Is Ledgewood, New Jersey Good for Airbnb Investment?

To start an Airbnb in Ledgewood, New Jersey, begin by researching local zoning laws and regulations through Roxbury Township (which governs Ledgewood) municipal offices, as short-term rentals may require special permits or may be restricted in certain residential zones. Contact the township's zoning department at 973-448-2000 to understand specific requirements, which typically include obtaining a Certificate of Occupancy, business license, and potentially a short-term rental permit that may cost $100-300 annually. Find a suitable property by searching residential areas near Lake Hopatcong or downtown Ledgewood, ensuring it meets township fire safety codes and has adequate parking. Furnish the space with essential amenities including Wi-Fi, linens, kitchen supplies, and safety equipment like smoke detectors and carbon monoxide alarms, budgeting approximately $3,000-8,000 for a complete setup. Register for New Jersey sales tax collection through the state's Division of Taxation, as you'll need to collect 6.625% state sales tax plus local occupancy taxes. List your property on Airbnb and VRBO platforms with professional photos highlighting proximity to Lake Hopatcong recreation and New York City accessibility (45 minutes by train). Implement a management system using tools like Hospitable or hire local property management companies such as those serving the Morris County area, ensuring 24/7 guest communication, professional cleaning between stays, and compliance with the township's noise ordinances and occupancy limits, which typically restrict rentals to 2 guests per bedroom with maximum 8-10 total occupants.

To identify profitable short-term rental properties in Ledgewood, New Jersey, focus on locations within 2-3 miles of major attractions like Lake Hopatcong (New Jersey's largest lake), Waterloo Village historic site, and proximity to Interstate 80 for easy access to New York City commuters and weekend visitors. Target 2-4 bedroom single-family homes or condos built after 1980 with modern amenities, full kitchens, outdoor spaces, parking, and lake or nature views, as these command premium rates of $150-300 per night in the area. Analyze comparable properties using AirDNA and Mashvisor to assess average daily rates, occupancy rates (typically 60-75% in this market), and seasonal demand patterns, with peak seasons during summer lake activities and fall foliage. Research competition by examining existing STR listings within a 5-mile radius, noting their pricing strategies, amenities, and guest reviews to identify market gaps. Utilize tools like Rabbu, BiggerPockets calculators, and local MLS data through Zillow or Realtor.com to evaluate purchase prices against potential rental income, aiming for properties under $400,000 that can generate 12-18% annual returns, while ensuring compliance with Morris County and local zoning regulations for short-term rentals.

To obtain an Airbnb/STR permit in Ledgewood, New Jersey, you must first contact the Roxbury Township Planning and Zoning Department since Ledgewood is an unincorporated community within Roxbury Township, located at 1715 Route 46, Ledgewood, NJ 07852. Begin by submitting a zoning permit application along with a site plan showing the property layout, proof of property ownership or lease agreement, certificate of occupancy, fire safety inspection certificate from the local fire department, and proof of liability insurance with minimum $1 million coverage. Required documents also include a floor plan indicating maximum occupancy, parking plan showing adequate off-street parking, and a waste management plan. The application fee is typically $150-250 for the initial permit plus $75 for zoning review, with annual renewal fees of approximately $100. You must also register with the New Jersey Division of Taxation for hotel/motel tax collection and obtain a business registration certificate. The approval timeline ranges from 30-60 days depending on completeness of application and any required hearings. Specific Ledgewood/Roxbury Township requirements include limiting occupancy to no more than 8 guests, maintaining quiet hours from 10 PM to 8 AM, providing adequate parking (typically 1 space per 2 guests), ensuring compliance with residential zoning restrictions, and potentially requiring conditional use approval if the property is in certain residential zones.

Short-term rentals (STRs) in Ledgewood, New Jersey operate under Roxbury Township's jurisdiction, where they are generally permitted but subject to local zoning regulations and licensing requirements. The township requires STR operators to obtain proper permits and comply with health and safety standards, including fire safety inspections and occupancy limits. Properties must be registered with the township and operators typically need to pay applicable taxes and fees. Recent years have seen increased scrutiny of STRs in Morris County municipalities, with some areas implementing stricter noise ordinances and parking requirements around 2020-2022. Ledgewood's residential zoning districts generally allow STRs in single-family homes with restrictions on the number of guests and requirements for on-site parking, though commercial zones may have different regulations. Property owners should verify current township ordinances as regulations have evolved to balance tourism benefits with neighborhood concerns about traffic and noise impacts.

The best areas for Airbnb investment in Ledgewood, New Jersey include the neighborhoods near Lake Hopatcong, which attract summer tourists and water sports enthusiasts from New York City and Philadelphia seeking weekend getaways, with properties typically generating strong seasonal revenue from May through September. The historic downtown Ledgewood area offers appeal for business travelers visiting nearby corporate offices and the Picatinny Arsenal military installation, providing steady year-round occupancy. Properties near the Ledgewood Mall and Route 10 corridor benefit from proximity to shopping, dining, and major transportation routes, making them attractive to both leisure visitors exploring the Morris County area and business guests attending meetings at nearby companies like Honeywell and pharmaceutical firms in the region. The residential areas around Central Park of Morris County provide a quieter setting that appeals to families visiting for youth sports tournaments and events, while still maintaining easy access to Interstate 80 for guests traveling to New York City or other parts of New Jersey.

Airbnb properties in Ledgewood, New Jersey are subject to New Jersey's state sales tax of 6.625% on short-term rental accommodations, which applies to stays of less than 90 consecutive days. Additionally, Morris County imposes a 3% hotel/motel occupancy tax on transient accommodations including short-term rentals. Airbnb typically collects and remits the state sales tax directly from guests on behalf of hosts through their platform, but hosts may need to register with the New Jersey Division of Taxation if they handle collections independently. The county occupancy tax generally requires hosts to register with Morris County, collect the tax from guests, and remit it quarterly along with required documentation. Ledgewood itself, being an unincorporated community within Roxbury Township, does not impose additional municipal lodging taxes beyond the state and county requirements. Exemptions typically include stays of 90 days or longer, certain government and military personnel, and in some cases nonprofit organizations, though hosts should verify current exemption criteria with tax authorities as regulations can change.

To start an Airbnb in Ledgewood, New Jersey, expect total costs around $420,000-$480,000. Property purchase represents the largest expense at $350,000-$400,000 based on median home prices in Morris County. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom setup including furniture, appliances, linens, and décor. Initial setup costs including professional photography, listing creation, and marketing materials run $2,000-$3,000. Permits and fees vary but budget $1,500-$2,500 for business registration, potential short-term rental permits, and municipal requirements. Insurance including landlord and short-term rental coverage costs approximately $2,500-$4,000 annually. Utility setup and deposits for electricity, gas, water, internet, and cable total around $1,000-$1,500. First six months operating costs including utilities ($900/month), cleaning services ($150 per turnover), supplies and maintenance ($300/month), and platform fees (3% of bookings) estimate $8,000-$12,000 assuming moderate occupancy rates of 60-70%.

Airbnb properties in Ledgewood, New Jersey typically generate annual revenues between $15,000-$35,000 for entire home listings, with average daily rates ranging from $85-$150 depending on property size and amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($50-$80 per turnover), property management costs (15-25% of revenue), utilities ($150-$300 monthly), insurance premiums ($800-$1,500 annually), and maintenance expenses averaging $2,000-$4,000 yearly. Net profit margins typically range from 15-35% for well-managed properties, with success factors including proximity to Lake Hopatcong recreational activities, competitive pricing strategies, professional photography, and maintaining super-host status through consistent 4.8+ star ratings. Properties within walking distance of the lake or featuring amenities like hot tubs, fire pits, or boat access command premium rates and achieve 65-80% occupancy rates during peak summer months (May-September), while off-season occupancy drops to 35-50%. The most profitable properties are 3-4 bedroom homes purchased below $400,000 that can accommodate 6-8 guests, with several local investors reporting ROI of 8-12% annually when factoring in both rental income and property appreciation in this Morris County market.

Based on Ledgewood, New Jersey 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 location within the area. Properties near Lake Hopatcong and recreational areas tend to perform at the higher end of this range, while standard residential properties average closer to 8-9% annual returns. Initial profitability usually occurs within 18-24 months after accounting for setup costs, furnishing, and marketing expenses. The market benefits from proximity to New York City (approximately 45 miles) attracting weekend visitors and corporate travelers, with average daily rates of $120-180 for well-appointed properties. Occupancy rates typically range from 60-75% annually, with peak performance during summer months due to lake activities and fall foliage tourism. Investment properties in the $300,000-500,000 range generally produce $1,800-3,200 monthly gross revenue, with net cash flow of $800-1,500 after expenses including property management, cleaning, utilities, and maintenance costs.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Ledgewood, New Jersey. Local real estate agents specializing in investment properties include Keller Williams Realty's investment specialists and Coldwell Banker's commercial division, both active in Morris County since the early 2000s. RE/MAX agents in the Ledgewood area have developed expertise in vacation rental properties, particularly around Lake Hopatcong. National services like Mashvisor (founded 2014) and AirDNA (established 2015) offer market analytics and property identification tools for the North Jersey market. BiggerPockets connects investors with local professionals, while companies like Awning and RedAwning provide end-to-end Airbnb investment services including property management. Local property management companies such as Morris County Property Management and Lake Hopatcong Vacation Rentals assist with the operational aspects of short-term rentals. Investment-focused brokerages like Marcus & Millichap occasionally handle larger multi-family properties suitable for Airbnb conversion in the region, and platforms like Roofstock have featured New Jersey investment properties since 2016.