Is Fort Benton, Montana Good for Airbnb Investment?

To start an Airbnb in Fort Benton, Montana, begin by researching local zoning laws and regulations through the Chouteau County Planning Department and Fort Benton city offices, as Montana generally allows short-term rentals but local municipalities may have specific requirements including business licenses, occupancy permits, and tax registration with the Montana Department of Revenue for lodging facility use tax (typically 3% state tax plus local taxes). Obtain necessary permits including a business license from Fort Benton City Hall, fire safety inspection certificate, and ensure compliance with Americans with Disabilities Act requirements if applicable. Find a suitable property by searching local real estate listings through agencies like Century 21 or independent brokers, considering proximity to Fort Benton's historic attractions like the Museum of the Northern Great Plains and Missouri River access points, with average property prices ranging $80,000-$200,000 for suitable homes. Furnish the property with essential amenities including quality bedding, kitchen supplies, WiFi, heating/cooling systems suitable for Montana's climate extremes (-20°F to 90°F), and local guidebooks highlighting Fort Benton's Lewis and Clark history. List your property on Airbnb, VRBO, and Booking.com with professional photos showcasing the historic charm and outdoor recreation opportunities, setting competitive rates around $75-$150 per night based on seasonal demand and local events like the Fort Benton Summer Celebration. Manage the property by establishing cleaning protocols, coordinating with local services for maintenance, responding promptly to guest inquiries, and maintaining compliance with Montana's innkeeper liability laws and local noise ordinances while leveraging Fort Benton's unique position as the "Birthplace of Montana" to attract history enthusiasts and Missouri River recreation visitors.

To identify profitable short-term rental properties in Fort Benton, Montana, focus on properties within walking distance of the Missouri River waterfront and historic downtown area, particularly near the Museum of the Northern Great Plains and Lewis & Clark interpretive sites, as these attract tourists year-round. Target 2-4 bedroom historic homes or renovated properties with period charm, modern amenities like updated kitchens and bathrooms, reliable Wi-Fi, and outdoor spaces that showcase Montana's landscape. Analyze pricing by researching comparable Airbnb and VRBO listings in Fort Benton and nearby Great Falls (45 minutes away), aiming for properties under $200,000 that can command $80-150 per night during peak season (May-September) when river recreation and historical tourism peak. Competition research should focus on the limited existing STR inventory in this small town of 1,400 residents, identifying gaps in luxury amenities or unique historical features that differentiate your property. Utilize tools like AirDNA for Fort Benton market data, Mashvisor for investment analysis, and local resources including the Fort Benton Chamber of Commerce, Chouteau County tourism data, and partnerships with local outfitters and Missouri River tour companies to understand seasonal demand patterns driven by Lewis & Clark Trail tourism, fishing seasons, and agricultural heritage events.

To obtain an Airbnb/STR permit in Fort Benton, Montana, contact the Fort Benton City Hall at 406-622-5495 or visit their office at 1220 20th Street to inquire about short-term rental licensing requirements, as this small historic town may have recently implemented or be considering STR regulations given the growing tourism industry along the Missouri River. You'll likely need to submit a business license application, provide proof of property ownership or lease agreement, certificate of insurance with minimum $1 million liability coverage, floor plan showing maximum occupancy, contact information for a local property manager if you're not residing locally, and potentially a septic system inspection if not connected to city sewer. Required documents typically include a completed application form, property deed or lease, current property tax statements, fire safety inspection certificate, and neighbor notification letters. Application fees generally range from $100-300 annually with possible inspection fees of $50-150. The approval timeline is usually 30-60 days depending on inspection scheduling and completeness of application. Fort Benton specific requirements may include adherence to historic district guidelines since much of the town is historically significant, parking requirements for guests, noise ordinances due to the small community nature, and potentially seasonal restrictions during peak Missouri River tourism months from May through September.

Short-term rentals (STRs) are generally legal in Fort Benton, Montana, as the city does not appear to have specific municipal ordinances prohibiting them as of 2024. However, operators must comply with Montana state regulations and may need to obtain business licenses from Chouteau County and register with the Montana Department of Revenue for tax purposes. The city likely requires STR operators to follow standard zoning regulations, building codes, and safety requirements, though specific restrictions on the number of properties or operational requirements are not clearly established at the municipal level. Fort Benton, being a small historic town along the Missouri River, has not implemented the more restrictive STR regulations seen in larger Montana cities like Bozeman or Missoula, but property owners should verify current licensing requirements with city hall and ensure compliance with any homeowners association rules or historic district guidelines that may apply to properties in this Lewis and Clark National Historic Trail community.

The best areas for Airbnb investment in Fort Benton, Montana are the Historic Downtown District along Front Street and the Missouri River waterfront area, which attract tourists visiting the "Birthplace of Montana" for its well-preserved 1800s architecture, museums like the Museum of the Northern Great Plains, and river recreation activities. The area near the Grand Union Hotel and Old Fort Park is particularly attractive due to proximity to historical sites, walking tours, and the annual Fort Benton Summer Celebration events. Properties within walking distance of the Missouri River levee system offer appeal to fishing enthusiasts, boaters, and Lewis and Clark Trail followers, while locations near the agricultural fairgrounds capture visitors during county fair season and farming conferences. The residential areas on Washington Street and surrounding blocks provide quieter accommodations for business travelers visiting local agricultural operations, government offices, or attending meetings at the Chouteau County Courthouse, with these properties typically offering better parking and space for extended stays.

Fort Benton, Montana imposes a local lodging tax of approximately 3-4% on short-term rental accommodations including Airbnbs, which is collected at the time of booking either by the host or through Airbnb's automatic tax collection service depending on local agreements established around 2018-2019. The tax applies to stays of less than 30 consecutive days and is calculated on the gross rental amount excluding cleaning fees, with hosts required to register with Chouteau County and the City of Fort Benton, file monthly or quarterly returns, and remit collected taxes by the 15th of the following month. Montana state lodging tax of 3% also applies to short-term rentals, bringing the total tax burden to approximately 6-7%, with the state portion collected through the Montana Department of Revenue's lodging facility use tax program. Exemptions typically include stays exceeding 30 days, rentals to permanent residents, and accommodations provided to certain government employees or during emergencies, though hosts must maintain detailed records and may be subject to penalties for non-compliance with registration and remittance requirements.

Starting an Airbnb in Fort Benton, Montana requires approximately $180,000-220,000 in total initial investment. Property purchase costs around $150,000 based on the median home price in this small historic town along the Missouri River. Furnishing a 2-3 bedroom property with quality furniture, bedding, kitchen essentials, and décor runs $8,000-12,000. Initial setup including professional photography, listing creation, welcome materials, and basic renovations costs $2,000-3,000. Permits and fees including business license, lodging tax registration, and potential zoning permits total $500-800. Insurance including liability and property coverage specifically for short-term rentals costs $1,200-1,800 annually. Utility setup and deposits for electricity, water, gas, internet, and cable run $800-1,200. First six months operating costs including utilities ($600/month), cleaning supplies and services ($200/month), maintenance reserves ($150/month), marketing ($100/month), and platform fees (3% of estimated $2,000 monthly revenue) total approximately $6,360, bringing the complete startup investment to roughly $168,860-238,160.

Airbnb properties in Fort Benton, Montana typically generate modest returns due to the town's small population of approximately 1,400 residents and limited tourist infrastructure, with average nightly rates ranging from $75-120 for typical 2-3 bedroom properties. Annual revenue for well-positioned properties near the Missouri River or historic downtown averages $8,000-15,000, while expenses including property taxes ($800-1,500), utilities ($1,200-2,000), cleaning fees ($2,000-3,500), insurance ($600-1,000), and maintenance ($1,500-3,000) typically total $6,000-10,000 annually, resulting in net profit margins of 15-35% for successful operators. Properties within walking distance of the Fort Benton Historic District or offering river access command premium rates, particularly during summer months when Lewis and Clark Trail tourists visit, with occupancy rates averaging 40-60% seasonally. Success factors include competitive pricing against the limited hotel options, emphasizing historical significance and outdoor recreation access, maintaining high cleanliness standards, and targeting niche markets like history enthusiasts and Missouri River recreationalists, though the limited population base and seasonal demand patterns make Fort Benton a challenging market compared to larger Montana destinations like Bozeman or Whitefish.

Airbnb investments in Fort Benton, Montana typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, primarily driven by the town's historic significance as the "Birthplace of Montana" and its location along the Missouri River attracting tourists during peak summer months from June through September. Properties in Fort Benton's historic district, particularly Victorian-era homes and renovated commercial buildings near the riverfront, command nightly rates of $85-140 during peak season and $60-90 during off-season, with average occupancy rates of 45-55% annually due to seasonal tourism patterns. Initial profitability typically occurs within 18-24 months for properties purchased under $200,000 with renovation costs of $30,000-50,000, while higher-end properties may require 24-36 months to reach positive cash flow. The market benefits from limited hotel inventory, proximity to Upper Missouri River Breaks National Monument, and events like the annual Summer Celebration, though investors should account for Montana's harsh winters significantly reducing bookings from November through March, making properties heavily dependent on 4-5 months of peak tourism revenue.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking in Fort Benton, Montana. Local real estate agents like Century 21 Big Sky Real Estate and Chouteau County Realty have experience with investment properties in the Fort Benton area and understand the local vacation rental market dynamics. National services such as Mashvisor, AirDNA, and Rabbu provide market analysis and property identification tools for Airbnb investments in smaller Montana markets. BiggerPockets connects investors with local professionals, while companies like Awning and RedAwning offer property management services for short-term rentals in rural Montana locations. Local property management companies such as Montana Vacation Rentals and Big Sky Property Management can assist with ongoing operations, and real estate investment firms like Roofstock and Fundrise occasionally feature Montana properties suitable for vacation rental conversion, though availability in Fort Benton specifically may be limited given its small market size of approximately 1,400 residents.