The short-term rental market in Round Rock, Texas, is thriving, with an average daily rate of $213, a peak occupancy rate of 68% in October, and an average annual revenue of $43.4K per listing, making it a highly favorable environment for Airbnb hosts.
Thriving Short-Term Rental Market in Round Rock, Texas
Round Rock, Texas, is experiencing a robust and lucrative short-term rental market, making it an attractive destination for both hosts and guests. The city boasts an average occupancy rate of 56%, with peak occupancy reaching 68% in October, indicating a high-demand season that hosts can capitalize on.
The average daily rate (ADR) in Round Rock stands at an impressive $213, with peak daily rates hitting $228 in April and $226 in July, driven by seasonal events and holidays. This strong financial performance, coupled with an average annual revenue of $43,400 per listing, highlights the market's potential for significant returns. With 455 active listings on Airbnb and a total of 776 vacation rentals across platforms, Round Rock presents a dynamic and promising environment for short-term rental businesses.
Short-Term Rental Regulations in Round Rock, Texas for 2024
Overview of Regulations
While Round Rock does not have specific restrictions on short-term rentals in its code of ordinances, there are several regulations and requirements that hosts must comply with.
Key Regulations
Permit Requirements
- Hosts must obtain a Temporary Use Permit (TUP) through the city's Planning and Development Services Department to use their property for short-term rentals in certain zoning districts.
Documentation
- A completed TUP application, a site plan, and a floor plan of the property must be submitted.
Taxes
- Hosts must collect and remit the city's Hotel Occupancy Tax (HOT) at a rate of 7% and the state's Sales and Use Tax (SUT) at a rate of 6.25%.
Insurance
- Proof of liability insurance is required as part of the TUP application process.
Safety and Noise Restrictions
- Hosts must adhere to safety and noise restrictions to ensure the well-being of guests and address community concerns.
Registration and Inspections
- Although not explicitly mentioned in the code, the city staff has recommended an ordinance that would require registration, inspections upon registration, and other specific regulations such as minimum and maximum stay allowances and caps on the number of STRs per street and neighborhood.
Contact Information
- Hosts must provide contact information to guests and respond promptly to any issues that arise.
Zoning Compliance
- Short-term rentals are allowed in owner-occupied homes, including single-family residences, but must comply with zoning laws and land use regulations.
Enforcement
- Round Rock strictly enforces its short-term rental regulations, and non-compliance can result in fines and penalties.
Top Neighborhoods for Airbnb Revenue in Round Rock, Texas
1. Downtown Round Rock
- Appeal: Centrally located, close to historic Downtown Round Rock, and within walking distance to amenities like Starbucks, 7-Eleven, and shopping centers. Guests appreciate the proximity to Round Rock Outlets, IKEA, and Kalahari Resort.
- Popular Listings: Properties like the "Blue Rock Studio | Private Entrance" and "Donut Disturb - Walkable to Downtown Round Rock" are highly rated for their convenient locations and modern amenities.
2. Neighborhoods near Kalahari Resort and Dell Diamond
- Appeal: These areas are highly sought after due to their short drive to attractions like Kalahari Indoor Water Park, Dell Diamond, and Round Rock Outlets. Homes here often feature updated appliances, comfortable bedding, and outdoor amenities like firepits and BBQ areas.
- Popular Listings: Homes such as "Parks | Kids | Fire Pit | 15 | Kalahari" and "Chic + Convenient Home - Minutes from Tech Hubs!" are favorites among families and groups.
3. Neighborhoods near Tech Hubs (Apple, Dell, Samsung)
- Appeal: These neighborhoods are attractive to business travelers and families alike due to their proximity to major tech companies and various parks. The area offers a mix of stylish homes with bespoke designs and well-equipped kitchens.
- Popular Listings: Properties like "Chic + Convenient Home - Minutes from Tech Hubs!" and "Casa En La Roca" are highly rated for their modern design and convenient locations.
4. Neighborhoods near Old Settlers Park
- Appeal: Guests enjoy the proximity to Old Settlers Park, which offers jogging trails and other outdoor activities. Homes in this area are often updated with new appliances and feature spacious backyards and game rooms.
- Popular Listings: Homes such as "Round Rock Retreat" with its pool, big yard, and great location, and "Cheerful 3 Bedroom House near Austin" with its enclosed deck and fresh air, are popular choices.
5. Neighborhoods near I-35 and Major Freeways
- Appeal: These neighborhoods are appealing due to their easy accessibility to major freeways, making it convenient for guests to explore Central Texas, including Downtown Austin. Homes here often feature comfortable living areas, free WiFi, and ample parking.
- Popular Listings: Properties like the "Cheerful 3 Bedroom House near Austin" and "Hillside Hideaway on 2 Private Acres" are favored for their quiet neighborhoods and easy access to major roads.
These neighborhoods are highly appealing due to their central locations, proximity to key attractions, and the variety of modern and well-equipped homes available.
Tips for Furnishing and Designing an Inviting Airbnb in Round Rock, Texas
Reflecting Round Rock’s Heritage and Culture
- Local Art and Decor: Decorate your space with works from local artists, photographs of iconic landmarks like the Round Rock itself, or themes that celebrate Texas’s history and heritage.
Creating a Welcoming Space
- Comfort and Convenience:
- Ensure your space is equipped with essential comforts such as quality bedding, a well-stocked kitchen, and basic toiletries.
- Add extras like a coffee maker with local coffee, a selection of teas, and comfortable lounging areas.
Furniture Selection
- Sturdy and High-Quality Items: Avoid cheap furniture; opt for solid wood over particle board and ensure dressers have easy-to-open drawers.
- Easy to Clean: Choose furniture that is easy to clean. For fabrics, use ScotchGuard and consider leather or wooden items instead of fabric.
Functional and Useful Items
- Purposeful Furniture: Ensure each piece of furniture serves a purpose and is useful. Avoid unnecessary decor and furniture that could be a safety hazard.
- Optimize Space: Select furniture that fills the room appropriately. For example, use taller pieces in rooms with high ceilings and mirrors to create extra space.
Customized Amenities
- Family-Friendly Amenities: Equip your Airbnb with family-friendly amenities such as games, a small library of books, child safety features, and a guide to family-friendly activities in Round Rock.
- Workspace for Business Travelers: Provide a dedicated workspace, high-speed internet, and essential office supplies to cater to business travelers.
Outdoor Spaces
- Well-Maintained Outdoor Areas: Utilize Round Rock’s pleasant climate by including a well-maintained garden, patio, or a small barbecue area.
Personalized Touches
- Personalized Welcome: Create a personalized welcome note, offer a small gift like a locally made snack, or provide a souvenir to make guests feel special.
- Customized Guidebooks: Develop guidebooks that include local attractions, hidden gems, and personal recommendations for local eateries, shops, and events.
Seasonal and Weekend Adjustments
- Seasonal Customizations: Capitalize on higher demand in April, July, and October by customizing your offerings and improving availability.
- Weekend Promotions: Target weekend travelers with special promotions or packages to leverage higher weekend RevPAR.
Attention to Detail
- Safety and Security: Mount TVs and secure large mirrors to the wall to ensure safety and a cleaner look.
- Local Partnerships: Consider local partnerships and understand legal and financial considerations to enhance your Airbnb’s potential.
Discover Round Rock, Texas: Local Attractions and Insider Tips
Must-Visit Attractions
Water Parks and Fun
- Kalahari Resorts & Conventions: Home to America’s largest indoor waterpark, featuring a wave pool, lazy river, water slides, and an adults-only swim-up bar. Don't miss the on-site resort and Tom Foolerys indoor adventure park with thrill rides, escape rooms, and an indoor zip line.
- Rock’N River Water Park: Located in Old Settlers Park, this outdoor water park offers a lazy river, slides, water playgrounds, and a rock-climbing wall. Perfect for a family-friendly day out during the summer months.
Parks and Outdoor Activities
- Veterans Park: Includes a monument to veterans, a fishing pier, shaded basketball court, grills, and a playground. Ideal for a family picnic or outdoor activities.
- Brushy Creek Lake Park: Features hiking and biking trails, nature trails, a lake, water playscape, and a canoe launch. Great for nature lovers and those seeking outdoor adventures.
- Chisholm Trail Crossing Park: Explore the sculpture exhibit and learn about the history of the Chisholm Trail. Also, visit the nearby Round Rock at Brushy Creek to see the historic rock that the city is named after.
Family-Friendly Activities
- Play for All Abilities Park: A unique park with a mini town, playground sets, and a mini racetrack. Perfect for families with children of all abilities.
- Old Settlers Park: Spanning 645 acres, this park includes baseball fields, tennis courts, soccer fields, trails, and a small lake for fishing. It also houses the Rock’N River Water Park.
Cultural and Historical Sites
- Centennial Plaza: An outdoor performing arts venue with concerts, sculptures, a bat observation overlook, and an amphitheater. Check out the special events hosted here throughout the year.
- Chisholm Trail Area: Learn about the history of the Chisholm Trail and its significance in Round Rock’s past.
Dining and Shopping
- Round Rock Donuts: Famous for its Texas-sized donuts, this institution is a must-visit for any sweet tooth. Open since 1926, it's a local favorite.
- Downtown Round Rock: Explore the charming shops, unique dining experiences, and vibrant local culture. Don’t miss the historic Koughan Memorial Water Tower Park.
Insider Tips
Best Times to Visit
- Water Parks: Rock’N River Water Park is open from early June through late August, with limited hours in early September. Kalahari Resorts is open year-round.
Special Events
- Centennial Plaza: Check the schedule for concerts and special events throughout the year.
Local Favorites
- Groupon Deals: Look for discounts on activities and attractions in Round Rock to make the most of your visit.
Outdoor Activities
- Fishing and Boating: Brushy Creek Lake Park and Veterans Park offer great spots for fishing and boating. Don’t forget to bring your gear.
Family Fun
- Play Street Museum: A great place for younger children to engage in interactive play and learning activities.
By sharing these attractions and insider tips with your guests, you can help them make the most of their visit to Round Rock, Texas.
Practical Tips to Run a Successful Short Term Rental Business in Round Rock, Texas
To ensure a smooth and profitable short-term rental business in Round Rock, Texas, several practical tips can be implemented. First, it is crucial to adhere to the city's noise regulations by informing guests about quiet hours through clear communication in both digital and physical house manuals. These manuals should also include essential instructions, Wi-Fi passwords, and other pertinent information to enhance guest convenience and satisfaction.
A simplified check-in process can be achieved by utilizing smart locks, eliminating the need for physical key exchanges and reducing the likelihood of lost keys. Additionally, providing detailed parking instructions accompanied by photos can help guests navigate the property easily, reducing potential issues and complaints.
By focusing on these aspects, hosts can create a welcoming and well-organized environment that meets the city's regulations and exceeds guest expectations, ultimately leading to positive reviews and higher occupancy rates. Ensuring compliance with local regulations, such as obtaining the necessary Temporary Use Permit (TUP) and paying applicable taxes like the Hotel Occupancy Tax (HOT) and Sales and Use Tax (SUT), is also vital for the long-term success of the business.
Here is a brief list of house cleaning providers in Round Rock, Texas:
House Cleaning Providers in Round Rock, Texas
Sparkly Maid Austin
- Offers top-quality house cleaning, deep cleaning, apartment cleaning, Airbnb cleaning, and post-construction cleaning services.
- Uses eco-friendly products, provides a 100% satisfaction guarantee, and is bonded and insured.
The Cleaning Authority of Round Rock
- Provides detailed cleaning services using their Detail-Clean Rotation System.
- Serves Round Rock, Georgetown, Pflugerville, and surrounding areas.
- Offers a 100% satisfaction guarantee and uses environmentally responsible cleaning products.
Merry Maids of North Austin
- Offers professional maid services, including one-time deep cleans and regular maid services.
- Serves Round Rock, Pflugerville, Georgetown, and the North Austin area.
- Provides meticulous cleaning processes and thorough techniques.
Two Maids
- Provides experienced house cleaners who undergo thorough training and background checks.
- Fully bonded and insured, with a proven history of over 15 years in the industry.
- Offers customizable cleaning services and supplies all necessary cleaning equipment.
Short-Term Rental Management Fees in Round Rock, Texas: A Guide to Service Levels and Costs
In Round Rock, Texas, the management fees for short-term rentals, such as those listed on Airbnb and VRBO, can vary significantly depending on the level of service provided. Full-service management, which includes comprehensive services like guest communication, marketing, price optimization, and property maintenance, typically ranges from 12% to 15% of the rental revenue.
On the other hand, basic services that may only include listing creation, booking management, and minimal support can start as low as 10% per booking. Additional fees may apply for specific services such as cleaning, repairs, or interior design, further impacting the overall cost. It is crucial for property owners to evaluate the different service packages and fees to ensure they align with their needs and budget, maximizing their investment in the short-term rental market.