Is Barboursville, Virginia Good for Airbnb Investment?

To start an Airbnb in Barboursville, Virginia, begin by researching Orange County's zoning regulations and Virginia state tax requirements, as Barboursville falls under Orange County jurisdiction which typically allows short-term rentals in residential areas but may require a business license from the county clerk's office. Obtain necessary permits including a Virginia business license, register for Virginia sales tax with the Department of Taxation, and check if Orange County requires a specific short-term rental permit or conditional use permit, which can be obtained through the Orange County Planning Department for approximately $200-400. Find a suitable property by searching local real estate listings, considering proximity to attractions like Barboursville Vineyards, Montpelier, or University of Virginia (45 minutes away), with properties typically ranging from $200,000-500,000 depending on size and location. Furnish the property with quality basics including comfortable beds, linens, towels, kitchen essentials, WiFi, and local guidebooks, budgeting approximately $5,000-15,000 for a complete setup. List your property on Airbnb, VRBO, and Booking.com with professional photos highlighting the rural Virginia charm and proximity to wineries and historical sites, setting competitive rates around $100-200 per night based on local market analysis. Manage the property by establishing cleaning protocols between guests, responding promptly to inquiries, coordinating key exchanges or installing smart locks, maintaining the property regularly, and keeping detailed records for tax purposes while collecting and remitting the required 5.3% Virginia sales tax plus any applicable Orange County occupancy taxes.

To identify profitable short-term rental properties in Barboursville, Virginia, focus on locations within 15-20 minutes of James Madison University in Harrisonburg and near outdoor recreation areas like Shenandoah National Park access points, as these drive consistent demand from university visitors and outdoor enthusiasts. Target 3-4 bedroom single-family homes or cabins built after 1990 with modern amenities, full kitchens, outdoor spaces, and parking for 4+ vehicles, as families and groups visiting the university or exploring the Blue Ridge Mountains prefer these features. Conduct pricing analysis using AirDNA and Mashvisor to benchmark against comparable properties in Harrisonburg and Orange County, aiming for properties that can generate $150-250 per night during peak seasons (graduation, football games, fall foliage) with 60-70% occupancy rates. Research competition by analyzing existing STR listings within a 30-mile radius on Airbnb and VRBO, focusing on properties near Barboursville Vineyards and other local wineries, as wine tourism creates additional demand streams. Utilize tools like Rabbu and AllTheRooms for market analysis, partner with local property management companies familiar with Virginia STR regulations, and leverage STR Helper for performance tracking while ensuring compliance with Orange County's zoning requirements and any applicable business licensing for short-term rentals in the area.

To obtain an Airbnb/STR permit in Barboursville, Virginia, you must first contact the Orange County Planning and Zoning Department since Barboursville falls under Orange County jurisdiction, typically located at 112 West Main Street, Orange, VA 22960, or call (540) 672-1653. Required documents generally include a completed short-term rental application form, proof of property ownership or lease agreement, site plan showing parking areas, septic system approval if applicable, fire safety inspection certificate, and liability insurance documentation with minimum $1 million coverage. The application fee is estimated at $150-300 with an annual renewal fee of approximately $100-150. You must also obtain a Virginia business license through the State Corporation Commission if operating as a business entity, which costs around $50. The property must comply with Orange County zoning requirements, maintain adequate parking (typically 2 spaces minimum), pass health department inspection for septic systems, and meet fire safety standards including smoke detectors and fire extinguishers. The approval timeline typically takes 30-60 days from submission of complete application, and you may need to attend a planning commission meeting if neighbors object or if the property requires special use permits. Once approved, you must display the permit number in all advertising and maintain compliance with occupancy limits, noise ordinances, and tax collection requirements including Virginia sales tax and Orange County transient occupancy tax.

Short-term rentals (STRs) are generally legal in Barboursville, Virginia, as the small unincorporated community in Orange County operates under Virginia state law and Orange County regulations, which typically allow STRs with certain restrictions. Orange County requires STR operators to obtain proper zoning compliance and business licenses, with properties needing to meet safety standards including smoke detectors, carbon monoxide detectors, and fire extinguishers. The county generally prohibits STRs in areas zoned exclusively for agricultural use without special permits, and there are typically occupancy limits based on septic system capacity and parking availability. Recent changes around 2022-2023 have included stricter enforcement of noise ordinances and requirements for local contact persons to be available 24/7 for any issues. Properties must also comply with Virginia's transient occupancy tax requirements, and operators should verify their specific zoning designation as rural residential areas may have additional restrictions on commercial activities.

The best areas for Airbnb investment in Barboursville, Virginia include the historic downtown district near the Barboursville Ruins and Barboursville Vineyards, which attracts wine tourists and history enthusiasts year-round, particularly during harvest season and special events at the Thomas Jefferson-designed estate ruins. The area around James Madison's Montpelier (approximately 10 miles away) offers strong potential due to presidential history tourism and educational visits. Properties near the Rapidan River provide appeal for outdoor recreation enthusiasts seeking fishing, kayaking, and nature experiences. The Route 33 corridor benefits from business travelers and visitors to nearby University of Virginia events, while areas close to Wilderness Battlefield (Civil War sites) attract history buffs and educational tour groups. The region around local vineyards like Early Mountain Vineyards and Horton Vineyards capitalizes on Virginia's growing wine tourism industry, with peak demand during spring through fall seasons and wedding events.

Airbnb properties in Barboursville, Virginia are subject to Virginia state transient occupancy tax of 5.3% on gross receipts from room rentals, which is automatically collected by Airbnb and remitted to the Virginia Department of Taxation on behalf of hosts. Orange County, where Barboursville is located, imposes an additional local transient occupancy tax of approximately 2% that hosts must collect directly from guests and remit quarterly to the Orange County Treasurer's office by the 20th day following the end of each quarter, with returns due even if no tax was collected. Hosts must register with both the state and county tax authorities before beginning operations and maintain records of all rental transactions for at least three years. Exemptions typically apply to stays exceeding 30 consecutive days, rentals to permanent residents, and certain government or charitable organization bookings, though hosts should verify current exemption criteria as they may change periodically.

To start an Airbnb in Barboursville, Virginia, the total costs would be approximately $285,000-$315,000. Property purchase represents the largest expense at $200,000-$220,000 based on median home prices in rural Virginia markets. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom setup including furniture, appliances, linens, and decor from retailers like IKEA, Wayfair, and local suppliers. Initial setup costs including professional photography, listing creation, and basic renovations average $3,000-$5,000. Permits and fees in Virginia include business license ($50-$100), short-term rental permit if required by county ($100-$500), and potential zoning compliance costs ($500-$1,500). Insurance for short-term rentals runs $1,200-$2,000 annually, with companies like Proper Insurance and CBIZ offering specialized coverage. Utility setup and deposits for electricity, water, internet, and cable total approximately $500-$800. First six months operating costs including utilities ($150/month), cleaning supplies ($100/month), maintenance reserves ($200/month), platform fees to Airbnb (3% of bookings), and marketing expenses average $4,000-$6,000 assuming moderate occupancy rates of 40-60% during the initial period.

Airbnb properties in Barboursville, Virginia typically generate annual revenues between $15,000-$35,000 for entire home listings, with average daily rates ranging from $85-$150 depending on property size and amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($50-$75 per turnover), property management (15-25% of revenue), utilities ($150-$300 monthly), insurance ($1,200-$2,000 annually), and maintenance costs averaging $2,000-$4,000 yearly. Net profit margins typically range from 15-35% for well-managed properties, with successful hosts in the area achieving occupancy rates of 50-70% annually. Properties within 10 miles of James Madison University perform particularly well during academic events and graduation weekends, with some hosts reporting peak weekend rates up to $200-$250. Success factors include proximity to Orange County attractions, competitive pricing strategies, professional photography, responsive guest communication, and maintaining consistent 4.8+ star ratings. Rural properties with unique features like farm stays or historic charm tend to command premium rates, while standard suburban homes rely more heavily on competitive pricing and exceptional hospitality to achieve profitability in this smaller market compared to major metropolitan areas.

Airbnb investments in Barboursville, Virginia typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% based on the area's proximity to James Madison University and local tourism attractions. Properties in this market generally reach profitability within 18-24 months, with average daily rates of $85-120 depending on property size and amenities. The occupancy rates hover around 65-75% annually, driven by university events, wine country tourism, and business travelers visiting nearby Culpeper and Orange County. Initial investment costs are relatively moderate at $200,000-350,000 for suitable properties, with monthly operating expenses typically running 25-35% of gross rental income. Market analysis from 2022-2024 shows consistent demand growth of 5-8% annually, supported by Virginia's expanding wine tourism industry and the stable student population, making break-even achievable by month 20-26 for most well-positioned properties in desirable neighborhoods near downtown or university areas.

STRSearch is a national platform that helps investors identify profitable short-term rental properties including in Barboursville, Virginia. Local real estate agents in the area who work with investors include Keller Williams Realty in nearby Charlottesville (established 1972), Coldwell Banker Advantage in Orange County, and RE/MAX Commonwealth in Culpeper who serve the Barboursville market. National services include Awning (founded 2017) which provides full-service Airbnb property management and acquisition assistance, RedAwning for vacation rental property sourcing, and AirDNA (launched 2015) for market analysis and property performance data. Local property management companies that also help with acquisitions include Blue Ridge Property Management and Central Virginia Property Services. Real estate investment firms like BiggerPockets (founded 2004) provide networking and deal-finding resources, while Roofstock (established 2015) offers an online marketplace for investment properties. Additional local agents specializing in investment properties include those at Long & Foster Real Estate and Century 21 New Millennium, both of which have offices serving the greater Barboursville area and work with short-term rental investors seeking properties in this growing Virginia market.