Is Pass Christian, Mississippi Good for Airbnb Investment?

To start an Airbnb in Pass Christian, Mississippi, begin by researching local zoning laws through the Pass Christian Planning Department and Harrison County offices, as the city requires short-term rental permits and compliance with residential zoning restrictions that typically limit rentals to no more than 30% of units in certain areas. Obtain necessary permits including a business license from Pass Christian City Hall (estimated $50-100), a short-term rental permit (approximately $200-300 annually), and ensure compliance with Mississippi state tax requirements by registering for sales tax collection. Find a suitable property within approved zoning areas, focusing on locations near the beach or historic downtown district where tourism demand is highest, with properties typically ranging from $150,000-400,000 depending on proximity to water and size. Furnish the property with coastal-themed decor, essential amenities including high-speed internet, air conditioning (crucial for Mississippi summers), quality linens, kitchen supplies, and safety equipment like smoke detectors and fire extinguishers as required by local fire codes. List your property on Airbnb and other platforms like VRBO, setting competitive rates based on seasonal demand (higher during summer months and Mardi Gras season), with average nightly rates ranging from $80-200 depending on property size and location. Manage the property by establishing cleaning protocols between guests, maintaining responsive communication, coordinating with local cleaning services and maintenance providers, and ensuring compliance with Pass Christian's noise ordinances and parking restrictions while collecting and remitting the required 7% Mississippi sales tax plus any applicable local tourism taxes.

To identify profitable short-term rental properties in Pass Christian, Mississippi, focus on waterfront or near-water locations within walking distance of the beach, particularly properties along the Gulf Coast with water views or easy beach access. Target 2-4 bedroom homes or condos built after 1990 with modern amenities, outdoor spaces like decks or patios, and parking for multiple vehicles, as families and groups visiting the Mississippi Gulf Coast prefer these features. Analyze pricing by researching comparable STR properties on Airbnb and VRBO in the $150-300 per night range, considering seasonal fluctuations with peak rates during summer months and hurricane season gaps. Study competition by examining occupancy rates and reviews of existing rentals within a 2-mile radius of the beach, noting that Pass Christian has fewer STR options compared to nearby Biloxi or Gulfport, creating opportunity for well-positioned properties. Utilize tools like AirDNA for market analysis, Mashvisor for investment calculations, and local resources including the Pass Christian Chamber of Commerce for tourism data, while monitoring the city's STR regulations and permit requirements which may be less restrictive than larger coastal cities, and consider proximity to attractions like Pass Christian Harbor, local restaurants, and casino destinations in neighboring areas.

To obtain an Airbnb/STR permit in Pass Christian, Mississippi, you must first contact the Pass Christian City Hall at 201 West Scenic Drive or call (228) 452-3301 to obtain a short-term rental permit application, as the city implemented STR regulations around 2019-2020. Required documents typically include a completed application form, proof of property ownership or lease agreement, certificate of insurance with minimum $1 million liability coverage, floor plan of the rental unit, parking plan showing adequate off-street parking, contact information for a local property manager or 24-hour contact person, and a copy of your Mississippi sales tax permit. The application fee is approximately $200-300 annually, with additional inspection fees of around $100. Submit your complete application to the Planning and Zoning Department at City Hall, and schedule a required property inspection with the Building Department. The approval timeline is typically 30-45 days from submission of a complete application. Pass Christian specific requirements include maintaining a maximum occupancy of 2 people per bedroom plus 2 additional guests, providing adequate parking (typically 1 space per bedroom), ensuring the property manager or contact person is available 24/7 and can respond to the property within 30 minutes, displaying the permit number in all advertisements, and maintaining a guest registry. Properties must also comply with all building codes, fire safety requirements, and noise ordinances, with quiet hours typically enforced from 10 PM to 7 AM.

Short-term rentals (STRs) are legal in Pass Christian, Mississippi, but operate under municipal regulations that require proper permitting and compliance with zoning ordinances. The city typically requires STR operators to obtain a business license and may have restrictions on the number of guests, parking requirements, and noise ordinances to maintain neighborhood character in residential areas. Pass Christian, like many Gulf Coast communities, has seen increased STR activity due to its proximity to beaches and tourist attractions, leading the city to implement moderate oversight measures around 2018-2020 to balance tourism revenue with resident concerns. Properties must generally comply with fire safety codes, maintain adequate parking, and operators are usually required to provide local contact information for guest issues, though enforcement tends to be complaint-driven rather than proactive, and the city has not implemented the more restrictive measures seen in some larger Mississippi municipalities.

The best areas for Airbnb investment in Pass Christian, Mississippi are the Historic Downtown District along Scenic Drive and Second Street, which attracts tourists year-round due to its antebellum architecture, art galleries, and proximity to the beach, generating strong rental demand from visitors exploring the Mississippi Gulf Coast. The beachfront area along Highway 90 offers prime investment opportunities as guests seek direct beach access for fishing, water sports, and the annual Mardi Gras celebrations that draw thousands of visitors to the coast. The Harbor area near Pass Christian Harbor provides excellent potential due to its appeal to boating enthusiasts, fishing charters, and visitors attending events at nearby casinos like Beau Rivage and IP Casino Resort in Biloxi. The residential neighborhoods between Highway 90 and the railroad tracks offer more affordable investment properties while still providing easy beach access and proximity to local restaurants and shops that cater to tourists visiting the Mississippi Sound region. These areas benefit from consistent tourism driven by the area's reputation as a quieter alternative to busier Gulf Coast destinations, business travelers visiting the nearby Stennis Space Center, and seasonal visitors during peak summer months and hurricane evacuation periods when demand spikes significantly.

Pass Christian, Mississippi imposes a 2% municipal lodging tax on short-term rental accommodations including Airbnbs, which applies to stays of less than 30 consecutive days. Additionally, Mississippi state sales tax of 7% applies to lodging services, bringing the total tax burden to approximately 9% on rental fees. Harrison County may impose an additional 2-3% tourism or occupancy tax, potentially raising the total to 11-12%. These taxes are typically collected by the host at the time of booking or payment and must be remitted monthly to the Mississippi Department of Revenue for state taxes and quarterly to Pass Christian city offices for municipal taxes. Hosts must register for a sales tax permit with the state and obtain a business license from the city. Remittance is due by the 20th of the month following collection for state taxes and within 30 days of the quarter end for municipal taxes. Exemptions generally apply to stays exceeding 30 consecutive days, government employees on official business, and certain nonprofit organization bookings, though documentation is required to claim these exemptions.

The total cost to start an Airbnb in Pass Christian, Mississippi is approximately $285,000-$350,000. Property purchase represents the largest expense at $200,000-$275,000 based on median home prices in the coastal area. Furnishing costs range from $15,000-$25,000 for a complete setup including beds, linens, kitchen appliances, furniture, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and marketing materials total around $2,000-$3,000. Permits and fees including business license, short-term rental permit, and inspection fees cost approximately $500-$1,500 depending on local requirements. Insurance for short-term rental coverage runs $2,000-$4,000 annually, with the first year paid upfront. Utility deposits and setup fees for electricity, water, gas, internet, and cable total around $1,000-$2,000. First six months operating costs including utilities ($600/month), cleaning services ($100-150 per turnover), maintenance and repairs ($200/month), property management software ($50/month), and marketing expenses ($100/month) total approximately $6,000-$9,000, bringing the complete startup investment to the estimated range.

Airbnb properties in Pass Christian, Mississippi typically generate annual revenues between $15,000-$35,000 for modest 2-3 bedroom homes, with peak summer months (June-August) commanding $120-180 per night due to proximity to Gulf Coast beaches, while off-season rates drop to $80-120 nightly. Operating expenses generally consume 40-60% of gross revenue, including property management fees (15-25%), cleaning costs ($50-75 per turnover), utilities ($150-250 monthly), insurance premiums ($1,200-2,000 annually), and maintenance reserves (8-12% of revenue). Properties within walking distance of Pass Christian Beach or historic downtown achieve occupancy rates of 65-75% annually with profit margins of 25-35%, while inland properties typically see 45-55% occupancy and 15-25% margins. Success factors include professional photography showcasing coastal proximity, competitive pricing during Mardi Gras season and summer festivals, responsive guest communication, and partnerships with local property management companies like Gulf Coast Vacation Rentals who reported average annual profits of $8,000-$18,000 for well-positioned properties in 2023. The market benefits from Mississippi's relatively low property taxes and the area's recovery from Hurricane Katrina, though seasonal fluctuations and hurricane insurance costs remain key profitability challenges for investors in this coastal market.

Airbnb investments in Pass Christian, Mississippi typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-14%, driven by the area's proximity to Gulf Coast beaches and steady tourism demand. Properties within walking distance of the beach or historic downtown area command premium nightly rates of $120-180, while inland properties average $80-120 per night during peak summer months (May-September). Initial profitability usually occurs within 18-24 months, with break-even on cash investment typically achieved by month 14-20 depending on property acquisition costs and renovation expenses. The market benefits from consistent demand from New Orleans visitors (45 minutes away), casino tourists, and fishing enthusiasts, with occupancy rates averaging 65-75% annually. Properties purchased in the $150,000-250,000 range with 20-25% down payments show the strongest performance metrics, particularly those built after Hurricane Katrina with modern amenities and coastal-compliant construction.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental investment properties and provides comprehensive market analysis for Airbnb investors in Pass Christian, Mississippi. Local real estate agents serving the Gulf Coast area include Coldwell Banker Alfonso Realty, Century 21 J. Carter & Company, and RE/MAX Gulf Coast Realty, many of whom have experience with vacation rental properties along the Mississippi coastline. National services like Awning, RedAwning, and AirDNA offer market analysis and property management solutions for short-term rental investors, while companies such as Mashvisor and BiggerPockets provide investment property search tools and market data. Local property management companies including Gulf Coast Property Management and Coastal Mississippi Rentals can assist with ongoing Airbnb operations, and real estate investment firms like Roofstock and Arrived Homes occasionally feature Gulf Coast properties suitable for short-term rental conversion.