Tiny House as Holiday Home: Is It a Good Investment?

Tiny houses aren't just a lifestyle – they're a smart investment. More and more people are using tiny houses as holiday rentals, creating attractive side income. Let's crunch the numbers.

Why Tiny House Holiday Rentals Are Booming

Guests are looking for:

• Unique experiences over standard hotel rooms
• Nature-close living — tiny houses often sit in stunning locations
• Sustainable travel — conscious consumption is trending
• Instagram factor — a tiny house in nature is content gold

On platforms like Airbnb and Booking.com, tiny houses are among the fastest-growing accommodation categories.

ROI Calculation: A Realistic Example

Investment

| Item | Cost | |------|------| | Tiny House (Berghaus Taunus, ~20 m²) | €59,000 | | Plot/pitch (annual lease) | €3,600 | | Foundation & connections | €4,000 | | Furnishing & equipment | €5,000 | | Total investment | €71,600 |

Revenue (Conservative Estimate)

| Factor | Value | |--------|-------| | Nightly rate | €95/night | | Occupancy | 55% (200 nights/year) | | Gross annual revenue | €19,000 | | Cleaning fees (50×) | +€2,500 | | Total annual revenue | €21,500 |

Running Costs

| Item | Annual | |------|--------| | Plot/lease | €3,600 | | Utilities | €2,400 | | Cleaning | €3,000 | | Insurance | €600 | | Platform fees (15%) | €3,225 | | Maintenance | €1,000 | | Total running costs | €13,825 |

Result

| | | |-|-| | Annual revenue | €21,500 | | Running costs | -€13,825 | | Annual profit (pre-tax) | €7,675 | | Return on investment | 10.7% | | Payback period | ~9 years |

With prime locations and higher occupancy (70%+), returns improve to 15%+ with payback under 7 years.

Best Locations

Germany

• Baltic & North Sea coast: Year-round demand
• Mecklenburg Lake District: Nature idyll, rising demand
• Black Forest: Hiking tourism, internationally known
• Harz Mountains: Up-and-coming, affordable land
• Bavarian Alps: Premium segment

Europe

• Netherlands: Strong tiny house culture, high rental prices
• Scandinavia: Nature tourism, premium segment
• Austria/Switzerland: Alpine tourism, high-value market

What Guests Love

For maximum ratings and occupancy:

• ☐ Quality kitchen with dishwasher
• ☐ Rain shower and good bathroom
• ☐ Terrace or veranda
• ☐ Smart home — contactless check-in, smart lighting
• ☐ Hotel-quality bedding
• ☐ Fast, reliable WiFi
• ☐ Outdoor area — fire pit, hammock, seating

Berghaus for Investors

We've built multiple tiny houses for rental operators and understand the requirements:

• Robust materials for frequent tenant turnover
• Easy-care surfaces — minimal maintenance, quick cleaning
• Smart home integration for remote management
• Standardised equipment for efficient reordering

Interested? Let's talk about your project — we'll advise on model, equipment, and location.