Make $10,000 or more each year.

So we were starting this whole North Carolina Tiny House building company and we got to talking, and started looking and had a “what the heck” moment, when we realized how good the numbers are on these rentals.

As you know, Airbnb and other rental networks are destroying hotel chains, and allow homeowners and farmers to make income from their space.

This has been great for people with extra rooms, or if their super lucky, a mother-in-law cottage ready to rent out. Because ideally the guests coming and going aren’t in your actual house, taking up your living space.

Long story short, a new unit means you can tap into the Airbnb market quickly and legally.

If you look at Airbnb you can see a lot of tipis being rented already. There is even a category for tipis when you’re searching, because they’re a popular choice. And they’re renting for as much as rooms in houses, because the “cool” factor makes up for the “walls” factor in most people’s heads. Especially if they’re just staying in one for a night or two.

What we're getting around to is tipis are great. We're talking like 300% ROI within the first three years if you rent them for $50 a night.

Which translates into “If you rent a tipi just 261 times on AirBnB, you’ll have made $10,000, net.’

Don't believe? Boom, graph.

tipi rental income.jpg

This is based on a few assumptions, but it is sound reasoning. It’s how I’m going to do it at least:

Tipi Rental Income Formula

·     $50 a night rental

·     Rent for 100 nights a year (27% occupancy rate, a conservative estimate. The average Airbnb occupancy rate is 44% in the US; 42% here in Boone)

·     $3,000 initial investment for the tipi, (the price you can get right now by ordering through Tiny Homesteads).

·     With these numbers, you break even after your 61st rental, and reach $10,000 in profit after rental number 261.

Not too shabby, from just owning a tipi and renting it out. Tiny Homesteads also offers Tiny Home AirBnb management, so you can make your new tipi truly passive income. Or you can invest a bit more into adding a stove, composting toilet, or other amenities and charge a higher rate per night for your luxury tipi. The baseline numbers are solid, so there is room to experiment and customize.

Want to see one a tipi up close and learn more about it? A teaching session is part of every Tiny Homesteads tipi purchase.

We’re also have a demonstration event on July 14th at Small Axe Farm. Sign up below or contact us today to get started with your own tipi airbnb business in your backyard!