Is Keller, Texas Good for Airbnb Investment?

To start an Airbnb in Keller, Texas, begin by researching local regulations as Keller requires short-term rental permits and compliance with zoning ordinances that typically limit rentals to no more than 30% of units in residential areas. Obtain necessary permits including a Certificate of Occupancy, business license from the City of Keller (approximately $50-100), and register for Texas state tax ID for collecting hotel occupancy taxes (around 15% total including state and local taxes). Find a suitable property in residential zones R-1 or R-2 that allows short-term rentals, ensuring it meets safety requirements including smoke detectors, carbon monoxide detectors, and fire extinguishers. Furnish the property with quality furniture, linens, kitchen essentials, and amenities like WiFi, focusing on a cohesive design that photographs well. Create your Airbnb listing with professional photos, competitive pricing (Keller averages $80-150/night for whole homes), and detailed descriptions highlighting proximity to DFW Airport (20 minutes) and Fort Worth attractions. Manage the property by responding to inquiries within an hour, coordinating cleaning between guests (budget $50-75 per turnover), maintaining the property regularly, and ensuring compliance with Keller's noise ordinances and parking requirements that typically limit guest vehicles to two per property.

To identify profitable short-term rental properties in Keller, Texas, focus on locations within 15-20 minutes of DFW Airport and major business districts like Las Colinas, as well as properties near Keller's highly-rated school districts and recreational areas like Bear Creek Park. Target 3-4 bedroom single-family homes built after 2000 with modern amenities, pools, and updated kitchens, as these appeal to business travelers and families visiting the area. Conduct pricing analysis using AirDNA and Mashvisor to identify properties where potential STR revenue exceeds traditional rental income by 30-40%, typically finding opportunities in the $300,000-$500,000 range in neighborhoods like Keller Town Center and Bear Creek. Research competition by analyzing existing Airbnb and VRBO listings within a 3-mile radius, identifying gaps in amenities or pricing strategies, and noting that successful properties in Keller average $150-$250 per night with 65-75% occupancy rates. Utilize tools like Rabbu, BiggerPockets calculators, and local MLS data through Realtor.com, while connecting with Keller-specific Facebook groups and consulting with local property management companies like RedAwning or Vacasa who understand the North Texas market dynamics and HOA restrictions that may impact STR operations.

To obtain an Airbnb/STR permit in Keller, Texas, you must first contact the City of Keller Planning and Development Department at City Hall located at 1100 Bear Creek Parkway, as Keller requires short-term rental properties to comply with zoning regulations and obtain proper permits. You'll need to submit a completed short-term rental application form, provide proof of property ownership or lease agreement, submit a site plan showing parking arrangements, provide proof of liability insurance (typically $1 million minimum), and include contact information for a local property manager if you're not residing locally. Required documents also include a floor plan, occupancy limits documentation, and compliance with fire safety codes. The application fee is estimated at $150-300 with potential additional inspection fees of $75-150. You must ensure the property is located in a zone that permits short-term rentals (typically single-family residential areas with restrictions), maintain adequate parking spaces (usually 2 spaces minimum), and comply with occupancy limits based on bedrooms and square footage. The approval timeline is typically 30-45 days from submission of complete application, including review time and any required inspections. Once approved, you'll receive a certificate of occupancy for short-term rental use, and you must renew the permit annually while maintaining compliance with all city ordinances, noise regulations, and parking requirements.

Short-term rentals (STRs) are legal in Keller, Texas, but operate under specific regulations established by the city. Keller requires STR operators to obtain a short-term rental permit and comply with occupancy limits, parking requirements, and noise ordinances. The city prohibits STRs in certain residential zoning districts and requires properties to maintain primary residence status for homestead exemptions. Operators must register with the city, pay applicable fees, and ensure compliance with fire safety codes and building regulations. Recent changes around 2022-2023 included stricter enforcement mechanisms and updated permit requirements, with the city implementing a complaint-driven enforcement system. Properties must meet specific criteria including adequate parking (typically 2 spaces minimum), occupancy limits based on bedroom count, and 24/7 contact information for responsible parties. Keller's regulations align with broader Texas legislation that generally supports property rights while allowing municipalities to establish reasonable regulations for health, safety, and welfare purposes.

The best areas for Airbnb investment in Keller, Texas include the historic downtown district near Keller Town Hall and the Main Street corridor, which attracts visitors for local events, farmers markets, and proximity to dining establishments like Babe's Chicken Dinner House. The neighborhoods near Keller High School and the sports complexes are ideal for families visiting for UIL tournaments, graduation ceremonies, and athletic events throughout the year. Areas close to the Keller Pointe recreation center and Bear Creek Golf Club draw sports tourists and recreational visitors seeking extended stays. The residential zones near major employers like the Keller ISD administration buildings and nearby corporate offices in the Alliance corridor attract business travelers needing temporary housing. Properties within walking distance of the Trinity Metro TEXRail station provide excellent connectivity to DFW Airport and downtown Fort Worth, making them attractive to both business and leisure travelers. The neighborhoods surrounding Keller's numerous parks, including Keller Community Park and Johnson Road Park, appeal to families attending youth sports tournaments and outdoor events, while areas near the Shops at Keller Town Center benefit from retail and dining proximity that enhances guest experience.

In Keller, Texas, Airbnb hosts are subject to multiple lodging and occupancy taxes including the Texas state hotel occupancy tax of 6%, Tarrant County's hotel occupancy tax of 2%, and the City of Keller's hotel occupancy tax of 7%, totaling 15% on gross rental receipts for stays under 30 consecutive days. These taxes are typically collected by Airbnb directly from guests at the time of booking and remitted to the appropriate tax authorities on behalf of hosts, though hosts should verify their registration status with each jurisdiction. The Texas Comptroller requires monthly remittance by the 20th of the following month, while Tarrant County and Keller have similar monthly filing requirements with remittance due by the 20th and 15th respectively. Stays of 30 days or longer are generally exempt from occupancy taxes as they're considered residential rather than transient lodging, and certain government and nonprofit organization bookings may qualify for exemptions with proper documentation. Hosts should register with the Texas Comptroller's office, Tarrant County, and the City of Keller to ensure compliance, and while Airbnb's collection service covers most scenarios, hosts remain ultimately responsible for ensuring all applicable taxes are properly collected and remitted.

To start an Airbnb in Keller, Texas, the total costs would be approximately $485,000-$565,000. Property purchase represents the largest expense at $400,000-$450,000 based on Keller's median home prices in 2024. Furnishing costs typically range $15,000-$25,000 for a complete 3-4 bedroom home including furniture, appliances, linens, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, welcome materials, and basic supplies total around $2,000-$3,000. Permits and fees in Keller include short-term rental registration ($200-$500), business license ($100-$300), and potential HOA approval processes. Insurance for short-term rentals costs approximately $2,500-$4,000 annually, significantly higher than standard homeowner's insurance. Utility setup and deposits for electricity, water, gas, internet, and cable services total roughly $1,000-$1,500. First six months of operating costs including utilities ($1,200-$1,800), cleaning services ($3,000-$4,500), maintenance and repairs ($2,000-$3,000), property management software ($300-$600), and marketing expenses ($500-$1,000) add approximately $7,000-$10,900 to the initial investment.

Airbnb properties in Keller, Texas typically generate annual revenues between $25,000-$45,000 for a 3-bedroom home, with nightly rates averaging $120-$180 depending on property size and amenities. Operating expenses generally consume 40-50% of gross revenue, including cleaning fees ($75-$100 per turnover), property management (15-25% of revenue), utilities ($200-$300 monthly), insurance ($150-$250 monthly), and maintenance costs ($2,000-$4,000 annually). Net profit margins typically range from 15-25% for well-managed properties, with successful hosts in the DFW suburbs achieving occupancy rates of 65-75% annually. Key success factors include proximity to DFW Airport (20 minutes from Keller), targeting business travelers and families visiting the area, maintaining high cleanliness standards, and competitive pricing against nearby Grapevine and Southlake properties. Properties near Keller's town center or with pools and modern amenities command premium rates, while those requiring significant upfront renovations may see 2-3 year payback periods before achieving optimal profitability in this competitive North Texas market.

Airbnb investments in Keller, Texas typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15%, depending on property type and location within the city. Single-family homes near Keller's downtown area and close to DFW Airport corridors tend to perform at the higher end of this range, while properties in outer residential areas may see returns closer to 10-12% annually. Most investors in Keller achieve profitability within 18-24 months, with initial investment recovery typically occurring between 6-8 years. The market benefits from strong demand due to Keller's proximity to major employment centers in Dallas-Fort Worth, excellent school districts attracting family travelers, and corporate housing needs from companies like American Airlines, Bell Helicopter, and various energy sector businesses operating in the region. Properties averaging $300,000-500,000 purchase price with renovation costs of $15,000-30,000 commonly generate monthly gross revenues of $3,500-5,500, resulting in net monthly cash flows of $800-1,500 after expenses including mortgage, insurance, cleaning, and platform fees.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental properties for Airbnb investors in Keller, Texas, offering comprehensive market analysis and property recommendations. Local real estate agents in the Dallas-Fort Worth area who focus on investment properties include Keller Williams Realty agents specializing in STR investments, RE/MAX professionals with vacation rental expertise, and Coldwell Banker agents who understand the Keller market dynamics. National services like Awning, RedAwning, and Vacasa provide end-to-end Airbnb investment solutions including property identification, purchase assistance, and management services in the Keller area. Local companies such as DFW Short Term Rental Advisors, Texas STR Investments, and Metroplex Vacation Rental Consultants offer specialized knowledge of Keller's zoning laws, HOA restrictions, and neighborhood dynamics that affect Airbnb profitability. Additional national platforms like Mashvisor, BiggerPockets, and AirDNA provide market analytics and property search tools specifically for the Keller, Texas market, while local mortgage brokers like First United Bank and Prosperity Bank offer investment property financing options tailored to short-term rental purchases in the area.