When you first thought of investing in a vacation rental property, it’s likely investing in a yurt didn’t enter your mind. You probably imagined a patio with a stunning view, an inviting living room, and a cozy bedroom for visitors ready to rest their eyes after a long day of exploring. A yurt?
What is a yurt?
The yurt as a vacation rental investment
Single family homes, condominiums and apartments are what we immediately think of when looking for vacation rentals for sale. But, what if it were possible to offer the same warmth, and gorgeous locales to renters while also cutting down on rooms, square footage, and overhead costs? That’s what is intriguing about yurts.
How much does a yurt cost?
The cost of owning a yurt is substantially lower than a traditional vacation rental property. Realtor.com estimates that the average yurt costs between $10,000 and $30,000. You will, of course, need to customize your yurt, buy a platform, and own land for the yurt to sit on, which will increase your expenses.
However, Realtor.com still estimates you’ll save money with a yurt. “[E]ven with all the bells and whistles,” says Mandy Behbehani with Realtor.com, “a yurt still runs a fraction of the nearly $275,000 national median price for a more traditional condo, co-op, or single-family house.”
Lower Cost of Ownership Doesn’t Mean Lower Rental Rates
Even though you are saving time and money by investing in a yurt, you are under no obligation to offer lower prices than traditional rental properties. In fact, choosing a yurt in the right market could make you the only local property customized for renters looking for a meditation or yoga retreat, or even a tranquil office space.
Giving renters an alternative experience and tailoring your property to a specific niche means you are under less pressure to compare your rates to the average rental in your area and are more likely to get repeat renters.
“Guests have been willing to pay $60 or more for yurt accommodations on the weekdays,” says Pacific Yurts Inc. in this article, “and up to $260 on weekends and holidays. Of course, the amount you can charge will depend on your location and amenities provided.
Potential Downsides of a Yurt Vacation Rental Investment
Like any other investment, there are downsides you will need to consider with yurts. Realtor.com warns that many municipalities do not make it easy for those looking to live in a yurt as their primary residence or rent one out. You will need to do due diligence before investing in a yurt, just as you would with a home or condo.
There are no shortcuts in real estate. However, if a yurt is a good fit for you and your community’s needs, you may be able to save a lot of money and make renters very happy along the way.