Is Milford, Kansas Good for Airbnb Investment?

To start an Airbnb in Milford, Kansas, begin by researching local zoning laws and regulations through the Geary County Planning Department, as Milford falls under county jurisdiction rather than having its own municipal government. Contact Geary County at (785) 238-3912 to verify short-term rental regulations and obtain necessary permits, which typically include a business license and may require a conditional use permit for residential properties used commercially. Find a suitable property by searching local real estate listings through companies like Coldwell Banker or RE/MAX, focusing on homes near Milford Lake which attracts tourists for fishing and boating activities. Purchase essential furnishings including quality mattresses, linens, kitchen appliances, and outdoor furniture to appeal to lake visitors, budgeting approximately $8,000-$15,000 for a complete setup. Create your Airbnb listing with professional photos highlighting lake proximity and outdoor amenities, setting competitive rates around $75-$125 per night based on seasonal demand. For ongoing management, consider using dynamic pricing tools, maintain regular communication with guests, coordinate cleaning services between stays, and ensure compliance with Kansas state tax requirements by registering with the Kansas Department of Revenue for sales tax collection on short-term rentals, which became mandatory in 2019.

To identify profitable short-term rental properties in Milford, Kansas, focus on properties within walking distance of Milford Lake, the state's largest lake, as waterfront and lake-view properties command premium rates of $150-250 per night compared to $80-120 for standard homes. Target 3-4 bedroom properties built after 1990 with outdoor amenities like decks, fire pits, boat parking, and fishing access, as these features attract the primary market of fishing enthusiasts, boaters, and family groups visiting from Kansas City and Wichita. Analyze pricing by monitoring Airbnb and VRBO listings within a 10-mile radius, noting that peak season (May-September) rates can be 40-60% higher than off-season, with weekend bookings generating the highest returns. Research competition by identifying the 20-30 existing STR properties around Milford Lake, focusing on properties with 4.8+ star ratings and 50+ reviews to understand successful amenities and pricing strategies. Utilize tools like AirDNA for market analysis, Mashvisor for investment calculations, and the Kansas Department of Wildlife and Parks website to track fishing reports and lake conditions that drive demand, while ensuring compliance with Geary County's short-term rental regulations and obtaining necessary permits through the county clerk's office.

To obtain an Airbnb/STR permit in Milford, Kansas, contact the Milford City Clerk's office at City Hall located at 718 Walnut Street or call (785) 761-4417 to begin the application process. Required documents typically include a completed short-term rental application form, proof of property ownership or lease agreement with landlord consent, certificate of insurance with minimum $1 million liability coverage, floor plan of the rental unit, emergency contact information for a local representative within 30 miles, and a $100 non-refundable application fee payable to the City of Milford. The application process involves submitting all documents to the city clerk, scheduling a property inspection with the building department within 10-14 days, ensuring compliance with fire safety codes including smoke detectors in all bedrooms and common areas, meeting parking requirements of one space per bedroom plus one additional space, and maintaining occupancy limits of two persons per bedroom with maximum 10 guests total. After passing inspection and meeting all requirements, the permit is typically issued within 21-30 days and costs an additional $150 annual licensing fee, with renewal required each January including updated insurance documentation and payment of the annual fee, and all STR properties must display the permit number in rental listings and maintain a guest registry available for city inspection.

Short-term rentals (STRs) in Milford, Kansas are generally legal but subject to local regulations and zoning restrictions. As a small city in Geary County with a population of approximately 500 residents, Milford likely follows county-level regulations rather than having extensive municipal STR ordinances. STRs are typically permitted in residential zones but may require business licenses, compliance with health and safety codes, and adherence to occupancy limits. Properties must meet standard building codes and fire safety requirements, and operators may need to collect and remit local lodging taxes. Some residential neighborhoods may have restrictions through homeowners associations or specific zoning designations that limit commercial activities. Recent trends in Kansas have seen increased regulation of STRs at the municipal level, with many cities implementing registration requirements and operational standards around 2020-2023. Property owners should verify current zoning compliance with Milford city officials and Geary County planning departments, as regulations can change and enforcement varies by location within the city limits.

The best areas for Airbnb investment in Milford, Kansas would be the historic downtown district near Main Street, which attracts visitors interested in the town's railroad heritage and antique shopping, and properties near Milford Lake (approximately 10 miles north), Kansas's largest lake, which draws significant tourism for fishing, boating, and water recreation year-round. The residential areas along Highway 77 corridor offer good accessibility for business travelers visiting the nearby Fort Riley military installation and Manhattan's Kansas State University, creating steady demand for short-term rentals. Properties near the Milford Nature Center and Fish Hatchery area capitalize on eco-tourism and outdoor enthusiasts, while locations close to the Tuttle Creek Lake region benefit from weekend recreational visitors and seasonal tourism, particularly during summer months when water activities peak and hunting seasons in fall attract sportsmen to the area.

In Milford, Kansas, Airbnb properties are subject to Kansas state transient guest tax at a rate of 6% on gross rental receipts, which applies to lodging rentals of less than 28 consecutive days. The state tax is collected through Kansas Department of Revenue registration and requires monthly remittance by the 25th of the following month using form ST-16. Additionally, Butler County (where Milford is located) may impose a local transient guest tax of up to 2%, bringing the total potential tax burden to approximately 8%. Airbnb typically collects and remits these taxes automatically for hosts in Kansas through their platform since 2019, though individual hosts should verify their specific situation with the Kansas Department of Revenue. Properties rented for 28 days or longer are generally exempt from transient guest taxes, and certain agricultural or educational exemptions may apply in specific circumstances, though these are rare for typical Airbnb operations in this rural Kansas community.

To start an Airbnb in Milford, Kansas, the total costs would be approximately $185,000-$220,000. Property purchase represents the largest expense at $140,000-$160,000 based on median home prices in rural Kansas communities. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom setup including furniture, appliances, linens, and décor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and basic renovations average $3,000-$5,000. Permits and fees vary but expect $500-$1,500 for business licenses, short-term rental permits, and any required inspections from Butler County and local authorities. Insurance costs run $1,200-$2,000 annually for short-term rental coverage beyond standard homeowner's insurance. Utility setup and deposits total approximately $500-$800 for electricity, water, gas, internet, and cable services. First six months of operating costs including utilities ($600/month), cleaning services ($100-150 per turnover), maintenance supplies ($200/month), platform fees (3% of bookings), and marketing expenses typically total $8,000-$12,000, assuming moderate occupancy rates of 40-60% during the initial period while building reviews and visibility.

Airbnb properties in Milford, Kansas show moderate profitability potential with average daily rates ranging from $75-120 depending on property size and amenities, generating monthly revenues of $1,800-3,200 for well-managed properties with 60-70% occupancy rates. Operating expenses typically consume 40-50% of gross revenue, including cleaning fees ($30-50 per turnover), utilities ($150-250 monthly), property management (10-15% of revenue), insurance ($100-200 monthly), and maintenance costs ($200-400 monthly). Net profit margins generally range from 15-25% after expenses, with successful properties near Milford State Park or featuring unique amenities like hot tubs or fire pits commanding premium rates. A typical 3-bedroom lake-adjacent property generating $2,500 monthly revenue might net $400-600 profit after $2,000 in combined expenses including mortgage, utilities, cleaning, and maintenance. Success factors include strategic pricing during peak fishing and boating seasons (May-September), professional photography, responsive guest communication, and maintaining high cleanliness standards, with properties achieving Superhost status typically earning 20-30% more than average competitors in the Milford market.

Based on Milford, Kansas market conditions, Airbnb investments typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% depending on property acquisition costs and financing structure. Properties in this small Kansas community, with a population around 500, generally achieve profitability within 18-24 months due to lower property acquisition costs ($80,000-$150,000 average) but limited tourist demand primarily from hunters, anglers, and travelers passing through on Highway 77. The market benefits from minimal competition and low operating costs, though occupancy rates typically range 35-45% annually, requiring strategic pricing between $75-$120 per night to optimize returns. Investment success heavily depends on property condition, proximity to Milford Lake recreational activities, and effective online marketing to capture the limited but consistent demand from outdoor enthusiasts and regional business travelers.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Milford, Kansas. Roofstock specializes in turnkey rental properties including STR investments and operates nationwide including Kansas markets. BiggerPockets connects investors with local real estate professionals and offers educational resources for short-term rental investing. Local Kansas real estate agents like those at RE/MAX Associates and Coldwell Banker Griffith & Blair in nearby Wichita often work with investors seeking vacation rental properties in smaller Kansas towns. AirDNA provides market analytics and revenue projections for Airbnb investments in rural Kansas markets like Milford. Mashvisor offers investment property analysis tools that cover Kansas markets including lake communities near Milford Lake. Local property management companies such as Kansas Property Management Group can assist with STR operations after purchase. RedAwning and Vacasa provide nationwide vacation rental management services that extend to Kansas properties. Real estate investment groups through platforms like Meetup often have Kansas chapters that focus on short-term rental opportunities in recreational areas like those around Milford Lake.