Are you considering purchasing a vacation home as an investment and as a means of generating passive income? If so, consider building a tiny house on a great piece of land. A tiny home may not be what you first envision when you think vacation rental, but there are several reasons why these little houses make a great investment.
Tiny Houses Are Trendy
Tiny homes are extremely popular right now. It’s hard to go a week without seeing something about these little houses on the news, TV or in an online ad. Building and permanently living in a tiny home is not for everyone, but there are plenty of people that want to experience the lifestyle. Tiny house vacation rentals allow them to do just that – live in a small house for several days, a week, or even longer. The trick is to market your vacation rental to the right customer. Promote your tiny vacation rental as a chance of a lifetime that offers the opportunity to experience the tiny house lifestyle.
Tiny Houses Are Affordable
Affordability is one of the best benefits of building a small house vacation rental. You can build a tiny vacation home for just a fraction of the cost of purchasing a more traditional vacation rental. Lower costs equate to a smaller down payment and lower mortgage payments. Typically maintenance and utility costs are also lower for tiny homes — as low as $10/month, according to Tumbleweed Houses. All in all, tiny homes have the potential to provide a great return on your investment.
How to Transform a Tiny House into a Vacation Rental
When transforming a tiny house into a vacation rental, you want to think comfort. Spend a little extra on purchasing a quality mattress and comfortable seating. Not only will these high-quality furnishings hold up better over time, but they will provide comfortable accommodations for your guests. SMBYO.com advises providing cable TV, a washer/dryer, basic kitchen appliances, a full bathroom, and high-speed internet. Don’t forget fresh bed linens and towels!
Now is the perfect time to invest in a tiny house vacation home. Since tiny homes are smaller and less cumbersome to build, they can be completed in just a matter of weeks. The first step is to find the perfect location for your little house and then select the right floor plan design. Once your home is built, all you need to do to start generating income is to decorate your home and to list your vacation rental online.