Which ADUs perform BEST on Airbnb?? (Geodesic dome vs A-frame vs Yurt vs Tiny Home)

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What's up guys, it's James here and in today's video we are going to be sitting courtside at the grand battle of auxilary dwelling unit, I'm going to be walking through a whole bunch of very comparable auxilary dwelling units from yurts to a frames to Geodesic Domes to RVs to everything and I'm going to break down how much each one can earn and which ones perform the best. I'm going to do my best to make this a very comprehensive analysis so that we can kind of make some initial decisions on what the best bang for your buck is when it comes to building auxilary dwelling units. Now this is a really popular phenomenon with Airbnb is basically buying a property with a bunch of land. It's actually a project that I'm taking part in right now where we've got 100 acres north of Toronto, and we're building out a kind of glamping site, a glamping retreat where you buy a property with a bunch of land, and then you start building auxilary dwelling units at use on that land, whether that be yurts a frames, geodesic domes, whatnot, in order to generate more cash flow, it's a really, really cool strategy, it's super fun to be a part of. If you're interested in it, then you can check out more about how to invest successfully in short term rentals at the link in the description down below. But in this video, we're gonna be breaking down a whole bunch of similar auxilary dwelling units. And what I mean is similar in spec, I'm trying to keep it as close to a sort of one for one battle apples to apples comparison as possible. Now, I will say that's not always possible, because no matter what, generally speaking, an A frame cabin is going to be much more expensive to build than a geodesic dome. So there is some consideration that needs to be made there. But I also wanted to like look in the in one specific geographic area, because obviously that's going to also play a big role in determining how much the auxilary dwelling unit can actually generate. But fear not I found an area there is an area in Asheville, North Carolina, North Carolina is home to a plethora of really cool auxilary dwelling units and unique spaces on Airbnb, and specifically in and around the Asheville area is where I found an absolute goldmine of these places. So let's jump over here onto the computer. And I'll show you what I've been doing. So basically, I just went into Asheville, and I'm trying to keep things as apples to apples as possible. And so I've found a tree house in the area I found in a frame in the area, I found again, like a yurt, I found a dome, I found all kinds of cool places. And then I'm jumping over to air DNA. Now air DNA for any of you guys who don't know, is site where you can basically go on and see how much short term rental properties are earning and do some really cool analysis. Now, we've got a enterprise level package with our DNA that allows us to see the entire world over on their air DNA market minder tool. So I was able to pull up each and every one of these properties and see how much they're actually earning as Airbnbs, which is super, super cool. And so we've got the actual Airbnb listings pulled up right here beside them. So we can take a look through each one of them. And basically just figure out, hey, which ones are performing the best, and just kind of try to ballpark how much it would cost and how comparable they be from a cost to setup standpoint. Because obviously, some of these are going to cost more to set up and then bring in more revenue, and some are going to cost less to set up and bring in a bit less revenue. So we want to keep it as apples to apples as possible that way. Now, when selecting a frame, there are obviously a lot of different types of a frames to choose from anything from something like this to you can go even smaller and have it be like really just sort of a little hut in the woods, which I didn't think was a very fair comparison. Or you can also go to something more extreme, like a whole massive house that just technically happens to have an A frame as part of it, which also didn't seem fair in the other direction. So this is what I felt was a pretty fair comparison. It's a relatively small a frame cabin, out in the woods outside of Asheville. And so I tried to keep everything geographically in a pretty tight radius here, it's pretty nice inside,vit doesn't have like that sort of cavity field that you typically expect. And you see a lot of when it comes to a frames, but it does have this kind of really cool cozy loft space. It's really nicely done inside, that's for sure. And it's in a really beautiful setting, we've got this back deck, you've got the beautiful views. And so it's just a really, really great property. So maybe you look at this and say, Okay, this is a pretty fantastic property. It's pretty cool. And as you already saw, this property has been avail for 356 days out of the last 365. So it's available all year round, it got occupied 96% of the time, so it's virtually always booked. And it brought in $95,000 in revenue. So that's pretty fantastic. I would imagine they didn't get this property for too much more than you know a few $100,000 And so for it to bring in $95,000 in revenue in one year. That's a big win. So this property we can see the returns here are fantastic. Now let's look at some other different types of spaces. So for example, let's look at this dome. This is an area called Alexander North Carolina, again, just a little further north of Asheville. Still not too far away. And so we can take a look through here. Now, the cool thing about this geodesic dome is that these things cost a lot less to set up than building a whole a frame. This entire structure generally costs depending on the size that you get it anywhere from about eight to about 20 to 25 on the high end $1,000 Just for the structure and kind of the the main shell of it with everything that you need, then obviously, the interior the sort of foundation or platform that it's on, all those things start to add to the cost. But structurally, it's pretty inexpensive to set up. And that really just comes to the finishings inside. The other thing that's cool about these, and I've talked about this in other videos, is that they, they tend to just be really good performers on Airbnb, just because they have such a really such a great cool factor uniqueness factor. You can see here that there's some really beautiful views that you get out that kind of front face that's open, see through out of the dome. So that's really cool. This one's been done really nicely inside, they've also set up an outdoor shower. So that's really cool. I would imagine this property kind of setting up this dome probably cost in around the 30 to $40,000 Mark would be my guess. And so this property, let's see here is bringing in $33,000. Now, that being said, out of the last 365 days a year, it has only been available for 225 days, so safe to save this property should be able to bring in closer to 40,000, maybe even 45 50,000, let's say about $40,000 in a given year, that's pretty good, especially considering that building, this would cost a lot less than the A frame, especially if you already have the land. It's a really, really inexpensive and quick structure to build. So this one is another big win just kind of depends on what strategy you want. Because the other advantage of the A frame is that there's actual equity there, you can actually sell that as a freestanding property. Whereas a geodesic dome, there's arguably not a whole lot of equity that's actually there in the property because it is just a temporary structure. So you know, maybe you'd be able to sell to an Airbnb investor down the road, who'd be willing to pay for the cash flow, but that's a little bit more hit and miss. So if you're looking to spend a bit more, and you want to build equity, and a frame is probably a good direction to go. If you're looking to spend less, and you're more concerned with cash flow than equity, then a geodesic dome is a good move. Now let's look at this really cool tree house property. Now, I tried to look at a few different tree houses, it was tough to find a really good comp, this one was really unique properly property. And it's got some cool things going for it's obviously like really cool inside are really cool outside, as you'd say very dated inside is what I meant to say. But there's it's a little bit tough. He'll, you'll have to accept my apologies to find really great tree house comps. There are some really cool ones. But I again want to keep this relatively apples to apples in terms of like the cost to set up, you can see it this property wouldn't really cost a whole lot to set up. You know, if you were to pay for labor, not to yourself, there's one looks like it's pretty homemade, to be honest, and they've done a pretty good job of it. But you could probably get this setup for relatively little money. If you were to go and hire some people to help build it and pay for the supplies posted. It looks like a lot of this has been built with just raw materials from their land. So this one's a really cool property probably didn't cost too much. I'd have a hard time answering guests because I haven't personally built a treehouse like this one. But I would say probably in the neighborhood of again 20 To $40,000 to set this up, probably closer to the low end of that. And this property is bring in $40,000, again, only being available for 233 days of the year. So if we compare that back, we've got 33,000 here 225. And this one is $38,000 at 233. And so that just kind of goes to say like hey, the treehouse is is really kind of cool, unique space. And so it does really, really well typically, Geodesic Domes from my experience tend to blow other types of properties out of the water when you're comparing them to like an RV or something like that. But a treehouse is again, a really unique cool experience if you will want to have so this property does really well. Again, give us a big win. And just making sure that you obviously built a do a good job because anytime you're building a tree house, there is height right there's elevations you just want to make sure that you're doing a good job of it. Now this one here I felt was a pretty good comparison property because this is what a lot of people want to do when they want to set up like an auxilary dwelling unit is just park an RV somewhere and I get it. I understand it is the easiest thing to do by far. And this is a nice RV. So you think to yourself, hey, well, why wouldn't people want to stay here? And the reality is that unfortunately, as the numbers are going to show, it's just not that proven experience. It's a lot of law. People are more inclined to see this as just sort of a cramped living quarter than a cool unique experience because RVs are a bit tacky. They're not that cool. There's not this few Just desire to go and just stay in an RV, a tree house, you can tell people how amazing it was the the geodesic dome. So you're not going to get elsewhere but an RV, it's just not that cool. It's just not that unique. And so although it has all the kind of makings of the other properties, it's actually nicer on the inside. You can see it doesn't really do that. While it kind of underwhelmed when it comes to performance, it was available for longer than either the last two properties we looked at and brought in about half as much in total revenue, it was only occupied at 1% of time, which is actually pretty good. Just the average daily rate that people are willing to pay is somewhat low. And so it only brought in $19,000. So we learned from this, that uniqueness is a really big function of the performance of an auxilary dwelling unit. People don't just care about the square footage, they care about how cool it is, how unique it is the experience that they're actually getting. And then here let's look at another one here is a yurt. This is the final property we're looking at. Again, pretty cool. I would argue that the geodesic dome or the A frame, or what was the other one that we looked at over here, the Treehouse, those ones are a bit cooler than this. That's just my personal preference. But it is in arguably a pretty unique experience to be able to stay in a year. That's something you don't get elsewhere. They've got some really cool amenities here. This one again, I don't know exactly how much it would cost to set up a yurt like this. But you're probably looking again, in the neighborhood of around the same as what you would, you'd be out for a geodesic dome. And so you can see it's got a lot of the kind of makings inside, it's got done up with a stove and everything else is sort of kitchenette, and this property again $38,000. It was available all year. So you can see here, the numbers kind of reflect the not super cool function of this where it was available the whole year and perform about the same as the others that were available two thirds of the year. So it's still this better than the RV, but not quite as good as the geodesic dome or the tree house, certainly not as well as the A frame. So overall, looking at this, it's a pretty clear indication, I promise you I did not try to bias these results whatsoever. I just tried to look and find the closest comps to one another as I possibly could in a pretty confined geographic area in North Carolina there and I found pretty much to see that yet. Yeah, the more unique the property is, the better it does as a short term rental. One of the things that really surprised me was just how well this there's a frame did, how that also could be a factor of and it almost certainly is a factor of how many guests it can accommodate. So that's another thing if you look here, there's two guests in the dome. There's two guests in the Treehouse, there's four guests in the in the camper, you can see that there's just some things you can't really make up for just not that cool. And then here in this property, what have we got here, two guests maximum. So they're all two guests maximum except for the A frame and the RV. And so you can see that accommodating more people is definitely a great way to increase your revenue. So if you get a bigger your or you get a bigger a frame or a bigger geodesic dome, they should perform better Geodesic Domes you can get that will accommodate for people, even six people. So that's a really cool opportunity there. And then overall, just the cooler the property the better it will do so take that into consideration. And again, if you guys are interested in learning more about how to invest successfully into short term rental properties, build out a glamping retreat, start getting adu set up and cashflow stronger for you, I highly recommend you check out the link in the description down below. We're going to walk through our free step by step training on exactly how to perform well and invest successfully in short term rental properties in Airbnb s. And we're gonna give you our analysis spreadsheet completely free and we're going to be able to jump on a call with you if you want to set up a call with our team to discuss how we can actually help you and create a custom roadmap completely for you. It's going to show you exactly how to reach your goals with short term rental investing again, all that is linked in the description down below. As always, make sure you like this video if you got value from it if you thought this was cool if you want to see more content like this, just make sure you drop a thumbs up and like this video. Make sure you subscribe to stay up to date with the two new videos we post every single week on this channel. Make sure you let me know any thoughts questions or comments you have in the comment section down below. All that said Have a fantastic rest of your day and I will see you in the next video.