Is Carthage, Missouri Good for Airbnb Investment?

To start an Airbnb in Carthage, Missouri, begin by researching local zoning laws and regulations through the Carthage City Planning Department, as Missouri generally allows short-term rentals but individual municipalities may have specific requirements including business licenses, occupancy permits, and tax registration with the Missouri Department of Revenue for state and local lodging taxes (typically 4.225% state sales tax plus local taxes). Contact Carthage City Hall at 402 S. Garrison Avenue to obtain necessary permits including a business license (approximately $25-50 annually) and ensure your property meets fire safety codes and building requirements. Find a suitable property by researching Carthage's popular areas near Precious Moments Park, downtown historic district, or near major employers like Leggett & Platt, considering properties with 2-3 bedrooms that can accommodate families visiting local attractions. Furnish the space with quality basics including comfortable beds, linens, towels, kitchen essentials, WiFi, and local guidebooks featuring Carthage Civil War Museum and Maple Leaf Cemetery. Create your Airbnb listing with professional photos highlighting unique features, set competitive pricing based on local market rates (typically $60-120 per night in Carthage), and emphasize proximity to Route 66 attractions and Joplin (20 minutes away). Manage your property by establishing cleaning protocols between guests, maintaining responsive communication, coordinating with local cleaning services, and ensuring compliance with ongoing tax obligations to both Missouri Department of Revenue and Jasper County for property taxes while monitoring any evolving city ordinances specific to short-term rentals.

To identify profitable short-term rental properties in Carthage, Missouri, focus on locations within 2-3 miles of Precious Moments Park and Chapel, the city's primary tourist attraction, as well as properties near Missouri Southern State University for visiting families and university events. Target 2-4 bedroom single-family homes or duplexes built after 1980 with modern amenities, full kitchens, parking, and outdoor spaces, as these appeal to families visiting the area's attractions. Analyze pricing by researching comparable STRs on Airbnb and VRBO in the $75-150 nightly range, considering Carthage's median home values around $85,000-120,000 make acquisition costs relatively low. Competition research reveals limited STR inventory compared to larger Missouri markets, with most existing rentals concentrated near Precious Moments, creating opportunities in underserved neighborhoods like those near Carthage Municipal Golf Course or historic downtown. Utilize AirDNA for market analytics, STR Helper for revenue projections, and local resources including the Carthage Chamber of Commerce for tourism data, Carthage Convention and Visitors Bureau for event calendars, and MLS systems through local realtors familiar with investment properties, while monitoring seasonal demand patterns tied to Precious Moments events, MSSU academic calendar, and regional festivals that drive occupancy rates typically ranging 45-65% annually in this secondary market.

To obtain an Airbnb/STR permit in Carthage, Missouri, contact the Carthage City Clerk's office at City Hall located at 402 South Garrison Avenue or call (417) 237-7040 to begin the application process. You'll need to submit a completed short-term rental application form, provide proof of property ownership or lease agreement, submit a site plan showing the property layout, obtain a certificate of occupancy if required, and provide proof of liability insurance with minimum $1 million coverage. The application fee is typically around $100-150 with an annual renewal fee of approximately $75-100. Required documents include a valid Missouri business license, fire safety inspection certificate, and neighbor notification forms signed by adjacent property owners within 200 feet. Carthage requires STR properties to maintain off-street parking for each bedroom, limit occupancy to 2 people per bedroom plus 2 additional guests, and designate a local contact person available 24/7 for noise or emergency issues. The approval timeline is generally 30-45 days after submitting a complete application, and properties must pass city inspections for safety and zoning compliance before permits are issued, with annual renewals required by December 31st each year.

Short-term rentals (STRs) in Carthage, Missouri operate in a relatively permissive regulatory environment as the city has not enacted comprehensive STR-specific ordinances as of 2024. STRs are generally legal throughout most residential areas of Carthage, though they must comply with existing zoning regulations, building codes, and health department requirements. The city requires STR operators to obtain a business license and collect applicable taxes, including the local lodging tax of approximately 5-7%. There are no specific prohibited areas designated solely for STR restrictions, though properties must conform to their underlying zoning classifications, which may limit commercial activities in certain residential zones. Recent legal changes have been minimal, with the city taking a hands-off approach compared to larger Missouri municipalities like Kansas City or St. Louis that have implemented stricter regulations. Property owners should ensure compliance with fire safety codes, occupancy limits based on septic and water systems, and maintain good neighbor relations, as nuisance complaints can result in business license revocation. The regulatory landscape remains relatively stable with no major pending legislation specifically targeting STRs in Carthage.

The best areas for Airbnb investment in Carthage, Missouri include the Historic Downtown District near the town square, which attracts visitors to the Precious Moments Chapel and Park (established by Samuel Butcher in 1989), the Civil War Museum, and various antique shops and local festivals throughout the year. The Maple Leaf Cemetery area draws genealogy tourists and history buffs visiting the final resting place of Belle Starr, while properties near the Carthage Municipal Golf Course appeal to golf tourism and weekend getaways. The neighborhoods surrounding George Washington Carver National Monument benefit from educational tourism and school groups, and areas close to Missouri Southern State University generate demand from visiting families, prospective students, and academic travelers. The Route 66 corridor through Carthage offers excellent potential due to the steady stream of road trip tourists following the historic highway, particularly near the Boots Court Motel area and other Route 66 landmarks that draw nostalgic travelers year-round.

In Carthage, Missouri, Airbnb hosts are subject to both state and local lodging taxes. The Missouri state sales tax of 4.225% applies to short-term rental accommodations, along with any applicable local sales taxes which typically range from 1-3% in Carthage. Additionally, there is likely a local transient guest tax or lodging tax of approximately 2-5% imposed by the city of Carthage on stays of less than 31 days. These taxes are generally 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 Missouri Department of Revenue and Carthage city offices to ensure compliance. Remittance is typically required monthly or quarterly, with hosts filing returns and paying collected taxes to the appropriate state and local authorities. Exemptions may apply for stays exceeding 30 consecutive days, government employees on official business, and certain nonprofit organizations, though documentation is usually required to qualify for these exemptions.

Starting an Airbnb in Carthage, Missouri requires approximately $180,000-220,000 in total initial investment. Property purchase costs around $120,000-150,000 based on median home prices in the area as of 2023. Furnishing a 2-3 bedroom property typically runs $15,000-25,000 including beds, linens, kitchen essentials, living room furniture, and decor. Initial setup costs including professional photography, listing creation, welcome materials, and basic renovations total approximately $3,000-5,000. Permits and fees vary but expect around $500-1,500 for business licenses, short-term rental permits, and city registration requirements. Insurance including landlord coverage and short-term rental protection averages $2,000-3,000 annually. Utility setup and deposits for electricity, gas, water, internet, and cable run about $500-800 initially. First six months of operating costs including utilities ($300-500/month), cleaning services ($75-100 per turnover), supplies and maintenance ($200-400/month), platform fees (3% of bookings), and marketing total approximately $8,000-12,000, assuming 60-70% occupancy rates and average nightly rates of $80-120 in the Carthage market.

Airbnb properties in Carthage, Missouri typically generate annual revenues between $15,000-$35,000 for whole-home listings, with average daily rates ranging from $65-$120 depending on property size and amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($25-$40 per turnover), utilities ($150-$250 monthly), property management (10-20% of revenue), insurance ($800-$1,500 annually), and maintenance costs ($2,000-$4,000 yearly). Net profit margins typically range from 15-35% for well-managed properties, with higher margins achieved by hosts who self-manage and maintain high occupancy rates of 60-75%. Success factors in this market include proximity to Precious Moments Park and Chapel, competitive pricing during peak tourist seasons (spring through fall), professional photography, responsive guest communication, and maintaining consistent 4.8+ star ratings. Properties within 5 miles of major attractions like the Maple Leaf Cemetery or Route 66 sites command premium rates, while those offering unique amenities such as hot tubs or game rooms can achieve occupancy rates 20-30% higher than basic accommodations. The relatively low property acquisition costs in Carthage ($80,000-$180,000 for investment properties) create favorable cash-on-cash returns of 8-15% for investors who purchase strategically and operate efficiently.

Airbnb investments in Carthage, Missouri typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% based on the local market dynamics. Properties in Carthage, located near Missouri Southern State University and Precious Moments Park, can expect gross rental yields of 10-14% annually, with net returns after expenses settling around 8-11%. The timeframe to profitability is generally 18-24 months, considering initial setup costs, furnishing, and marketing expenses. Carthage's proximity to Joplin and affordable property prices averaging $80,000-$120,000 for investment-suitable homes create favorable conditions for short-term rental investments, with occupancy rates typically running 55-70% annually due to university visitors, business travelers, and tourists visiting local attractions like the Civil War Museum and Maple Leaf Cemetery.

STRSearch is a national platform that helps investors identify profitable short-term rental properties across markets including Carthage, Missouri. Locally, Keller Williams Realty and Century 21 have agents experienced in investment properties who understand the Carthage market dynamics. RE/MAX agents in the Joplin-Carthage area often work with investors seeking vacation rental opportunities. National services like BiggerPockets connects investors with local professionals, while Mashvisor provides market analysis for short-term rental investments in smaller Missouri markets. AirDNA offers data analytics specifically for Airbnb market performance in Carthage and surrounding areas. Local property management companies such as Ozark Mountain Property Management can assist with both acquisition and ongoing rental management. RedAwning and Vacasa provide national short-term rental management services that extend to Missouri markets. Real estate investment firms like HomeVestors may have local representatives who understand the Carthage investment landscape. Additionally, local mortgage brokers and real estate attorneys familiar with investment properties can facilitate the purchasing process for Airbnb investments in the Carthage area.