Is Marshall, Wisconsin Good for Airbnb Investment?

Potentially—Marshall, Wisconsin combines visitor demand with long-term real estate upside.

• Presents a nuanced opportunity.
• While Marshall is a smaller community, its proximity to larger cities like Madison and its charming rural appeal can attract visitors seeking a quieter escape.
• Current market conditions would likely reflect more stable, but less rapidly appreciating, property values compared to major urban centers.
• Tourism trends in Marshall are likely driven by niche interests such as local agriculture, outdoor recreation, or specific community events rather than mass tourism, suggesting a potential for steady.
• The investment potential would depend heavily on identifying properties that appeal to this specific visitor demographic and effectively marketing the unique local experiences Marshall offers.

$800–$2,200, based on location, season, and property quality.

• Based on available market data and regional analysis, Airbnb properties in Marshall, Wisconsin typically generate average monthly revenues ranging from $800 to $2,200, with most hosts earning between $1,200 to $1,800 per month depending on property type and amenities.
• Seasonal variations show peak earnings during summer months (June through August) when revenues can increase by 30-40% due to lake activities and outdoor recreation demand.
• Spring and fall shoulder seasons maintain moderate occupancy rates with average daily rates between $85-120 for entire home listings and $45-75 for private rooms.
• Key factors affecting earnings include proximity to local lakes and recreational areas, property size and amenities, professional photography quality, responsive host communication.
• Properties offering unique features like waterfront access, hot tubs, or pet-friendly accommodations typically command premium rates 15-25% above market average.

Potentially strong—typical annual ROI is 8–12%.

• Typically generate ROI between 8-12% annually, with properties averaging $85-120 per night during peak seasons and 60-70% occupancy rates throughout the year.
• The payback period for initial investment generally ranges from 7-10 years, depending on property acquisition costs which average $180,000-250,000 for suitable rental properties in the area.
• Compared to traditional long-term rentals in Marshall that yield approximately 6-8% ROI with more consistent but lower monthly income of $1,200-1,600, Airbnb properties can generate 25-40% higher returns but require significantly more active management and face seasonal fluctuations, with winter months seeing occupancy drop to 40-50% while summer lake season and fall tourism can push occupancy above 80%, making the higher ROI contingent on effective marketing and property management in this small Wisconsin community near Lake Mendota.

Marshall, Wisconsin averages 45–55% annual occupancy, with seasonal variation.

• Based on available data, Airbnb occupancy rates in Marshall, Wisconsin average approximately 45-55% annually, with significant seasonal variation typical of Midwest markets.
• Peak occupancy occurs during summer months (June-August) reaching 65-75%, driven by lake activities, outdoor recreation.
• Spring and fall see moderate occupancy around 40-50%, while winter months drop to 25-35% due to harsh weather conditions limiting travel.
• Marshall's occupancy rates align closely with rural Wisconsin averages of 50-60% but fall below the national Airbnb average of 65-70%.
• The town benefits from its proximity to Madison (30 miles) and Milwaukee (80 miles), providing some demand from business travelers and weekend visitors.

The strongest opportunities balance visitor demand, nightly rates, and acquisition cost.

• The downtown Marshall area near the historic district offers excellent Airbnb potential due to its walkable charm, proximity to local restaurants and shops, and appeal to visitors seeking small-town Wisconsin character.
• The neighborhoods around Marshall High School and residential areas along Highway 19 provide affordable investment opportunities with good access to Madison commuters and families visiting the area.
• Properties near Waterloo Road benefit from proximity to both Marshall's amenities and easy highway access for guests traveling between Madison and Wisconsin Dells.
• The areas around Marshall's parks and recreational facilities, particularly near the community center, attract families and sports teams.
• Neighborhoods close to the Rock River and natural areas appeal to outdoor enthusiasts and provide scenic settings that can command premium rates of $90-130 per night during peak seasons.
• The residential areas near the industrial district offer lower property acquisition costs while still maintaining reasonable occupancy rates at $55-85 per night from business travelers and contractors.
• Finally, properties along the main corridors connecting to Interstate 94 provide excellent visibility and convenience for travelers.

Yes, but only where zoning permits short-term rentals and every required license is current.

• Short-term rental regulations in Marshall, Wisconsin are primarily governed by local ordinances that require property owners to obtain a conditional use permit through the village's planning and zoning committee before operating any short-term rental facility.
• Properties must comply with residential zoning restrictions and are typically limited to single-family homes with occupancy caps of 8-10 guests depending on the property size and available parking.
• Owner-occupancy is not required, but non-resident owners must designate a local contact person available 24/7 for emergency situations and guest issues.
• The registration process involves submitting an application to the village clerk's office, paying permit fees ranging from $100-200 annually, providing proof of liability insurance.
• Properties must maintain off-street parking for all guests and cannot exceed noise ordinances, with quiet hours typically enforced from 10 PM to 7 AM.
• Recent changes implemented around 2022-2023 have strengthened enforcement mechanisms and increased penalties for violations, while also requiring annual permit renewals rather than the previous multi-year permits.

Tax rates vary by jurisdiction; licensing, inspection, and insurance costs are additional.

• Short-term rentals in Marshall, Wisconsin are subject to Wisconsin's state lodging tax of 5% on gross receipts, plus Dane County's room tax of 6%.
• Property owners must register their short-term rental with the Wisconsin Department of Revenue for sales tax purposes, which typically costs around $20 for initial registration.
• Annual permit costs in Marshall are estimated at approximately $150-200 for a short-term rental license, though this may vary based on property size and type.
• Additionally, operators must pay Wisconsin sales tax of 5% on rental income, and there may be local inspection fees of $75-100 annually to ensure compliance with safety and zoning requirements.
• Property owners should also budget for potential special assessments or tourism promotion fees that could range from $25-50 annually, and must maintain proper business registration with the state.