Is Augusta, Kansas Good for Airbnb Investment?

To start an Airbnb in Augusta, Kansas, begin by researching local zoning laws and regulations through the Augusta City Hall at 1010 State Street, as Augusta currently has minimal specific short-term rental regulations but requires compliance with general business licensing and safety codes. Obtain a Kansas business license through the Kansas Secretary of State website and check with Butler County for any additional permits, while ensuring your property meets fire safety codes and has proper smoke detectors and carbon monoxide detectors as required by Kansas state law. Find a suitable property in Augusta's residential areas, focusing on neighborhoods near the Augusta Country Club or downtown area for better guest appeal, ensuring the property allows short-term rentals according to any HOA agreements or lease terms. Furnish the space with essential amenities including comfortable bedding, basic kitchen supplies, Wi-Fi, and local Augusta guidebooks highlighting attractions like the Augusta Historical Museum and nearby El Dorado State Park. Create your listing on Airbnb and other platforms like VRBO, using high-quality photos and highlighting Augusta's proximity to Wichita (20 miles) and local attractions, setting competitive rates based on similar properties in the Wichita metro area (typically $60-120 per night in 2024). Manage your property by establishing cleaning protocols, coordinating with local cleaning services in Augusta, implementing a digital check-in system, and maintaining responsive communication with guests while monitoring reviews and adjusting your approach based on feedback and seasonal demand patterns in the Kansas market.

To identify profitable short-term rental properties in Augusta, Kansas, focus on locations near McConnell Air Force Base, downtown Augusta, and recreational areas like Augusta Country Club and El Dorado State Park within 15 miles, as military personnel and visitors to nearby Wichita create steady demand. Target 2-4 bedroom single-family homes or duplexes built after 1980 with modern amenities, full kitchens, parking, and outdoor spaces, priced between $80,000-$180,000 to ensure positive cash flow when charging $75-$150 nightly rates. Analyze comparable properties on Airbnb and VRBO within a 10-mile radius, noting that Augusta has limited STR competition compared to Wichita, creating opportunities for well-positioned properties. Research local regulations through Butler County and Augusta city offices, as Kansas generally has favorable STR laws, and use tools like AirDNA for market data, Mashvisor for investment analysis, and STR Helper for performance tracking. Consider properties near Highway 54 for easy access to Wichita's attractions while offering small-town charm, and factor in Augusta's growing population and proximity to major employers like Spirit AeroSystems and Textron Aviation when evaluating long-term rental potential as a backup strategy.

To obtain an Airbnb/STR permit in Augusta, Kansas, contact the Augusta City Hall at 1415 W 6th Avenue or call (316) 775-4444 to inquire about short-term rental licensing requirements, as Augusta may require a business license and zoning compliance verification. Submit an application for a business license (approximately $25-50 fee), provide proof of property ownership or lease agreement, certificate of insurance with minimum $1 million liability coverage, floor plan of the rental unit, and completed safety inspection checklist including smoke and carbon monoxide detectors. The city may require a zoning permit (additional $50-75 fee) to ensure the property is in an area that allows short-term rentals, and you'll need to register with the Kansas Department of Revenue for state tax collection purposes. The approval process typically takes 2-4 weeks after submitting all required documents, and you must also comply with any homeowners association rules and obtain a Kansas sales tax permit for collecting and remitting state and local taxes on rental income, with annual renewal required for most permits.

Short-term rentals (STRs) are generally legal in Augusta, Kansas, as the city has not implemented specific prohibitive ordinances against vacation rental properties as of 2023. However, STR operators must comply with standard zoning regulations, business licensing requirements, and health and safety codes that apply to all rental properties in the city. Properties used as short-term rentals are typically subject to the same occupancy limits, parking requirements, and noise ordinances as other residential uses, and operators may need to obtain a general business license from the city. Augusta follows Kansas state laws regarding rental properties, which means STRs must meet basic habitability standards and fire safety requirements. While there are no specific prohibited areas designated solely for STR restrictions, properties must operate within their designated zoning classifications, meaning STRs in residential zones must maintain the character of the neighborhood and cannot operate as commercial hotels. Recent legal changes have been minimal, with Augusta taking a relatively hands-off approach compared to larger Kansas cities, though property owners should verify current business licensing requirements and ensure compliance with any homeowners association rules that may restrict short-term rental activities.

The best areas for Airbnb investment in Augusta, Kansas include the downtown historic district near Augusta Historical Museum and the Garvin Park area, which attract visitors interested in local history and community events like the annual Augusta Days festival. The neighborhoods surrounding Augusta Country Club offer appeal to golf enthusiasts and business travelers visiting local manufacturing facilities including Spirit AeroSystems suppliers. Areas near the Arkansas River provide scenic locations that draw outdoor recreation tourists for fishing, boating, and the annual Walnut River Festival. The residential districts along Highway 254 corridor benefit from proximity to both Wichita's business district (20 minutes away) and local attractions, making them ideal for extended business stays and weekend getaways. Properties near Augusta High School and the civic center capture demand during sports tournaments, graduation events, and community gatherings throughout the year.

In Augusta, Kansas, Airbnb properties are subject to the state transient guest tax of 6% on gross receipts from lodging rentals of less than 28 consecutive days, which is collected by the Kansas Department of Revenue. Additionally, Augusta imposes a local transient guest tax of approximately 2-3% on short-term rental accommodations, bringing the total occupancy tax burden to around 8-9%. These taxes are typically collected from guests at the time of booking through Airbnb's automated tax collection system for participating jurisdictions, though hosts may need to register directly with the Kansas Department of Revenue and remit taxes quarterly if automatic collection is not available. The state requires hosts to obtain a transient guest tax account number and file returns by the 25th of the month following each quarter, while local taxes may require separate registration with Augusta city offices. Exemptions generally apply to rentals exceeding 28 consecutive days, government employees on official business, and certain nonprofit organization stays, though hosts must maintain proper documentation to claim these exemptions.

To start an Airbnb in Augusta, Kansas, the total initial costs would be approximately $185,000-$220,000. Property purchase represents the largest expense at $140,000-$160,000 based on median home prices in Augusta. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom property including furniture, appliances, linens, and decor. Initial setup costs including professional photography, listing creation, and basic renovations average $3,000-$5,000. Permits and fees in Kansas generally cost $500-$1,500 including business licenses and short-term rental permits where required. Insurance premiums for short-term rental coverage run $1,200-$2,000 annually, with the first year paid upfront. Utility deposits and connections typically cost $500-$800 initially. First six months operating costs including utilities ($150/month), cleaning supplies ($100/month), maintenance reserves ($200/month), platform fees (3% of bookings estimated at $300/month), and marketing expenses ($100/month) total approximately $4,500-$5,100. Property management software and smart locks add another $500-$800 in initial technology costs.

Airbnb properties in Augusta, Kansas typically generate modest returns with average daily rates ranging from $45-75 for entire homes and $25-40 for private rooms, resulting in monthly revenues of $800-1,500 for well-managed properties with 60-70% occupancy rates. Operating expenses generally consume 40-50% of gross revenue, including cleaning fees ($30-50 per turnover), utilities ($80-120 monthly), property management (15-25% if outsourced), insurance ($200-400 annually), and maintenance costs averaging $100-200 monthly. Successful properties in Augusta's market often cater to business travelers visiting local manufacturing facilities like Textron Aviation or families attending events at nearby attractions, with profit margins typically ranging from 15-25% after all expenses. Properties within 10 miles of Wichita tend to perform better due to proximity to the larger metropolitan area, while those offering unique amenities like hot tubs or pet-friendly accommodations can command premium rates of $80-100 per night. The relatively low property acquisition costs in Augusta (median home prices around $120,000-180,000) create favorable cash-on-cash returns of 8-15% for investors, though seasonal fluctuations and competition from traditional hotels in nearby Wichita can impact consistency, making location selection and property differentiation critical success factors in this secondary market.

Airbnb investments in Augusta, Kansas typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, depending on property type and location within the city. Single-family homes near McConnell Air Force Base and downtown Augusta tend to perform better, with investors seeing profitability within 18-24 months of initial investment. The market benefits from consistent demand from military personnel, Boeing employees, and visitors to nearby Wichita, with average daily rates of $75-95 and occupancy rates of 65-75% annually. Properties purchased in the $80,000-120,000 range with renovation budgets of $15,000-25,000 typically achieve gross rental yields of 12-15% before expenses, translating to net returns of 8-12% after accounting for cleaning, maintenance, insurance, and platform fees.

STRSearch is a national platform that helps investors identify profitable short-term rental properties across markets including Augusta, Kansas. Local real estate agents in Augusta who work with investors include Coldwell Banker Hedrick Realty, RE/MAX Associates, and Century 21 Wilson & Associates, with agents like those at Weichert Realtors specializing in investment properties. National services include Awning (formerly RedAwning) which provides market analysis and property management, Mashvisor for rental property analytics, AirDNA for short-term rental data analysis, and BiggerPockets for investor networking and deal sourcing. Local property management companies such as Kansas Property Management and Sunflower State Property Management offer Airbnb management services, while national companies like AvantStay, RedAwning, and Vacasa provide full-service short-term rental management. Additional services include SmartBnB for automation, PriceLabs for dynamic pricing, and local contractors and interior designers who specialize in short-term rental property preparation and staging in the Augusta area.