Is Normandy Park, Washington Good for Airbnb Investment?

To start an Airbnb in Normandy Park, Washington, begin by researching the city's short-term rental regulations, as Normandy Park requires a business license and compliance with zoning ordinances that typically allow short-term rentals in residential areas with specific restrictions on occupancy and parking. Contact the Normandy Park City Hall at (206) 248-8438 to obtain the necessary business license (approximately $50-100 annually) and ensure your property meets fire safety and building code requirements. Find a suitable property in residential zones, considering that most homes in Normandy Park are single-family residences valued between $800,000-$1.5 million as of 2023, then furnish it with quality amenities including Wi-Fi, kitchen essentials, linens, and local guidebooks highlighting nearby attractions like Seahurst Park and downtown Seattle access. Create compelling listings on Airbnb, VRBO, and Booking.com with professional photography showcasing the property's proximity to Seattle-Tacoma International Airport (15 minutes) and downtown Seattle (25 minutes), setting competitive rates around $150-250 per night based on local market analysis. Implement a management system using tools like Hospitable or Guesty for automated messaging, coordinate cleaning services between guests (budget $75-125 per turnover), maintain 24/7 guest communication, and ensure compliance with Washington State's 8.5% sales tax plus King County's lodging tax requirements while keeping detailed records for tax purposes and potential city inspections.

To identify profitable short-term rental properties in Normandy Park, Washington, focus on properties within walking distance of Puget Sound waterfront areas and those offering views of the Sound or Mount Rainier, as these command premium rates averaging $200-350 per night. Target 3-4 bedroom single-family homes built after 1980 with modern amenities, outdoor spaces, and parking, as families and groups visiting nearby Seattle (20 minutes north) prefer these features. Analyze pricing using AirDNA and Mashvisor to benchmark against similar properties in Des Moines, Burien, and SeaTac, where comparable waterfront properties earn $4,000-7,000 monthly during peak summer months. Research competition by monitoring active listings on Airbnb and VRBO within a 2-mile radius, noting that Normandy Park has limited STR inventory due to residential zoning, creating opportunity for well-positioned properties. Utilize tools like Rabbu and AllTheRooms for market analysis, while checking King County and Normandy Park municipal codes for STR regulations, and consider properties near Angle Lake Park or with easy airport access since many guests are Seattle visitors seeking quieter accommodations with nature access.

To obtain an Airbnb/STR permit in Normandy Park, Washington, you must first contact the City of Normandy Park Planning Department at City Hall located at 801 SW 174th Street, as the city requires a Conditional Use Permit for short-term rentals in residential zones. Submit an application including a completed CUP application form, site plan showing parking areas and property layout, proof of property ownership or lease agreement, business license application, and a $500-800 application fee. Required documents also include a floor plan of the rental unit, neighbor notification affidavit, parking plan demonstrating adequate off-street parking, and proof of liability insurance coverage of at least $1 million. The city requires STRs to maintain quiet hours from 10 PM to 7 AM, provide contact information to neighbors, limit occupancy to 2 people per bedroom plus 2 additional guests, and ensure the property owner or designated local contact person is available 24/7 within 30 minutes of the property. The application process typically takes 60-90 days including a public hearing before the Planning Commission, and annual renewal fees of approximately $200-300 apply. Properties must also comply with fire safety codes, have working smoke and carbon monoxide detectors, and maintain the residential character of the neighborhood.

Short-term rentals (STRs) in Normandy Park, Washington are generally prohibited for residential properties. The city has maintained restrictive regulations that effectively ban most STR operations in residential zones, citing concerns about neighborhood character, parking, noise, and housing availability. Normandy Park's municipal code typically restricts rentals of less than 30 days in single-family residential areas, though some limited exceptions may exist for specific zoning districts or with special permits. The city has not implemented a licensing or registration system for STRs like some neighboring jurisdictions, instead opting for prohibition as their primary approach. Recent years have seen the city maintain this restrictive stance despite growing STR activity in the broader Puget Sound region, with code enforcement actively addressing violations. Property owners considering STR operations should consult current city ordinances and zoning regulations, as violations can result in fines and legal action, and the regulatory environment may evolve as regional housing pressures continue to influence local policy decisions.

The most promising areas for Airbnb investment in Normandy Park, Washington include the waterfront neighborhoods along Puget Sound, particularly near Normandy Park Cove and the Des Moines Marina area, which attract tourists seeking scenic water views and easy access to ferry services to Vashon Island. The residential areas closest to Seattle-Tacoma International Airport (approximately 10 minutes away) present excellent opportunities for business travelers and airline crews, with properties near 1st Avenue South and South 200th Street being particularly attractive due to their proximity to major transportation hubs. The neighborhoods around Normandy Park Elementary and near the city's parks like Normandy Terrace Park appeal to families visiting the area for youth sports tournaments and local events. Properties within walking distance of the Des Moines Creek Trail and Saltwater State Park capture outdoor enthusiasts and nature tourists, while homes near the Highline School District facilities benefit from educational travel and visiting families. The area's appeal stems from its combination of suburban tranquility, proximity to Seattle (20 minutes), excellent schools, waterfront recreation, and convenient airport access, making it attractive to both leisure travelers seeking a peaceful base near urban amenities and business travelers requiring quick airport connections.

Airbnb hosts in Normandy Park, Washington are subject to multiple lodging taxes including Washington State's 6.5% sales tax, King County's 2.5% lodging tax, and potentially a local Normandy Park lodging tax of approximately 2-4% (estimated based on similar municipalities in the region). The Washington State Department of Revenue requires hosts to register for a business license and collect the 6.5% state sales tax on all short-term rental bookings, with monthly remittance required if annual gross receipts exceed $12,000. King County's 2.5% lodging tax applies to stays under 30 days and must be collected by hosts and remitted quarterly to King County, with registration required through their tax division. Local Normandy Park taxes, if applicable, would typically be collected alongside state and county taxes and remitted to the city's finance department on a monthly or quarterly basis. Airbnb may collect and remit some of these taxes automatically through their platform depending on agreements with local jurisdictions, but hosts remain ultimately responsible for compliance. Exemptions generally apply to stays of 30 days or longer, which are considered long-term rentals rather than transient lodging, and some jurisdictions may exempt rentals in the host's primary residence under certain conditions.

To start an Airbnb in Normandy Park, Washington, the total costs would be approximately $1,150,000-$1,350,000. Property purchase represents the largest expense at $950,000-$1,100,000 based on median home prices in this upscale Seattle suburb as of 2023-2024. Furnishing costs for a complete Airbnb setup would range $25,000-$40,000 including furniture, appliances, linens, and décor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and marketing materials would be $2,000-$4,000. Permits and fees including business license, short-term rental permit, and potential HOA approvals would cost $500-$2,000 depending on local regulations. Insurance including landlord coverage and short-term rental protection would be $3,000-$5,000 annually. Utilities setup and deposits for electricity, water, gas, internet, and cable would require $1,000-$2,000. First six months operating costs including utilities ($1,200), cleaning services ($3,600), maintenance ($2,000), property management software ($300), and marketing ($1,000) would total approximately $8,100. Additional considerations include potential property management fees if outsourced and emergency repair funds, making the comprehensive startup investment substantial but potentially profitable given Normandy Park's proximity to Seattle-Tacoma International Airport and downtown Seattle.

Airbnb properties in Normandy Park, Washington typically generate annual revenues of $35,000-$55,000 for well-positioned homes, with average daily rates ranging from $120-$180 depending on property size and amenities. Operating expenses generally consume 40-50% of gross revenue, including cleaning fees ($40-60 per turnover), property management (15-25% if outsourced), utilities ($200-300 monthly), insurance ($1,500-2,500 annually), and maintenance costs averaging $3,000-5,000 yearly. Net profit margins typically range from 15-25% for owner-operated properties, with successful hosts like those managing waterfront or view properties near Puget Sound achieving higher margins of 25-35%. Key success factors include proximity to Seattle-Tacoma International Airport (20 minutes away), professional photography showcasing the area's natural beauty, competitive pricing during peak summer months when demand from tourists visiting nearby Dash Point State Park increases by 40%, and maintaining superhost status through consistent 4.8+ ratings. Properties with hot tubs, water views, or unique architectural features command premium rates and achieve 75-85% occupancy rates compared to 60-70% for standard listings, with the most successful operators reinvesting 10-15% of profits into property improvements and guest amenities to maintain competitive advantage in this affluent Seattle suburb market.

Airbnb investments in Normandy Park, Washington typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, based on the area's proximity to Seattle-Tacoma International Airport and Des Moines Marina attracting business travelers and weekend visitors. Properties in this suburban Seattle market, with median home values around $650,000-$750,000, can expect gross rental yields of 4-6% annually, with net returns after expenses, property management fees, and vacancy rates settling at the lower end due to higher property acquisition costs. Most investors achieve profitability within 18-24 months, particularly for well-appointed 2-3 bedroom homes that can command $120-$180 per night during peak seasons, though success heavily depends on property condition, amenities, and effective marketing to capture the steady flow of airport-area demand and regional tourism to nearby Puget Sound attractions.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking in Normandy Park, Washington. Local real estate agents who focus on investment properties in the area include Windermere Real Estate and John L. Scott Real Estate, with agents like Sarah Mitchell at Coldwell Banker Bain who has experience with vacation rental investments since 2019. National services include Awning (formerly RedAwning) which provides market analysis and property management for Airbnb investments, AirDNA for market data and revenue projections, and Mashvisor which offers investment property analysis tools. Local property management companies that assist investors include SeaTac Property Management and Puget Sound Property Management, both of which have expanded into short-term rental management since 2020. Additional national platforms include Roofstock, which occasionally features short-term rental properties in the Seattle metro area, and BiggerPockets marketplace where investors can connect with local wholesalers and agents familiar with the Normandy Park market for vacation rental opportunities.