Kansas City Market Update | Short Term Rentals October 2020

[Sofia Sharkey]

I frequently get questions about how much revenue a short term rental (Airbnb) can produce. I’d like to share with you the average monthly booking revenue of our rentals to give you context about this market. We own and manage properties in the urban core of Kansas City, MO and suburbs of Kansas City, KS.

Primary factors that contribute to booking revenue:

1. # of Bedrooms/beds/bathrooms: How many guests can stay comfortably?
2. Location: What is the walkability to food, entertainment, or events? Short drive?
3. Interior design: Does the space have an appealing/tasteful design?
4. Quality of photography: Cell phone photos CAN work fine at first but schedule a professional photo shoot when you get the listing created.
5. Pricing: Is it priced competitively? Under-priced? Over-priced?
6. Management/Reviews: Good management of property and guest communication ensures great overall reviews and long term success.

Our portfolio:

1. Size: 1 bedroom to 3 bedrooms units.
2. Location: The majority of them are located within walking distance or short driving distance to shopping, dining, and entertainment.
3. Interior Design: We designed most of our units. Designs range and mix with rustic, farmhouse, boho, eclectic, art deco, industrial, contemporary, with sprinkles of mid-century and antique pieces.
4. Pricing: We are constantly analyzing the market and modifying to ensure maximum profitability.
5. Management/Reviews: We maintain Super Host status on Airbnb which helps listings rank in the top page of the search results.

Average October 2020 booking revenue:

**Booking revenue does not include the cleaning fee collected from the guest**

• 1 bedroom / 1 bathroom: $1932.54
• 2 bedrooms / 1 bathroom: $2809.64
• 3 bedroom / 2 bathroom: $4195.04

Context:

Type of guest: The typical traveler has been medical and business professional, families, weekend vacationers, and individuals visiting family members. There were no parties nor unwanted guests.

Average occupancy rate (how many days the unit was occupied):

• 1 bedroom / 1 bathroom: 88.67% (27 out of 31 nights)
• 2 bedroom / 1 bathroom: 80.33% (25 out of 31 nights)
• 3 bedroom / 2 bathroom: 74.19% (23 out of 31 nights)

October is the last month of the active booking season. The active booking season ranges from March to end of October. All months in this season are generally good. Top performing months are usually June, July, September, and October.

I hope this was helpful insight into the Kansas City short term rental market. I’d love to hear your thoughts in the comment section.

[Sofia Sharkey]

@Michael Baum thank you! We were excited to see good numbers this fall despite COVID. The typical traveler has been medical and business professional, weekend vacationers, and individuals visiting family members. We are not in a vacation rental market so we don't get much tourism here.