Airbnb & VRBO Performance in Oakland California.

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Oakland, California: Airbnb & VRBO Vacation Rental Market Overview

Despite regulatory constraints, Oakland's short-term rental market remains robust, with an average 52% occupancy rate and a monthly revenue of $11,220 per listing, indicating a strong and stable demand for short-term accommodations.

Market overview

Thriving Short-Term Rental Market in Oakland, California

Oakland, California, is experiencing a robust short-term rental market, driven by high demand from tourists and business travelers. According to recent data, short-term rentals in Oakland boast an average occupancy rate of 52%, indicating a strong and consistent demand for these accommodations. The average daily rate for these rentals stands at $167, contributing to a healthy monthly revenue of $11,220. This performance highlights the economic viability and popularity of short-term rentals in the city, making Oakland an attractive destination for both hosts and guests alike.

Short Term Regulations

Short-Term Rental Regulations in Oakland, California for 2024

Registration and Permitting

  • Hosts must register their properties with the city to ensure compliance with local regulations. This includes providing the property address, assessor’s parcel number, rental unit details, and proof of liability insurance.
  • A registration fee of $500.00 is required, with an annual renewal fee of $250.00. Additional fees apply for inspections and changes to the registration.

Minimum Stay Requirements

  • Rentals of single-family homes, duplexes, apartments, condos, live/work units, or rooms are prohibited for periods of less than 30 consecutive days. This is defined as "Transient Habitation" and is generally not allowed in most residential and commercial zones.

Primary Residence and Owner-Occupancy

  • Short-term rental operations are restricted to a host's primary residence. Hosts must live in their primary residence for a minimum number of days annually to discourage commercial short-term rental operations.

Maximum Rental Duration

  • The maximum allowable rental duration for entire homes is typically limited to 90 days per year to prevent long-term housing shortages.

Zoning and Land Use Restrictions

  • Short-term rentals are subject to specific zoning regulations. Most residential and commercial zones do not allow transient habitation, except in designated areas such as downtown, the waterfront, near the airport, along the I-880 freeway, and in Specific Plan areas.

Safety and Health Standards

  • Hosts must meet safety and health standards, including providing smoke detectors, fire extinguishers, and maintaining clean and safe living conditions for guests.

Transient Occupancy Tax (TOT)

  • Hosts are responsible for collecting and remitting the Transient Occupancy Tax (TOT) to the city.

Good Neighbor Policy

  • Short-term rental hosts are expected to uphold a "Good Neighbor Policy" that includes guidelines on noise, parking, and overall respect for the surrounding community.

Penalties for Non-Compliance

  • Non-compliance with these regulations may result in significant fines. For example, a fine of up to $20,000 can be imposed for a first offense of renting a property for less than thirty days without proper authorization.

Business Tax Certificate

  • Hosts must obtain a business tax certificate from the City of Oakland's Revenue Division, acknowledging that they are operating a business within the city.
Neighborhood Performance

High-Revenue Neighborhoods for Airbnb in Oakland, California

1. Grand Lake

  • Average Daily Rate (ADR): $262.5
  • Occupancy Rate: 53% (peaking at 65% in August)
  • Average Annual Revenue: $50.7K
  • Grand Lake is appealing due to its vibrant community, picturesque setting, and strong demand, especially during the summer months. The neighborhood's proximity to various attractions and its high occupancy rates make it a lucrative option for Airbnb hosts.

2. Rockridge

  • Occupancy Rate: 63% (spiking to 78% in March)
  • Average Annual Revenue: $42.1K
  • Maximum Monthly Revenue: Up to $3,600 in May
  • Rockridge attracts guests with its charming streets, gourmet dining, upscale shopping, and a blend of suburban tranquility and urban accessibility. The neighborhood's high occupancy rates and significant revenue potential, particularly in the spring and early summer, make it highly desirable.

3. Fruitvale

  • Occupancy Rate: 60% (peaking in May)
  • Average Annual Revenue: $34.1K
  • Maximum Monthly Revenue: $2,500 in July
  • Fruitvale is known for its vibrant Latino culture, authentic eateries, cultural festivals, and bustling markets. Its accessibility to public transit and proximity to downtown Oakland add to its appeal, making it a convenient and culturally rich base for guests.

4. Lake Merritt

  • While specific financial metrics are not provided, Lake Merritt is a top demand area due to its scenic beauty and central location. It offers a mix of urban and natural attractions, making it a popular choice for guests looking to explore Oakland's diverse landscape.

5. Jack London Square

  • Similar to Lake Merritt, Jack London Square is highlighted for its high demand due to its vibrant waterfront area, dining options, and entertainment venues. Its proximity to San Francisco and Oakland's other attractions makes it an attractive location for Airbnb guests.

These neighborhoods are highly appealing to guests due to their unique cultural offerings, scenic beauty, and convenient access to Oakland's and the broader Bay Area's attractions. Each neighborhood provides a distinct experience, from the vibrant community of Grand Lake to the cultural richness of Fruitvale and the upscale amenities of Rockridge.

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Design Tips

Tips for Furnishing and Designing an Inviting Airbnb in Oakland, California

General Tips

  • Choose Timeless and Durable Pieces: Opt for furniture that is sturdy, easy to clean, and maintains its quality over time. Consider memory foam mattresses and sofas with washable covers.

  • Stick to a Theme: Select a theme that reflects Oakland's unique style, such as incorporating local artwork or using colors and decor that resonate with the city's vibe. Ensure consistency in your design elements.

  • Utilize Smart Storage: Use beds with drawers, wall hooks, pegboards, and stackable containers to maximize space and keep the area tidy. Provide designated spots for guests' personal items.

  • Select Space-Saving Furniture: Choose multi-purpose furnishings like sofa beds, folding tables, or ottomans with hidden storage to optimize the use of space.

Room-Specific Tips

Bedrooms

  • Sturdy Bed Frame and Comfortable Mattress: Ensure the bed is easy to clean and opt for a mattress that is at least 8 inches thick. Use a mattress cover and protective pillow covers.
  • Window Coverings and Privacy: Provide window coverings that offer privacy and natural light. Include two sets of quality sheets, extra blankets, and a nightstand with a bedside lamp.

Living Room

  • Comfortable Seating: Choose a sofa or sectional that can accommodate the number of guests you are advertising. Opt for durable, easy-to-clean materials and avoid real or faux leather.
  • Additional Comforts: Include extra throw blankets, window coverings, throw pillows, and a coffee table. Add a TV, lamp, and tray tables if necessary. Provide a basket with games, magazines, or other leisure activities.

Dining Area

  • Durable Dining Table: Select a dining table that is tough and resistant to wear and tear. It can be dressed up with a tablecloth, runner, and decorative items like vases or candles.
  • Sturdy and Lightweight Chairs: Choose chairs that are sturdy yet lightweight and easy to move around. Darker chairs can hide stains better.

Kitchen

  • Essential Appliances: Equip the kitchen with essentials like a coffee maker, microwave, toaster, and kettle. Ensure the kitchen is well-organized with labeled cabinets and an organized supply cabinet.

Bathrooms

  • High-Quality Towels and Toiletries: Provide high-quality, durable towels in neutral colors that can be bleached. Include basic toiletries, a hairdryer, and a first-aid kit. Ensure there is enough storage for guests' personal items.

Design and Aesthetic Tips

  • Use Mirrors: Mirrors can make the space feel bigger and brighter. Place a full-length mirror in the bedroom and consider mirrors with stylish frames.

  • Neutral Color Palette: Start with a clean color palette using neutral walls such as white, soft taupes, or greys. This allows for flexibility in furnishings and decor.

  • Wall Decor: Use wall decor sparingly, focusing on items that are useful like mirrors, maps of the area, or framed photos of the local landscape.

  • Lighting: Provide multiple sources of lighting including overhead lights, table lamps, wall sconces, and floor lamps to create a cozy atmosphere. Ensure lit entryways for guests arriving after dark.

  • Accessibility: Consider making your Airbnb accessible to guests with disabilities by adding features like ramps, wide doorways, and grab bars in bathrooms.

  • Local Touches: Incorporate local elements such as artwork, plants, or decor that reflect Oakland's unique culture and style to make the space feel more inviting and authentic.

Insider Tips

Exploring Oakland, California: Top Attractions and Insider Tips

Top Attractions in Oakland

Cultural and Historical Sites

  • Oakland Museum of California: Features exhibits on California's natural sciences, art, and history, including a special focus on Oakland's community and social justice movements.
  • African American Museum and Library at Oakland: Located in a 1902 Carnegie building, offering a rich collection of African American history and culture.
  • Preservation Park: A gated area preserving 16 Victorian structures, providing a glimpse into the late 1800s.

Outdoor and Family-Friendly Attractions

  • Lake Merritt: A popular spot for walking, jogging, and picnicking, with a picturesque lake and surrounding park.
  • Children's Fairyland: An amusement park designed for children, featuring storybook-themed play areas, rides, and a mini railroad.
  • Oakland Zoo: Located in Knowland Park, home to over 850 native and exotic species, with a children's zoo and various educational areas.
  • Redwood Regional Park: Offers hiking trails and scenic views of redwood forests.

Neighborhoods and Shopping

  • Jack London Square: A waterfront area with a lively maritime atmosphere, trendy dining, and a picturesque waterfront trail.
  • Downtown Oakland: Known for its eclectic culture, architectural gems, and vibrant street life. Visit the Tribune Tower, Frank Ogawa Plaza, and explore the various shops and restaurants.
  • Rockridge and Temescal: Upscale neighborhoods with fine dining options, wine bars, and unique shopping experiences.

Science and Education

  • Chabot Space & Science Center: Includes a planetarium, observatory telescope, and exhibits on space science and astronomy.

Insider Tips for Guests

Getting Around

  • Stay near Lake Merritt: Many attractions are clustered around this area, saving time and energy on transportation.
  • Use Public Transportation or Rideshare: Convenient options include BART (12th Street/City Center stop) and rideshare services like Uber/Lyft.
  • Driving and Parking: Ensure you have a detailed map or GPS, and check parking availability in advance as it can be an issue in some areas.

Local Favorites

  • Everett and Jones: A famous soul food restaurant at Jack London Square, known for its authentic Southern-style barbecue and live music events.
  • Oaklandish: A local shop selling branded gear, with a portion of proceeds benefiting community projects.
  • Mockingbird and Roasted and Raw: Recommended restaurants in Downtown Oakland offering vibrant atmospheres and delicious food.

Events and Activities

  • Friday Nights at the Oakland Museum of California: Combine a museum visit with entertainment and community events from 5pm to 9pm.
  • Free Noontime Concerts: Held throughout the year in the City Center complex in Downtown Oakland.

Weather and Comfort

  • Pack Comfortable Shoes and Weather Gear: Oakland can be windy and rainy, so it's advisable to carry comfortable shoes and appropriate weather gear.

By providing these tips and recommendations, your guests will be well-equipped to enjoy the diverse and vibrant city of Oakland.

Practical Tips

Practical Tips to Run a Successful Short Term Rental Business in Oakland, California

To ensure a smooth and successful short-term rental business in Oakland, California, several practical tips can be implemented. First, it is crucial to adhere to noise regulations by informing guests about quiet hours through clear communication in the rental listing and a digital or physical house manual. This manual should also include essential instructions, Wi-Fi passwords, and other important details to make the guest's stay convenient.

A simplified check-in process can be achieved by utilizing smart locks, eliminating the need for physical key exchanges and allowing guests to enter the property independently. Additionally, providing detailed parking instructions accompanied by photos can help guests navigate any parking challenges, reducing potential issues.

Compliance with local regulations, such as registering the property with the city, collecting and remitting Transient Occupancy Tax (TOT), and adhering to owner-occupancy rules, is also vital to avoid penalties and ensure a positive experience for both hosts and guests. By following these tips, hosts can enhance guest satisfaction, maintain a good neighbor policy, and operate a successful and compliant short-term rental business in Oakland.

Local Vendors

Here is a brief list of house cleaning providers in Oakland, California:

House Cleaning Services in Oakland, CA

BA House Cleaning

  • Offers deep house cleaning services, including the "Top To Bottom Deluxe Cleaning" for one-time or initial cleanings.
  • Serves Oakland, Hayward, and the Bay Area.

BerryClean

  • Provides professional home and office cleaning services in Oakland, Fremont, and surrounding areas.
  • Covers areas such as Alameda, Berkeley, Moraga, Piedmont, Rockridge, and Montclair.
  • Known for reliability and thorough cleaning services.

Cleaning Glow

  • Offers various cleaning services including deep cleaning, move out cleaning, and office cleaning.
  • Ensures highly-qualified and trusted house cleaners through vetting and testing.
  • Includes additional tasks like cleaning inside the microwave and wiping towel racks in their basic cleaning package.
  • Serves the San Francisco Bay Area and surrounding areas.

Molly Maid

  • Provides customized cleaning plans with no contracts and a 24-hour warranty.
  • Serves Oakland, the Tri-Valley, and surrounding areas including Berkeley, San Leandro, Orinda, and Hayward.

These services focus primarily on house cleaning and do not offer repair or maintenance services. For repair or maintenance needs, you would need to look into separate providers.

Management fees

Oakland, California Short-Term Rental Management Fees: A Range of 10%-30% Depending on Service Level

In Oakland, California, the fees for managing short-term rentals, such as those on Airbnb, can vary significantly based on the level of service provided. Basic services, which might include listing creation and booking management, can start at around 10% of the rental revenue. However, full-service management, which encompasses a broader range of tasks including guest communication, marketing, price optimization, and maintenance, can range up to 30% of the rental revenue. Additional fees may also be incurred for services such as cleaning, repairs, and interior design. For instance, companies like MasterHost in Oakland charge between 10% to 15% per booking for their comprehensive services, which include Airbnb listing creation, guest vetting, and concierge services.

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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 Oakland should generate as a short term rental and look at the performance of properties around yours.

35,000+ Properties
Hosts stay with RedAwning
1,000,000,00 Nights Booked
RedAwing knows how to get bookings
50+ Top Booking Channels
More than any other platform available

Furnishing checklist

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

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 California