Is North Bend, Oregon Good for Airbnb Investment?

To start an Airbnb in North Bend, Oregon, begin by researching local regulations through Coos County and the City of North Bend, as Oregon allows short-term rentals but requires compliance with local zoning laws and potential business licensing requirements that may cost $50-150 annually. Obtain necessary permits including a business license from North Bend City Hall, ensure your property meets fire safety codes, and check if your area is zoned for short-term rentals since some residential zones may restrict them. Find a suitable property by purchasing or leasing a home, condo, or apartment in desirable areas near the Oregon Dunes National Recreation Area or Coos Bay waterfront, with properties typically ranging from $200,000-400,000 for purchase. Furnish the space with quality basics including comfortable beds, linens, towels, kitchen essentials, WiFi, and local amenities information, budgeting approximately $5,000-15,000 for complete furnishing. List your property on Airbnb and VRBO platforms with professional photos highlighting North Bend's outdoor recreation access, set competitive rates around $80-150 per night based on local market research, and create detailed descriptions emphasizing proximity to beaches, dunes, and Coos Bay attractions. Manage your listing by responding quickly to inquiries, maintaining cleanliness standards, coordinating check-ins/check-outs, handling guest communications, and considering hiring local cleaning services for $50-80 per turnover, while staying compliant with Oregon's 1.8% lodging tax and any local transient occupancy taxes that North Bend may impose.

To identify profitable short-term rental properties in North Bend, Oregon, focus on locations within walking distance of the Coos Bay waterfront, near the Oregon Dunes National Recreation Area, or close to downtown amenities, as these areas attract tourists year-round for outdoor activities and coastal experiences. Target properties with 2-4 bedrooms, waterfront or dune views, outdoor spaces like decks or patios, and amenities such as hot tubs, fireplaces, or game rooms that appeal to families and groups visiting for recreation. Analyze pricing by researching comparable STRs on Airbnb and VRBO in the $120-250 per night range, considering seasonal fluctuations with peak rates during summer months (June-September) and lower rates in winter, while factoring in occupancy rates of 60-75% annually. Research competition by examining existing listings within a 5-mile radius, noting their amenities, pricing strategies, and guest reviews to identify market gaps or oversaturated niches. Utilize tools like AirDNA for market analytics, STR Helper for revenue projections, Mashvisor for investment analysis, and local resources including the North Bend Visitor & Convention Bureau for tourism data, Coos County planning department for zoning regulations, and local real estate agents familiar with the coastal rental market to ensure compliance with city ordinances and maximize investment potential.

To obtain an Airbnb/STR permit in North Bend, Oregon, you must apply through the City of North Bend Planning Department located at 1600 Virginia Avenue, North Bend, OR 97459, or submit applications online through their municipal website. Required documents include a completed short-term rental application form, property deed or lease agreement proving ownership/authorization, site plan showing parking and access, proof of liability insurance (minimum $1 million coverage), emergency contact information for 24/7 availability, and a floor plan indicating maximum occupancy. The application fee is approximately $150-200 with an annual renewal fee of $100-125. North Bend requires STRs to maintain minimum parking spaces (typically 1 space per bedroom), comply with occupancy limits based on bedrooms and septic capacity, provide trash collection arrangements, maintain quiet hours from 10 PM to 7 AM, and display the permit number in all advertising. Properties must pass safety inspections including smoke detectors, carbon monoxide detectors, and fire extinguishers. The approval timeline typically takes 30-45 days for complete applications, though complex cases may require 60-90 days. STR operators must also register with the Oregon Department of Revenue for transient lodging taxes and may need additional permits for properties in residential zones, with some areas having density restrictions limiting the number of STRs per neighborhood block.

Short-term rentals (STRs) are legal in North Bend, Oregon, but operate under specific regulations established by the city. North Bend requires STR operators to obtain a business license and comply with zoning restrictions that generally allow STRs in residential areas with certain limitations on the number of guests and parking requirements. The city has implemented noise ordinances and requires operators to provide contact information for a responsible party available 24/7 to address any issues. Recent changes around 2022-2023 included stricter enforcement of existing regulations and enhanced penalties for violations, particularly regarding noise complaints and occupancy limits. STRs are prohibited in certain residential zones where they would conflict with neighborhood character preservation goals, and the city maintains the right to revoke licenses for repeated violations. Property owners must also comply with state and county tax requirements, including transient lodging taxes, and ensure their properties meet safety standards similar to other rental accommodations in the area.

The best areas for Airbnb investment in North Bend, Oregon are the Pony Village Mall district and surrounding commercial areas near Highway 101, which attract business travelers and tourists visiting the Oregon Dunes National Recreation Area, and the residential neighborhoods closest to the bay waterfront along Simpson Avenue and Virginia Avenue, which appeal to visitors seeking coastal experiences, crabbing, and fishing activities. The areas near the North Bend Municipal Airport also show promise for business travelers and those accessing recreational vehicle rentals for dune exploration. Properties within walking distance of the Egyptian Theatre and Mill Casino provide entertainment-focused stays, while neighborhoods near Pony Point and Simpson Park offer scenic bay views that command premium rates from tourists exploring the Oregon Coast, particularly during summer months when ATV tours, fishing charters, and beach activities peak around nearby Florence and the Oregon Dunes.

North Bend, Oregon imposes a transient lodging tax of 9% on short-term rental accommodations including Airbnbs, which is collected by the city and applies to stays of 30 days or less. The tax is typically collected directly from guests at the time of booking through platforms like Airbnb's automatic tax collection system, though hosts remain ultimately responsible for ensuring proper remittance to the City of North Bend. Hosts must register with the city, obtain a transient lodging tax license, and file monthly returns by the 15th of the following month even if no rentals occurred, with payments due at the same time. Additionally, Oregon's statewide transient lodging tax of 1% applies to all short-term rentals, which is also collected through most major booking platforms or must be remitted directly by hosts to the Oregon Department of Revenue. Coos County may impose an additional lodging tax of approximately 3-5% depending on current ordinances. There are generally no exemptions for standard Airbnb operations, though stays exceeding 30 consecutive days by the same guest typically become exempt from transient lodging taxes and are instead subject to regular rental regulations.

To start an Airbnb in North Bend, Oregon, expect total costs around $420,000-$480,000. Property purchase represents the largest expense at $350,000-$400,000 based on median home prices in the area as of 2023-2024. Furnishing costs typically range $15,000-$25,000 for a complete setup including beds, linens, kitchen essentials, living room furniture, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, welcome materials, and basic supplies run approximately $2,000-$3,000. Permits and fees vary but budget $500-$1,500 for business licenses, short-term rental permits, and any required inspections depending on local North Bend regulations. Insurance costs including landlord coverage and short-term rental protection average $2,000-$3,000 annually. Utility setup and deposits for electricity, water, sewer, garbage, internet, and cable total around $1,000-$1,500. First six months operating costs including utilities ($1,200), cleaning supplies and services ($1,800), maintenance reserves ($2,000), marketing ($500), and platform fees on bookings ($1,500) add approximately $7,000. Additional considerations include property taxes, HOA fees if applicable, and a cash reserve for unexpected repairs or vacancy periods.

Airbnb properties in North Bend, Oregon typically generate annual revenues between $18,000-$35,000 for standard 2-3 bedroom homes, with peak summer months (June-September) accounting for 60% of bookings due to proximity to Oregon Dunes National Recreation Area and coastal attractions. Operating expenses generally range from $12,000-$22,000 annually, including property management fees (15-25%), cleaning costs ($75-$125 per turnover), utilities ($150-$250/month), insurance premiums ($1,200-$2,000/year), and maintenance costs averaging 3-5% of revenue. Profit margins typically fall between 25-40% for well-managed properties, with successful hosts achieving occupancy rates of 65-75% by targeting outdoor recreation enthusiasts visiting the dunes, fishing charters, and Coos Bay area attractions. Properties within walking distance of the waterfront or offering amenities like hot tubs, game rooms, or ATV parking command premium rates of $120-$180 per night versus $80-$120 for standard listings. Success factors include professional photography, responsive communication, local activity partnerships with companies like Sandland Adventures, and seasonal pricing strategies that capitalize on summer tourism and winter storm watching periods, with the most profitable properties being those purchased specifically for short-term rental investment rather than personal vacation homes.

Airbnb investments in North Bend, Oregon typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, driven by the area's proximity to Oregon Dunes National Recreation Area and coastal tourism. Properties within 2-3 miles of the beach or dune access points command premium nightly rates of $120-180 during peak summer months (June-September) and $80-120 during shoulder seasons, with occupancy rates averaging 65-75% annually. Initial investment recovery and profitability typically occurs within 18-24 months for well-positioned properties under $400,000, while higher-end investments may require 24-36 months to reach consistent profitability. The market benefits from year-round ATV enthusiasts, fishing tourism, and weekend visitors from Portland and Eugene, with successful operators reporting gross rental yields of 12-18% before expenses, though seasonal fluctuations require careful cash flow management during slower winter months when occupancy can drop to 40-50%.

STRSearch is a national platform that specializes in identifying profitable short-term rental investment opportunities including in North Bend, Oregon. Local real estate agents serving the North Bend area include Windermere Real Estate and Century 21 Agate Realty, both of which have experience with vacation rental properties along the Oregon coast. RE/MAX and Coldwell Banker also have agents in the Coos Bay-North Bend market who work with investors seeking Airbnb properties. National services include Mashvisor, which provides rental property analytics and market data for coastal Oregon markets, and BiggerPockets, which connects investors with local professionals and market insights. AirDNA offers short-term rental market analysis for the North Bend area, while Awning provides end-to-end Airbnb investment services including property identification and management. Local property management companies like Oregon Coast Vacation Rentals and Sunset Lodging can assist with both finding properties and managing them post-purchase. RedAwning and Vacasa also operate in the Oregon coastal market, offering both property management and investment advisory services for potential Airbnb investors looking at North Bend's tourism-driven rental market.