One of the most successful types of short-term rental properties for homeowners are those that have multiple units. If you have a property with an upper and lower unit, or a setup that can be divided into two separate homes or apartments, you can maximize income using the “nesting” strategy. This can include a main home and basement, an accessory dwelling unit (ADU), or a guest suite.
Nesting properties can create 3 separate short-term rental listings instead of just 1 or 2. Imagine a large house with a basement that has both a separate entrance and an interior door connecting it to the main house:
Listing #1: Main House (upper unit)
Listing #2: Basement Unit (lower unit)
Listing #3: Entire Property (main house + basement)
This strategy helps maximize revenue by fully utilizing the property's potential and catering to different types of guests based on their needs. If you're considering an investment property, this type of short-term rental setup often generates the highest returns.
One of the harder things to get around with these properties can be a system not realizing one address has multiple units. Our management system, Pingu Pro, has a feature that links these listings to prevent overbookings. Listings are linked so that if Listing #1 is booked, Listing #3 is automatically blocked for those dates, but Listing #2 remains available for booking.