Minnesota’s blend of bustling urban centers, sprawling lakes, and pristine wilderness makes it a diverse draw for short-term rental visitors. Whether you’re hosting in the heart of Minneapolis, along the scenic North Shore of Lake Superior, or near popular resort areas like Brainerd Lakes, having the right property manager is key to maximizing returns. Below, we highlight five top management companies, discuss local regulations, and share tips for running a successful Airbnb in the Land of 10,000 Lakes.
Best Airbnb Management Companies in Minnesota
- Awning – Best Overall Airbnb Manager
- RedAwning – Best Half-Service Airbnb Management Solution
- AvantStay – Best Luxury Short-Term Rental Management Company
- Minnestay – Best For Local Presence
- Sonder – Best for Apartment Properties
These companies offer a range of services, from full-service property management to marketing and booking optimization, catering to various property owner needs.
City-Specific Airbnb Management in Minnesota
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Selecting the Best Minnesota Airbnb Property Manager
When deciding on a management partner:
- Local vs. Broader Reach: Companies like Minnestay specialize in the Twin Cities and immediate surrounds, while Awning handles statewide and beyond. Assess who best understands your property’s location and unique market.
- Services & Fees: Full-service options (Awning, AvantStay) can be more hands-off but cost more. Half-service (RedAwning) suits those who want more direct involvement.
- Property Type: Luxury lakeside homes may align with AvantStay’s premium approach, while urban apartments in downtown Minneapolis may benefit from Sonder’s standardized model.
For property owners looking for passive income, working with an experienced management team can significantly enhance profitability.
Minnesota Airbnb Regulations & Legal Considerations
Rules vary by city and county, but here are common factors:
- Short-Term Rental Registration: Minneapolis, for example, requires short-term rental platforms and operators to register, and imposes occupancy limits. St. Paul may have separate rules or caps on STR licenses.
- Taxes: Minnesota’s statewide sales tax is 6.875%, plus local option taxes that may push total lodging tax to 10% or higher. Airbnb and Vrbo often collect these automatically.
- Zoning & HOA Restrictions: Homeowners associations or certain neighborhoods might restrict short-term rentals entirely or require minimum stays. Confirm local laws before listing.
- Insurance & Safety: Provide proper smoke/CO detectors, fire extinguishers, and consider a short-term rental insurance policy to protect against liability.
- Enforcement & Penalties: Non-compliance can lead to fines, forced listing removals, or legal challenges. Stay informed of local council decisions that could affect STRs.
Failing to comply with these regulations can result in fines or even a suspension of rental operations. It’s essential to stay informed about legal requirements in your specific location.
Maximizing Your Airbnb Investment in Minnesota
1. Seasonal Pricing & Events
- Peak Summer: Cabins in lake regions (Brainerd, Alexandria) can see occupancy surge from Memorial Day through Labor Day.
- Winter Draws: Duluth and North Shore for winter festivals, Twin Cities for business/cultural events, or ice fishing in Central Minnesota.
- High-Profile Events: Large sports events or conventions in Minneapolis/St. Paul can drive up nightly rates.
2. Offer Amenities That Cater to Minnesota Travelers
- Lakefront Lodgings: Kayaks, paddleboards, docks, or fish cleaning stations.
- Urban Rentals: Modern décor, workspace for professionals, and proximity to public transit.
- Year-Round Comfort: Cozy fireplaces, well-insulated properties, and hot tubs can appeal in colder months.
3. Market on Multiple Channels
- Major OTAs: Airbnb, Vrbo, Booking.com.
- Local Tourism: Partner with Explore Minnesota or city-level tourism boards, especially for regional or seasonal promotions.
4. Enhance Guest Experience
- Personal Touches: Welcome baskets featuring local products (craft beers, honey, wild rice) or area guides for top restaurants.
- Responsive Hosting: Quick communication about check-in, local events, or weather updates.
- Cleanliness & Maintenance: Regular inspections, professional cleaning, and timely repairs ensure high ratings.
5. Stay Current with Regulations
- Check City Updates: Changes in Minneapolis or Duluth STR rules can happen. Keep an eye on relevant city council meetings.
- Monitor Lodging Taxes: If local taxes shift, adjust pricing to maintain margins.
Final Thoughts
From the vibrant Twin Cities to the idyllic lakes and forested stretches of northern Minnesota, the state offers an array of profitable short-term rental opportunities. Success depends on complying with local regulations, tailoring amenities to seasonal demand, and providing memorable guest experiences.
By partnering with the right property management company—Awning for a turnkey solution, RedAwning for partial services, AvantStay for upscale homes, Minnestay for deep local expertise, or Sonder for apartment-focused rentals—you’ll be equipped to optimize revenue and streamline operations. With careful planning, effective marketing, and consistent hospitality, your Minnesota Airbnb investment can thrive all year round.