Is Ormond Beach, Florida Good for Airbnb Investment?

To start an Airbnb in Ormond Beach, Florida, begin by researching local regulations as the city requires short-term rental properties to obtain a business tax receipt and comply with zoning ordinances that typically allow vacation rentals in residential areas with specific restrictions on rental duration and occupancy limits. Contact Ormond Beach's Planning Department at (386) 676-3238 to verify zoning compliance and obtain necessary permits, including a business tax receipt from the city clerk's office which costs approximately $25-50 annually. Find a suitable property within allowed zoning districts, focusing on areas near the beach or Tomoka River for higher rental demand, with properties typically ranging from $200,000-600,000 depending on proximity to ocean and size. Furnish the property with coastal-themed décor, essential amenities like WiFi, air conditioning, full kitchen appliances, quality linens, and beach equipment such as chairs and umbrellas to attract tourists visiting Ormond Beach's attractions like the Ormond Beach Boardwalk and Tomoka State Park. List your property on Airbnb, VRBO, and other platforms with professional photos highlighting ocean views or proximity to NASCAR events at nearby Daytona International Speedway, setting competitive rates between $100-300 per night based on seasonality and local events. Manage the property by establishing cleaning protocols between guests, responding promptly to inquiries, coordinating check-ins/check-outs, maintaining the property regularly, and ensuring compliance with Ormond Beach's noise ordinances and parking requirements while building positive reviews to increase bookings during peak seasons from February through August.

To identify profitable short-term rental properties in Ormond Beach, Florida, focus on locations within 0.5-1 mile of the beach, particularly along A1A and neighborhoods like Ormond-by-the-Sea, while avoiding areas with strict HOA restrictions or high crime rates near US-1. Target 2-4 bedroom properties built after 1980 with pools, updated kitchens, parking for 2+ vehicles, and outdoor spaces, as these command $150-300 per night versus $80-150 for basic units. Conduct pricing analysis using AirDNA and Mashvisor to identify properties where 70% occupancy generates 1.5-2x long-term rental income, typically requiring nightly rates of $180-250 for 3-bedroom homes. Research competition within a 2-mile radius using Airbnb and VRBO searches, analyzing occupancy rates, guest reviews, and pricing strategies of top-performing listings, while identifying gaps in amenities or service quality. Utilize Volusia County's STR permit database to confirm legal compliance, partner with local property managers like Vacasa or RedAwning for market insights, and leverage tools like Rabbu and Mashvisor for Ormond Beach-specific data on seasonal demand patterns, with peak season running December through April when rates increase 40-60% above summer months.

To obtain an Airbnb/STR permit in Ormond Beach, Florida, you must first apply through the City of Ormond Beach Planning Department located at 22 South Beach Street, submitting a completed Short-Term Rental Registration application along with required documents including a copy of your property deed or lease agreement, floor plan showing maximum occupancy, proof of liability insurance (minimum $1 million), contact information for a local representative within 30 minutes of the property, and a $150 annual registration fee. Ormond Beach requires STR properties to be owner-occupied or have an on-site manager, maintain maximum occupancy of 2 people per bedroom plus 2 additional guests, provide adequate parking (minimum 2 spaces), display the registration number prominently, and comply with noise ordinances with quiet hours from 10 PM to 8 AM. The application process typically takes 30-45 days for review and approval, during which the city may conduct an inspection to ensure compliance with fire safety codes, building codes, and zoning requirements. Properties must be located in areas zoned for residential use, and operators must renew their registration annually while maintaining compliance with all city ordinances, HOA restrictions if applicable, and state tax requirements including collecting and remitting tourist development taxes.

Short-term rentals (STRs) are legal in Ormond Beach, Florida, but operate under specific regulations established by the city. The city requires STR operators to obtain a business tax receipt and comply with zoning restrictions that primarily allow STRs in areas zoned for tourist accommodations and certain residential districts, though they are prohibited in some single-family residential neighborhoods. Properties must meet safety requirements including smoke detectors, fire extinguishers, and emergency contact information, while operators must provide 24-hour contact availability and maintain occupancy limits based on property size. Recent changes around 2019-2021 included stricter enforcement of noise ordinances, parking requirements (typically limiting guests to available on-site parking), and enhanced registration processes to better track STR properties. The city also requires compliance with state regulations under Florida Statute 509, which governs vacation rentals, and operators must collect and remit tourist development taxes. Violations can result in fines and potential revocation of operating permits, with the city actively monitoring compliance through complaint-driven enforcement and periodic inspections.

The best areas for Airbnb investment in Ormond Beach, Florida include the Ormond Beach oceanfront district along A1A, which attracts year-round tourists seeking beachfront accommodations and benefits from proximity to Daytona International Speedway events bringing NASCAR fans throughout the racing season. The historic downtown Ormond Beach area near Granada Boulevard offers charm and walkability to restaurants, shops, and cultural attractions while being close to The Casements cultural center and Rockefeller Gardens, appealing to cultural tourists and weekend visitors. The Tomoka State Park vicinity attracts nature enthusiasts, kayakers, and outdoor recreation visitors seeking longer stays for fishing and wildlife viewing. The Airport Road corridor benefits from business travelers visiting companies like Team Volusia Economic Development Corporation and proximity to Daytona Beach International Airport, generating consistent mid-week bookings. The beachside residential areas between Ocean Shore Boulevard and the Atlantic provide premium vacation rental opportunities for families and groups seeking private beach access, particularly during Bike Week, Biketoberfest, and spring break seasons when nearby Daytona Beach experiences overflow demand.

Airbnb properties in Ormond Beach, Florida are subject to multiple lodging taxes including the Florida state sales tax of 6%, the Volusia County tourist development tax of 5%, and potentially additional local municipal taxes. The state sales tax and tourist development tax are typically collected automatically by Airbnb through their platform for stays less than 30 days, with Airbnb remitting these taxes directly to the appropriate authorities on a monthly basis. Property owners must register with the Florida Department of Revenue to obtain a sales tax permit and may need to register separately with Volusia County for the tourist development tax if not collected through Airbnb's system. Stays of 30 days or longer are generally exempt from these transient lodging taxes as they are considered long-term rentals rather than short-term accommodations. Hosts should verify current rates and collection procedures as tax obligations can change, and some properties may need to collect and remit taxes independently depending on their booking platform arrangements and local registration requirements.

To start an Airbnb in Ormond Beach, Florida, expect total costs of approximately $385,000-$425,000. Property purchase represents the largest expense at $320,000-$350,000 based on median home prices in the area as of 2023-2024. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom property including furniture, appliances, linens, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and marketing materials run $1,500-$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 Volusia County regulations. Insurance costs approximately $2,000-$3,500 annually for landlord and short-term rental coverage. Utility setup and deposits for electricity, water, internet, cable, and trash service total around $500-$800 initially. First six months of operating costs including utilities ($1,200-$1,800), property management software ($300-$600), cleaning supplies and services ($1,800-$2,400), maintenance reserves ($1,000-$2,000), and marketing ($500-$1,000) add approximately $4,800-$7,800 to your startup investment.

Airbnb properties in Ormond Beach, Florida typically generate annual revenues between $25,000-$45,000 for well-positioned properties, with average daily rates ranging from $85-$150 depending on proximity to the beach and property amenities. Operating expenses generally consume 40-50% of gross revenue, including cleaning fees ($75-$100 per turnover), property management (15-25% of revenue), utilities ($150-$250 monthly), insurance ($1,200-$2,000 annually), and maintenance costs averaging $2,000-$4,000 yearly. Properties within 0.5 miles of the beach command premium rates and achieve 65-75% occupancy during peak season (December-April), while inland properties typically see 45-55% annual occupancy. Net profit margins for successful operators range from 15-25% after all expenses, with beachfront condos and single-family homes with pools performing best. Key success factors include professional photography, responsive guest communication, strategic pricing during events like Daytona 500 and Bike Week, and maintaining 4.8+ star ratings. Properties that invest in modern furnishings, high-speed internet, and beach equipment rentals typically outperform basic accommodations by 20-30% in both occupancy and nightly rates, with some premium oceanfront properties achieving $60,000+ annual revenue and 25-30% profit margins.

Airbnb investments in Ormond Beach, Florida typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-14% based on current market conditions. Properties within 2-3 blocks of the beach command premium rates of $150-250 per night during peak season (December-April) and $80-120 during off-season, with average occupancy rates of 65-75% annually. Initial investment for a suitable 2-3 bedroom property ranges from $300,000-500,000, with investors typically reaching profitability within 18-24 months after accounting for renovation costs, furnishing, and initial marketing expenses. The market benefits from year-round tourism due to Daytona International Speedway events, consistent retiree visitors, and proximity to Daytona Beach attractions, with properties generating gross rental yields of 15-22% before expenses, translating to net returns of 10-16% after property management fees, maintenance, insurance, and vacancy allowances.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental properties for investors in Ormond Beach, Florida. Local real estate agents like Realty Pros Assured and Coldwell Banker Premier Properties have extensive knowledge of the Ormond Beach market and can identify properties with strong Airbnb potential near the beach and Daytona International Speedway. National services include AirDNA for market analytics, Mashvisor for investment property analysis, and Awning for turnkey Airbnb investment solutions. Local property management companies such as Vacasa and RedAwning provide full-service Airbnb management in the area. Real estate investment firms like Roofstock and Arrived Homes occasionally feature Ormond Beach properties, while local agents from RE/MAX Signature and Century 21 Sundance Realty understand the seasonal rental dynamics of this coastal Florida market. BiggerPockets marketplace and local investment groups also connect investors with Ormond Beach opportunities, and companies like Hostfully and Guesty provide property management software solutions for investors managing multiple Airbnb properties in the region.