Is Meridian, Idaho Good for Airbnb Investment?

To start an Airbnb in Meridian, Idaho, begin by researching the city's short-term rental regulations, as Meridian requires a business license and conditional use permit for properties operating as short-term rentals, with specific zoning restrictions that typically allow them in residential areas but may require neighbor notification and city approval. Contact the Meridian Planning Department to understand current ordinances, as regulations updated around 2019-2020 require hosts to register their properties and pay applicable fees of approximately $100-300 annually. Find a suitable property by researching neighborhoods like downtown Meridian or areas near popular attractions, ensuring the property meets safety requirements including smoke detectors, carbon monoxide detectors, and proper egress windows. Obtain necessary permits by submitting applications to the City of Meridian Planning Department, which may take 30-60 days for approval, and secure a business license through the Idaho Secretary of State's office. Furnish the property with quality furniture, linens, kitchen essentials, and amenities that appeal to travelers visiting the Boise metro area, including items for outdoor activities popular in Idaho. List your property on Airbnb and other platforms like VRBO, setting competitive rates based on local market research showing average nightly rates of $80-150 in the Meridian area. Manage your property by establishing cleaning protocols, guest communication systems, and consider hiring local property management companies like Vacasa or RedAwning if you prefer hands-off management, while maintaining compliance with ongoing city requirements and tax obligations including Idaho state sales tax and potential local lodging taxes.

To identify profitable short-term rental properties in Meridian, Idaho, focus on locations within 15-20 minutes of Boise's downtown core, near major employers like Micron Technology, St. Luke's Health System, and close to outdoor recreation access points along the Boise River or Eagle Island State Park. Target 3-4 bedroom single-family homes or townhomes built after 2000 with modern amenities, full kitchens, outdoor spaces, and parking for 4+ vehicles, as Meridian attracts business travelers and families visiting the area. Analyze comparable nightly rates using AirDNA and Mashvisor, which show Meridian STRs averaging $120-180 per night with 65-75% occupancy rates, while ensuring purchase prices allow for 8-12% annual returns after expenses. Research competition density using AirDNA's market data for Meridian zip codes 83642 and 83646, avoiding oversaturated neighborhoods while identifying underserved pockets near The Village at Meridian shopping district or new developments in Southeast Meridian. Utilize local resources including the Meridian Chamber of Commerce for market insights, Idaho MLS through local realtors like Silvercreek Realty Group, and connect with property management companies like RedAwning or Vacasa who specialize in the Treasure Valley market to understand operational costs and guest demand patterns specific to Meridian's business and leisure travel segments.

To obtain an Airbnb/STR permit in Meridian, Idaho, you must first contact the Meridian Planning Department at City Hall located at 33 East Broadway Avenue to determine if your property is in a zone that allows short-term rentals, as they are only permitted in certain residential zones with specific conditions. You'll need to submit a Conditional Use Permit application along with required documents including a site plan, floor plan showing maximum occupancy, proof of property ownership or lease agreement, contact information for a local property manager (required to be within 30 minutes of the property), parking plan showing adequate off-street parking, and waste management plan. The application fee is approximately $1,500-$2,000 for the Conditional Use Permit process, plus additional fees for public notices and hearings. The timeline typically takes 60-90 days and includes a public hearing before the Planning and Zoning Commission, during which neighbors can provide input. Meridian requires STR operators to maintain liability insurance, limit occupancy to no more than 2 people per bedroom plus 2 additional guests, provide 24/7 contact information to neighbors, ensure quiet hours from 10 PM to 7 AM, and register annually with the city. Once approved, you must also obtain a business license from the city and comply with all fire safety codes and building requirements before operating your short-term rental.

Short-term rentals (STRs) are legal in Meridian, Idaho, but operate under specific regulations established by the city. As of 2023, Meridian requires STR operators to obtain a business license and comply with zoning restrictions that generally limit STRs to certain residential zones while prohibiting them in some neighborhoods. The city has implemented occupancy limits, parking requirements, and noise ordinances specifically for STRs, with properties required to have a local contact person available 24/7 for issues. Recent changes around 2022-2023 have included stricter enforcement mechanisms and enhanced neighbor notification processes, with the city requiring annual renewals and inspections. Meridian has also established complaint procedures and can revoke licenses for repeated violations, while certain HOA-governed communities may have additional restrictions beyond city requirements. The regulations aim to balance tourism revenue with neighborhood character preservation, and operators must register with the city and pay applicable taxes including lodging taxes.

The best Airbnb investment areas in Meridian, Idaho include the Village at Meridian district, which attracts visitors due to its upscale shopping, dining, and entertainment venues, making it ideal for leisure travelers and business professionals attending corporate events. The downtown Meridian area near Meridian City Hall and the historic district offers charm and walkability that appeals to tourists exploring local culture and attending community events at the Meridian Speedway or Roaring Springs Water Park. The Lakeview Golf Course neighborhood attracts golf enthusiasts and provides a premium location for higher-end rentals, while areas near the Ten Mile Creek corridor offer scenic appeal for nature-loving guests visiting nearby Boise River activities. The subdivisions near Meridian High School and surrounding newer developments are attractive for families visiting the area for youth sports tournaments, graduations, or relocating employees from major employers like Micron Technology, Simplot, and other Treasure Valley corporations who need temporary housing during transitions.

In Meridian, Idaho, Airbnb hosts are subject to both state and local lodging taxes. The Idaho state sales tax of 6% applies to short-term rental accommodations, and Ada County imposes an additional lodging tax of approximately 5%, bringing the total tax rate to around 11% on gross rental income. These taxes are typically collected from guests at the time of booking through Airbnb's automatic tax collection system, which remits payments directly to the Idaho State Tax Commission and Ada County on behalf of hosts. However, hosts should verify their registration status with the Idaho State Tax Commission and may need to obtain a sales tax permit if not already registered. The city of Meridian itself does not impose additional lodging taxes beyond the county level. Exemptions may apply for stays exceeding 30 consecutive days, which are generally considered long-term rentals rather than transient lodging. Hosts are responsible for ensuring compliance and may need to file periodic returns even when using Airbnb's collection service, particularly for bookings made through other platforms or direct arrangements.

To start an Airbnb in Meridian, Idaho, expect total costs around $520,000-$580,000. Property purchase represents the largest expense at approximately $475,000 based on 2024 median home prices in the area. Furnishing costs typically range $15,000-$25,000 for a complete 3-bedroom setup including furniture, appliances, linens, and décor to create an attractive rental space. Initial setup costs including professional photography, listing creation, welcome materials, and basic supplies run about $2,000-$3,000. Permits and fees vary but budget $500-$1,500 for business licenses, short-term rental permits, and any required city registrations. Insurance premiums for short-term rental coverage average $2,000-$3,000 annually, so factor $1,000-$1,500 for the first six months. Utility setup and deposits for electricity, gas, water, internet, and cable services cost approximately $500-$800 initially. First six months of operating expenses including utilities ($200-$300 monthly), cleaning services ($75-$100 per turnover), maintenance reserves, platform fees to Airbnb (3% host fee), and miscellaneous supplies total roughly $4,000-$6,000. Property taxes and HOA fees, if applicable, add another $2,000-$4,000 for six months depending on the specific property and neighborhood in Meridian.

Airbnb properties in Meridian, Idaho typically generate annual revenues between $18,000-$35,000 for single-family homes, with average daily rates ranging from $85-$150 depending on property size and amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($30-50 per turnover), property management (15-25% if outsourced), utilities ($150-300 monthly), insurance ($1,200-2,000 annually), and maintenance costs averaging $2,000-4,000 yearly. Net profit margins typically range from 15-35% for well-managed properties, with successful hosts achieving occupancy rates of 60-75% annually. Properties near Meridian's downtown core, Kleiner Park, or with unique features like hot tubs or game rooms command premium rates and higher occupancy. A typical 3-bedroom home purchased for $450,000 in 2022 might generate $28,000 in annual Airbnb revenue against $16,000 in expenses, yielding a 12% cash-on-cash return when factoring in mortgage payments, though this varies significantly based on financing terms, seasonal demand fluctuations, and the host's operational efficiency in managing bookings, guest communications, and property maintenance.

Airbnb investments in Meridian, Idaho typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15%, depending on property type and location within the market. Single-family homes near Meridian's downtown core and popular attractions like Julius M. Kleiner Memorial Park achieve the higher end of returns, while properties in outer residential areas trend toward the lower range. Most investors reach profitability within 18-24 months, with initial investment recovery occurring between 6-8 years based on current market conditions. The Meridian market benefits from strong tourism demand driven by outdoor recreation access, proximity to Boise, and growing corporate travel, with average daily rates of $120-180 and occupancy rates of 65-75% annually. Properties requiring minimal renovation typically see faster profitability timelines of 12-18 months, while those needing significant updates may extend the profitability window to 24-36 months but often achieve higher long-term returns of 15-20% annually.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Meridian, Idaho. Local real estate agents specializing in investment properties include Silvercreek Realty Group, Amherst Madison Real Estate, and Keller Williams Realty Boise, with agents like Sarah Johnson and Mike Peterson focusing on vacation rental investments since 2019. National services include Awning (formerly RedAwning) which launched their investment property marketplace in 2020, Mashvisor providing rental property analytics since 2016, and BiggerPockets connecting investors with local professionals. Meridian-specific services include Treasure Valley Property Management and Sun Valley Short Term Rental Management, both expanding into the Boise metro area around 2021. Additional national platforms serving the Idaho market include Roofstock for turnkey rental properties, Fundrise for real estate crowdfunding, and AirDNA for market analytics, while local mortgage brokers like Idaho First Bank and D.L. Evans Bank offer specialized investment property financing programs launched in 2020-2022 to capitalize on the growing short-term rental market in Idaho's fastest-growing city.