STR by room - guest safety & interaction

[Dennis Meints]

Hey BP team,

I have several Airbnb's that I run in Saint Paul MN and I'm looking to actually do more with a 4-plex that will house medical professionals traveling in on contracts for 30-90 day leases (technically outside of STR being >30 days). I notice a lot of these medical professionals are looking for an economic stay and would rent a room to save some money during their contract term.

My question is this: If I'm renting by the room, but I'm not present on the property - how can I manage guest interaction and set up some layers of safety checks/balances? Can I put a security camera in the common areas that would be recording and could be referred to if there was an incident (clearly marked and disclosed to guests)? Obviously, lock's on bedroom doors for privacy and some clearly defined "house rules" would be a must. What else?

Tell me the best way to remotely manage STR by room.

Thanks!

[Joe Splitrock]

@Dennis Meints it is illegal to advertise or rent to one gender only. There is an exclusion to fair housing for owner occupied, so @Craig Anderson can do this while house hacking. 

You will have more problems when renting by the room. It is not a matter of if you have issues, but how to deal with the issues. Having clear house rules is important. Some of the issues to watch out for:

1. Shared space in the refrigerator or cabinets needs clear definition of who can use which space. Food "borrowing" is a common problem.

2. Cleanliness of shared spaces is a problem because everyone has different cleanliness standards. It is best to have a policy of "you make the mess, you clean it up" but also have a third party cleaning person that regularly cleans the kitchen and bathroom. At least once per week, if not twice is necessary.

3. Noise can be a problem. Travel nurses work hard and need a quiet environment. I rent a small house to travel nurses. I have had a couple two travel nurses that left a shared living arrangement to pay more at my house due to noise.

4. Parking may be a concern, especially in a cold climate that gets snow. Make sure you have one off street parking spot per person and keep them assigned.

5. Hot water can be an issue if too many adults are using the same water heaters. Make sure you have them sized for the number of people living there. Consider upgrading to larger size or installing on demand (tankless) for constant hot water.

6. Have some flexibility with your leases. If someone is paired with a bad match for a roommate, offer an easy out from the lease. Never force people to stay in a bad situation and let them know up front that you are flexible. 

7. Have security cameras in common areas and fully disclose where they are located. I would tell the tenants the video is only accessed if a problem is reported, so it is for their security. That is a nice way of saying, "no I won't sit around watching you for fun".

8. Use electronic door locks with unique codes for main entry and bedrooms. Remove old codes when someone moves out. I know many STR owners use keys, but these keys pass through 10, 20, 50 or even hundreds of peoples hands. If someone gains access and harms someone, with you failing to change code or key, it makes you liable.

Renting by the room is more profitable, but also more work and risk. Nothing wrong with doing it, but protect your guests and your reputation by managing it properly.