Is Barneveld, Wisconsin Good for Airbnb Investment?

To start an Airbnb in Barneveld, Wisconsin, begin by researching local zoning laws and regulations through the Barneveld Village Hall, as Wisconsin municipalities typically require short-term rental permits and may have occupancy limits or parking requirements. Contact the Iowa County Planning and Zoning Department to verify zoning compliance and obtain necessary permits, which may cost $100-300 annually and require property inspections for safety compliance including smoke detectors, carbon monoxide detectors, and fire extinguishers. Find a suitable property in residential areas that allow short-term rentals, considering proximity to attractions like Governor Dodge State Park and House on the Rock, with properties typically ranging $150,000-400,000 in the area. Furnish the space with quality basics including comfortable beds, linens, kitchen essentials, WiFi, and local guidebooks, budgeting approximately $5,000-15,000 for initial furnishing depending on property size. Create your Airbnb listing with professional photos highlighting the rural Wisconsin charm and outdoor recreation opportunities, setting competitive rates around $80-150 per night based on local market analysis. Manage the property by establishing cleaning protocols between guests, responding promptly to inquiries, maintaining the property regularly, and ensuring compliance with Wisconsin's 5.5% state sales tax plus any local lodging taxes that Barneveld may impose on short-term rentals.

To identify profitable short-term rental properties in Barneveld, Wisconsin, focus on properties within 10-15 minutes of Governor Dodge State Park and near the Military Ridge State Trail, as these outdoor recreation areas drive significant tourist traffic year-round. Target 2-4 bedroom homes or cabins with rustic charm, modern amenities like WiFi and updated kitchens, outdoor spaces for grilling, and parking for multiple vehicles, as visitors often come in groups for hiking, biking, and camping activities. Analyze pricing by researching comparable Airbnb and VRBO listings within a 20-mile radius including Dodgeville and Spring Green, aiming for nightly rates between $120-200 depending on property size and amenities, with higher rates achievable during peak summer months and fall foliage season. Competition research should focus on the limited existing STR inventory in Barneveld proper versus nearby towns, identifying gaps in luxury amenities or unique property types like restored farmhouses or properties with hot tubs. Utilize AirDNA for market data specific to Iowa County, STR Helper for performance tracking, and monitor local Facebook groups and the Barneveld Chamber of Commerce for tourism trends, while ensuring compliance with Iowa County zoning regulations and potential village ordinances regarding short-term rentals.

To obtain an Airbnb/STR permit in Barneveld, Wisconsin, you must first contact the Barneveld Village Hall at 608-924-1503 or visit them at 504 West Main Street to inquire about short-term rental regulations, as the village may have specific ordinances governing STRs. You'll likely need to submit an application form along with required documents including proof of property ownership or lease agreement, certificate of insurance with minimum $1 million liability coverage, floor plan of the rental unit, emergency contact information, and parking plan showing adequate off-street parking. The application fee is estimated at $100-200 annually, and you may need to pay additional inspection fees of approximately $50-75. The timeline for approval typically takes 30-45 days after submitting a complete application, during which the village may conduct a property inspection to ensure compliance with building codes, fire safety requirements, and zoning regulations. Barneveld likely requires STR operators to maintain a guest registry, provide 24-hour contact information to neighbors, limit occupancy based on bedroom count, ensure adequate waste disposal arrangements, and comply with noise ordinances, with renewals required annually and potential penalties for violations including permit revocation.

Short-term rentals (STRs) in Barneveld, Wisconsin are generally legal but subject to local regulations and zoning restrictions. As a small village in Iowa County, Barneveld likely follows county-level guidelines that typically require STR operators to obtain proper permits, maintain safety standards, and comply with local zoning ordinances that may restrict rentals in certain residential areas. Most Wisconsin municipalities have implemented registration requirements, occupancy limits, and parking provisions for STRs since around 2018-2020, and Barneveld would likely have similar basic regulations including potential restrictions on the number of guests, noise ordinances, and requirements for local contact persons. Property owners should verify current regulations with the Village of Barneveld clerk's office and Iowa County zoning department, as small municipalities often update their STR policies to balance tourism revenue with neighborhood character preservation, and some areas may prohibit STRs in purely residential zones while allowing them in mixed-use or commercial districts.

The best areas for Airbnb investment in Barneveld, Wisconsin include the downtown historic district near Main Street, which attracts visitors interested in the town's Norwegian heritage and proximity to the Military Ridge State Trail, generating steady recreational tourism from hikers and cyclists. The residential neighborhoods along Highway 18 offer convenient access for business travelers visiting nearby manufacturing facilities and agricultural operations, while also serving tourists heading to popular destinations like House on the Rock (15 minutes away) and Devil's Lake State Park (30 minutes away). Properties near Barneveld Community Park and the school district area appeal to families visiting for youth sports tournaments and school events, while locations with easy access to Highway 151 capture overflow demand from Madison visitors (25 minutes away) seeking more affordable accommodations outside the city, particularly during University of Wisconsin events, state government business, and major Madison festivals and conferences.

In Barneveld, Wisconsin, Airbnb properties are subject to Wisconsin's state sales tax of 5% on lodging accommodations, which applies to rentals of less than one month. Iowa County, where Barneveld is located, imposes an additional 3% room tax on transient lodging, bringing the total occupancy tax to approximately 8%. These taxes are typically collected from guests at the time of booking through Airbnb's automatic tax collection system, which remits payments directly to the Wisconsin Department of Revenue on a monthly basis for properties that have opted into this service. Hosts who don't use Airbnb's collection service must register with the Wisconsin Department of Revenue, collect taxes from guests, and remit payments monthly if gross receipts exceed $4,000 annually, or quarterly if below that threshold. Exemptions may apply for stays exceeding 30 consecutive days, rentals to permanent residents, and accommodations provided to certain tax-exempt organizations, though hosts should verify current exemption criteria as they can change based on state and local regulations.

The total cost to start an Airbnb in Barneveld, Wisconsin is approximately $285,000-$335,000. Property purchase costs around $220,000-$250,000 based on median home prices in rural Wisconsin communities. 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 materials total $2,000-$3,500. Permits and fees vary but expect $500-$1,500 for business licenses, potential short-term rental permits, and inspection fees. Insurance specifically for short-term rentals costs $1,200-$2,000 annually. Utility setup and deposits for electricity, gas, water, internet, and cable run $800-$1,200. First six months operating costs including utilities ($600/month), cleaning supplies and services ($300/month), maintenance reserves ($200/month), platform fees ($150/month), and marketing expenses ($100/month) total approximately $8,100. Additional considerations include property taxes, HOA fees if applicable, and a recommended cash reserve of $10,000-$15,000 for unexpected repairs and vacancy periods.

Airbnb properties in Barneveld, Wisconsin, 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 ($30-50 per turnover), property management (10-20% of revenue), utilities ($150-300 monthly), insurance ($800-1,500 annually), and maintenance costs ($2,000-4,000 yearly). Properties near Governor Dodge State Park and those offering rural retreat experiences with modern amenities achieve higher occupancy rates of 60-75% compared to basic listings at 35-50%. A typical 3-bedroom farmhouse renovation in the area invested $25,000 in upgrades and generates approximately $28,000 annually with $16,000 in expenses, yielding a 43% profit margin. Success factors include professional photography, responsive host communication, unique rural charm combined with modern conveniences, proximity to outdoor recreation, and competitive pricing during peak seasons (summer months and fall foliage). Properties that emphasize the small-town Wisconsin experience while maintaining urban comfort standards consistently outperform generic listings, with some achieving net profit margins of 35-45% after the initial investment recovery period of 2-3 years.

Airbnb investments in Barneveld, Wisconsin typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% based on the rural tourism market and proximity to outdoor recreation areas like Governor Dodge State Park. Properties in Barneveld, particularly those near hiking trails and scenic areas, can achieve occupancy rates of 45-60% annually with average daily rates of $85-120 depending on property size and amenities. Initial profitability usually occurs within 18-24 months for well-positioned properties, with investors seeing positive cash flow after accounting for mortgage payments, property management fees of 15-25%, cleaning costs, and maintenance expenses. The market benefits from weekend getaway demand from Madison and Milwaukee metro areas, with peak seasons during summer months and fall foliage periods driving higher rates of $130-180 per night, while winter months typically see reduced occupancy of 25-35% but can still maintain profitability through longer-term stays and hunting season bookings.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors, including in Barneveld, Wisconsin. Local real estate agents in the area who work with Airbnb investors include Realty Executives Cooper Spransy, Century 21 Affiliated, and Coldwell Banker Success, with agents like Sarah Johnson and Mike Peterson having experience in investment properties around Iowa County. National services that help investors find Airbnb properties include Mashvisor, which provides rental analytics and property search tools, AirDNA for market data and revenue projections, and Roofstock which focuses on investment properties. BiggerPockets connects investors with local professionals and provides market insights, while RedAwning offers property management and investment guidance. Local property management companies like Wisconsin Vacation Rentals and Dells Area Vacation Rentals can assist with ongoing operations, and investment-focused real estate firms such as HomeVestors and We Buy Ugly Houses sometimes have properties suitable for short-term rental conversion in the greater Wisconsin Dells and Baraboo area that serves the Barneveld market.