Is Leachville, Arkansas Good for Airbnb Investment?

To start an Airbnb in Leachville, Arkansas, begin by researching local regulations through the Leachville City Hall and Mississippi 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 and local tourism taxes. Obtain necessary permits including a business license from Leachville (estimated $25-50 annually), ensure your property meets fire safety codes and has working smoke detectors, and register for Arkansas sales tax collection since you'll need to collect and remit state tourism tax (currently 2%) plus any local hotel/motel taxes. Find a suitable property by analyzing the local market around Leachville's proximity to Jonesboro (30 miles) and considering properties near Arkansas State University area or along major highways like US-63, ensuring the property allows short-term rentals if you're renting rather than owning. Furnish the space with essential amenities including reliable internet, comfortable bedding, kitchen basics, and local guidebooks highlighting nearby attractions like Crowley's Ridge State Park and Lake Frierson State Park. List your property on Airbnb and other platforms like VRBO, setting competitive rates based on regional pricing (likely $60-120/night depending on size and amenities), and create detailed descriptions emphasizing your location's access to northeast Arkansas attractions. Manage your property by establishing cleaning protocols between guests, maintaining responsive communication, coordinating key exchanges or installing smart locks, and keeping detailed records for tax purposes while ensuring compliance with Arkansas's innkeeper laws and any insurance requirements specific to short-term rentals.

To identify profitable short-term rental properties in Leachville, Arkansas, focus on properties within 15-20 minutes of major attractions like Crowley's Ridge State Park or near the Mississippi River for fishing and outdoor recreation access, as this small town of approximately 2,000 residents relies heavily on outdoor tourism and agricultural visitors. Target 2-3 bedroom single-family homes or cabins built after 1980 with modern amenities, full kitchens, outdoor spaces, and reliable internet, priced between $80,000-$150,000 to ensure positive cash flow with nightly rates of $75-$125. Analyze comparable properties on Airbnb and VRBO within a 30-mile radius including Jonesboro and Paragould to understand pricing strategies, as direct competition in Leachville is limited with fewer than 10 active STR listings. Research seasonal demand patterns focusing on hunting season (October-January), fishing season (March-October), and agricultural conference periods when visitors need accommodations. Utilize AirDNA for market analysis, STR Helper for profit calculations, and local Facebook groups like "Leachville Community" for insider market knowledge, while partnering with local real estate agents familiar with rural Arkansas properties and checking with Mississippi County for any STR regulations or permit requirements.

To obtain an Airbnb/STR permit in Leachville, Arkansas, contact the Leachville City Hall at 870-539-2274 or visit their office at 101 West Main Street 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 $50-200 annually for the business license plus any inspection fees of approximately $75-150. The timeline for approval is generally 2-4 weeks after submitting a complete application, though this may vary depending on inspection scheduling and any required corrections. Leachville may require compliance with local zoning ordinances, fire safety inspections, occupancy limits based on square footage and bedrooms, adequate parking spaces for guests, and registration of the property with the city including providing emergency contact information and maintaining guest registries for a minimum period as specified by local ordinances.

Short-term rentals (STRs) in Leachville, Arkansas are generally legal as the city does not have specific ordinances prohibiting them, following Arkansas state law which allows STRs with basic requirements including registration and tax collection. Property owners must obtain a business license from the city, collect and remit state and local taxes including the 2% Arkansas Tourism Tax, and comply with standard zoning regulations that typically restrict STRs to residential and some commercial zones while prohibiting them in areas zoned exclusively for single-family residential use. The city requires STRs to meet basic safety standards including smoke detectors and emergency exits, maintain adequate parking, and avoid creating nuisances for neighbors through excessive noise or overcrowding. Recent changes at the state level in 2021-2022 have streamlined the registration process and clarified tax obligations, while Leachville has maintained its relatively permissive approach without implementing the stricter regulations seen in larger Arkansas cities like Fayetteville or Little Rock, though property owners should verify current zoning compliance and obtain proper licensing before operating an STR.

The best areas for Airbnb investment in Leachville, Arkansas would be properties near the downtown core along Highway 18/Main Street, which serves as the primary commercial corridor and attracts visitors conducting business with local agricultural operations and the grain elevator facilities. The residential neighborhoods surrounding Leachville Elementary School and near the city park offer family-friendly accommodations for visitors attending local events or family gatherings. Properties within a 2-3 mile radius of the major agricultural processing facilities would appeal to business travelers and agricultural consultants who frequently visit the area's farming operations. The area near the railroad tracks could attract railroad workers and transportation industry professionals who need temporary lodging. Additionally, homes closer to the Craighead County borders would benefit from overflow demand from Jonesboro, located about 20 miles southeast, particularly during Arkansas State University events, medical appointments at NEA Baptist Memorial Hospital, or business travel when Jonesboro accommodations are fully booked, making Leachville an affordable alternative for budget-conscious travelers.

Airbnb properties in Leachville, Arkansas are subject to Arkansas state sales tax of 6.5% on lodging accommodations, which applies to short-term rentals under 30 days. The Arkansas Department of Finance and Administration requires hosts to register for a sales tax permit and collect this tax from guests at the time of booking or check-in. Remittance is typically done monthly through the Arkansas Taxpayer Access Point (ATAP) online system, with payments due by the 20th of the following month. Mississippi County may impose an additional local sales tax of up to 3%, bringing the total potential tax rate to approximately 9.5%. Leachville itself does not appear to have specific municipal lodging taxes as of 2023, though hosts should verify current local ordinances. Exemptions generally apply to stays of 30 days or longer, which are considered long-term rentals rather than transient lodging. Some Airbnb platforms may collect and remit Arkansas state taxes automatically for hosts, but verification of proper registration and compliance remains the host's responsibility.

The total cost to start an Airbnb in Leachville, Arkansas would be approximately $85,000-$95,000. Property purchase costs around $65,000 based on the median home price in this small rural community. Furnishing a 2-3 bedroom property would cost $8,000-$12,000 including beds, living room furniture, kitchen essentials, linens, and basic appliances. Initial setup costs including professional photography, listing creation, and basic renovations would be $2,000-$3,000. Permits and fees including business license, short-term rental permit, and inspection fees would total $500-$800. Insurance including landlord and short-term rental coverage would cost $1,200-$1,500 annually. Utilities setup and deposits for electricity, water, internet, and cable would be $300-$500. First six months operating costs including utilities ($600), cleaning supplies ($200), maintenance reserves ($500), platform fees on estimated bookings ($400), and marketing ($300) would total approximately $2,000. Property management software and initial marketing would add another $500-$700 to startup costs.

Airbnb properties in Leachville, Arkansas face challenging profitability conditions due to the town's small population of approximately 2,000 residents and limited tourism infrastructure. Properties in this rural Mississippi County location typically generate $150-300 per month in revenue during peak seasons, with annual gross revenues averaging $2,000-4,000 for modest 2-3 bedroom homes listed at $40-60 per night with occupancy rates around 15-25%. Operating expenses including property taxes ($800-1,200 annually), insurance ($1,500-2,000), utilities ($1,200-1,800), cleaning fees ($25-35 per turnover), and maintenance costs ($500-1,000 annually) often consume 70-85% of gross revenue, leaving net profit margins of 15-30% or $300-1,200 annually. Success factors include targeting hunting and fishing enthusiasts visiting nearby St. Francis National Forest, agricultural workers, and travelers seeking budget accommodations between Memphis and Little Rock. Properties with unique rural amenities like fishing ponds, hunting access, or farm experiences perform better, with some hosts reporting 30-40% occupancy rates and $5,000-7,000 annual revenues. However, the limited demand, seasonal fluctuations, and high expense ratios make Leachville a marginal market for Airbnb investment compared to larger Arkansas cities like Fayetteville or Hot Springs where similar properties achieve 50-70% occupancy rates and $15,000-25,000 annual revenues.

Based on Leachville, Arkansas market conditions, Airbnb investments typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% depending on property acquisition costs and occupancy rates. Properties in this rural Mississippi County market generally reach profitability within 18-24 months, with average daily rates of $75-95 and occupancy rates around 45-60% annually. The lower property acquisition costs in Leachville (average $80,000-120,000 for investment properties) help offset the moderate tourism demand, primarily driven by fishing enthusiasts visiting nearby St. Francis River and hunters during seasonal periods. Investors can expect gross rental yields of 10-14% before expenses, with net yields settling around 7-9% after accounting for property management, maintenance, utilities, and platform fees, making the timeframe to break-even approximately 20-28 months for most properties in the area.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Leachville, Arkansas. Local real estate agents like Jonesboro-based Century 21 Heritage Realty and Realty Executives of Arkansas have experience with investment properties in the Northeast Arkansas region including Leachville. National services such as Mashvisor, AirDNA, and BiggerPockets offer market analysis tools for small Arkansas markets, while companies like Awning and RedAwning provide property management services for short-term rentals in rural Arkansas communities. Local property management companies such as Arkansas Vacation Rentals and Mid-South Property Management Group serve the broader region, and real estate investment firms like Arkansas Investment Properties and Delta Real Estate Investors focus on cash-flowing properties in smaller Arkansas towns. Roofstock and Fundrise also evaluate investment opportunities in emerging markets like Leachville, while local contractors and renovation specialists such as Northeast Arkansas Construction and Delta Home Improvements help investors prepare properties for the short-term rental market.