Should I airbnb Both Duplex Units or play it safe & airbnb just 1

[Daniel Crenshaw]

Okay BP friends. I'm pretty excited as I am currently under contract with my first deal being a converted 2 story home duplex. 

Ideally, I'd like to take advantage at Airbnb'ing both units, but I am wondering if I should play it safe and long term the top unit to ensure consistent income and Airbnb the bottom unit. The top unit alone will bring in income that will cover my operating expenses. 

Bottom unit is 3/2 and the top unit is a 3/1. My additional concern is that if I long term a tenant in the top, would the noise of a family scare off my Airbnb tenants below? 

Question is: To Airbnb both units or not to Airbnb both Units?

Please feel free to share your thoughts and ask questions:-)

[Natalie Schanne]

Daniel Crenshaw - Kathy Henley - I think your location and asset quality makes the decision. I have two suburban sfh properties encompassing 13 rooms. The more bedrooms you have, the more attractive the rent from furnished shared house rentals to professionals (1 per room) can be. I have one house near Washington DC with 6 bedrooms which is equivalent to your 3+3. I get $500-800 per month plus split monthly utilities (kept in my name) per furnished bedroom. The whole house would rent for maybe $2500 and Airbnb whole house rental would be infrequent at $100/night. When vacant, I offer each room on Airbnb at $30/night ($40 for the master bedroom with private bathroom) and on CL and facebook as shared housing. I have almost zero vacancy though. With Airbnb and shared rooms, my market won’t support security deposits and cleaning fees. (As in I get no reservations when I have them, so I eat the cost of cleaning and make almost no money for a 1 night stay which is a very frequent reservation request.) I get a 1 month security deposit easily from anyone signing a room lease. So overall, I net more money and have less hassles with short-long term leases with roommates for a room than with Airbnb customers with no security deposit unless they book for 3-4 months as some have done. All things equal, I use Airbnb as a tool to find roommates for my house because the returns are higher than renting the whole house to someone. ($4100 vs 2500). Try it. You’ll be astounded how quickly you rent it up by the room to single occupancy professionals. They save money vs a 1 bedroom apartment and get an inbuilt group of “friends”.