Is Manhattan, Kansas Good for Airbnb Investment?

To start an Airbnb in Manhattan, Kansas, begin by researching local zoning laws and regulations through the City of Manhattan Planning Department, as short-term rentals may require special permits or compliance with specific zoning districts. Contact the Manhattan City Commission and Riley County offices to understand licensing requirements, occupancy limits, and any registration processes for short-term rental operations. Find a suitable property by searching residential areas near Kansas State University or downtown Manhattan, considering proximity to attractions and parking availability. Obtain necessary permits including a business license from the city, ensure compliance with fire safety codes, and verify your property meets health department standards for transient accommodations. Purchase essential furnishings including quality bedding, basic kitchen appliances, WiFi equipment, and safety items like smoke detectors and fire extinguishers, while decorating with a clean, neutral aesthetic that appeals to university visitors and business travelers. Create your Airbnb listing with professional photos highlighting the property's proximity to K-State campus and Manhattan's amenities, set competitive pricing based on local hotel rates and university event calendars, and write detailed descriptions emphasizing cleanliness and convenience. Manage your property by establishing check-in procedures, maintaining regular cleaning schedules, responding promptly to guest communications, and keeping detailed records for tax purposes while monitoring local regulation changes that may affect short-term rental operations in Manhattan, Kansas.

To identify profitable short-term rental properties in Manhattan, Kansas, focus on locations within 2-3 miles of Kansas State University campus, particularly in the Aggieville district and surrounding residential neighborhoods, as student visitors and university events drive consistent demand year-round. Target 2-4 bedroom single-family homes or duplexes built after 1980 with dedicated parking, modern amenities, and outdoor spaces, as these appeal to families visiting students and football game attendees. Conduct pricing analysis using AirDNA and Mashvisor to benchmark against the $80-150 nightly rate range typical for Manhattan properties, while analyzing seasonal fluctuations around K-State football season (September-November) and graduation periods when rates can increase 40-60%. Research competition by monitoring active Airbnb and VRBO listings within your target radius, noting occupancy rates typically range 65-75% annually, and identify gaps in amenities or locations underserved by existing hosts. Utilize tools like Rabbu for Kansas-specific STR regulations, connect with local property management companies like Flint Hills Property Management for market insights, and leverage the Riley County Appraiser's office database for property values and tax information to ensure your investment targets the $150,000-300,000 price range that typically yields 12-18% annual returns in Manhattan's STR market.

To obtain an Airbnb/STR permit in Manhattan, Kansas, you must first contact the Manhattan City Planning Department at City Hall located at 1101 Poyntz Avenue to determine current zoning compliance, as short-term rentals are typically restricted to certain zoning districts and may require a conditional use permit. Submit an application including property deed, site plan, floor plan showing maximum occupancy, proof of property insurance with minimum $1 million liability coverage, contact information for a local property manager if you're not local, and parking plan demonstrating adequate off-street parking. Required documents also include a business license application, sales tax permit from Kansas Department of Revenue, and neighbor notification forms for properties within 200 feet. Application fees typically range from $150-300 for the conditional use permit plus $50-75 for business license processing. The review process generally takes 4-6 weeks including a Planning Board hearing where neighbors can provide input. Manhattan requires STRs to maintain residential character, limit occupancy to 2 people per bedroom plus 2 additional guests, provide 24/7 local contact information, maintain guest registry, and comply with noise ordinances with quiet hours from 10 PM to 7 AM. Annual renewal is required with fees around $75-100, and properties must pass periodic safety inspections including smoke detector and carbon monoxide detector verification.

Short-term rentals (STRs) are legal in Manhattan, Kansas, but operate under specific regulations established by the city. The city requires STR operators to obtain a business license and comply with zoning restrictions that primarily allow STRs in commercial and mixed-use districts, while residential areas have more limited permissions. Properties must meet safety requirements including smoke detectors, carbon monoxide detectors, and fire extinguishers, and operators must provide emergency contact information to the city. Manhattan implemented these regulations around 2018-2019 following concerns about neighborhood impacts and housing availability, particularly given the city's proximity to Kansas State University. The city limits the number of guests based on bedroom count and requires adequate parking, while also mandating that operators respond to complaints within a reasonable timeframe. Recent changes have focused on strengthening enforcement mechanisms and clarifying zoning compliance, with the city conducting periodic reviews of STR impacts on residential neighborhoods and housing stock availability for long-term residents.

Manhattan, Kansas offers several promising areas for Airbnb investment, with the Aggieville district being the top choice due to its proximity to Kansas State University, attracting parents visiting students, alumni during homecoming, and football game weekends at Bill Snyder Family Stadium. The downtown Manhattan area presents strong potential with its historic charm, local restaurants, and business travelers visiting the numerous agricultural and veterinary companies in the region. The Sunset Zoo vicinity appeals to families and tourists, while neighborhoods near the Flint Hills Discovery Center benefit from educational tourism and conference attendees. Areas close to Tuttle Creek State Park and Lake attract outdoor enthusiasts, fishing groups, and weekend recreational visitors. The hospital district near Via Christi Hospital draws medical professionals, patients' families, and healthcare-related business travelers. Properties within walking distance of Manhattan Town Center shopping area appeal to longer-stay visitors and those attending events at the adjacent venues, while the residential areas near K-State's campus offer year-round demand from visiting professors, researchers, and extended-stay academic visitors.

In Manhattan, Kansas, Airbnb hosts are subject to both state and local lodging taxes. The Kansas state transient guest tax is 6.5% on gross rental receipts for stays less than 28 consecutive days, collected by the Kansas Department of Revenue with monthly remittance required if monthly collections exceed $40. Riley County imposes an additional 2% transient guest tax on short-term rentals, bringing the total lodging tax to approximately 8.5%. The city of Manhattan may also impose a local transient guest tax of up to 2%, though specific rates vary by municipal ordinance. Hosts must register with the Kansas Department of Revenue and obtain a sales tax number, then collect taxes from guests and remit them monthly along with required forms. Properties rented for 28 days or longer to the same guest are generally exempt from these transient occupancy taxes. Some jurisdictions may offer exemptions for certain types of accommodations or guests, such as government employees on official business, but most standard Airbnb rentals are subject to the full tax rates with collection and remittance responsibilities falling on the property owner or host.

The total cost to start an Airbnb in Manhattan, Kansas is approximately $285,000-$320,000. Property purchase costs around $180,000-$200,000 based on median home prices in the area as of 2023. Furnishing a 2-3 bedroom property with quality furniture, appliances, linens, and decor runs $15,000-$25,000. Initial setup including professional photography, listing creation, welcome materials, and basic supplies costs $2,000-$3,000. Permits and fees including business license, short-term rental permit, and city registration total approximately $500-$1,000 annually. Insurance for short-term rental coverage adds $2,000-$3,000 per year. Utilities including electricity, gas, water, internet, and cable average $300-$400 monthly or $1,800-$2,400 for six months. First six months operating costs including cleaning services ($150 per turnover), maintenance, supplies, platform fees (3% of bookings), and marketing total approximately $8,000-$12,000 assuming 60-70% occupancy rates. Property taxes and ongoing maintenance should also be factored at roughly $3,000-$4,000 for the initial six-month period.

Airbnb properties in Manhattan, Kansas typically generate annual revenues between $15,000-$35,000 for entire homes and $8,000-$18,000 for private rooms, with average daily rates ranging from $65-$120 depending on property size and location near Kansas State University. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($25-$40 per turnover), utilities ($150-$250 monthly), property management (10-20% of revenue), insurance ($800-$1,500 annually), and maintenance costs ($2,000-$4,000 yearly). Properties within walking distance of K-State campus achieve higher occupancy rates of 65-75% compared to 45-60% for properties further away, with peak demand during football season, graduation, and university events driving rates up 30-50%. A typical 3-bedroom home purchased for $180,000 with a $1,200 monthly mortgage can generate net profits of $8,000-$15,000 annually after expenses, representing profit margins of 25-35% for well-managed properties. Success factors include proximity to Kansas State University, professional photography, responsive guest communication, consistent 4.8+ star ratings, and strategic pricing during high-demand periods, with properties managed by companies like RedAwning and Vacasa showing 15-25% higher revenue than self-managed units due to optimized pricing and marketing strategies.

Airbnb investments in Manhattan, Kansas typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% depending on property type and location within the city. Properties near Kansas State University command higher returns due to consistent demand from visiting families, prospective students, and university events, with studio and one-bedroom units achieving the upper end of this range. Initial profitability usually occurs within 18-24 months for well-positioned properties, though this timeline can extend to 30-36 months for higher-priced acquisitions requiring significant renovations. The market benefits from steady demand driven by the university calendar, local business travel, and regional events, with peak seasons during football games, graduation, and summer conferences generating occupancy rates of 70-85%. Properties in downtown Manhattan or within walking distance of the KSU campus typically outperform suburban locations, with average daily rates ranging from $80-150 depending on property size and amenities, while annual gross yields before expenses generally fall between 12-18% of property value.

STRSearch is a national platform that helps investors identify profitable short-term rental properties across markets including Manhattan, Kansas. Local real estate agents in Manhattan who specialize in investment properties include Realtors from Coldwell Banker Hedrick Real Estate, RE/MAX Associates, and Century 21 Brinkman & Associates who have experience with rental property investments since the early 2010s. National services like BiggerPockets, Mashvisor, and AirDNA provide market analysis and property identification tools for Airbnb investors in smaller Kansas markets. Vacasa and RedAwning offer property management services for short-term rentals in the Manhattan area, while companies like Awning and AvantStay focus on identifying and managing profitable Airbnb properties nationwide. Local property management companies such as Flint Hills Property Management and Manhattan Rental Properties have expanded into short-term rental management since 2018. Investment-focused real estate companies like Roofstock and Arrived Homes occasionally feature Kansas properties, though their Manhattan, Kansas inventory is limited compared to larger metropolitan markets.