Is Catlettsburg, Kentucky Good for Airbnb Investment?

To start an Airbnb in Catlettsburg, Kentucky, begin by researching local regulations through the Boyd County Planning Commission and Catlettsburg City Hall, as Kentucky generally allows short-term rentals but local municipalities may have specific zoning requirements or occupancy limits. Obtain necessary permits including a business license from the city clerk's office (estimated cost $25-50 annually) and ensure compliance with fire safety codes and building inspections if required. Find a suitable property in residential areas near the Ohio River or downtown district, considering proximity to attractions like the Big Sandy River and local businesses, with average property costs ranging $60,000-120,000 for typical homes. Furnish the space with essential amenities including Wi-Fi, linens, kitchen supplies, and local touches highlighting Kentucky culture, budgeting approximately $3,000-8,000 for initial furnishing. List your property on Airbnb and other platforms like VRBO, setting competitive rates around $75-125 per night based on local market analysis, and create compelling descriptions emphasizing outdoor recreation access and proximity to Huntington, West Virginia (15 minutes away). Manage bookings through automated systems, coordinate cleaning services (typically $40-60 per turnover), maintain guest communication, and consider hiring local property management companies if needed, while ensuring compliance with Kentucky's 6% sales tax and any applicable local lodging taxes that may be implemented by Boyd County.

To identify profitable short-term rental properties in Catlettsburg, Kentucky, focus on locations near the Ohio River waterfront, downtown historic district, and properties within 15-20 minutes of Ashland's industrial facilities like AK Steel and Marathon Petroleum, as business travelers frequently need accommodations in this tri-state area. Target 2-4 bedroom properties built after 1980 with modern amenities, full kitchens, reliable WiFi, and parking, particularly those with river views or historic charm that can command premium rates of $80-150 per night. Analyze pricing by monitoring Airbnb and VRBO listings within a 25-mile radius including Ashland and Huntington, calculating potential revenue against mortgage, utilities, cleaning, and maintenance costs while aiming for 60-70% occupancy rates. Research competition by examining the limited STR inventory in Boyd County, noting that fewer than 20 active listings creates opportunity but also indicates smaller demand, so focus on properties that can serve both leisure travelers exploring the region's outdoor recreation and business guests working at nearby industrial facilities. Utilize AirDNA for market analytics, STR Helper for revenue projections, and connect with local real estate agents familiar with Boyd County's $60,000-120,000 residential price range while ensuring compliance with any emerging STR regulations in this small Kentucky river town.

To obtain an Airbnb/STR permit in Catlettsburg, Kentucky, you must first contact the Catlettsburg City Hall at 2759 Louisa Street to inquire about their specific short-term rental ordinance requirements, as the city likely requires a business license and potentially a conditional use permit. You'll need to submit an application form along with required documents including proof of property ownership or lease agreement, liability insurance certificate (typically $1 million minimum), floor plan of the rental unit, parking plan, and contact information for a local property manager if you're not local. The application fee is estimated at $100-200 for the initial permit plus approximately $50-75 for the business license, with annual renewal fees of around $75-150. You must also comply with Kentucky state tax requirements by registering with the Department of Revenue for sales tax collection and remittance. The approval timeline typically takes 30-60 days depending on completeness of application and any required inspections. Specific Catlettsburg requirements likely include maintaining the property's residential character, providing adequate parking (usually 1-2 spaces per unit), ensuring compliance with fire safety codes, limiting occupancy based on bedroom count, and maintaining a complaint response system with 24-hour contact availability for neighbors.

Short-term rentals (STRs) in Catlettsburg, Kentucky operate in a largely unregulated environment at the municipal level, as this small city of approximately 1,800 residents in Boyd County has not enacted specific ordinances governing STR operations as of 2023. While Kentucky state law generally permits short-term rentals and does not prohibit them outright, Catlettsburg has not established formal licensing requirements, zoning restrictions, or operational guidelines for STR properties. Property owners can typically operate STRs in residential areas without specific municipal permits, though they must still comply with general zoning laws, building codes, and tax obligations including state and local occupancy taxes. The city has not designated any specifically prohibited areas for STRs, and there have been no recent significant legal changes regarding short-term rental regulations in Catlettsburg, leaving the market relatively open compared to larger Kentucky cities like Louisville or Lexington which have implemented more comprehensive STR frameworks.

The best areas for Airbnb investment in Catlettsburg, Kentucky are the Historic Downtown District along 15th Street and Central Avenue, which attracts visitors interested in the town's railroad heritage and proximity to the Big Sandy River for recreational activities, and the Riverside/Waterfront area near the Ohio River confluence where guests enjoy fishing, boating, and scenic views. The neighborhoods near East Kentucky Power Cooperative headquarters draw business travelers and contractors working on energy projects, while properties within walking distance of the Catlettsburg Refinery area appeal to industrial workers and consultants on temporary assignments. Areas close to Greenbo Lake State Resort Park (about 20 minutes away) benefit from overflow tourism during peak seasons, and the residential districts near 23rd Street offer quiet, family-friendly accommodations for visitors attending local events at the community center or exploring the nearby Appalachian region, with additional demand from travelers using Catlettsburg as a base for day trips to Ashland's entertainment venues and Huntington, West Virginia's attractions.

Airbnb properties in Catlettsburg, Kentucky are subject to Kentucky's 6% state sales tax on transient accommodations, which applies to rentals of less than 30 consecutive days, and this tax is typically collected by Airbnb directly from guests and remitted to the Kentucky Department of Revenue on behalf of hosts through their automatic tax collection program that began around 2019. Boyd County, where Catlettsburg is located, does not impose an additional county-level occupancy tax as of 2023, though some Kentucky counties do levy such taxes ranging from 1-3%. The city of Catlettsburg itself does not currently impose a separate municipal lodging tax, unlike larger Kentucky cities such as Louisville which has a 15.3% total occupancy tax or Lexington with 12.75%. Hosts are required to register for a Kentucky sales tax permit if Airbnb is not collecting taxes on their behalf, and must file monthly returns by the 20th of the following month, with exemptions typically applying only to rentals of 30 days or longer which are considered residential rather than transient accommodations. Property owners should also be aware that rental income is subject to regular federal and state income taxes, and the property may be subject to different local property tax assessments if used commercially rather than as a primary residence.

To start an Airbnb in Catlettsburg, Kentucky, expect total costs around $85,000-$95,000. Property purchase averages $65,000-$75,000 based on median home prices in this small Ohio River town. Furnishing costs typically run $8,000-$12,000 for a complete 2-3 bedroom setup including furniture, bedding, kitchen essentials, and décor from retailers like IKEA, Wayfair, and local stores. Initial setup costs including professional photography, listing creation, and basic renovations total approximately $2,000-$3,000. Kentucky requires business licenses and local permits costing around $200-$500, while some areas may require additional short-term rental permits. Insurance including landlord coverage and short-term rental protection runs $1,200-$1,800 annually. Utility setup and deposits for electricity, water, gas, internet, and cable cost roughly $500-$800. First six months operating expenses including utilities ($150/month), cleaning supplies ($50/month), maintenance reserves ($100/month), platform fees (3% of bookings), and marketing budget total approximately $2,500-$4,000, assuming moderate occupancy rates of 40-60% typical for smaller Kentucky markets.

Airbnb properties in Catlettsburg, Kentucky typically generate modest returns with average daily rates ranging from $65-85 due to the small market size and limited tourism infrastructure in this Ohio River town of approximately 1,800 residents. Properties near the riverfront or within walking distance of downtown attractions like the Catlettsburg Historical Society can achieve occupancy rates of 45-60% annually, generating gross revenues of $12,000-18,000 per year for a 2-bedroom unit. Operating expenses including utilities ($150-200/month), cleaning fees ($40-60 per turnover), property management (15-25% of revenue), insurance ($800-1,200 annually), and maintenance typically consume 60-70% of gross revenue, leaving net profit margins of 30-40% or approximately $4,000-7,000 annually. Success factors include competitive pricing against nearby Ashland properties, targeting business travelers working at Marathon Petroleum or AK Steel, and marketing to visitors exploring the Hatfield-McCoy region. Properties that offer amenities like river views, parking, and proximity to US Route 23 tend to outperform, though the limited market size means most hosts treat this as supplemental rather than primary income, with break-even typically occurring within 3-4 years of initial investment.

Airbnb investments in Catlettsburg, Kentucky typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, based on the area's proximity to Ashland and Huntington markets. Properties in this small Ohio River town, with average purchase prices around $80,000-$120,000, can achieve monthly rental rates of $75-$95 per night during peak seasons, translating to gross annual revenues of $18,000-$28,000 for properties with 60-70% occupancy rates. After accounting for operating expenses including utilities, cleaning, maintenance, insurance, and platform fees totaling approximately 40-50% of gross revenue, investors can expect net annual returns of $9,000-$15,000. The timeframe to profitability is typically 18-24 months, considering initial renovation costs of $15,000-$25,000 for most properties to meet short-term rental standards. Market demand is driven by business travelers to nearby industrial facilities, outdoor enthusiasts visiting the region's recreational areas, and visitors to Ashland and Huntington who seek more affordable accommodations, though seasonal fluctuations can impact consistency with stronger performance during spring through fall months.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking to enter the Airbnb market in Catlettsburg, Kentucky. Local real estate agents like those at Re/Max Real Estate Specialists and Coldwell Banker McMahan Co. have experience with investment properties in the Boyd County area and understand the local vacation rental market dynamics. National services including Mashvisor, AirDNA, and BiggerPockets provide market analysis and property identification tools for the Catlettsburg region. Vacasa and RedAwning offer property management services that can help investors maximize their Airbnb returns in the area. Local property management companies such as Tri-State Property Management and regional firms like Kentucky Lake Vacation Rentals extend their services to the eastern Kentucky market. Real estate investment companies including Roofstock and Fundrise have expanded their short-term rental acquisition services to smaller markets like Catlettsburg. Additionally, local real estate agents at Century 21 and Keller Williams in nearby Ashland often work with investors seeking Airbnb properties throughout Boyd County, while national platforms like VRBO Property Management and Awning provide comprehensive investment analysis and property management solutions for the Catlettsburg market.