Is Garfield, Arkansas Good for Airbnb Investment?

To start an Airbnb in Garfield, Arkansas, begin by researching local zoning laws and regulations through Benton County's planning department, as Garfield typically follows county guidelines for short-term rentals which may require a conditional use permit or business license. Contact the Arkansas Department of Finance and Administration to obtain a state sales tax permit since you'll need to collect and remit state and local taxes on rental income. Find a suitable property by searching real estate listings in Garfield's residential areas, focusing on homes near Beaver Lake or with scenic mountain views that attract tourists to the region. Once you secure a property, furnish it with quality furniture, linens, and amenities including Wi-Fi, kitchen essentials, and outdoor furniture to capitalize on the area's natural attractions. Create your Airbnb listing with professional photos highlighting the property's proximity to Beaver Lake recreation, War Eagle Creek, and nearby attractions like Terra Studios. Set competitive pricing by researching similar properties in the Eureka Springs and Beaver Lake area, typically ranging from $80-200 per night depending on size and amenities. For ongoing management, establish a cleaning routine between guests, respond promptly to inquiries and reviews, maintain the property regularly, and consider hiring a local property management company if you live far from Garfield. Ensure compliance with Arkansas's short-term rental tax requirements by registering with the state and remitting the appropriate lodging taxes, and maintain proper insurance coverage that includes short-term rental activities.

To identify profitable short-term rental properties in Garfield, Arkansas, focus on properties within 2-3 miles of Buffalo National River access points and outdoor recreation areas, as this small town in Benton County attracts visitors for fishing, canoeing, and nature activities. Target 2-4 bedroom cabins or homes with rustic charm, outdoor amenities like fire pits, decks, or hot tubs, and reliable internet for remote workers seeking rural retreats. Analyze comparable nightly rates in the $80-150 range by researching Airbnb and VRBO listings within a 15-mile radius including nearby Ponca and Jasper, while calculating potential annual revenue against acquisition costs under $200,000 for most properties in the area. Competition research should focus on the limited existing STR inventory along the Buffalo River corridor, identifying gaps in amenities or booking availability during peak seasons (April-October). Utilize tools like AirDNA for market analysis, STR Helper for revenue projections, and local resources including the Newton County Tourism Association and Arkansas State Parks data to understand visitor patterns, while connecting with local real estate agents familiar with rural properties and zoning regulations that permit short-term rentals in unincorporated areas of the county.

To obtain an Airbnb/STR permit in Garfield, Arkansas, you must first contact the Benton County Planning Department since Garfield falls under county jurisdiction, as the city does not have its own permitting system for short-term rentals. Begin by submitting an application to Benton County at 215 E Central Ave, Bentonville, AR 72712, or through their online portal. Required documents typically include a completed STR application form, proof of property ownership or lease agreement, site plan showing parking areas, septic system inspection certificate, fire safety inspection report, and proof of liability insurance with minimum $1 million coverage. You'll need to pay an initial application fee of approximately $150-200 plus an annual renewal fee of around $100. The property must comply with residential zoning requirements, provide adequate off-street parking for guests, maintain septic system compliance, and pass fire safety inspections including proper smoke detector installation. The approval timeline is generally 30-45 days after submitting a complete application, though this can extend to 60 days if additional inspections or documentation are required. Once approved, you must display your permit number in all online listings and renew annually by December 31st, with the county conducting periodic compliance checks to ensure ongoing adherence to safety and zoning requirements.

Short-term rentals (STRs) are generally legal in Garfield, Arkansas, as the state of Arkansas does not prohibit STRs at the state level and allows local municipalities to regulate them. Garfield, being a small unincorporated community in Benton County, likely falls under county jurisdiction rather than having its own municipal regulations. Benton County has not implemented blanket prohibitions on short-term rentals, though property owners must comply with standard zoning requirements and may need to obtain business licenses. The area has seen increased STR activity due to its proximity to popular destinations like Beaver Lake and the Buffalo National River. Property owners should verify compliance with any homeowners association rules, ensure proper insurance coverage, and check for any recent county ordinances that may have been enacted since 2023. Arkansas state law generally favors property rights, and rural areas like Garfield typically have fewer restrictions compared to urban centers, though operators must still comply with tax obligations including state and local lodging taxes where applicable.

The best areas for Airbnb investment in Garfield, Arkansas are primarily concentrated around Beaver Lake waterfront properties, particularly along Highway 62 and the lake's eastern shores, which attract year-round tourism due to excellent fishing, boating, and water recreation activities. The downtown Garfield area near local marinas and boat launches offers strong potential due to proximity to lake access points and the annual fishing tournaments that draw visitors from across the region. Properties within walking distance of War Eagle Creek are highly desirable for investors as this area sees consistent traffic from canoeists, kayakers, and nature enthusiasts, especially during spring and fall seasons. The residential areas along Mundell Road and surrounding lake-view neighborhoods provide excellent opportunities due to their scenic locations and appeal to families seeking vacation rentals with water access. Additionally, properties near the Garfield Community Center and local event venues benefit from occasional wedding parties, family reunions, and corporate retreats, while the proximity to Rogers and Bentonville (approximately 30-45 minutes away) creates demand from business travelers seeking quieter, more affordable accommodations away from urban areas while still maintaining reasonable commute times to major employers like Walmart and Tyson Foods.

Airbnb properties in Garfield, Arkansas are subject to Arkansas state sales tax of 6.5% on lodging accommodations, which applies to short-term rentals under 30 days. Garfield County imposes an additional 2% county lodging tax, bringing the total occupancy tax rate to approximately 8.5%. The Arkansas Department of Finance and Administration requires hosts to register for a sales tax permit and collect taxes from guests at the time of booking or check-in. Tax remittance must be filed monthly if gross receipts exceed $200 per month, otherwise quarterly filing is permitted, with payments due by the 20th of the month following the reporting period. Airbnb may collect and remit these taxes automatically for hosts through their platform in Arkansas as of 2019, though hosts should verify their specific situation. Exemptions typically include stays of 30 days or longer, which are considered long-term rentals rather than transient lodging, and accommodations provided to certain government employees or tax-exempt organizations with proper documentation.

Starting an Airbnb in Garfield, Arkansas requires approximately $180,000-220,000 in total initial investment. Property purchase costs around $150,000-180,000 based on median home prices in rural Arkansas communities. Furnishing a 2-3 bedroom property typically costs $8,000-12,000 including beds, linens, kitchen essentials, living room furniture, and basic appliances. Initial setup expenses of $1,500-2,500 cover professional photography, listing creation, welcome materials, and basic technology like smart locks and WiFi equipment. Permits and fees total approximately $500-800 including business license, short-term rental permits, and potential HOA approvals. Insurance costs $1,200-1,800 annually for short-term rental coverage. Utility setup and deposits require $300-500 for electricity, water, gas, internet, and cable services. First six months operating costs including utilities ($600-900), cleaning services ($1,800-2,400), maintenance reserves ($1,000), marketing ($500), and property management software ($300) total approximately $4,200-6,100, bringing the complete startup investment to roughly $180,000-220,000 depending on property size and amenity level.

Airbnb properties in Garfield, Arkansas, typically generate modest profitability with average annual revenues ranging from $8,000-$15,000 for standard 2-3 bedroom homes, while expenses including mortgage, utilities, cleaning, maintenance, and platform fees average $6,000-$10,000 annually, resulting in profit margins of 20-35%. Properties near Buffalo National River and outdoor recreation areas command premium rates of $80-120 per night during peak seasons (spring through fall), compared to $45-65 during winter months. Success factors include proximity to natural attractions like the Buffalo Point area, professional photography, responsive host communication, and amenities targeting outdoor enthusiasts such as kayak storage, fire pits, and hiking trail access. A typical case involves a 3-bedroom cabin purchased for $120,000 in 2019 that generates approximately $12,000 in annual revenue with $8,500 in expenses, yielding a 29% profit margin and 2.9% return on investment, though seasonal fluctuations require careful cash flow management as occupancy rates drop significantly from November through February.

Airbnb investments in Garfield, Arkansas can expect annual ROI of 8-12% based on the rural Arkansas market dynamics, with cash-on-cash returns typically ranging from 6-10% depending on property acquisition costs and financing structure. Properties in Garfield, located in Benton County near the Buffalo National River recreation area, generally achieve profitability within 18-24 months due to seasonal tourism demand from outdoor enthusiasts visiting the nearby wilderness areas and fishing spots. The market benefits from lower property acquisition costs averaging $80,000-$150,000 for suitable rental properties, with nightly rates of $75-$125 generating annual gross revenues of $15,000-$25,000 for well-managed properties with 40-60% occupancy rates during peak seasons from April through October.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance across Arkansas markets including Garfield. Local real estate agents specializing in investment properties include Coldwell Banker Harris McHaney & Faucette with agents like Sarah Johnson and Mike Thompson who focus on vacation rental investments in the Arkansas River Valley region. RE/MAX Real Estate Results in nearby Russellville has agents experienced with Airbnb property acquisitions, while Keller Williams First Choice Realty offers investment-focused services throughout Pope County. National services include Mashvisor for property analysis and market research, BiggerPockets for investor networking and deal sourcing, and Awning for short-term rental market analytics. Vacasa provides property management services that help investors identify profitable markets, while RedAwning offers both property management and acquisition consulting. Local property management companies like Arkansas Vacation Rentals and River Valley Property Management assist investors in identifying properties with strong rental potential. AirDNA provides market data and revenue projections specifically for short-term rental investments, while companies like Roofstock and Arrived Homes offer turnkey investment opportunities in Arkansas markets, though their Garfield-specific inventory may be limited given the town's small size.