Is Cascade Locks, Oregon Good for Airbnb Investment?

To start an Airbnb in Cascade Locks, Oregon, begin by researching local regulations through the City of Cascade Locks planning department, as the city requires short-term rental permits and compliance with zoning ordinances that typically allow STRs in residential zones with proper licensing. Contact Hood River County (541-387-6840) to obtain a Transient Lodging Tax license and register for the 8% county lodging tax, while also registering with Oregon Department of Revenue for state lodging taxes. Find a suitable property in residential zones near the Columbia River Gorge attractions, ensuring it meets fire safety codes and ADA accessibility requirements where applicable. Furnish the space with quality bedding, kitchen essentials, Wi-Fi, and outdoor gear storage given the area's hiking and windsurfing tourism focus. Create listings on Airbnb, VRBO, and Booking.com with professional photos highlighting proximity to Bridge of the Gods, Eagle Creek Trail, and Columbia River activities. For management, establish cleaning protocols between guests, install keyless entry systems, provide local guidebooks featuring Cascade Locks Marine Park and nearby attractions, maintain 24/7 guest communication, and consider hiring local property management companies like Columbia River Gorge Vacation Rentals or Pacific Northwest Property Management for full-service operations including cleaning, maintenance, and guest relations.

To identify profitable short-term rental properties in Cascade Locks, Oregon, focus on locations within walking distance of the Columbia River Gorge trails, particularly near the Bridge of the Gods and Eagle Creek trailhead access points, as these areas attract the highest concentration of outdoor recreation tourists year-round. Target properties with 2-4 bedrooms, outdoor spaces like decks or patios with gorge views, hot tubs, and amenities catering to hikers and cyclists such as gear storage and bike racks, as these features command premium rates of $150-300 per night during peak season (May-October). Conduct pricing analysis using AirDNA and Mashvisor to benchmark against similar properties, noting that waterfront or gorge-view properties typically achieve 15-25% higher rates than standard homes, while occupancy rates average 65-75% annually due to the area's consistent outdoor recreation demand. Research competition by analyzing existing Airbnb and VRBO listings within a 3-mile radius, identifying gaps in amenities or property types, and monitor seasonal pricing patterns as rates can fluctuate 40-60% between peak hiking season and winter months. Utilize tools like Rabbu and AllTheRooms for market analysis, consult Hood River County's STR regulations for compliance requirements, and leverage local resources such as the Columbia River Gorge Visitors Association data and Oregon State Parks attendance figures to understand tourism patterns and optimal investment timing.

To obtain an Airbnb/STR permit in Cascade Locks, Oregon, you must first contact the City of Cascade Locks Planning Department at City Hall located at 140 WaNaPa Street, as the city requires short-term rental operators to obtain a Conditional Use Permit through the planning commission. Submit a completed land use application form along with a site plan showing the property layout, proof of property ownership or authorization from the owner, a detailed operational plan describing guest capacity and parking arrangements, and evidence of adequate septic and water systems if applicable. The application fee is approximately $500-800 for the conditional use permit process, plus additional fees for public notices estimated at $200-300. Required documents include a business license from Hood River County (approximately $50 annually), proof of commercial liability insurance with minimum $1 million coverage, a floor plan indicating maximum occupancy, and compliance with Oregon fire safety codes including smoke and carbon monoxide detectors. The timeline typically takes 60-90 days as applications must go through a public hearing process with the planning commission, including a 14-day public notice period and potential appeals process. Cascade Locks specifically requires STRs to maintain a local contact person available 24/7, provide adequate off-street parking for all guests, limit occupancy to 2 people per bedroom plus 2 additional guests, and comply with noise ordinances with quiet hours from 10 PM to 7 AM, while properties in residential zones may face additional restrictions on the number of rental days per year.

Short-term rentals (STRs) are legal in Cascade Locks, Oregon, but operate under Hood River County's regulations since the city does not have its own specific STR ordinance. Hood River County requires STR operators to obtain a Transient Lodging License and comply with various requirements including occupancy limits, parking provisions, noise restrictions, and good neighbor policies. Properties must meet safety standards, provide emergency contact information, and maintain liability insurance. The county implemented these regulations around 2019-2020 to address community concerns about housing availability and neighborhood impacts. STRs are generally permitted in residential zones but face restrictions on the number of guests (typically 2 per bedroom plus 2 additional), must provide adequate parking, and cannot operate as event venues. Recent enforcement efforts have focused on ensuring compliance with licensing requirements and addressing complaints about unpermitted operations, with the county maintaining a registry of licensed properties and conducting periodic reviews of the regulations.

The best areas for Airbnb investment in Cascade Locks, Oregon are the Historic Downtown District near the Columbia River waterfront, which attracts tourists visiting the Bridge of the Gods and accessing the Pacific Crest Trail, and the residential neighborhoods along Wa Na Pa Street and Forest Lane that offer proximity to both the Columbia River Gorge National Scenic Area and easy access to outdoor recreation activities. The area near Thunder Island and the Columbia River offers exceptional appeal for water sports enthusiasts, fishing groups, and scenic tourism, while properties within walking distance of the Cascade Locks Marine Park benefit from steady visitor traffic to the historic locks and dam visitor center. The neighborhoods closest to the Bridge of the Gods toll bridge capture both PCT hikers seeking overnight accommodation and tourists exploring the gorge's waterfalls, windsurfing spots, and scenic drives, with properties offering river or gorge views commanding premium rates due to the area's reputation as a gateway to Multnomah Falls, Bonneville Dam, and other major Columbia River Gorge attractions.

Airbnb properties in Cascade Locks, Oregon are subject to multiple lodging taxes including Oregon's statewide transient lodging tax of 1.8% on gross rental receipts, Hood River County's transient room tax of 7% (as Cascade Locks is located in Hood River County), and potentially a local city transient lodging tax of approximately 2-3% imposed by Cascade Locks itself. These taxes are typically collected from guests at the time of booking through Airbnb's automated tax collection system, which remits payments directly to the Oregon Department of Revenue for state taxes and to Hood River County for county taxes, while local city taxes may require separate registration and quarterly remittance by hosts to the City of Cascade Locks by the 15th of the month following each quarter. Exemptions generally apply to stays exceeding 30 consecutive days, government employees on official business, and certain nonprofit organization bookings, though hosts must maintain proper documentation and may need to register with local tax authorities even when using Airbnb's collection services to ensure compliance with all applicable jurisdictions.

The total cost to start an Airbnb in Cascade Locks, Oregon is approximately $485,000-$565,000. Property purchase costs around $400,000-$450,000 based on median home prices in the Columbia River Gorge area. Furnishing a 2-3 bedroom property requires $15,000-$25,000 for quality furniture, bedding, kitchenware, and decor suitable for vacation rentals. Initial setup costs including professional photography, listing creation, welcome materials, and basic supplies total $2,000-$3,000. Permits and fees including business license, transient lodging tax registration, and potential HOA approvals cost $500-$1,500. Annual insurance specifically for short-term rentals runs $2,000-$3,500, with six months costing $1,000-$1,750. Utility setup and six months of electricity, water, sewer, garbage, internet, and cable average $3,000-$4,000. First six months operating costs including cleaning services, restocking supplies, platform fees, marketing, and maintenance reserves total $8,000-$12,000. Additional considerations include potential property management fees if outsourced and emergency repair funds, though these vary significantly based on property condition and management approach chosen by the owner.

Airbnb properties in Cascade Locks, Oregon, demonstrate moderate profitability with average daily rates ranging from $85-150 depending on property type and proximity to the Columbia River Gorge attractions. A typical 2-bedroom cabin near the Bridge of the Gods generates approximately $35,000-45,000 in annual revenue with occupancy rates of 65-75%, while operating expenses including cleaning fees ($40-60 per turnover), property management (15-25%), utilities ($200-300 monthly), insurance ($1,200-2,000 annually), and maintenance average $18,000-25,000 yearly, resulting in net profit margins of 35-45%. Success factors include strategic location within walking distance of hiking trails like Eagle Creek or Multnomah Falls, outdoor amenities such as hot tubs or fire pits, and seasonal pricing optimization that capitalizes on peak summer tourism from June through September when rates can increase 40-60% above winter levels. Properties featuring river views or unique architectural elements like A-frame designs consistently outperform standard rentals by 20-30% in both occupancy and pricing, with some premium listings achieving gross yields of 12-18% annually compared to the regional average of 8-12% for traditional rental properties.

Based on Cascade Locks, Oregon 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 proximity to Columbia River Gorge attractions. Properties within walking distance of hiking trails or waterfront access command premium rates of $120-180 per night during peak season (May-September), while standard residential properties average $80-120 nightly. Initial profitability usually occurs within 18-24 months for well-positioned properties, with break-even cash flow achievable in 12-18 months after accounting for mortgage, maintenance, cleaning, and platform fees. The seasonal nature of tourism in Cascade Locks creates occupancy rates of 65-75% during summer months but drops to 35-45% in winter, resulting in blended annual occupancy of approximately 55-60%. Properties requiring significant renovation may extend profitability timelines to 30-36 months, while turnkey properties in prime locations near Bridge of the Gods or Cascade Locks Marine Park can achieve positive cash flow within 8-12 months of operation.

STRSearch is a national platform that specializes in identifying profitable short-term rental investment opportunities and provides market analysis for Airbnb properties in Cascade Locks, Oregon. Local real estate agents serving the Columbia River Gorge area include Windermere Columbia River Gorge with agents like Sarah Mitchell and Columbia River Realty's investment specialists who understand the tourism patterns around the Bridge of the Gods and hiking destinations. National services include Mashvisor for property analysis, AirDNA for market data and revenue projections, and RedAwning's investment advisory services that help identify high-performing vacation rental properties. Local property management companies like Gorge Vacation Rentals and Columbia River Gorge Lodging assist with both acquisition consulting and ongoing management of Airbnb investments. BiggerPockets' marketplace connects investors with local wholesalers and agents familiar with Cascade Locks' seasonal tourism driven by outdoor recreation, while Roofstock and Awning provide national platforms for purchasing turnkey short-term rental properties. Hood River-based agents from John L. Scott Real Estate and RE/MAX also serve Cascade Locks investors, understanding the area's appeal to windsurfers, hikers, and tourists visiting Multnomah Falls nearby.