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 the ocean. Furnish the property with coastal-themed décor, essential amenities like high-speed internet, air conditioning, beach equipment, and safety features including smoke detectors and fire extinguishers as required by Florida law. Create your Airbnb listing with professional photos highlighting the beach location, nearby attractions like Tomoka State Park and Ormond Beach Pier, and competitive pricing typically ranging $80-250 per night depending on property size and season. Manage the property by establishing cleaning protocols between guests, maintaining responsive communication, coordinating check-ins/check-outs, and ensuring compliance with Ormond Beach's noise ordinances and parking regulations while monitoring occupancy limits and maintaining proper insurance coverage for short-term rentals.

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 single-family homes or condos built after 1980 with amenities like pools, updated kitchens, beach access, parking for 2+ vehicles, and outdoor spaces, as these command $150-300+ per night versus $80-150 for basic properties. Analyze comparable properties using AirDNA and Mashvisor to identify the $200-400K price range sweet spot where properties can generate 15-25% annual returns, while monitoring seasonal demand patterns that peak December-April and summer months. Research competition by studying the 200+ active STRs in the area, identifying gaps in luxury amenities or unique themes, and ensure compliance with Volusia County's STR regulations including business tax receipts and safety requirements. Utilize tools like Rabbu, BiggerPockets calculators, and local MLS data while partnering with Ormond Beach-specific property managers like Vacasa or RedAwning who understand the market's $180 average daily rate and 65-75% occupancy rates, and consider proximity to Daytona International Speedway for race weekend premiums that can triple nightly rates.

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 proof of property ownership or lease agreement, floor plan showing maximum occupancy, parking plan demonstrating adequate off-street parking, contact information for a local responsible party within 30 minutes of the property, and certificate of insurance with minimum $1 million liability coverage. The application fee is approximately $150-200 with an annual renewal fee of $100-125, and the process typically takes 4-6 weeks for approval. Ormond Beach requires STRs to maintain maximum occupancy of 2 people per bedroom plus 2 additional guests, provide one parking space per bedroom, display the registration number in all advertisements, maintain a guest registry, conduct quarterly property inspections, and ensure a responsible party is available 24/7 to address complaints within 30 minutes. Properties must also comply with noise ordinances, have working smoke and carbon monoxide detectors, and cannot operate in areas zoned single-family residential without proper conditional use permits, with violations subject to fines up to $500 per day.

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 generally limit short-term rentals to commercially zoned areas and some residential zones with conditions. Properties must meet safety requirements including smoke detectors, fire extinguishers, and emergency contact information, while operators must provide 24-hour contact availability for noise or disturbance complaints. Ormond Beach prohibits STRs in certain residential neighborhoods and requires compliance with parking regulations, occupancy limits based on property size, and noise ordinances. The city has implemented these regulations around 2018-2020 in response to growing concerns about neighborhood impacts, and violations can result in fines and permit revocation. Recent changes have focused on strengthening enforcement mechanisms and clarifying zoning requirements, with the city maintaining a balance between allowing property owners to operate STRs while protecting residential neighborhood character.

The best areas for Airbnb investment in Ormond Beach, Florida include the Ormond Beach Oceanfront district along A1A, which offers prime beachfront access and attracts year-round tourists seeking direct beach proximity. The Historic Downtown Ormond Beach area near Granada Boulevard provides charm with walkable access to restaurants, shops, and cultural attractions while being close to the Tomoka River for water activities. The Ormond-by-the-Sea neighborhood is highly desirable for its quieter residential beach setting that appeals to families and couples seeking a more secluded coastal experience. The areas near Ormond Beach Municipal Airport and along US-1 corridor attract business travelers and racing enthusiasts, especially during Daytona 500 season and other Daytona International Speedway events since Ormond Beach is just minutes north of Daytona Beach. Properties near Tomoka State Park and the Intracoastal Waterway appeal to nature lovers, boaters, and fishing enthusiasts, while areas close to championship golf courses like The Trails Golf Club attract golf tourism throughout Florida's peak season from November through April.

In Ormond Beach, Florida, Airbnb hosts are subject to multiple lodging taxes including the Florida state sales tax of 6%, the Volusia County tourist development tax of 5%, and potentially a local bed tax. The total effective tax rate typically ranges from 11-13% on short-term rental bookings. These taxes are generally collected automatically by Airbnb through their platform for stays under 30 days, with the company remitting payments directly to the appropriate tax authorities on a monthly basis. Hosts who collect taxes independently must register with the Florida Department of Revenue and Volusia County, file returns monthly or quarterly depending on volume, and remit payments by the 20th of the following month. Exemptions may apply for stays exceeding 30 consecutive days, certain government or business travelers, and properties rented to permanent residents, though documentation requirements vary by jurisdiction and hosts should verify current rates and procedures as they can change annually.

The total cost to start an Airbnb in Ormond Beach, Florida is approximately $420,000-$480,000. Property purchase costs around $350,000-$400,000 based on median home prices in the area. Furnishing a 2-3 bedroom property requires $15,000-$25,000 for quality furniture, appliances, linens, and decor. Initial setup costs including professional photography, listing creation, and marketing materials total $2,000-$3,000. Permits and fees including business license, vacation rental permit, and inspection fees range from $500-$1,500. Insurance for short-term rentals costs $2,500-$4,000 annually. Utilities including electricity, water, internet, and cable average $300-$400 monthly or $1,800-$2,400 for six months. First six months operating costs including cleaning services ($150 per turnover), property management (20-30% of revenue), maintenance reserves, and supplies total approximately $8,000-$12,000 assuming 60-70% occupancy rates and $150-$200 nightly rates typical for Ormond Beach vacation rentals.

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 consistently outperform inland locations by 25-30% in occupancy rates, achieving 65-75% annual occupancy compared to 45-55% for properties further from the coast. Success factors include professional photography, responsive guest communication, strategic pricing during Daytona 500 and Bike Week events when rates can increase 200-300%, and maintaining consistent 4.8+ star ratings. A typical 3-bedroom beachside property purchased for $350,000 in 2022 generated approximately $38,000 in gross revenue with $18,000 in operating expenses, yielding a 5.7% net cash-on-cash return before mortgage payments, while similar properties managed by companies like Vacasa or RedAwning reported slightly lower margins due to higher management fees but achieved better occupancy consistency.

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 miles of the beach command premium rates of $150-250 per night during peak season (December-April) and $80-140 during off-season, with average occupancy rates of 65-75% annually. Initial investment recovery and profitability typically occurs within 18-24 months for well-positioned properties, with vacation rental management companies like Vacasa and RedAwning reporting strong performance metrics in the Daytona Beach metropolitan area. The market benefits from year-round tourism, proximity to Daytona International Speedway events, and lower property acquisition costs compared to other Florida coastal markets, with median property prices around $280,000-450,000 for suitable rental properties. Net operating income after expenses typically ranges from $25,000-45,000 annually for a $350,000 property investment, factoring in management fees, maintenance, insurance, and local occupancy taxes.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental properties for investors, offering comprehensive market analysis and property recommendations for Ormond Beach, Florida. Local real estate agents who focus on Airbnb investment properties in the area include Realty Pros Assured and Coldwell Banker Premier Properties, both of which have agents experienced in vacation rental markets along the Daytona Beach corridor. National services like Awning (founded 2017), RedAwning, and AirDNA provide market analytics and property management solutions specifically for short-term rental investors in Florida markets. Mashvisor offers investment property analysis tools that cover the Ormond Beach market, while companies like Vacasa and AvantStay provide full-service property management for Airbnb investments. Local property management companies such as Volusia Vacation Rentals and Ormond Beach Property Management specialize in managing short-term rentals in the area. Real estate investment firms like Roofstock and Arrived Homes occasionally feature Florida coastal properties suitable for Airbnb conversion, and local agents from RE/MAX and Keller Williams often have experience with investment properties in the Ormond Beach vacation rental market.