Is Amesbury, Massachusetts Good for Airbnb Investment?

To start an Airbnb in Amesbury, Massachusetts, begin by researching local zoning laws and regulations through the Amesbury Planning Department, as the city requires short-term rental operators to obtain a business license and comply with residential zoning restrictions that typically limit rentals to owner-occupied properties or specific districts. Contact Amesbury City Hall at 978-388-8100 to obtain the necessary business license (approximately $50-100 annually) and ensure your property meets fire safety codes, including smoke and carbon monoxide detectors in all sleeping areas. Find a suitable property by searching MLS listings through local realtors like Coldwell Banker or RE/MAX offices in the Merrimack Valley area, focusing on properties near downtown Amesbury's historic district or within walking distance of attractions like the Powwow River. Furnish the space with quality basics from nearby stores like Home Depot in Seabrook, New Hampshire (10 minutes away) or Target in Newburyport, ensuring you include essentials like linens, towels, kitchen supplies, and WiFi through providers like Comcast Xfinity or Verizon. Create your Airbnb listing with professional photos highlighting Amesbury's charm and proximity to Newburyport, Salisbury Beach, and Boston (45 minutes south), setting competitive rates around $80-150 per night based on local market analysis. Manage your property by establishing relationships with local cleaning services, maintaining 24/7 guest communication, and considering property management companies like Vacasa or RedAwning if you prefer hands-off management, while staying compliant with Massachusetts state tax requirements including the 5.7% state excise tax on short-term rentals.

To identify profitable short-term rental properties in Amesbury, Massachusetts, focus on locations within walking distance of the Powwow River waterfront, historic downtown district, and proximity to major attractions like the Lowell Boat Shop and Amesbury Sports Park, while ensuring easy access to I-495 for guests traveling to nearby Newburyport, Salisbury Beach, or New Hampshire. Target 2-4 bedroom properties built after 1950 with modern amenities, parking for 2+ vehicles, outdoor spaces like decks or patios, and unique features such as historic charm or water views that can command premium rates of $150-300 per night depending on season and size. Conduct pricing analysis using AirDNA and Mashvisor to track seasonal demand patterns, with peak rates during summer months (June-August) when beach tourism drives occupancy to 70-85%, and adjust for shoulder seasons when rates typically drop 20-30%. Research competition by analyzing existing STR listings within a 2-mile radius, identifying gaps in amenities or property types, and monitoring successful hosts' pricing strategies and guest reviews to understand market positioning. Utilize tools like Rabbu for Amesbury-specific market data, connect with local real estate agents familiar with STR regulations, consult the Amesbury Planning Department for zoning compliance, and leverage STR-specific platforms like Awning or Roofstock for investment analysis while monitoring local Facebook groups and the Amesbury Chamber of Commerce for market insights and networking opportunities.

To obtain an Airbnb/STR permit in Amesbury, Massachusetts, you must first contact the Amesbury Building Department at City Hall located at 62 Friend Street to apply for a short-term rental license, which typically requires submitting a completed application form, proof of property ownership or lease agreement, floor plans of the rental unit, certificate of occupancy, proof of liability insurance (minimum $1 million coverage), fire safety inspection certificate from the Amesbury Fire Department, and a site plan showing parking availability. The application fee is approximately $200-300 with annual renewal fees of $150-250, and you must also register with the Massachusetts Department of Revenue for state taxes and obtain a business certificate from the City Clerk's office if operating as a business entity. Amesbury requires STR properties to maintain adequate off-street parking (typically one space per bedroom), comply with occupancy limits based on septic system capacity and square footage, install smoke and carbon monoxide detectors in all sleeping areas, provide emergency contact information to neighbors, and maintain quiet hours from 10 PM to 8 AM. The approval process typically takes 4-8 weeks depending on inspection scheduling and document completeness, with properties subject to annual inspections by both building and fire departments, and operators must collect and remit the 6.5% Massachusetts short-term rental excise tax plus local room occupancy tax of 4-6%.

Short-term rentals (STRs) are legal in Amesbury, Massachusetts, but operate under state regulations and local oversight as of 2024. Massachusetts legalized STRs statewide in 2019 with the passage of comprehensive legislation that took effect in 2019-2020, requiring operators to register with the state, collect occupancy taxes, and maintain liability insurance. In Amesbury, STR operators must comply with state requirements including registration through the Massachusetts Department of Revenue, payment of the 5.7% state excise tax plus applicable local taxes, and adherence to safety standards including smoke and carbon monoxide detectors. The city has the authority to impose additional local regulations such as noise ordinances, parking requirements, and occupancy limits, though specific local restrictions vary by zoning district. Recent changes include stricter enforcement of tax collection and registration requirements, with the state maintaining a public registry of all legal STR operators. Properties in residential zones may face additional scrutiny regarding neighborhood compatibility, and operators must ensure compliance with both state health and safety codes and local zoning regulations to maintain legal operation status.

The most promising Airbnb investment areas in Amesbury, Massachusetts include the Historic Downtown District near Main Street, which attracts visitors interested in colonial architecture, antique shops, and walkable access to restaurants and the Powwow River waterfront. The Salisbury Beach border area offers strong summer rental potential due to proximity to this popular coastal destination, drawing beach-goers who prefer quieter accommodations away from the crowded beachfront hotels. The Lake Gardner neighborhood provides year-round appeal for guests seeking peaceful lakeside retreats while remaining close to I-495 for easy access to Boston (45 minutes) and Portsmouth, New Hampshire, making it attractive for both leisure travelers and business visitors to the greater Merrimack Valley region. Properties near the Amesbury Industrial Park and Route 110 corridor capture business travelers visiting local manufacturing companies like Coca-Cola bottling facilities and other industrial operations, while the residential areas around Powwow Hill offer scenic settings that appeal to leaf-peepers in fall and those attending events at nearby venues like the Blue Ocean Music Hall in Salisbury.

In Amesbury, Massachusetts, Airbnb hosts are subject to multiple lodging taxes including the state excise tax of 5.7% on short-term rentals under 90 days, which is automatically collected by Airbnb and remitted to the Massachusetts Department of Revenue. Additionally, hosts must pay the state's 6.25% sales tax on the total rental amount, also collected by Airbnb for participating properties. At the local level, Amesbury imposes a local option rooms excise tax of approximately 4-6% (estimated based on typical Massachusetts municipalities), which may require separate registration and remittance by hosts directly to the city's tax collector or treasurer's office, typically on a monthly or quarterly basis. The Community Impact Fee, a statewide fee of $2 per night for bookings facilitated by hosting platforms, is collected by Airbnb and distributed to municipalities. Hosts must register with both state and local authorities, obtain necessary permits, and maintain detailed records of all transactions. Exemptions typically apply to rentals exceeding 90 consecutive days, which are considered long-term leases rather than short-term rentals, and properties rented for fewer than 14 days per year may qualify for certain tax exemptions under federal guidelines that some local jurisdictions recognize.

The total cost to start an Airbnb in Amesbury, Massachusetts is approximately $485,000-$520,000. Property purchase costs around $425,000 based on median home prices in the area as of 2023. Furnishing a 2-3 bedroom property requires $15,000-$25,000 for quality furniture, bedding, kitchenware, and decor suitable for short-term rentals. Initial setup costs including professional photography, listing creation, smart locks, and welcome amenities total $2,000-$3,000. Permits and fees in Massachusetts include business registration ($500), potential local licensing fees ($200-$500), and safety inspections ($300-$800). Insurance for short-term rentals costs $2,000-$3,500 annually, significantly higher than standard homeowner's insurance. Utility setup and deposits for electricity, gas, water, internet, and cable total $1,500-$2,000. First six months of operating costs including utilities ($1,800), cleaning services ($3,600), maintenance ($1,500), property management software ($300), and marketing ($800) amount to approximately $8,000. Additional considerations include potential HOA fees, property taxes, and emergency repair funds which could add $10,000-$15,000 to initial capital requirements.

Airbnb properties in Amesbury, Massachusetts typically generate annual revenues between $15,000-$35,000 for single-family homes and $8,000-$18,000 for private rooms, with occupancy rates averaging 45-65% during peak summer months due to proximity to Salisbury Beach and New Hampshire attractions. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($75-$125 per turnover), property management (15-25% of revenue), utilities ($150-$300 monthly), insurance ($800-$1,500 annually), and maintenance costs averaging $2,000-$4,000 yearly. Net profit margins typically range from 15-35% for well-managed properties, with success factors including proximity to Route 95, competitive pricing ($80-$180 nightly for whole homes), professional photography, and targeting visitors to nearby Newburyport, Hampton Beach, and Portsmouth. Properties within walking distance of Lake Gardner or featuring amenities like hot tubs consistently outperform the market, with some hosts reporting 25-40% higher revenues than comparable inland properties. The seasonal nature of the market requires hosts to maximize summer bookings while maintaining competitive winter rates, with successful operators often achieving break-even occupancy rates of 35-45% annually.

Based on Amesbury, Massachusetts market conditions, Airbnb investments typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% depending on property type and location within the town. Properties near the Powow River or historic downtown areas command higher nightly rates of $120-180, while standard residential properties average $80-120 per night with 60-70% occupancy rates during peak summer months and 40-50% during winter. Initial profitability usually occurs within 18-24 months for well-positioned properties, with break-even points accelerated by Amesbury's proximity to Newburyport's tourist attractions and seasonal demand from visitors exploring the North Shore region. Properties requiring significant renovations may extend profitability timelines to 30-36 months, while turnkey investments in desirable neighborhoods near Route 110 or close to local amenities typically achieve positive cash flow within 12-18 months, assuming 20-25% down payments and current mortgage rates around 7-8%.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking in Amesbury, Massachusetts. Local real estate agents like Keller Williams North Shore, Coldwell Banker Realty, and RE/MAX Advantage serve the Amesbury market with expertise in investment properties. National services include AirDNA for market analysis, Mashvisor for property analytics, and BiggerPockets for investor networking and deal sourcing. Regional companies like New England Investment Properties and North Shore Real Estate Investors Group focus on the Massachusetts market. Local property management companies such as Seacoast Property Management and Merrimack Valley Property Services can assist with Airbnb operations. Additional national platforms include Roofstock, which occasionally features short-term rental properties, and RedAwning for vacation rental market insights. Local mortgage brokers like First Ipswich Bank and Institution for Savings provide financing options for investment properties in the Amesbury area, while companies like HostGPO and Awning offer comprehensive Airbnb investment services including property identification, purchase assistance, and management.