Is Lost Springs, Kansas Good for Airbnb Investment?

To start an Airbnb in Lost Springs, Kansas, begin by researching local zoning laws and regulations through Marion County's planning department, as Lost Springs typically follows county guidelines for short-term rentals, which may require special use permits or conditional use permits for residential properties used commercially. Contact the Lost Springs city clerk (if incorporated) or Marion County clerk to understand specific permit requirements, business license needs, and any occupancy taxes that apply to short-term rentals. Find a suitable property by searching local real estate listings, considering proximity to attractions like the Tallgrass Prairie National Preserve or Flint Hills, and ensure the property meets safety codes including smoke detectors, carbon monoxide detectors, and proper egress windows. Furnish the space with essential amenities including comfortable bedding, kitchen supplies, Wi-Fi, and local guidebooks highlighting nearby attractions in the Flint Hills region. Create your Airbnb listing with high-quality photos, competitive pricing (likely $75-150 per night based on rural Kansas markets), and detailed descriptions emphasizing the peaceful rural setting and outdoor activities. For management, establish cleaning protocols between guests, create a digital guidebook with local recommendations including nearby Newton or El Dorado attractions, set up automated messaging for check-in instructions, and consider hiring local cleaning services from nearby larger towns like Newton since Lost Springs has limited service providers due to its small population of under 100 residents.

To identify profitable short-term rental properties in Lost Springs, Kansas, focus on properties within a 15-mile radius of major attractions like the Prairie Spirit Trail State Park and nearby Cottonwood Falls, as this small town of approximately 70 residents relies heavily on regional tourism and outdoor recreation visitors. Target 2-3 bedroom single-family homes or cabins with rustic charm, outdoor spaces, and modern amenities like high-speed internet, as guests seek authentic rural experiences while maintaining comfort. Analyze pricing by researching comparable STRs in Marion County and surrounding areas, aiming for nightly rates between $80-150 depending on property size and amenities, with higher rates during hunting seasons and summer months. Competition research should include monitoring listings within a 25-mile radius including Cottonwood Falls, Strong City, and Council Grove, as the limited local inventory means you'll compete regionally. Utilize tools like AirDNA for market analysis, STR Helper for revenue projections, and local resources such as the Marion County tourism board and Kansas Department of Wildlife and Parks for seasonal visitor data, while considering properties near the Tallgrass Prairie National Preserve which drives significant eco-tourism traffic through the area.

To obtain an Airbnb/STR permit in Lost Springs, Kansas, contact the Lost Springs City Clerk's office at City Hall (typically located at the main municipal building) to inquire about short-term rental regulations, as this small city may not have formal STR ordinances established yet. You'll likely need to submit a business license application, provide proof of property ownership or lease agreement, certificate of insurance with minimum $1 million liability coverage, floor plan of the rental unit, and contact information for a local property manager if you're not residing locally. Required documents typically include a completed application form, property deed or lease, Kansas sales tax registration, fire safety inspection certificate, and zoning compliance verification. Application fees are estimated at $50-150 for the initial permit plus annual renewal fees of $25-75, though Lost Springs may waive or reduce fees given its small size. The approval timeline is estimated at 2-4 weeks for processing, pending any required inspections. Specific Lost Springs requirements likely include compliance with existing zoning ordinances (residential properties may need conditional use permits), adherence to Kansas state lodging regulations, proper waste management arrangements, and maintaining quiet hours typically from 10 PM to 7 AM. Since Lost Springs is a very small community (population under 100), regulations may be minimal or handled case-by-case, so direct communication with city officials is essential to understand current requirements and procedures.

Short-term rentals (STRs) in Lost Springs, Kansas are generally legal as the small city of approximately 60 residents does not have specific municipal ordinances prohibiting them as of 2023. Lost Springs, located in Marion County, falls under Kansas state law which does not ban STRs at the state level, leaving regulation to local municipalities. Given Lost Springs' minimal population and limited residential housing stock, there are no known specific zoning restrictions, permit requirements, or prohibited areas for STRs within the city limits. The city has not enacted recent legal changes regarding STR regulations, likely due to its small size and limited tourism infrastructure. However, operators should still comply with general business licensing requirements and tax obligations at the county and state level, and any STR operation would need to meet basic health and safety standards required for rental properties in Kansas.

Lost Springs, Kansas, being one of the smallest incorporated cities in the United States with a population under 10 people, presents extremely limited Airbnb investment opportunities within the city limits itself. However, the broader McPherson County area and nearby attractions could offer potential, particularly around the historic downtown district of McPherson (15 miles north) which attracts visitors interested in Kansas history and small-town tourism. The area near the Kansas State Fairgrounds in Hutchinson (approximately 30 miles southeast) could see seasonal demand during the annual Kansas State Fair in September, drawing thousands of visitors who need accommodation. Properties near the Quivira National Wildlife Refuge (about 25 miles southwest) might attract nature enthusiasts, bird watchers, and hunters during peak seasons. The agricultural corridor along Highway 56 could appeal to business travelers visiting farming operations, grain elevators, and agricultural equipment dealers. Given Lost Springs' unique claim as America's smallest city, a novelty property marketed toward quirky travel experiences and road trip enthusiasts exploring unusual American destinations might find a niche market, though occupancy would likely be sporadic and seasonal.

Lost Springs, Kansas does not impose specific lodging or occupancy taxes on Airbnb properties as of 2024, as the city is extremely small with a population under 10 residents and lacks the municipal infrastructure to administer such taxes. However, Airbnb hosts in Lost Springs are subject to Kansas state sales tax at 6.5% on short-term rental income, which is collected by the Kansas Department of Revenue through the state's marketplace facilitator law that requires platforms like Airbnb to collect and remit taxes directly from guests at the time of booking. Marion County, where Lost Springs is located, does not impose additional transient guest taxes, so the primary tax obligation remains the state sales tax. Hosts must register with the Kansas Department of Revenue if they collect taxes independently, though most collection is handled automatically through Airbnb's system, with remittance occurring monthly to the state. There are no specific exemptions for short-term rentals, and all stays under 28 days are subject to the standard sales tax rate, with longer stays potentially exempt as they may be considered residential rather than transient accommodations.

The total cost to start an Airbnb in Lost Springs, Kansas would be approximately $85,000-$95,000. Property purchase costs around $45,000-$55,000 based on the median home price in rural Kansas towns. Furnishing a 2-3 bedroom property with quality furniture, appliances, linens, and decor would cost $8,000-$12,000. Initial setup including professional photography, listing creation, and basic renovations runs $2,000-$3,500. Permits and fees including business license, short-term rental permit, and inspection fees total approximately $500-$800. Insurance for short-term rental coverage adds $1,200-$1,800 annually. Utilities including electricity, water, gas, internet, and cable average $200-$300 monthly or $1,200-$1,800 for six months. First six months operating costs including cleaning services, supplies, maintenance, marketing, and platform fees range from $3,000-$4,500. Additional considerations include property taxes, HOA fees if applicable, and a contingency fund for unexpected repairs, which could add another $2,000-$3,000 to the initial investment.

Airbnb properties in Lost Springs, Kansas face significant profitability challenges due to the town's extremely small population of approximately 61 residents and limited tourist attractions, resulting in average daily rates of $45-65 and occupancy rates below 25% annually. Properties typically generate $3,000-6,000 in annual revenue while facing expenses of $4,500-8,000 including property taxes ($800-1,200), utilities ($1,200-1,800), cleaning fees ($600-900), insurance ($400-600), maintenance ($800-1,500), and Airbnb fees (3% host fee plus guest service fees), creating negative profit margins of -15% to -35% for most operators. Success factors are limited but include targeting hunters during deer season (November-December), marketing to travelers on Highway 56, offering extremely competitive pricing, and maintaining properties with minimal ongoing costs. A typical 2-bedroom property might achieve 60 bookings annually at $55 average nightly rate generating $3,300 revenue, but after $5,200 in expenses results in a $1,900 annual loss, making Lost Springs one of the least viable Airbnb markets in Kansas compared to profitable markets like Lawrence or Manhattan where properties achieve 60-70% occupancy rates and positive margins of 15-25%.

Airbnb investments in Lost Springs, Kansas face significant challenges due to the town's extremely small population of approximately 61 residents and limited tourist attractions, resulting in expected annual ROI of 2-4% with negative cash-on-cash returns of -5% to -10% in the first 2-3 years. The rural location lacks major highways, attractions, or business centers that would drive consistent rental demand, making profitability unlikely within a 5-7 year timeframe without substantial property appreciation. Properties in this market would likely experience occupancy rates below 15% annually, with average daily rates of $40-60, insufficient to cover mortgage payments, maintenance, utilities, and platform fees on typical investment properties valued at $50,000-80,000 in the area.

STRSearch is a national platform that specializes in identifying profitable short-term rental investment properties across markets including Lost Springs, Kansas. For local expertise, Kansas-based real estate agents like those at Coldwell Banker in nearby Salina or RE/MAX Associates in McPherson (approximately 30-40 miles from Lost Springs) often work with investors seeking vacation rental properties in rural Kansas markets. National services include Awning, which provides Airbnb investment property analysis and management, and Mashvisor, offering rental property analytics for small Kansas towns. AirDNA provides market data and revenue estimates for short-term rentals in rural Kansas markets. Local property management companies such as Sunflower Property Management in central Kansas can assist with ongoing operations. Real estate investment firms like Roofstock and Arrived Homes occasionally feature Kansas properties, though rural markets like Lost Springs may have limited inventory. Regional Kansas real estate brokerages including Zimmerman & Associates and Ruckert Realty Group have experience with investment properties in small Kansas communities and can provide insights into local zoning regulations and tourism patterns that affect Airbnb profitability in areas near attractions like the Tallgrass Prairie National Preserve.