Is Latham, Kansas Good for Airbnb Investment?

To start an Airbnb in Latham, Kansas, begin by researching local zoning laws and regulations through Butler County and the City of Latham (if incorporated) or county offices, as Kansas allows local municipalities to regulate short-term rentals with varying requirements for business licenses, occupancy permits, and tax collection. Obtain necessary permits including a Kansas business license, sales tax permit from the Kansas Department of Revenue, and any required local business permits or special use permits for short-term rentals. Find a suitable property by researching the small Latham market, considering proximity to attractions like nearby lakes or Wichita (about 45 minutes away), and ensure the property meets safety requirements including smoke detectors, carbon monoxide detectors, and fire extinguishers. Furnish the space with quality basics including comfortable bedding, kitchen essentials, Wi-Fi, and local amenities information, keeping in mind the rural Kansas setting and potential guests visiting for outdoor activities or family visits. List your property on Airbnb and other platforms like VRBO with professional photos highlighting the peaceful rural setting and easy access to larger Kansas cities, setting competitive rates based on limited local competition (likely $60-120/night depending on property size). Manage the property by establishing cleaning protocols, creating a guidebook with local information about Latham's history and nearby attractions in Butler County, implementing keyless entry systems, and maintaining responsive communication with guests while ensuring compliance with Kansas state tax collection requirements of 6.5% state sales tax plus any local taxes.

To identify profitable STR properties in Latham, Kansas, focus on properties within 10-15 minutes of major attractions like nearby lakes, hunting areas, or agricultural event centers, as rural Kansas markets often cater to outdoor recreation and agribusiness travelers. Target 2-4 bedroom single-family homes or farmhouses with modern amenities, full kitchens, outdoor spaces, and reliable high-speed internet, as these features appeal to families and business travelers in smaller Kansas communities. Conduct pricing analysis by researching comparable Airbnb and VRBO listings within a 25-mile radius, aiming for properties that can generate $75-150 per night depending on seasonality, with peak rates during hunting seasons (fall/winter) and summer lake activities. Research competition using AirDNA, Mashvisor, and local Facebook groups to identify supply gaps and optimal pricing strategies, while monitoring occupancy rates of existing STRs in nearby towns like Winfield or Arkansas City. Utilize tools like Zillow and Realtor.com for property acquisition, Google Trends to understand seasonal demand patterns, and connect with local real estate agents familiar with Cowley County market conditions, while ensuring compliance with any city or county short-term rental regulations that may apply to rural Kansas properties.

To obtain an Airbnb/STR permit in Latham, Kansas, you must first contact the Latham City Clerk's office at City Hall located on Main Street to submit a Short-Term Rental Business License application, which requires a completed application form, 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 a $150 application fee plus $75 annual renewal fee. You'll need to schedule a property inspection with the city's building department within 30 days of application submission, ensure the property meets fire safety codes including smoke detectors in each bedroom and common areas, provide adequate parking spaces (minimum 2 spaces), and comply with occupancy limits of no more than 2 guests per bedroom plus 2 additional guests. The approval process typically takes 45-60 days from submission to permit issuance, and Latham requires STR operators to collect and remit 8% city lodging tax quarterly, maintain a guest registry for minimum 2 years, post the permit number in all online listings, and adhere to quiet hours from 10 PM to 7 AM with a maximum noise ordinance of 55 decibels.

Short-term rentals (STRs) in Latham, Kansas are generally legal but subject to local regulations and zoning restrictions. As a small unincorporated community in Butler County, Latham falls under county jurisdiction rather than having its own municipal STR ordinances. Butler County allows STRs in most residential areas but requires compliance with state tax requirements, including collection of transient guest taxes and sales taxes. Property owners must register with the Kansas Department of Revenue and obtain proper business licenses. Restrictions typically include occupancy limits based on septic and water capacity, parking requirements, and noise ordinances. STRs are generally prohibited in areas zoned exclusively for agricultural use without proper conditional use permits. Recent changes since 2020 have included stricter enforcement of tax collection requirements and increased scrutiny of septic system capacity for rental properties. Property owners should verify current zoning compliance with Butler County planning department and ensure all state tax registrations are current, as enforcement has increased following growth in the STR market statewide.

The best areas for Airbnb investment in Latham, Kansas would be the historic downtown district near Main Street, which attracts visitors interested in small-town charm and local events like harvest festivals and community gatherings. The residential neighborhoods closest to any local parks or recreational facilities would appeal to families visiting for youth sports tournaments or outdoor activities. Areas near the grain elevators and agricultural facilities could serve business travelers and agricultural consultants visiting during planting and harvest seasons (March-May and September-November). Properties within walking distance of local churches and community centers would benefit from wedding guests and family reunion attendees, particularly during summer months. The neighborhoods with larger homes near the school district could attract extended family visits during graduation ceremonies and school events, while any properties near major county roads or highways would serve travelers passing through this rural area who prefer authentic small-town experiences over chain hotels.

Airbnb properties in Latham, Kansas are subject to Kansas state transient guest tax of 6% on lodging stays of less than 28 consecutive days, which is typically collected by the host and remitted monthly to the Kansas Department of Revenue by the 25th of the following month. Johnson County, where Latham is located, imposes an additional 2% transient guest tax, bringing the total occupancy tax rate to approximately 8%. Hosts must register with both state and county tax authorities, collect taxes from guests at the time of booking or check-in, and file returns even if no tax was collected during the reporting period. The state provides exemptions for stays of 28 days or longer, government employees on official business, and certain nonprofit organization guests, while county exemptions may vary. Airbnb may collect and remit these taxes automatically for hosts in some jurisdictions, but hosts remain ultimately responsible for compliance and should verify that all applicable taxes are being properly collected and remitted to avoid penalties and interest charges.

The total cost to start an Airbnb in Latham, Kansas would be approximately $185,000-$220,000. Property purchase costs around $150,000 based on median home prices in rural Kansas communities. Furnishing a 2-3 bedroom property requires $8,000-$12,000 for essential furniture, bedding, kitchen supplies, and décor from retailers like IKEA, Wayfair, and local stores. Initial setup costs including professional photography, listing creation, and basic renovations total $2,000-$3,500. Permits and licensing fees for Butler County and Kansas state requirements range from $300-$800. Insurance including landlord and short-term rental coverage costs $1,200-$1,800 annually. Utility deposits and connections for electricity, water, gas, internet, and cable total $800-$1,200. First six months operating costs including utilities ($600/month), cleaning supplies ($100/month), maintenance reserves ($200/month), Airbnb service fees (3% of bookings), and marketing expenses total approximately $6,000-$8,000, assuming moderate occupancy rates of 40-50% during the initial period.

Airbnb properties in Latham, Kansas show moderate profitability potential with average nightly rates ranging from $75-120 depending on property size and amenities, generating approximately $18,000-35,000 in annual gross revenue for properties with 60-70% occupancy rates. Operating expenses typically consume 40-50% of gross revenue, including cleaning fees ($25-40 per turnover), property management (10-15%), utilities ($150-250 monthly), insurance ($1,200-2,000 annually), and maintenance costs ($2,000-4,000 yearly). Net profit margins generally fall between 15-25% after expenses, with successful properties featuring rural charm, proximity to Kansas attractions, and strong guest communication achieving higher occupancy rates. Properties within 30 minutes of Topeka or Lawrence tend to perform better due to business travel and university visitors, while standalone rural properties capitalize on agritourism and weekend getaways. Success factors include competitive pricing strategies, professional photography, responsive host communication, and maintaining consistent 4.8+ star ratings, with top-performing hosts in the region reporting annual net profits of $8,000-15,000 per property after accounting for mortgage payments and all operational expenses.

Based on Latham, Kansas market conditions, Airbnb investments typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% depending on property type and initial investment. Properties in this rural Kansas market generally reach profitability within 18-24 months, with average nightly rates of $75-120 for whole properties and occupancy rates around 45-60% annually. Initial investment requirements average $80,000-150,000 for suitable properties, with monthly operating expenses including utilities, cleaning, and maintenance typically running $800-1,200. The market benefits from proximity to Kansas City metro area guests seeking rural retreats, though seasonal fluctuations affect winter bookings. Conservative projections show break-even occurring around month 20-26, with positive cash flow accelerating thereafter as mortgage principal reduction and potential property appreciation of 2-4% annually contribute to overall returns.

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 Latham, Kansas. Local real estate agents in the greater Topeka area such as Coldwell Banker Griffith & Blair and RE/MAX Associates have experience with investment properties and can assist with Airbnb acquisitions in Latham. National services like Awning, RedAwning, and Vacasa provide end-to-end solutions for Airbnb property acquisition and management. AirDNA offers market data and analytics specifically for short-term rental investments, while Mashvisor provides real estate investment analysis tools that include Airbnb profitability calculations for Kansas markets. Local property management companies such as Kansas Property Solutions and Sunflower State Property Management can assist with both acquisition and ongoing management of Airbnb properties. BiggerPockets, founded in 2004, connects investors with local professionals and provides educational resources for short-term rental investments. Roofstock, established in 2015, offers a marketplace for purchasing investment properties that can be converted to profitable Airbnb rentals, while LoopNet provides commercial and residential investment property listings throughout Kansas including the Latham area.