row, breweries, and dining spots.

These neighborhoods are appealing due to their unique blend of historical charm, modern amenities, and easy access to outdoor activities, making Hot Springs an attractive destination for a wide range of travelers.

Furnishing and Design Tips for an Airbnb in Hot Springs, Arkansas

To create an inviting and unique Airbnb space in Hot Springs, Arkansas, consider the following tips that reflect the city's rich history, artistic vibe, and natural beauty.

Embrace Local Art and Culture

• Incorporate local artwork and murals into your decor. Hot Springs is known for its vibrant arts scene, so featuring pieces from local galleries or artists can add a personal touch to your space.
• Use colorful displays and unique art pieces to mirror the city's artistic atmosphere.

Historic Charm and Architecture

• Draw inspiration from the historic bathhouses on Bathhouse Row. Incorporate elements like marble, stained glass, and ornate details to give your space a touch of the city's architectural heritage.
• Choose furniture with a classic, yet modern twist to blend seamlessly with the historic charm of Hot Springs.

Natural and Therapeutic Elements

• Highlight the natural beauty of Hot Springs by incorporating elements like natural stone, wood, and plants into your design.
• Consider adding a spa-like ambiance with features such as a soaking tub or a steam shower to reflect the city's reputation for therapeutic waters.

Unique and Eccentric Touches

• Hot Springs is known for its quirky and eclectic vibe. Add unique pieces such as vintage items, antique furniture, or quirky decor that reflect the city's eccentric personality.
• Incorporate local themes, such as the thermal springs or the city's historic significance, into your decor through accessories and wall art.

Comfort and Relaxation

• Ensure your space is comfortable and inviting by providing plush furnishings, cozy textiles, and amenities that promote relaxation, such as soft lighting and comfortable seating areas.
• Offer amenities like freshly brewed coffee or local teas to enhance the guest experience, similar to the cozy cafes found in downtown Hot Springs.

Blend Urban and Natural Landscapes

• Since Hot Springs combines urban and natural landscapes, balance your design by incorporating both modern city elements and natural touches. This could include urban-chic furniture paired with natural materials and plants.

Local Flavors and Aromas

• Enhance the guest experience by providing local specialties such as artisanal soaps, local coffee, or even a selection of beers from Superior Bathhouse Brewery, which uses thermal spring water.

By incorporating these elements, you can create an Airbnb space that not only reflects the unique style of Hot Springs, Arkansas, but also provides a memorable and inviting experience for your guests.

Practical Tips to Run a Successful Short-Term Rental Business in Hot Springs, Arkansas

To ensure a successful and compliant short-term rental business in Hot Springs, Arkansas, several practical tips can be implemented. First, it is crucial to inform guests about noise regulations and quiet hours to comply with city codes and maintain neighborhood harmony. This can be done through clear communication in the rental listing and a digital or physical house manual that includes instructions on noise levels and quiet hours.

Creating a comprehensive house manual is also essential. This manual should include detailed instructions on how to use appliances, Wi-Fi passwords, and other important information about the property. This helps in reducing the number of guest inquiries and ensures a smooth stay.

Simplifying the check-in process is another key aspect. Utilizing smart locks can eliminate the need for physical key exchanges, making the arrival process more convenient for guests. Additionally, providing parking instructions with photos can help guests navigate the property easily and avoid any potential issues.

By adhering to these tips, you can enhance the guest experience, reduce potential complaints, and ensure your short-term rental business operates in compliance with Hot Springs' regulations, particularly those related to noise and property maintenance.

Here is a brief list of house cleaning services in Hot Springs, Arkansas, based on the provided sources:

House Cleaning Services in Hot Springs, AR

Care.com Listings

• 14 affordable house cleaning services listed, with an average rate of $17/hr and an average experience of 3 years.

Angie's List

• Multiple house cleaners listed, with services including standard, deep, move-in/move-out, and emergency cleaning. Average cost ranges from $30 to $50 per hour.

Turno

• Offers professional cleaning services for properties such as STRs, homes, and offices.

Houzz

• A list of 45 house cleaners in Hot Springs, AR, with top-reviewed local house cleaning services.

Thumbtack

• A definitive list of the top 10 house cleaning services in Hot Springs, AR, rated by the local community.

Notes

• These services generally include vacuuming, dusting, disinfecting, and more, with varying costs based on the type and extent of cleaning required.
• Some services may also offer additional features such as background checks on employees, insurance, and guarantees.

Hot Springs, Arkansas: Understanding Short-Term Rental Management Fees

In Hot Springs, Arkansas, short-term rental management fees 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 comprehensive services such as guest communication, marketing, maintenance coordination, and reservation management, tends to be on the higher end of this spectrum, often around 20-30% of the nightly rent.

Basic services, which may include only essential management tasks like rent collection and bill payment, can be more affordable, sometimes as low as 10% of the monthly rent. Additionally, property owners may incur extra fees for services like cleaning, repairs, and design, which are usually billed separately and at the owner's expense. Understanding these fee structures is crucial for property owners to maximize their revenue and ensure compliance with local regulations.