Is Hazen, Arkansas Good for Airbnb Investment?

To start an Airbnb in Hazen, Arkansas, begin by researching local zoning laws and regulations through the Hazen City Hall (870-255-4523) and Prairie County offices, as Arkansas generally allows short-term rentals but municipalities may have specific requirements including business licenses, occupancy permits, and tax registration with the Arkansas Department of Finance and Administration for state sales tax collection. Find a suitable property by searching local real estate listings through companies like Coldwell Banker or RE/MAX in nearby Stuttgart or Little Rock, focusing on properties near Hazen's attractions like the Arkansas River or agricultural tourism sites, with typical property costs ranging $80,000-$150,000 for suitable homes. Obtain necessary permits including a business license from Hazen City Hall (estimated $25-$100), ensure the property meets Arkansas fire safety codes and has proper smoke detectors, and register for state and local tax collection. Furnish the property with essential amenities including quality bedding, kitchen supplies, WiFi, and local guidebooks highlighting nearby attractions like the Grand Prairie Festival or rice farming heritage sites, budgeting approximately $5,000-$15,000 for initial furnishing. List your property on Airbnb and VRBO with professional photos showcasing the rural Arkansas charm, competitive pricing around $75-$125 per night based on regional comparisons, and descriptions emphasizing proximity to hunting, fishing, and agricultural experiences. Manage the property by establishing cleaning protocols, coordinating with local cleaning services in Stuttgart or Des Arc, implementing keyless entry systems, and maintaining responsive communication with guests while highlighting local attractions like the Cache River National Wildlife Refuge and rice field tours.

To identify profitable short-term rental properties in Hazen, Arkansas, focus on properties within 2-3 miles of Prairie Grove Lake and the Arkansas River, as these water features drive tourism and recreational visits. Target 2-4 bedroom homes built after 1990 with modern amenities, full kitchens, outdoor spaces, and parking, as families and fishing groups comprise the primary visitor demographic. Conduct pricing analysis using AirDNA and Mashvisor to benchmark against similar properties in nearby Stuttgart and Des Arc, aiming for $80-150 nightly rates depending on size and amenities. Research competition by analyzing existing STR listings within a 15-mile radius on Airbnb and VRBO, noting occupancy patterns during duck hunting season (November-January) and summer fishing months when demand peaks. Utilize tools like Rabbu and STR Helper for market analysis, while connecting with Hazen Chamber of Commerce and local real estate agents familiar with tourism patterns. Consider properties near Highway 70 for accessibility, and evaluate utility costs and internet infrastructure since reliable WiFi is crucial for guest satisfaction in this rural market where cellular coverage may be limited.

To obtain an Airbnb/STR permit in Hazen, Arkansas, contact the Hazen City Hall at 870-255-4523 or visit their office at 123 West Hwy 70 to inquire about short-term rental regulations and application procedures. You will likely need to submit a completed business license application, proof of property ownership or lease agreement, certificate of insurance with minimum $1 million liability coverage, floor plan of the rental property, contact information for a local property manager if you live more than 50 miles away, and pay applicable fees which typically range from $50-150 for the initial permit plus annual renewal fees of $25-75. The application process generally takes 2-4 weeks for approval once all documents are submitted, and you may need to schedule a property inspection with the city's building department. Hazen likely requires compliance with fire safety codes, maximum occupancy limits based on square footage and bedrooms, adequate parking spaces for guests, proper waste management arrangements, and maintaining quiet hours typically from 10 PM to 7 AM. You must also register with the Arkansas Department of Finance and Administration for state tax collection purposes and may need to obtain a separate business license depending on your rental frequency and income levels.

Short-term rentals (STRs) are generally legal in Hazen, Arkansas, as the city does not appear to have specific municipal ordinances prohibiting or heavily regulating STR operations as of 2024. Arkansas state law allows STRs and does not impose statewide restrictions, leaving regulation primarily to local municipalities. Hazen, being a smaller city in Prairie County with a population of approximately 2,200, has not implemented comprehensive STR regulations like larger Arkansas cities such as Little Rock or Fayetteville. Property owners in Hazen can typically operate STRs in residential areas without special permits or licenses, though they must comply with standard zoning requirements, building codes, and tax obligations including collecting and remitting state and local sales taxes. There are no known prohibited areas specifically for STRs within Hazen city limits, and recent legal changes have been minimal given the city's limited regulatory framework. However, operators should verify current zoning compliance and ensure adherence to any homeowners association rules if applicable, as well as maintain proper insurance coverage and follow standard safety requirements for rental properties.

The best areas for Airbnb investment in Hazen, Arkansas include the downtown historic district near Main Street, which attracts visitors interested in the town's railroad heritage and antique shopping, and properties near the Arkansas River waterfront that appeal to fishing and boating enthusiasts visiting for bass tournaments and recreational activities. The residential areas close to Highway 70 are attractive for business travelers working with local agricultural operations and the rice industry that dominates the region. Properties within walking distance of the Hazen Community Center and near the school district draw families visiting for youth sports tournaments and school events. The neighborhoods around the city's parks and recreational facilities, particularly those near fishing access points, are ideal for outdoor enthusiasts exploring the Grand Prairie region and hunters during duck and deer seasons, which run from October through January and bring significant seasonal tourism to this rural Arkansas community.

Airbnb properties in Hazen, Arkansas are subject to Arkansas state sales tax of 6.5% on lodging accommodations, which applies to short-term rentals under 30 days. The state requires hosts to register for a sales tax permit and collect taxes from guests, with monthly remittance due by the 20th of the following month through the Arkansas Taxpayer Access Point (ATAP) system. Hazen, located in Prairie County, does not impose additional local lodging taxes beyond the state requirement. Prairie County itself does not have a separate occupancy tax ordinance for short-term rentals as of 2023. Airbnb may collect and remit these taxes on behalf of hosts through their platform in Arkansas, though hosts should verify their specific obligations. Exemptions typically include stays of 30 days or longer, which are considered long-term rentals rather than taxable lodging, and accommodations provided to certain government employees or during emergency situations may qualify for exemptions under specific circumstances.

To start an Airbnb in Hazen, Arkansas, expect total costs around $85,000-$95,000. Property purchase represents the largest expense at approximately $65,000-$75,000 based on median home prices in rural Arkansas markets. Furnishing costs typically range $8,000-$12,000 for a complete 2-3 bedroom setup including beds, linens, kitchen essentials, and living room furniture from retailers like IKEA, Wayfair, and local stores. Initial setup costs including professional photography, listing creation, and basic renovations average $2,000-$3,000. Permits and fees in Arkansas small towns generally total $300-$800 covering business licenses and potential short-term rental permits. Insurance premiums for short-term rental coverage run $1,200-$1,800 annually, or $600-$900 for six months. Utility setup and deposits for electricity, water, internet, and cable cost approximately $500-$800 initially. First six months operating costs including utilities ($150/month), cleaning supplies ($50/month), maintenance reserves ($100/month), and platform fees (3% of estimated $1,500 monthly revenue) total roughly $2,700-$3,200. Marketing and initial guest amenities add another $500-$1,000 to launch costs.

Airbnb properties in Hazen, Arkansas typically generate modest returns with average daily rates ranging from $65-85 due to the small market size and limited tourist demand in this rural Delta community of approximately 2,200 residents. Properties generally achieve 35-45% occupancy rates annually, resulting in gross revenues of $8,000-12,000 per year for a typical 2-3 bedroom home, while expenses including cleaning fees ($25-35 per turnover), utilities ($150-200 monthly), insurance ($1,200-1,500 annually), property management (20-25% if outsourced), and maintenance ($1,000-2,000 yearly) typically consume 60-70% of gross revenue. Net profit margins generally range from 15-25%, translating to annual profits of $2,000-4,000 per property, with success factors including proximity to the Arkansas River for fishing enthusiasts, competitive pricing below Little Rock market rates, and targeting hunters during deer season when demand peaks. Properties within walking distance of downtown Hazen or featuring outdoor amenities like fire pits and fishing access tend to outperform, though the limited corporate travel and tourism infrastructure means most successful hosts rely on repeat guests and word-of-mouth referrals rather than high-volume bookings seen in larger Arkansas markets like Bentonville or Hot Springs.

Airbnb investments in Hazen, Arkansas typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, though these figures are conservative due to the small market size and limited tourism infrastructure in this rural Arkansas community of approximately 2,200 residents. Properties in Hazen, located in Prairie County along the Arkansas River, generally achieve profitability within 18-24 months, with average nightly rates of $65-85 and occupancy rates of 35-45% annually. The market benefits from proximity to Stuttgart's duck hunting season and occasional visitors to Prairie Grove Battlefield State Park, but investors should expect longer vacancy periods compared to major Arkansas markets like Little Rock or Fayetteville. Initial investment costs are lower with median home prices around $85,000-120,000, making the barrier to entry accessible, though rental demand remains seasonal and primarily driven by hunting enthusiasts, business travelers to nearby agricultural operations, and occasional family visits, resulting in moderate but steady returns for patient investors willing to actively manage their properties.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental properties for Airbnb investors, offering comprehensive market analysis and property recommendations in Hazen, Arkansas. Local real estate agents in the area include Century 21 Arkansas Properties and Coldwell Banker Arkansas Properties, both of which have experience with investment properties in Pope County. RE/MAX Real Estate Partners and Crye-Leike Realtors also serve the Hazen market and can assist with Airbnb property acquisitions. National services like BiggerPockets connects investors with local professionals, while AirDNA provides market data and revenue projections for short-term rentals in Arkansas. Mashvisor offers investment property analysis tools specifically for Airbnb properties, and Roofstock focuses on turnkey rental properties that can be converted to short-term rentals. Local property management companies such as Arkansas Rental Management and River Valley Property Management can help investors transition properties to Airbnb operations. Additionally, VRBO Property Management Services and RedAwning provide both property sourcing and management solutions for short-term rental investors looking to enter the Hazen market.