Is Manasquan, New Jersey Good for Airbnb Investment?

To start an Airbnb in Manasquan, New Jersey, begin by researching local zoning laws and regulations through the Manasquan Borough Hall, as the town requires short-term rental permits and has specific occupancy limits typically capped at 8-10 guests per property. Contact the Borough Clerk's office at 732-223-0544 to obtain the necessary short-term rental license, which costs approximately $200-300 annually and requires proof of liability insurance (minimum $1 million coverage), fire safety inspections, and compliance with parking requirements (usually 2 spaces per rental). Find a suitable property within residential zones that allow short-term rentals, focusing on areas near the beach or downtown that attract tourists, with properties typically ranging from $400,000-$800,000 for purchase or $2,000-$4,000 monthly for rental arbitrage. Furnish the space with coastal-themed decor, essential amenities including linens, kitchen supplies, WiFi, and beach equipment like chairs and umbrellas, budgeting $10,000-$20,000 for a complete setup. List your property on Airbnb, VRBO, and Booking.com with professional photography highlighting proximity to Manasquan Beach, the inlet, and local attractions like the Manasquan Reservoir. Manage the property by establishing cleaning protocols between guests (budget $75-$125 per turnover), implementing keyless entry systems, maintaining responsive communication with guests, and ensuring compliance with the borough's noise ordinances and maximum occupancy limits, while tracking seasonal demand patterns that peak during summer months from May through September.

To identify profitable short-term rental properties in Manasquan, New Jersey, focus on locations within 0.5 miles of the beach, particularly near Main Beach and Fisherman's Cove Beach, as well as properties close to the Manasquan Inlet and downtown area with restaurants and shops. Target 3-4 bedroom single-family homes or condos with parking, outdoor spaces, modern amenities, and beach equipment storage, as these command premium rates of $300-600 per night during peak summer season (June-August). Analyze comparable properties using AirDNA and Mashvisor to benchmark occupancy rates (typically 60-75% in summer, 25-40% off-season) and average daily rates, while researching competition through Airbnb and VRBO to identify gaps in amenities or pricing. Purchase properties in the $600,000-$1,200,000 range depending on proximity to beach and condition, aiming for gross rental yields of 8-12% annually. Utilize tools like Rabbu for market analysis, STR Helper for performance tracking, and consult local property management companies like Manasquan Beach Rentals for market insights, while ensuring compliance with Manasquan Borough's rental registration requirements and seasonal rental regulations that typically allow rentals from May through September.

To obtain an Airbnb/STR permit in Manasquan, New Jersey, you must first contact the Manasquan Borough Clerk's office at Borough Hall located at 201 East Main Street to inquire about short-term rental licensing requirements, as the borough has specific regulations governing vacation rentals. You'll need to submit a completed short-term rental application form along with required documents including proof of property ownership or lease agreement, certificate of occupancy, proof of liability insurance (typically $1 million minimum), floor plans showing maximum occupancy, contact information for a local property manager or 24-hour emergency contact, and current tax records. The application fee is estimated at $200-400 annually, with additional inspection fees of approximately $100-150. You must also register with the New Jersey Division of Taxation for hotel/motel tax collection and obtain a Certificate of Authority. The property must comply with fire safety codes, have working smoke and carbon monoxide detectors, meet parking requirements (typically 1-2 spaces per unit), and adhere to occupancy limits based on bedroom count and square footage. The approval timeline is generally 4-8 weeks after submitting a complete application, pending inspections and zoning compliance review. Manasquan requires STR operators to maintain guest registries, collect and remit local occupancy taxes, and ensure properties don't exceed noise ordinances or disturb neighboring residents.

Short-term rentals (STRs) in Manasquan, New Jersey are generally prohibited in residential zones under the borough's zoning ordinances, which restrict rentals of less than 30 days in most residential areas to preserve neighborhood character and prevent commercial activity in residential districts. The borough has maintained strict regulations since approximately 2018-2019, when many Jersey Shore communities began implementing STR restrictions in response to concerns about noise, parking, and transient occupancy affecting permanent residents. Manasquan's ordinances typically allow STRs only in commercial zones or with special permits, and violations can result in fines ranging from $500 to $2,000 per day. The borough has been particularly vigilant about enforcement during summer months when demand for shore rentals peaks, and property owners seeking to operate STRs must comply with business licensing requirements, occupancy limits, and parking provisions. Recent legal changes have focused on strengthening enforcement mechanisms and increasing penalties, with the borough working closely with online platforms like Airbnb and VRBO to identify unpermitted rentals, making Manasquan one of the more restrictive municipalities for STR operations along the New Jersey coast.

The most attractive areas for Airbnb investment in Manasquan, New Jersey are the beachfront neighborhoods along the Atlantic Ocean, particularly the areas near Manasquan Beach and Inlet, which draw summer tourists from May through September seeking beach access and water activities. The historic downtown district around Main Street offers year-round appeal with its proximity to restaurants, shops, and the Manasquan Train Station, attracting both leisure visitors and business travelers commuting to New York City. The residential neighborhoods between Route 35 and the beach, such as areas near Broad Street and Atlantic Avenue, provide excellent investment opportunities due to their walkable distance to both beach amenities and downtown attractions. Properties near the Manasquan River and inlet areas are particularly desirable for fishing enthusiasts and boating visitors, especially during peak fishing seasons and summer months. The neighborhoods close to Algonquin Arts Theatre attract cultural tourists attending performances and events throughout the year, while areas near local parks and recreational facilities appeal to families visiting during school breaks and summer vacations.

In Manasquan, New Jersey, Airbnb hosts are subject to New Jersey's state sales tax of 6.625% on lodging accommodations, which applies to rentals of less than 90 consecutive days. Additionally, hosts must collect the state occupancy fee of $5 per room per night for the first 90 days of occupancy. Manasquan Borough may impose a local occupancy tax of approximately 3-5% on short-term rentals, though specific rates can vary by municipal ordinance. These taxes are typically collected by the host from guests at the time of booking and must be remitted to the New Jersey Division of Taxation on a monthly or quarterly basis depending on the volume of transactions, with hosts required to register for a Certificate of Authority to collect sales tax. Airbnb may collect and remit state taxes on behalf of hosts in New Jersey as part of their tax collection agreements, but hosts remain responsible for any local municipal taxes and fees. Exemptions generally apply to rentals exceeding 90 consecutive days, which are considered long-term leases rather than transient accommodations, and certain properties used for permanent residence purposes may also be exempt from occupancy taxes.

To start an Airbnb in Manasquan, New Jersey, the total costs would be approximately $875,000-$950,000. Property purchase represents the largest expense at $800,000-$850,000 for a median-priced home near the shore. Furnishing costs range from $25,000-$35,000 for quality furniture, bedding, kitchen essentials, and decor suitable for vacation rentals. Initial setup including professional photography, listing creation, and marketing materials costs around $2,000-$3,000. Permits and fees including business registration, short-term rental permits, and potential municipal licensing total approximately $1,500-$2,500. Insurance for short-term rentals runs $3,000-$4,000 annually, with the first year paid upfront. Utilities setup and deposits for electricity, gas, water, internet, and cable cost roughly $1,000-$1,500. First six months operating costs including cleaning services, maintenance, supplies, platform fees, and marketing total approximately $8,000-$12,000, assuming moderate occupancy rates during the initial period.

Airbnb properties in Manasquan, New Jersey typically generate annual revenues between $25,000-$45,000 for seasonal rentals, with peak summer months (June-August) commanding $200-$400 per night due to the town's proximity to beaches and family-friendly attractions. Operating expenses generally range from 40-55% of gross revenue, including property management fees (15-25%), cleaning costs ($75-$125 per turnover), utilities ($2,000-$3,500 annually), insurance ($1,500-$2,500), and maintenance ($3,000-$5,000). Successful properties often achieve profit margins of 25-35%, with oceanfront or beach-block properties performing significantly better than inland locations. Key success factors include professional photography, responsive guest communication, strategic pricing during summer peak season and shoulder months, and maintaining high cleanliness standards. Properties within walking distance to Manasquan Beach or the inlet typically outperform by 20-30% compared to those requiring car transportation, while three-bedroom homes with outdoor spaces and parking generate the highest occupancy rates at 65-75% during peak season and 35-45% year-round.

Airbnb investments in Manasquan, New Jersey typically generate annual ROI of 12-18% due to the town's proximity to popular beaches and seasonal tourism demand. Cash-on-cash returns generally range from 8-14% annually, with properties averaging $200-400 per night during peak summer months (June-September) and $100-200 during shoulder seasons. Most investors achieve profitability within 18-24 months, with oceanfront or near-beach properties performing at the higher end of returns due to Manasquan's appeal as a Jersey Shore destination. Properties within walking distance of Manasquan Beach and the inlet typically command premium rates, while those requiring short drives may see returns closer to 10-12% annually. The market benefits from consistent demand from New York and Philadelphia metropolitan areas, with occupancy rates averaging 65-75% annually and peak summer occupancy often exceeding 85%.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors, including in Manasquan, New Jersey. Local real estate agents serving the Manasquan area include Diane Turton Realtors, which has been operating since 1984 and has extensive knowledge of the Jersey Shore market, and Coldwell Banker Riviera, established in 1906, with agents experienced in investment properties. Century 21 Action Plus Realty and RE/MAX Central also serve the area with agents who understand vacation rental markets. National services include Awning, founded in 2018, which provides full-service Airbnb property management and acquisition assistance, and Mashvisor, launched in 2014, offering data analytics for rental property investments. RedAwning, established in 2009, provides vacation rental management services and market insights. Local property management companies like Shore Summer Rentals, operating since 2003, and Manasquan River Realty can provide insights into profitable rental properties. Additional national platforms include BiggerPockets, founded in 2004, which connects investors with local professionals, and AirDNA, established in 2015, offering market data and analytics for short-term rental investments in coastal New Jersey markets.