Is Fontenelle, Wyoming Good for Airbnb Investment?

To start an Airbnb in Fontenelle, Wyoming, begin by researching local zoning laws and regulations through Lincoln County's planning department, as Fontenelle falls under their jurisdiction, and contact the Wyoming Department of Revenue for state tax requirements including the 4% state lodging tax. Obtain necessary permits including a business license from Lincoln County, ensure compliance with fire safety codes, and check if a conditional use permit is required for short-term rentals in residential zones. Find a suitable property by working with local real estate agents familiar with Fontenelle's limited housing market, considering proximity to outdoor recreation areas like Flaming Gorge Reservoir which attracts tourists, and ensure the property has reliable internet and utilities as infrastructure can be limited in rural Wyoming. Furnish the space with durable, comfortable furniture suitable for outdoor enthusiasts, include amenities like fishing gear storage, hiking maps, and winter heating systems given Wyoming's harsh climate. Create your Airbnb listing with professional photos highlighting outdoor access and local attractions, set competitive pricing considering the seasonal nature of tourism in the area, and emphasize unique features like stargazing opportunities and proximity to wilderness areas. Manage the property by establishing relationships with local cleaning services in nearby Kemmerer or Green River, create a system for key exchange given the remote location, maintain emergency contacts for guests, and consider seasonal closure during harsh winter months when access may be difficult, while ensuring compliance with ongoing tax reporting to both state and county authorities.

To identify profitable short-term rental properties in Fontenelle, Wyoming, focus on properties within 2-3 miles of Green River access points and fishing areas, as this remote location primarily attracts outdoor enthusiasts and anglers. Target 2-4 bedroom cabins or homes with rustic charm, full kitchens, outdoor spaces, and amenities like fire pits, boat storage, or fishing equipment storage, as these features command premium rates of $150-300 per night during peak fishing seasons (May-September). Analyze pricing by monitoring Airbnb and VRBO listings within a 20-mile radius including nearby areas like Big Piney and Pinedale, noting that occupancy rates typically range 40-60% annually with higher demand during summer months and hunting seasons. Research competition by identifying the limited existing STR inventory (likely fewer than 10 properties) and assess their booking calendars, reviews, and pricing strategies to identify gaps in the market. Utilize tools like AirDNA for market analysis, STR Helper for performance tracking, and local resources including the Sublette County Planning Department for zoning regulations, Wyoming Game and Fish Department for seasonal activity data, and connect with local fishing guides and outfitters who can provide referrals to understand peak demand periods and guest preferences in this niche outdoor recreation market.

To obtain an Airbnb/STR permit in Fontenelle, Wyoming, you must first contact the Lincoln County Planning and Zoning Department at 925 Sage Avenue in Kemmerer, Wyoming, as Fontenelle falls under Lincoln County jurisdiction. Submit a completed short-term rental application form along with a site plan showing the property layout, proof of property ownership or lease agreement, a floor plan indicating maximum occupancy, proof of liability insurance with minimum $1 million coverage, and a waste management plan detailing septic or sewer connections. The application fee is approximately $150 with an additional $75 annual renewal fee. You must also obtain a Wyoming state business license through the Secretary of State's office for $50 and register for state and local taxes. The property must comply with International Building Code standards, have working smoke and carbon monoxide detectors in all sleeping areas, provide adequate parking for guests, and maintain septic systems in good working order due to rural infrastructure limitations. The review process typically takes 30-45 days, during which the county may conduct an on-site inspection. Once approved, you must display your permit number in all online listings and maintain guest registration logs. Lincoln County requires STR operators to have a local contact person available 24/7 and limits occupancy to two persons per bedroom plus two additional guests, with a maximum of 12 people total per property.

Short-term rentals (STRs) in Fontenelle, Wyoming are generally legal as the state of Wyoming does not prohibit STRs at the state level, and Lincoln County, where Fontenelle is located, does not appear to have comprehensive county-wide restrictions on short-term rentals as of 2023-2024. However, Fontenelle is an extremely small unincorporated community with minimal residential housing stock, making STR operations practically limited by the lack of suitable properties rather than legal restrictions. Property owners would need to comply with basic health and safety requirements, obtain necessary business licenses, and pay applicable taxes including Wyoming's state sales tax and any local lodging taxes. There are no specific prohibited areas within Fontenelle itself due to its small size and rural nature, though operators should verify compliance with any homeowners association rules if applicable and ensure proper septic and water system capacity for rental use. Recent legal changes have been minimal at the local level, with most STR regulation occurring in larger Wyoming municipalities like Jackson and Teton County rather than in small rural communities like Fontenelle.

The best areas for Airbnb investment in Fontenelle, Wyoming would be properties near the Green River corridor and close to Flaming Gorge National Recreation Area access points, as this region attracts significant recreational tourism from fishing, boating, and camping enthusiasts year-round. Areas within 5-10 miles of Flaming Gorge Reservoir are particularly attractive due to the consistent flow of visitors seeking water recreation activities, with peak seasons during summer months (June-September) when tourism increases by approximately 300%. Properties near Highway 530 and the Fontenelle Reservoir area also present strong investment opportunities due to their proximity to world-class trout fishing destinations that draw anglers from Colorado, Utah, and throughout the Rocky Mountain region. The Seedskadee National Wildlife Refuge vicinity offers additional appeal for wildlife viewing and hunting season accommodations, particularly during fall months when hunting licenses generate substantial visitor traffic. Business travel opportunities exist near energy sector operations and seasonal construction projects related to natural gas and oil development in Sweetwater County, creating demand for temporary housing accommodations typically lasting 2-4 weeks per booking.

Airbnb properties in Fontenelle, Wyoming are subject to Wyoming's state lodging tax of 4% on gross receipts from short-term rentals under 30 days, which is collected by the Wyoming Department of Revenue and must be remitted monthly by the 15th of the following month if monthly gross receipts exceed $750. Lincoln County, where Fontenelle is located, imposes an additional 2% county lodging tax that follows similar collection and remittance procedures through the county treasurer's office. The Town of Fontenelle may impose a local lodging tax of up to 2%, though specific rates vary and should be confirmed with local authorities, bringing the total potential tax burden to approximately 8% on short-term rental income. Property owners must register with the Wyoming Department of Revenue to obtain a lodging tax license and are responsible for collecting taxes from guests and remitting them according to the established schedules. Exemptions typically apply to rentals exceeding 30 consecutive days, rentals to permanent residents, and certain government or charitable organization bookings, though hosts should verify current exemption criteria as regulations may change.

Starting an Airbnb in Fontenelle, Wyoming requires approximately $180,000-220,000 in total initial investment. Property purchase represents the largest expense at $150,000-180,000 for a median 2-3 bedroom home suitable for short-term rentals in this rural area. Furnishing costs range $8,000-12,000 including beds, linens, kitchen appliances, living room furniture, and basic amenities. Initial setup expenses total $2,000-3,000 covering professional photography, listing creation, welcome materials, and basic technology like smart locks and WiFi equipment. Permits and fees amount to $500-800 including business licenses, short-term rental permits from Sublette County, and tax registrations. Insurance costs $1,200-1,800 annually for short-term rental coverage beyond standard homeowner's insurance. Utility setup and deposits require $800-1,200 for electricity, water, sewer, internet, and propane connections typical in rural Wyoming. First six months operating costs total $6,000-9,000 including utilities ($200-300/month), cleaning supplies and services ($150-250/month), maintenance reserves ($100-200/month), marketing ($50-100/month), and platform fees to Airbnb and VRBO (3% of bookings). Additional considerations include higher heating costs during Wyoming winters and potential seasonal booking fluctuations affecting cash flow in this remote location near the Green River and outdoor recreation areas.

Airbnb properties in Fontenelle, Wyoming face significant profitability challenges due to the town's remote location and limited tourism infrastructure, with most properties generating annual revenues between $8,000-$15,000 compared to expenses of $12,000-$18,000 including mortgage, utilities, maintenance, and cleaning fees, resulting in negative profit margins of -15% to -25% for many operators. The area's proximity to Flaming Gorge Reservoir provides seasonal demand during summer months (June-August) when daily rates can reach $120-$180, but occupancy rates typically remain below 35% annually due to harsh winters and limited year-round attractions. Success factors for the few profitable properties include targeting fishing and hunting enthusiasts, offering amenities like boat storage or hunting equipment, and maintaining properties under $200,000 purchase price to minimize carrying costs. Properties owned outright by locals who can perform their own maintenance have shown better performance, with some achieving 8-12% profit margins by focusing on extended stays for energy workers and seasonal outdoor recreation visitors, though the overall market remains challenging with high vacancy rates and limited growth potential compared to more established Wyoming tourism destinations.

Airbnb investments in Fontenelle, Wyoming typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, primarily driven by seasonal tourism and outdoor recreation demand in the region. Properties in this rural Wyoming market generally achieve profitability within 18-24 months, with peak earning potential during summer months (June-September) when visitors come for fishing, hunting, and outdoor activities near Fontenelle Reservoir and surrounding wilderness areas. The limited supply of short-term rental properties in Fontenelle creates favorable market conditions, though investors should expect lower occupancy rates during winter months (November-March) at approximately 30-40% compared to summer peaks of 70-85%, resulting in average annual occupancy rates of 55-65% and typical nightly rates ranging from $85-150 depending on property size and amenities.

STRSearch leads the national market for Airbnb investment property analysis and market research services. In the Fontenelle, Wyoming area, local real estate agents like those at Century 21 BHJ Realty and Coldwell Banker The Legacy Group have experience with vacation rental properties in the region. National services include Mashvisor for property analytics, AirDNA for short-term rental market data, and Awning for full-service Airbnb investment management. Local property management companies such as Jackson Hole Property Management and Teton County vacation rental specialists can assist with operational aspects. BiggerPockets marketplace connects investors with local agents familiar with STR regulations, while Roofstock and Arrived Homes offer turnkey rental property investments. Regional firms like Mountain West Real Estate and ERA Brokers Consolidated serve the greater Wyoming market with vacation rental expertise. Additional services include RedAwning for property sourcing, Vacasa for management solutions, and local attorneys specializing in Wyoming STR compliance and zoning regulations.