Is Keene, New Hampshire Good for Airbnb Investment?

To start an Airbnb in Keene, New Hampshire, begin by researching local zoning laws and regulations through the Keene Planning Department, as the city requires short-term rental operators to obtain a business license and comply with fire safety codes including smoke detectors and carbon monoxide alarms in all sleeping areas. Contact the Keene Fire Department for inspection requirements and the city clerk's office for business registration, which typically costs around $25-50 annually. Find a suitable property in residential zones that allow short-term rentals, focusing on areas near Keene State College or downtown for higher demand, with average property prices ranging from $200,000-400,000 for single-family homes. Furnish the space with essential amenities including Wi-Fi, linens, towels, kitchen basics, and heating suitable for New Hampshire winters, budgeting approximately $3,000-8,000 for initial furnishing. Create compelling listings on Airbnb, VRBO, and Booking.com with professional photos highlighting proximity to Mount Monadnock, downtown attractions, and seasonal activities, setting competitive rates around $80-150 per night based on local market analysis. Implement management systems including automated messaging, professional cleaning services (typically $40-80 per turnover), key exchange solutions, and maintain compliance with New Hampshire's 8.5% rooms and meals tax plus Keene's local tax requirements, while building relationships with local cleaning services and maintenance contractors to ensure smooth operations year-round.

To identify profitable short-term rental properties in Keene, New Hampshire, focus on locations within walking distance of Keene State College campus, downtown Main Street's dining and shopping district, and near outdoor recreation access points like the Ashuelot River Rail Trail and Monadnock State Park trailheads. Target 2-4 bedroom properties built after 1950 with updated kitchens, reliable heating systems, off-street parking, and outdoor spaces like decks or patios that appeal to both college visitors and outdoor enthusiasts. Analyze pricing using AirDNA and Mashvisor to benchmark against comparable properties, aiming for nightly rates between $80-150 depending on size and amenities, with higher rates during Keene State events, fall foliage season (September-October), and summer outdoor activity peak months. Research competition by studying existing Airbnb and VRBO listings within a 3-mile radius, identifying gaps in amenities or underserved property types, and monitoring occupancy rates and guest reviews of similar properties. Utilize tools like Rabbu for market analysis, the City of Keene's zoning maps to ensure STR compliance, New Hampshire Division of Travel and Tourism data for seasonal trends, and connect with local property management companies like Keene Property Management or Cheshire County realtors who understand the unique dynamics of this college town and gateway to southwestern New Hampshire's recreational attractions.

To obtain an Airbnb/STR permit in Keene, New Hampshire, you must first contact the Keene Planning Department at City Hall located at 3 Washington Street to determine if short-term rentals are permitted in your zoning district, as the city requires compliance with local zoning ordinances. Submit an application for a business license through the City Clerk's office, providing required documents including proof of property ownership or lease agreement, floor plans showing the rental space, proof of liability insurance (typically $1 million minimum), fire safety inspection certificate from the Keene Fire Department, and a completed short-term rental registration form. You'll need to pay approximately $50-100 for the business license fee plus additional inspection fees of around $75-150. Schedule required inspections with the Building Inspector and Fire Department to ensure compliance with life safety codes, including proper egress, smoke detectors, and carbon monoxide detectors. The process typically takes 4-6 weeks from application submission to permit approval, depending on inspection scheduling and any required corrections. Keene specifically requires STR operators to maintain a local contact person available 24/7, limit occupancy based on bedroom count and square footage, provide adequate parking spaces, and comply with noise ordinances and waste management requirements. Annual renewal is required with updated insurance documentation and re-inspection every two years.

Short-term rentals (STRs) are legal in Keene, New Hampshire, but operate under the city's zoning regulations and general business licensing requirements. The city does not have specific STR ordinances like many larger municipalities, so rentals are generally permitted in residential zones as long as they comply with existing zoning laws, fire safety codes, and tax obligations including the state's meals and rooms tax. Property owners must ensure their rentals meet health and safety standards and may need to obtain business licenses depending on the scale of operation. There are no specific prohibited areas within Keene city limits, though individual neighborhood covenants or homeowners associations may impose restrictions. Recent years have seen increased scrutiny of STRs statewide, with New Hampshire implementing stricter tax collection requirements around 2019-2020, but Keene has not enacted major regulatory changes specific to short-term rentals as of 2023, maintaining a relatively permissive approach compared to cities like Portsmouth or Manchester which have implemented more comprehensive STR regulations.

The best areas for Airbnb investment in Keene, New Hampshire include the Historic Downtown District around Main Street and Central Square, which attracts visitors to Keene State College events, the Colonial Theatre performances, and the annual Pumpkin Festival that draws over 80,000 people each October. The Ashuelot River Park area offers scenic waterfront appeal for outdoor enthusiasts visiting Monadnock State Park and hiking Mount Monadnock, one of the most climbed mountains in the world. The West Keene neighborhood near Route 9 provides convenient access for business travelers visiting companies like C&S Wholesale Grocers and Timken Aerospace, while also serving tourists heading to nearby ski resorts like Crotched Mountain. The Keene State College vicinity on Winchester Street captures consistent demand from visiting families, prospective students, and academic conference attendees throughout the academic year. The Marlborough Street corridor near Keene High School and the hospital district attracts medical professionals, sports families during tournaments, and visitors to the Cheshire Medical Center, providing steady year-round occupancy potential.

In Keene, New Hampshire, Airbnb hosts are subject to the state's Rooms and Meals Tax of 8.5% on rental income, which applies to all short-term rentals under 185 days and is collected by the New Hampshire Department of Revenue Administration with quarterly remittance required by the 25th of January, April, July, and October. The city of Keene does not impose additional local lodging taxes beyond the state requirement. Hosts must register with the state, collect the tax from guests, and file Form R&M-1 quarterly even if no tax is owed, with payments due electronically through the state's online portal. Exemptions include rentals to permanent residents (185+ days), certain medical-related stays, and rentals by organizations exempt under RSA 72:23, though most typical Airbnb operations do not qualify for exemptions. The tax is calculated on gross rental receipts including cleaning fees but excluding separately stated taxes, and failure to comply can result in penalties of 25% of unpaid tax plus interest at 1.5% per month.

The total cost to start an Airbnb in Keene, New Hampshire is approximately $285,000-$335,000. Property purchase costs around $250,000 based on Keene's median home price as of 2023. Furnishing a 2-3 bedroom property runs $8,000-$15,000 including beds, linens, kitchen essentials, and living room furniture from retailers like IKEA, Wayfair, and local stores. Initial setup costs $2,000-$3,000 covering professional photography, listing creation, welcome materials, and basic amenities. Permits and fees total $500-$1,500 including business registration with New Hampshire Secretary of State, potential local short-term rental permits from Keene city offices, and tax registrations. Insurance increases $1,200-$2,400 annually for short-term rental coverage through providers like Proper Insurance or CBIZ. Monthly utilities average $200-$300 covering electricity, heating, water, internet, and cable. First six months operating costs reach $8,000-$12,000 including utilities ($1,200-$1,800), cleaning services at $75-$100 per turnover, supplies and maintenance ($1,000-$2,000), Airbnb host fees at 3%, marketing ($500), and emergency repairs fund ($2,000-$3,000). Additional considerations include property taxes averaging $4,000-$6,000 annually and potential HOA fees if applicable.

Airbnb properties in Keene, New Hampshire typically generate annual revenues between $15,000-$35,000 for entire home listings, with average daily rates ranging from $80-$150 depending on property size and amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($30-50 per turnover), property management (10-20% of revenue), utilities ($150-300 monthly), insurance ($1,200-2,000 annually), and maintenance costs ($2,000-4,000 yearly). Net profit margins typically range from 15-35% for well-managed properties, with higher-end homes near Keene State College or downtown achieving better performance during peak seasons (fall foliage, graduation weekends). Success factors include proximity to the college campus, professional photography, consistent 4.8+ star ratings, and strategic pricing during high-demand periods like Parents' Weekend and leaf-peeping season in October. Properties within walking distance of Main Street or offering unique amenities like hot tubs or fire pits command premium rates, while basic suburban homes may struggle with occupancy rates below 50% during winter months, significantly impacting annual profitability.

Airbnb investments in Keene, New Hampshire typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, depending on property type and location within the city. Properties near Keene State College and downtown areas tend to perform better, with investors seeing profitability within 18-24 months of initial investment. The market benefits from consistent demand from college visitors, leaf-peeping tourists during fall season, and business travelers, with average daily rates of $85-120 and occupancy rates of 65-75% annually. Initial investment costs average $200,000-350,000 for suitable properties, with monthly gross revenues typically ranging from $1,800-3,200 depending on property size and amenities. The timeframe to break even on renovation and setup costs is generally 14-20 months, while full ROI realization occurs within 3-4 years for most investors in the Keene market.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking in Keene, New Hampshire. Local real estate agents like Cheshire County Realty and Keene Real Estate Group have experience with investment properties in the area, while Century 21 and Coldwell Banker have local offices that can assist with Airbnb property acquisitions. National services include AirDNA for market analysis, Mashvisor for property analytics, and BiggerPockets for investor networking and deal sourcing. RedAwning and Vacasa offer property management services that can help evaluate potential Airbnb investments in the Keene market. Local property management companies like Monadnock Property Management and New Hampshire Vacation Rentals provide market insights and can assist with identifying suitable properties. Additional national platforms like Roofstock, which expanded into short-term rental investments around 2021, and AvantStay, which focuses on group vacation rentals, may also have opportunities in the Keene area for investors seeking profitable Airbnb properties.