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Airbnb City Guide: The Best Places To Invest in Grand Rapids, Michigan

Jeremy Werden

Written by:

Jeremy Werden

April 24, 2024

Grand Rapids, MI, USA

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Airbnb Rules and Regulations in Grand Rapids, Michigan

As of 2024, Grand Rapids has strict regulations for short-term rentals. Hosts must obtain one of the city's limited 200 annual licenses and can only rent out a single room in their owner-occupied home to a maximum of two adults. The property owner is required to be on-site during the rental period. Renting out an entire home or apartment is prohibited.

Condo and homeowners associations can ban short-term rentals in their buildings even if the property is in an approved zoning district. Many Airbnb listings in Grand Rapids appear to be operating illegally by renting full units without the required city license, with inconsistent enforcement so far. Prospective hosts should carefully review the complex rules, consult with the city, and consider legal counsel before listing a short-term rental.

Grand Rapids Airbnb Market Data:

  • Average Revenue – $37K per year
  • Average Daily Rate – $191.5 per night
  • Average Occupancy Rate – 53%
  • Average RevPAR – $103
  • Average Home Prices – $276,947

1. Top Place to Invest in Grand Rapids, Michigan - Downtown

Downtown Grand Rapids is the vibrant heart of Michigan's second-largest city, offering a perfect blend of urban amenities and small-town charm. With its thriving arts scene, diverse dining options, and proximity to major employers, Downtown Grand Rapids is an attractive destination for both tourists and residents alike.

Downtown Airbnb Market Data:

  • Average Revenue – $40.7K per year
  • Average Daily Rate – $199.2 per night
  • Average Occupancy Rate – 56%
  • Average RevPAR – $112.4

Convenience - 8/10

Downtown Grand Rapids offers exceptional convenience, with numerous shops, restaurants, and services within walking distance. The area is well-served by public transportation, making it easy to navigate without a car. However, parking can be challenging and expensive during peak hours.

Tourist Attractions - 7/10

The downtown area boasts several notable attractions, including the Grand Rapids Art Museum, the Gerald R. Ford Presidential Museum, and the Rosa Parks Circle. While these attractions draw visitors, they may not be as compelling as those found in larger cities.

Things to Do - 9/10

From exploring the many art galleries and museums to enjoying live music at venues like The Intersection and 20 Monroe Live, Downtown Grand Rapids's no shortage of entertainment options. The area also hosts various local festivals and events throughout the year, such as ArtPrize and the Grand Rapids International Wine, Beer & Food Festival.

Average Home Prices - 6/10

As of 2024, the median home price in Downtown Grand Rapids is $320,000, according to Zillow data. This represents a modest 2.5% appreciation rate over the past year. While prices are relatively affordable compared to other major cities, the limited inventory and high demand for downtown properties can make it challenging for investors to find suitable deals, so use a short-term rental calculator to ensure you're getting a profitable property.

Proximity to Work-Related Travel - 9/10

Downtown Grand Rapids is home to numerous major employers, including Spectrum Health, Meijer, and Steelcase. The area is also within close proximity to the DeVos Place Convention Center and Van Andel Arena, making it an ideal location for corporate rentals catering to business travelers and event attendees.

X-Factor - 8/10

Its unique blend of Midwestern hospitality and big-city amenities sets Downtown Grand Rapids apart. The area's commitment to supporting local businesses and its thriving arts and culture scene creates a distinct sense of community that appeals to both residents and visitors.

2. Top Place to Invest in Grand Rapids, Michigan - Eastown

Eastown, a trendy and eclectic neighborhood in Grand Rapids, Michigan, has become increasingly popular among young professionals and families. This walkable community is known for its diverse array of local businesses, historic homes, and laid-back atmosphere, making it an attractive option for Airbnb and short-term rental investors.

Eastown Airbnb Market Data:

  • Average Revenue – $39K per year
  • Average Daily Rate – $175.2 per night
  • Average Occupancy Rate – 61%
  • Average RevPAR – $109.3

Convenience - 7/10

Eastown offers a fair level of convenience, with a variety of local shops, cafes, and restaurants within walking distance. However, the neighborhood lacks some essential amenities, such as major grocery stores or large retail outlets, which may require residents to venture further afield.

Tourist Attractions - 5/10

While Eastown has a unique charm that appeals to visitors, it lacks major tourist attractions. The neighborhood's main draws are its local businesses and laid-back atmosphere, which may not be enough to entice tourists who are looking for more prominent destinations.

Things to Do - 8/10

Eastown boasts a vibrant arts and culture scene, with numerous galleries, live music venues, and community events. The neighborhood also offers a variety of local restaurants and bars, providing plenty of options for dining and nightlife.

Average Home Prices - 7/10

According to Zillow, the median home price in Eastown as of 2024 is $280,000, which represents a 3.2% appreciation rate over the past year. While prices are relatively affordable compared to other desirable neighborhoods in Grand Rapids, the limited inventory of available properties can make it challenging for investors to find suitable deals.

Proximity to Work-Related Travel - 6/10

Eastown is located a few miles southeast of downtown Grand Rapids, which is home to many of the city's major employers and convention centers. While the neighborhood is not within walking distance of these destinations, it is well-connected by public transportation and major roadways.

X-Factor - 9/10

Eastown's unique selling point is its strong sense of community and local pride. The neighborhood's eclectic mix of historic homes, local businesses, and artistic flair creates a distinct identity that sets it apart from other areas of Grand Rapids. This authentic, small-town feel within a larger city is highly desirable for many Airbnb guests.

3. Top Place to Invest in Grand Rapids, Michigan - Oakdale

Oakdale, a quiet residential neighborhood in the heart of Grand Rapids, Michigan, has recently gained attention as a potential investment opportunity for short-term rental investors. With its tree-lined streets, well-maintained homes, and proximity to local attractions, Oakdale offers a peaceful retreat for visitors seeking a genuine Midwestern experience.

Oakdale Airbnb Market Data:

  • Average Revenue – $30.2K per year
  • Average Daily Rate – $159.1 per night
  • Average Occupancy Rate – 52%
  • Average RevPAR – $83.8

Convenience - 6/10

Oakdale provides moderate convenience, with a few local shops and restaurants scattered throughout the neighborhood. However, residents may need to travel to nearby areas for more comprehensive shopping and dining options and access to public transportation.

Tourist Attractions - 4/10

As a primarily residential area, Oakdale lacks major tourist attractions within its boundaries. Visitors may need to venture into other parts of Grand Rapids to find notable destinations, such as museums, art galleries, and entertainment venues.

Things to Do - 5/10

Oakdale offers a limited selection of activities, mainly centered around outdoor recreation. The neighborhood features several small parks and green spaces, providing picnics, walks, and casual sports opportunities. However, those seeking a more diverse range of entertainment options may need to explore other areas of the city.

Average Home Prices - 8/10

According to Zillow data, the median home price in Oakdale as of 2024 is $220,000, representing a modest 1.8% appreciation rate over the past year. These relatively affordable prices and the neighborhood's stable housing market make it an attractive option for short-term rental investors looking to enter the Grand Rapids market.

Proximity to Work-Related Travel - 7/10

Oakdale is situated just a few miles east of downtown Grand Rapids, providing reasonable access to the city's major employers, hospitals, and convention centers. While not within walking distance, the neighborhood is well-connected by major roadways, making it a convenient location for work-related travel.

X-Factor - 6/10

Oakdale's main appeal lies in its quiet, residential character, which offers visitors a sense of tranquility and safety. The neighborhood's well-maintained homes and friendly community atmosphere create a welcoming environment for guests seeking a more authentic, local experience.

4. Top Place to Invest in Grand Rapids, Michigan - Cutlerville

Cutlerville, a charming suburban community located just south of Grand Rapids, Michigan, has recently emerged as a potential investment opportunity for Airbnb and short-term rental investors. With its family-friendly atmosphere, affordable housing options, and proximity to local attractions, Cutlerville offers a comfortable and convenient base for visitors exploring the greater Grand Rapids area.

Cutlerville Airbnb Market Data:

  • Average Revenue – $31.2K per year
  • Average Daily Rate – $174.6 per night
  • Average Occupancy Rate – 49%
  • Average RevPAR – $85.3

Convenience - 7/10

Cutlerville provides good convenience, with several local shops, restaurants, and services located within the community. The neighborhood also offers easy access to major highways, making reaching other parts of Grand Rapids and beyond simple.

Tourist Attractions - 4/10

As a primarily residential area, Cutlerville itself lacks major tourist attractions. However, the neighborhood's proximity to downtown Grand Rapids and other popular destinations in the region makes it a convenient base for visitors looking to explore the city's many offerings.

Things to Do - 5/10

Cutlerville offers a limited range of activities, primarily focused on outdoor recreation and family-friendly events. The community features several parks, green spaces, and a few local festivals and gatherings throughout the year. Those seeking more diverse entertainment options may need to venture into other parts of Grand Rapids.

Average Home Prices - 9/10

According to Zillow data, the median home price in Cutlerville as of 2024 is $180,000, representing a 2.3% appreciation rate over the past year. These highly affordable prices, combined with the neighborhood's stable housing market and growing popularity, make it an attractive option for investors looking to buy a home and transform it into an Airbnb.

Proximity to Work-Related Travel - 6/10

Cutlerville is located approximately 10 miles south of downtown Grand Rapids, which may be a slight disadvantage for those traveling frequently for work-related purposes. However, the neighborhood's easy access to major highways somewhat mitigates this issue, making it a manageable commute to the city's main business districts, hospitals, and convention centers.

X-Factor - 7/10

Cutlerville's main appeal lies in its family-friendly atmosphere and strong sense of community. The neighborhood's quiet streets, well-maintained homes, and welcoming residents create a safe and comfortable environment for visitors, particularly those traveling with children. This wholesome, suburban charm sets Cutlerville apart from other areas of Grand Rapids.

5. Top Place to Invest in Grand Rapids, Michigan - Bailey's Grove

Bailey's Grove, a picturesque and historic neighborhood nestled in the heart of Grand Rapids, Michigan, has recently captured the attention of Airbnb and short-term rental investors. With its stunning Victorian-era homes, tree-lined streets, and proximity to the city's vibrant downtown, Bailey's Grove offers a unique and charming experience for visitors seeking a taste of Grand Rapids' rich heritage.

Bailey's Grove Airbnb Market Data:

  • Average Revenue – $40.9K per year
  • Average Daily Rate – $254.8 per night
  • Average Occupancy Rate – 44%
  • Average RevPAR – $113.1

Convenience - 8/10

Bailey's Grove boasts excellent convenience, with numerous shops, restaurants, and services located within walking distance of the neighborhood. The area is also well-served by public transportation, making it easy for visitors to explore the city without the need for a car.

Tourist Attractions - 7/10

While Bailey's Grove is a historic attraction, with its beautifully preserved Victorian homes and quaint streets, the neighborhood is also near several notable destinations. These include the Grand Rapids Public Museum, the Gerald R. Ford Presidential Museum, and the Frederik Meijer Gardens & Sculpture Park, all of which are just a short drive away.

Things to Do - 6/10

Bailey's Grove offers a modest range of activities, primarily centered around exploring the neighborhood's historic architecture and enjoying its peaceful residential atmosphere. Visitors can take leisurely walks through the area's tree-lined streets, admire the stunning Victorian homes, and perhaps visit a few local shops and cafes. However, those seeking more diverse entertainment options may need to venture into other parts of Grand Rapids.

Average Home Prices - 5/10

According to Zillow data, the median home price in Bailey's Grove as of 2024 is $450,000, representing a 1.5% appreciation rate over the past year. These relatively high prices and the neighborhood's limited inventory of available properties may present challenges for investors looking to enter the market. However, the area's historic charm and desirable location may justify the higher costs for some buyers.

Proximity to Work-Related Travel - 8/10

Bailey's Grove is situated just a few miles from downtown Grand Rapids, providing easy access to the city's major employers, hospitals, and convention centers. The neighborhood's central location and well-connected public transportation system make it an ideal base for visitors traveling for work-related purposes.

X-Factor - 9/10

Bailey's Grove's primary selling point is its stunning historic architecture and quaint, small-town feel within the larger city of Grand Rapids. The neighborhood's beautifully preserved Victorian homes and peaceful residential atmosphere create a unique and charming environment that appeals to visitors seeking a more authentic and immersive experience. This historic charm and the area's convenient location set Bailey's Grove apart as a highly desirable destination for Airbnb and short-term rental guests.

⚡️
Reveal your property’s rental profitability

Buy this property and list it on Airbnb.