ADU design considerations for short-term (Airbnb) vs long-term rental

When designing an ADU, there are many factors we consider. One of the biggest is the “use.” In other words, what will the ADU be used for? Many of our clients are utilizing ADUs for supplemental income, and considering the climate of our current world economy, there is no better time to have independent financial stability through property ownership.

If you plan to rent your ADU, tell your designer whether you anticipate it becoming a long-term rental (your tenant will be signing a lease for 6 months to a year) or a short-term rental (most often listing your ADU on platforms such as Airbnb or Vrbo).

Sam Sudy is one of our leading ADU designers who has experience renting out her personal residence to both long-term and short-term renters. Here are her thoughts on the factors you should consider.

This handy chart can serve as a reference to the breakdown below:

Long-Term Rental Considerations

Turn-Over (Durability)

• It might seem counter-intuitive, but long-term tenants tend to be a little “harder” on the fixtures and finishes of your ADU. Because of this, for long-term rentals, it is even more important to make sure flooring, countertops, wall paint, etc. is durable and not prone to permanent damage if left uncleaned and unchecked over a long period of time.

Privacy (Communal Spaces)

• Since renting to a long-term tenant allows the opportunity to build a relationship with the person living next door to you, consider whether you want to share any of your yard space with your tenant. Of course, if you prefer privacy, dedicating a portion of the yard to you and a portion of the yard to your tenant could be the better option. Either way, having a well-thought-out, designed outdoor space that delineates the spaces clearly is a high priority for situations like this.

Amenities (Storage and Access)

• The ADU will serve as a home, not just a place to escape for the weekend. That is why long-term rentals should maximize the amount of storage space provided to their tenants. If you foresee a tenant requiring a bicycle for transportation, where would they be able to securely store it? 

• Speaking of transportation, would it be more appropriate to offer on-site parking near the ADU instead? Will this make your ADU more desirable and therefore allow you to charge more in monthly rent?

Short-Term Rental Considerations

Turn-Over (Cleanability) 

• How easy would it be to clean and “flip” the space? Dusting high shelves is a pain, while closed cabinets reduce visual clutter and reduce cleanable spaces.

• Access should be convenient from your private residence to the ADU. Maybe a connected ADU with a covering or breezeway would be better than a fully detached unit in this case.

• Is there a washer/dryer in the ADU? If not, guess who has to carry the laundry from the ADU to your house…

Privacy (Acoustic and Visual) 

• Without the convenience and opportunity of building a relationship with a long-term tenant, keeping spaces as separate and private as possible prevents having to converse with a complete stranger to remind them of “quiet hours.”

• Making eye contact with strangers is much more awkward than with those that we know. For this reason, the visual separation between your house and ADU should be given a lot of thought. This can be accomplished in many ways via careful design considerations (window alignment, landscaping, and fencing to name a few).

Amenities (Furnishings and Locale)

• Short-term guests typically care most about a clean space and a comfy bed. Beyond that, a well-decorated space (not too cluttered, but not empty) can go a long way to increasing the value of your per-night rental fee. The location of your property is also key in accommodating out-of-towners looking to be tourists for the weekend.

Bonus Tip: 

A remote keypad entry is the best choice for both long- and short-term rentals. Your long-term tenant will love not having to carry a key any time they leave the ADU, and your short-term tenant will love the independent check-in process that does not require your assistance to get into their ADU rental.