Airbnb Reno, Nevada: Market Data, Laws & Investor Guide

Reno, Nevada has emerged as a premier location for savvy Airbnb hosts looking to capitalize on the booming short-term rental market. This vibrant city, known for its exciting casinos, outdoor adventures, and proximity to stunning Lake Tahoe, has seen a surge in demand for unique, homely accommodations.

In recent years, the number of short-term rentals in Reno has nearly doubled, reflecting the growing preference among travelers for authentic, localized experiences over cookie-cutter hotel stays. Airbnb and Vrbo have revolutionized the rental landscape, enabling hosts to tap into this lucrative market with ease.

One key factor driving the appeal of Airbnb hosting in Reno is the city's strong tourism industry. Visitor attractions are diversifying beyond the glitzy casino scene to include scenic wonders like Lake Tahoe and the Truckee River, cultural events such as Burning Man, and historical charms in towns like Virginia City. This expanding tourist appeal translates to a rising need for varied lodging options, particularly short-term rentals that offer space, flexibility, and local flavor.

The profit potential for Airbnb hosts in Reno is substantial. Entire home listings earn an impressive average of $3,067 per month, with a healthy occupancy rate of 61%. Certain neighborhoods, like Downtown and Midtown, are especially sought-after by travelers, presenting prime opportunities for hosts.

Moreover, Nevada's landlord-friendly laws and reasonable property prices make Reno an attractive choice for prospective Airbnb investors. The state's response to the short-term rental boom has been measured, focusing on sensible regulations that prioritize guest safety without overburdening hosts.

As Reno's star continues to rise in 2024, with its expanding attractions and shifting traveler preferences, the city offers an enticing proposition for Airbnb entrepreneurs. By tapping into this dynamic market, hosts can enjoy lucrative returns while providing guests an authentic slice of Nevada living. The time to capitalize on Reno's Airbnb potential is now.

Reno Short-Term Rental Market Analysis

Reno's short-term rental market has experienced significant growth in recent years, driven by the city's thriving tourism industry and increasing popularity as a destination for outdoor recreation and entertainment. Let's take a closer look at the key metrics and trends shaping Reno's Airbnb landscape in 2024.

Reno Airbnb Occupancy Rate

• In 2023, Reno's Airbnb occupancy rate averaged 67%, up from 64% in 2022
• As of August 2024, the occupancy rate for Reno Airbnb listings stands at 69%, a slight increase from the previous year

Reno Airbnb Nightly Rate

1. The average daily rate for Reno Airbnb listings in 2023 was $114
2. As of August 2024, the average nightly rate for Reno Airbnb properties has risen to $138, reflecting a 21% year-over-year increase

Reno Airbnb Seasonality

Reno's short-term rental market experiences seasonal fluctuations, with peak demand occurring during the summer months and winter ski season. The city attracts a mix of leisure travelers, outdoor enthusiasts, and event attendees, resulting in a relatively stable demand throughout the year.

Reno, Nevada Short-Term Rental Growth Rate

1. Reno's population grew by 2.1% between 2020 and 2021, outpacing the national average
2. Visitor numbers to Reno have been steadily increasing, with a 5.5% annual growth rate projected for the tourism industry

Reno, Nevada Key Local Events and Festivals

1. The Great Reno Balloon Race (early September)
2. Burning Man (late August to early September)
3. National Championship Air Races (September)
4. Reno Rodeo (June)
5. Reno River Festival (May)

Reno Mid-Term Rental Market

Reno's mid-term rental market, characterized by stays of 30 days or longer, is gaining traction as remote workers and long-term visitors seek out more flexible accommodation options. While not as robust as the short-term market, mid-term rentals in Reno offer hosts a reliable source of income and lower turnover rates.

In conclusion, Reno's short-term rental market continues to thrive in 2024, bolstered by the city's growing population, vibrant tourism industry, and diverse calendar of local events. With strong occupancy rates, rising nightly prices, and a balanced mix of short and mid-term rental opportunities, Reno presents an attractive destination for Airbnb hosts looking to capitalize on the city's enduring appeal.

Best Neighborhoods in Reno for an Airbnb Business

When searching for the ideal location to start an Airbnb in Reno, hosts should consider factors such as proximity to popular attractions, up-and-coming areas, and tourist hotspots. By analyzing data from reputable sources like AirDNA and Mashvisor, along with local knowledge, we've identified the top 5 neighborhoods for Airbnb businesses in Reno.

1. Downtown Reno

Downtown Reno is a vibrant area known for its casinos, restaurants, and entertainment venues, making it a prime location for Airbnb hosts.

1. Average Occupancy Rate (2024): 69%
2. Average Daily Rate (2024): $215
3. Estimated Annual Revenue: $54,150

According to Zillow, the median home price in Downtown Reno is $395,000 for a single-family house. Mashvisor data suggests that one-bedroom properties provide the best return on investment in this neighborhood.

2. Midtown District

The trendy Midtown District is a popular choice for travelers seeking unique experiences, with its eclectic mix of shops, bars, and restaurants.

1. Average Occupancy Rate (2024): 73%
2. Average Daily Rate (2024): $165
3. Estimated Annual Revenue: $44,000

Zillow reports a median home price of $450,000 for single-family houses in the Midtown District. Two-bedroom properties offer the highest returns, according to Mashvisor.

3. Old Southwest

Old Southwest is a charming, historic neighborhood close to the Truckee River and downtown attractions, appealing to tourists who appreciate a quieter setting.

1. Average Occupancy Rate (2024): 68%
2. Average Daily Rate (2024): $145
3. Estimated Annual Revenue: $36,000

The median home price in Old Southwest is $525,000 for a single-family house, as per Zillow data. Mashvisor suggests that three-bedroom properties yield the best returns in this area.

4. University of Nevada, Reno

The University of Nevada, Reno neighborhood attracts visitors attending university events, as well as those seeking affordable accommodations near the city center.

1. Average Occupancy Rate (2024): 70%
2. Average Daily Rate (2024): $110
3. Estimated Annual Revenue: $28,100

Zillow reports a median home price of $350,000 for single-family houses near the university. According to Mashvisor, one-bedroom properties provide the highest returns in this neighborhood.

5. Sommersett

Sommersett is an upscale, master-planned community in West Reno, offering stunning views and easy access to outdoor recreation, making it ideal for luxury-seeking travelers.

1. Average Occupancy Rate (2024): 65%
2. Average Daily Rate (2024): $250
3. Estimated Annual Revenue: $59,300

The median home price in Sommersett is $750,000 for a single-family house, according to Zillow. Mashvisor data suggests that four-bedroom properties offer the best return on investment in this neighborhood.

Best Reno Investment Property Types and Maximizing Your STR Revenue

Choosing the right investment property and incorporating sought-after amenities can significantly impact your Airbnb's success in Reno. By analyzing recent trends and data, we've identified the best property types and amenities to help you maximize your short-term rental revenue.

Best Real Estate Property Investment in Reno

• Single-family homes: The median price for a single-family home in Reno is $550,000. A 3-bedroom single-family home can generate an estimated $3,200 per month as an STR.
• Condominiums: The average price for a condo in Reno is $350,000. A 2-bedroom condo can potentially earn $2,600 per month as an STR.
• Townhouses: Reno townhouses have a median price of $450,000. A 3-bedroom townhouse can generate around $3,000 per month as an STR.
• Apartments: The average price for an apartment in Reno is $300,000. A 1-bedroom apartment can potentially earn $1,800 per month as an STR.

Best Airbnb Amenities in Reno, Nevada

To maximize your Airbnb revenue in Reno, consider incorporating these in-demand amenities:

• Hot tub or pool: Listings with a private hot tub or access to a pool tend to perform well in Reno, especially during the summer months.
• Outdoor living space: Properties with a well-maintained backyard, patio, or balcony are highly sought-after by Reno visitors.
• Home office setup: With the rise of remote work, listings that offer a dedicated workspace with a desk, comfortable chair, and reliable internet connection are in high demand.
• Pet-friendly accommodations: Many travelers prefer to bring their furry friends along, so consider allowing pets in your Airbnb to attract a wider range of guests.
• Unique decor or theme: Listings with a distinctive style or theme, such as a rustic cabin or a modern loft, stand out from the competition and can command higher nightly rates.
• Smart home technology: Incorporating smart locks, thermostats, and voice-controlled devices can enhance the guest experience and streamline your Airbnb management.
• Local experience packages: Partner with local businesses to offer exclusive discounts or experiences, such as spa treatments or guided tours, to differentiate your listing and provide added value to guests.

By investing in the right property type and incorporating these sought-after amenities, you can maximize your Airbnb revenue and create a memorable experience for your guests in Reno.

Understanding Reno Short-Term Rental Regulations

Reno, Nevada, is in the process of establishing clear regulations for the growing short-term rental industry. As of July 2022, STRs are legal in Reno, with over 560 active Airbnb listings. However, until the city finalizes its ordinances, STRs must adhere to the guidelines set by Nevada's Assembly Bill 363, effective July 1, 2022.

One key requirement is obtaining a state business license to operate an STR in Nevada, in addition to any county or city-level authorization. Since Reno is still developing its STR ordinances, the city does not currently have a licensing process in place. STR operators in Reno must wait for the city to finalize its ordinances and establish a licensing process before obtaining the necessary permits.

Once Reno's ordinances are finalized, STR operators will likely need to provide documents such as proof of liability insurance, a noise management plan, a designated local representative, site and floor plans, and proof of ownership or lease agreement.

STR operators in Reno are also responsible for collecting and remitting taxes, including the Nevada sales tax (6.85%), Washoe County room tax (13.5%), and Reno room tax (1%). Assembly Bill 363 establishes statewide rules for STRs, including distance requirements, occupancy limits, prohibition on events and large gatherings, quiet hours, and parking restrictions.

Read our full STR regulations guide for more detailed information about Reno’s short-term rental regulations, including insights from local hosts and a closer look at other policies.

Keys to Success as a Reno Airbnb Host

Becoming a successful Airbnb host in Reno requires a combination of strategic design choices, effective marketing, and an understanding of the unique challenges and opportunities presented by the local market. By implementing these key strategies, you can attract more customers, maximize your revenue, and create a thriving short-term rental business in Reno.

Popular Design Themes in Reno

• Modern MountainRetreat: Incorporate natural materials like wood and stone, paired with modern furnishings and clean lines to create a cozy, yet sophisticated atmosphere that reflects Reno's proximity to the Sierra Nevada mountains.
• Vintage Casino Chic: Pay homage to Reno's gaming history by incorporating vintage casino memorabilia, neon signs, and bold, retro-inspired decor elements to create a unique and memorable experience for guests.
• Rustic Farmhouse: Embrace the charm of rural Nevada by featuring a rustic farmhouse design with reclaimed wood accents, vintage farm equipment, and cozy, country-inspired furnishings.
• Midcentury Modern: Capitalize on the popularity of midcentury modern design by incorporating iconic furniture pieces, bold colors, and geometric patterns reminiscent of the 1950s and 60s.
• Bohemian Oasis: Appeal to free-spirited travelers by creating a bohemian-inspired space with colorful textiles, eclectic decor, and plenty of plants to create a relaxing, laid-back atmosphere.

How to Attract More Reno Customers

• Highlight local attractions: Showcase Reno's unique attractions, such as the Truckee River, Lake Tahoe, and the city's vibrant arts and culture scene, in your listing description and photos to appeal to travelers seeking authentic experiences.
• Offer local recommendations: Provide guests with insider tips on the best restaurants, bars, and hidden gems in Reno to help them make the most of their stay and establish yourself as a knowledgeable, helpful host.
• Leverage social media: Use platforms like Instagram and Facebook to showcase your Airbnb and engage with potential guests by sharing stunning photos, local tips, and special promotions.
• Partner with local businesses: Collaborate with local businesses, such as tour operators, restaurants, and shops, to offer exclusive discounts or packages to your guests, adding value to their stay and encouraging bookings.
• Optimize your listing: Ensure your Airbnb listing is well-written, informative, and includes high-quality photos that accurately represent your space to attract potential guests and improve your search rankings.

Potential Challenges and Guidelines to Success for Reno Airbnb Hosts

• Seasonality: Reno's short-term rental market experiences seasonal fluctuations, with higher demand during the summer months and winter ski season. To mitigate the impact of low seasons, consider offering discounts or special packages to attract guests year-round.
• Competition: As Reno's Airbnb market grows, hosts face increased competition. To stand out, focus on creating a unique, high-quality experience for your guests and prioritize customer service to earn positive reviews and repeat bookings.
• Regulations: Stay informed about Reno's evolving short-term rental regulations and ensure compliance with all necessary permits, licenses, and taxes to avoid potential legal issues.
• Noise and party control: Establish clear house rules regarding noise levels and guest behavior to maintain good relationships with neighbors and comply with local regulations. Consider installing noise monitoring devices to alert you of potential issues.
• Maintenance and cleaning: Regularly maintain and deep clean your Airbnb to ensure a consistently high-quality experience for your guests. Hire a reliable cleaning service or create a detailed cleaning checklist to streamline the process between bookings.

By focusing on these key areas and adapting to the unique challenges of the Reno market, you can create a successful and profitable Airbnb business that stands out from the competition and attracts a steady stream of satisfied guests.

Using BNBCalc to Find Profitable Properties in Reno, Nevada

BNBCalc is a powerful tool that can help aspiring Airbnb hosts find and analyze profitable properties in Reno, Nevada. By leveraging BNBCalc's features and following these key steps, you can make informed decisions and set yourself up for success in the Reno short-term rental market.

Analyze properties using BNBCalc

Use BNBCalc's property analysis feature to evaluate potential Airbnb investments in Reno. Simply enter the property details, such as address, purchase price, and estimated expenses, and BNBCalc will provide a detailed breakdown of projected revenue, occupancy rates, and cash flow.

Benchmark comparable rentals

BNBCalc allows you to compare your potential investment property to other nearby rentals in Reno. Analyze the performance of similar listings to gauge market demand, pricing trends, and occupancy rates. Use this information to optimize your pricing strategy and maximize your revenue potential.

Determine The Right Price and Property Size

Utilize BNBCalc's data-driven insights to determine the optimal number of bedrooms, bathrooms, and purchase price for your Reno Airbnb investment. The platform's advanced algorithms consider local market trends and historical data to help you make informed decisions that maximize your return on investment.

Make an Offer

Once you've identified a promising investment opportunity, use BNBCalc's analysis to determine a fair purchase price that aligns with your desired returns. Partner with BNBCalc's recommended STR lender, Brian Bockholdt at Alliant Credit Union, to get prequalified for financing and make a competitive offer on your chosen property.

Use Our Tax Calculator

BNBCalc's tax calculator helps you estimate potential tax deductions for your Reno Airbnb, including bonus depreciation. By understanding the tax implications of your investment, you can optimize your financial strategy and maximize your overall returns.

Come Up With a Buy Box

When creating a buy box for your Reno Airbnb investment, focus on properties that offer:

• Strong cash flow potential: Look for properties that generate a healthy monthly cash flow based on BNBCalc's projections.
• Desirable location: Prioritize properties in popular Reno neighborhoods, close to attractions, and with easy access to transportation.
• Attractive amenities: Seek out properties with in-demand amenities, such as outdoor living spaces, hot tubs, and unique design features, to appeal to a wide range of guests.
• Reasonable maintenance and upkeep: Consider the ongoing costs of maintaining and upgrading the property to ensure long-term profitability.
• Favorable regulatory environment: Stay informed about Reno's short-term rental regulations and focus on properties that comply with local zoning laws and permitting requirements.

By using BNBCalc's powerful tools and following these guidelines, aspiring Airbnb hosts can find and acquire profitable properties in Reno, Nevada, setting the foundation for a successful and rewarding short-term rental business.

Ready to start your Airbnb journey in Reno? Use BNBCalc to analyze potential properties and make informed investment decisions. Our powerful tool provides comprehensive data to help you maximize your profits. Check out this pre-analyzed Reno Airbnb opportunity and see how BNBCalc can help you succeed in the short-term rental market. Visit BNBCalc.com today and take the first step towards building your Airbnb business.