Is McCoy, Colorado Good for Airbnb Investment?

To start an Airbnb in McCoy, Colorado, begin by researching Eagle County's short-term rental regulations, as McCoy falls under their jurisdiction, which typically requires a business license and short-term rental permit with fees around $200-500 annually. Contact Eagle County Planning Department to verify zoning compliance and obtain necessary permits, including potential fire safety inspections. Find a suitable property by searching local real estate listings or rental properties, focusing on areas near Beaver Creek Resort (about 10 miles away) to attract ski tourists, with average property costs ranging $400,000-800,000 for condos or $800,000+ for homes. Furnish the space with mountain-themed decor, essential amenities like high-speed internet, fully equipped kitchen, quality linens, and outdoor gear storage, budgeting $15,000-30,000 for complete furnishing. Create your Airbnb listing with professional photography highlighting mountain views and proximity to skiing, pricing competitively at $150-400 per night depending on season and property size. For management, either handle bookings, cleaning, and guest communication yourself or hire local property management companies like Vail Valley Property Management or RedAwning, which typically charge 15-25% commission, and establish relationships with local cleaning services charging $100-200 per turnover and maintenance contractors for the remote mountain location.

To identify profitable short-term rental properties in McCoy, Colorado, focus on properties within 10-15 minutes of Beaver Creek Resort and Vail Mountain, as this area benefits from year-round tourism with peak seasons during winter skiing (December-March) and summer outdoor activities (June-September). Target 2-4 bedroom condos or single-family homes with mountain views, hot tubs, ski storage, updated kitchens, and reliable WiFi, as these features command premium rates of $200-500 per night depending on season and size. Analyze comparable properties using AirDNA and Mashvisor to understand occupancy rates (typically 60-75% in prime locations), average daily rates, and seasonal pricing fluctuations, while researching competition through Airbnb, VRBO, and local property management companies like Vail Resorts Hospitality and East West Resorts. Utilize STR-specific tools like Rabbu, PriceLabs for dynamic pricing, and AllTheRooms for market analysis, while ensuring compliance with Eagle County's STR regulations and HOA restrictions that may limit rental activities. Properties closer to shuttle routes, with parking availability, and in developments like Arrowhead or Bachelor Gulch typically show stronger performance metrics, with successful investors often achieving 15-25% annual returns when factoring in appreciation and rental income.

To obtain an Airbnb/STR permit in McCoy, Colorado, you must first contact the Eagle County Planning Department since McCoy falls under unincorporated Eagle County jurisdiction, and submit an application for a Short-Term Rental License through their online portal or in-person at 500 Broadway, Eagle, CO 81631. Required documents typically include a completed STR application form, proof of property ownership or lease agreement, floor plan showing maximum occupancy, septic system inspection (if applicable), fire safety plan, parking plan showing adequate off-street parking, neighbor notification affidavits, and liability insurance certificate of at least $1 million coverage. The application fee is approximately $500-750 with annual renewal fees around $300-400, and you may need additional fees for inspections or plan reviews. The timeline for approval typically ranges from 60-90 days depending on application completeness and any required hearings. Specific McCoy/Eagle County requirements include maximum occupancy limits based on bedrooms and septic capacity, mandatory 24/7 local contact person within 30 minutes of the property, quiet hours enforcement from 10 PM to 7 AM, adequate parking for all guests, compliance with International Building Code for sleeping rooms, and adherence to Eagle County's STR density limitations which may restrict the total number of permits in certain areas.

Short-term rentals (STRs) are generally legal in McCoy, Colorado, but are subject to Eagle County regulations and potential local restrictions. Eagle County, where McCoy is located, allows STRs but requires operators to obtain a business license and comply with safety standards including smoke detectors, carbon monoxide detectors, and fire extinguishers. Properties must also meet parking requirements and maintain septic system compliance where applicable. The county has implemented occupancy limits based on bedroom count and requires a local contact person available 24/7 for issues. Recent changes around 2021-2022 included stricter enforcement of existing regulations and enhanced complaint procedures for neighbors. While not completely prohibited in any specific areas of McCoy, STRs may face additional scrutiny in residential neighborhoods, and operators must ensure compliance with any homeowners association rules that may further restrict short-term rental activities. The regulatory environment has become more structured in recent years as Eagle County has worked to balance tourism revenue with community concerns about housing availability and neighborhood character.

The best Airbnb investment areas in McCoy, Colorado are primarily concentrated around the Beaver Creek Resort vicinity and Highway 6 corridor due to their proximity to world-class skiing at Beaver Creek and Vail resorts. The Beaver Creek area attracts high-end tourists year-round with winter skiing from December through April and summer activities like hiking, mountain biking, and the Beaver Creek Arts Festival. The Highway 6 corridor between McCoy and Avon offers more affordable investment opportunities while still providing easy access to Eagle County Airport and Interstate 70, making it attractive for business travelers visiting nearby corporate retreats and conferences at luxury resorts. The residential areas near Wolcott also present good investment potential as they offer a quieter alternative for families and groups seeking vacation rentals with mountain views while remaining within 15 minutes of major ski areas. Properties near the Eagle River provide additional appeal for summer fishing and rafting enthusiasts, while the proximity to Cordillera and other golf courses attracts visitors during shoulder seasons, ensuring year-round rental potential in this mountain valley location.

Airbnb properties in McCoy, Colorado are subject to Colorado state lodging tax of 2.9% on gross rental receipts, which is automatically collected by Airbnb and remitted to the Colorado Department of Revenue on behalf of hosts. Eagle County imposes an additional lodging tax of 1.2% that hosts must collect and remit quarterly to the Eagle County Clerk and Recorder's office by the 20th day following each quarter end. The Town of McCoy does not currently impose a separate municipal lodging tax. All short-term rentals under 30 days are subject to these taxes with no standard exemptions for occasional rentals, and hosts must register with both state and county authorities, obtaining necessary licenses before operating, with penalties of up to $500 per violation for non-compliance that began enforcement around 2019.

Starting an Airbnb in McCoy, Colorado requires significant upfront investment due to the area's mountain resort location near Beaver Creek and Vail. Property purchase costs average $850,000-$1,200,000 for a suitable 2-3 bedroom mountain home or condo based on Eagle County market rates as of 2024. Furnishing costs typically range $25,000-$40,000 for quality mountain-themed furniture, bedding, kitchen essentials, and outdoor gear storage from retailers like West Elm, Pottery Barn, and local Colorado suppliers. Initial setup expenses include professional photography ($500-$800), listing optimization ($300-$500), and welcome amenities ($200-$400). Permits and fees total approximately $2,500-$4,000 including Eagle County short-term rental license ($500), business license ($100), sales tax registration ($50), and potential HOA approval fees ($500-$2,000). Insurance costs $3,000-$5,000 annually for comprehensive short-term rental coverage through companies like Proper Insurance or CBIZ. Utilities average $300-$500 monthly including electricity, gas, water, internet, and cable. First six months operating costs encompass utilities ($1,800-$3,000), cleaning services ($150 per turnover, estimated $3,600 for 24 cleanings), property management software like Airbnb or VRBO fees (3% of bookings, approximately $2,400), maintenance reserves ($2,000), and marketing ($1,000). Total startup costs range from $890,000 to $1,260,000, making McCoy one of Colorado's most expensive Airbnb markets due to its proximity to world-class ski resorts.

Airbnb properties in McCoy, Colorado, a small unincorporated community near Vail, typically generate strong profitability due to the area's proximity to world-class skiing at Vail and Beaver Creek resorts. Properties in this region average $200-400 per night during peak winter season (December-March) and $150-250 during summer months, with annual occupancy rates of 60-75% for well-managed properties. A typical 3-bedroom mountain home generating $80,000-120,000 in annual revenue faces expenses including mortgage payments ($3,000-5,000/month), property management fees (20-25% of revenue), cleaning costs ($100-150 per turnover), utilities ($300-500/month), insurance ($2,000-3,000 annually), and maintenance ($5,000-8,000 annually), resulting in net profit margins of 25-40% for debt-free properties or 10-20% for leveraged investments. Success factors include proximity to ski lifts, hot tubs, mountain views, professional photography, dynamic pricing strategies, and partnerships with local property management companies like RedAwning or Vacasa who have established operations in the Vail Valley since 2015-2018, with properties featuring luxury amenities and consistent 4.8+ star ratings commanding premium rates and achieving the highest profitability in this competitive mountain resort market.

Based on McCoy, Colorado market conditions, Airbnb investments typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15% depending on property type and location within the area. Properties near outdoor recreation areas and ski access points in McCoy command higher nightly rates of $150-300, leading to gross rental yields of 15-22% annually. Initial profitability usually occurs within 18-24 months after accounting for furnishing costs, property management fees of 20-25%, and seasonal occupancy rates averaging 65-75%. Mountain view properties and those with hot tubs or luxury amenities achieve the higher end of ROI projections at 16-18%, while standard cabins and condos typically see 12-14% returns. Cash-on-cash returns improve significantly after year three as mortgage principal reduction and property appreciation in the Eagle County market contribute an additional 3-5% annually to total investment returns.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental investment opportunities in McCoy, Colorado, offering comprehensive market analysis and property recommendations. Local real estate agents serving the McCoy area include Slifer Smith & Frampton Real Estate (established 1962) and LIV Sotheby's International Realty, both with extensive experience in vacation rental properties in Eagle County. Vacasa, founded in 2009, provides end-to-end services from property acquisition consulting to management for Airbnb investments in mountain communities like McCoy. AirDNA offers detailed market data and analytics for short-term rental investments in the Vail Valley region, while Mashvisor provides investment property analysis tools specifically for vacation rental markets. RedAwning specializes in vacation rental property sales and has listings in the McCoy and Beaver Creek area. Local services include Eagle County Property Management and Vail Valley Property Services, which assist investors in identifying and managing profitable short-term rental properties. National companies like Awning and AvantStay also provide investment consulting services for mountain resort markets including the McCoy area, helping investors identify properties with strong rental potential in this ski resort community.