Is Port Orange, Florida Good for Airbnb Investment?

To start an Airbnb in Port Orange, Florida, begin by researching local regulations through the City of Port Orange Planning Department, as the city requires short-term rental properties to obtain a Conditional Use Permit and comply with zoning restrictions that typically limit rentals to no more than 30% of units in residential areas. Contact Volusia County for additional county-level requirements and obtain a Florida Department of Revenue sales tax permit, as you'll need to collect and remit the 6% state sales tax plus 5% tourist development tax. Find a suitable property in residential zones R-1, R-2, or R-3 where short-term rentals are permitted, ensuring it meets the city's requirement of being at least 660 feet from other short-term rentals and having adequate parking (minimum 2 spaces). Apply for your Conditional Use Permit through Port Orange City Hall, which costs approximately $500-800 and requires a public hearing process taking 60-90 days. Once approved, obtain necessary permits including a business tax receipt from the city ($50-150 annually) and ensure the property meets Florida Building Code requirements with proper smoke detectors, carbon monoxide detectors, and fire extinguishers. Furnish the property with quality furniture, linens, kitchen essentials, and amenities while ensuring compliance with Americans with Disabilities Act requirements if applicable. Create your listing on platforms like Airbnb, VRBO, and Booking.com with professional photography, competitive pricing based on Port Orange's average daily rates of $80-150, and detailed descriptions highlighting proximity to Daytona Beach (10 minutes) and local attractions. Manage the property by establishing check-in procedures, maintaining cleanliness standards, responding to guests within an hour, and keeping detailed records for tax purposes while ensuring compliance with the city's noise ordinances and occupancy limits of 2 people per bedroom plus 2 additional guests.

To identify profitable short-term rental properties in Port Orange, Florida, focus on locations within 2-3 miles of Daytona Beach shores, near New Smyrna Beach access points, or close to attractions like Sugar Mill Gardens and Dunlawton Avenue commercial areas. Target 2-4 bedroom single-family homes or condos built after 1990 with pools, updated kitchens, and parking for 4+ vehicles, as families visiting nearby beaches and Daytona International Speedway events drive demand. Analyze comparable STR rates using AirDNA and Mashvisor, targeting properties where potential gross rental income exceeds 1% of purchase price monthly, with peak season rates of $150-300/night and off-season rates of $80-150/night. Research competition within a 3-mile radius using Airbnb and VRBO searches, identifying gaps in amenities or underpriced properties, while monitoring occupancy rates of similar listings through tools like AllTheRooms and Transparent. Utilize Volusia County property records via the Property Appraiser's website for pricing trends, check STR regulations through Port Orange city ordinances, and leverage local real estate agents familiar with investment properties, while using Rabbu or Awning for market analysis specific to the Port Orange/Daytona Beach corridor tourism patterns.

To obtain an Airbnb/STR permit in Port Orange, Florida, you must first contact the City of Port Orange Planning Department at City Hall located at 1000 City Center Circle to determine current short-term rental regulations, as the city has been developing specific ordinances for vacation rentals since approximately 2019-2021. You'll need to submit an application that typically requires a completed STR permit application form, proof of property ownership or lease agreement, a site plan showing parking and property layout, certificate of insurance with minimum $1 million liability coverage naming the city as additional insured, contact information for a local property manager if you're not local, and a floor plan indicating maximum occupancy. Required documents also include a business tax receipt from Volusia County, compliance with fire safety codes, and neighbor notification letters. The application fee is estimated at $150-300 initially with annual renewal fees of approximately $100-200, though you should verify current rates with the city. The approval timeline typically takes 30-60 days depending on completeness of application and any required inspections. Port Orange specific requirements include adherence to residential zoning restrictions, maximum occupancy limits based on bedrooms and square footage, mandatory local contact person available 24/7, compliance with noise ordinances, adequate off-street parking (typically 2 spaces minimum), and potential restrictions on the percentage of STRs allowed per neighborhood block to maintain residential character.

Short-term rentals (STRs) are legal in Port Orange, Florida, but operate under specific regulations established by the city. Port Orange 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. The city prohibits STRs in certain residential neighborhoods to preserve community character and has implemented occupancy limits, parking requirements, and noise ordinances that operators must follow. Properties must meet safety standards including smoke detectors and emergency egress requirements, and operators are required to provide local contact information for guests and neighbors. Recent changes around 2019-2021 included stricter enforcement mechanisms and clearer definitions of what constitutes a short-term rental, with the city requiring registration and periodic renewal of permits. Violations can result in fines and permit revocation, and the city has established a complaint process for residents to report problematic properties, reflecting Port Orange's approach to balance tourism revenue with residential quality of life concerns.

The best Airbnb investment areas in Port Orange, Florida include the Spruce Creek Fly-In community, which attracts aviation enthusiasts and offers unique runway-access properties that command premium rates year-round. The Dunlawton Avenue corridor near the Port Orange City Center provides excellent accessibility to both Daytona Beach attractions and New Smyrna Beach, making it ideal for tourists seeking central locations between major destinations. Properties near the Halifax River and Intracoastal Waterway, particularly in the Riverside Drive area, appeal to boating enthusiasts and water sports tourists, especially during racing seasons at Daytona International Speedway just 15 minutes away. The Sugar Mill Ruins area offers historical charm and nature-based tourism appeal, attracting visitors interested in Florida's heritage and outdoor activities. Areas near Port Orange Pavilion shopping and dining district provide convenience for business travelers and families, while neighborhoods close to the Port Orange Country Club attract golf tourism. These locations benefit from Port Orange's position as a quieter alternative to Daytona Beach while maintaining easy access to major attractions, NASCAR events, bike weeks, and year-round beach activities.

In Port Orange, Florida, Airbnb hosts are subject to multiple lodging taxes including the Florida state sales tax of 6%, Volusia County tourist development tax of 5%, and potentially local municipal taxes. The state sales tax applies to all short-term rental stays under 6 months, while the tourist development tax specifically targets transient accommodations and is collected by Volusia County to fund tourism promotion and beach projects. Airbnb typically collects and remits the 6% state sales tax automatically for hosts, but hosts may need to register directly with Volusia County to handle the 5% tourist development tax collection and remittance, which is generally due monthly by the 20th of the following month. Port Orange may also impose additional local occupancy taxes of 1-2%, though collection procedures vary by municipality. Exemptions typically apply to stays exceeding 30 consecutive days, monthly rentals, and in some cases accommodations rented to permanent residents, though hosts should verify current exemption criteria with local tax authorities as regulations frequently change.

The total cost to start an Airbnb in Port Orange, Florida is approximately $385,000-$425,000. Property purchase costs around $320,000 based on median home prices in the area as of 2024. Furnishing a 3-bedroom property requires $15,000-$25,000 for quality furniture, appliances, linens, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and marketing materials total $2,000-$3,000. Permits and fees in Volusia County include business tax receipt ($50-$100), short-term rental permit ($200-$500), and potential HOA approval fees totaling $500-$1,000. Insurance for short-term rentals runs $2,500-$4,000 annually, with the first year paid upfront. Utility deposits and connections for electricity, water, internet, and cable cost approximately $1,000-$1,500. First six months of operating costs including utilities ($200/month), cleaning services ($100 per turnover, estimated 15 turnovers), maintenance reserves ($300/month), property management or self-management tools ($150/month), and marketing expenses ($100/month) total approximately $6,000-$8,000, bringing the complete startup investment to this range.

Airbnb properties in Port Orange, 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 Daytona Beach and seasonal demand. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($50-$75 per turnover), property management (15-25% of revenue), utilities ($150-$300 monthly), insurance ($2,000-$4,000 annually), and maintenance costs. Properties within 5 miles of the beach or New Smyrna Beach typically achieve 65-75% occupancy rates during peak season (February-April, June-August) but drop to 35-45% in slower months. Successful operators like those managing properties near Spruce Creek or Sugar Mill Country Club report net profit margins of 15-25% after all expenses, with properties featuring pools, modern amenities, and professional photography performing significantly better. The market benefits from overflow demand from Daytona Beach events like Bike Week and the Daytona 500, with some properties commanding premium rates of $200-$300 per night during these periods. However, increased competition from new Airbnb hosts since 2020 and rising property taxes have compressed margins, making properties purchased above $300,000 challenging to achieve positive cash flow without significant down payments.

Based on Port Orange, Florida market conditions, Airbnb investments typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-14% depending on property type and location proximity to Daytona Beach attractions. Properties within 2-3 miles of the beach or motorsports venues like Daytona International Speedway command premium rates of $120-180 per night during peak season (February-April, summer months), while inland properties average $80-120 nightly. Initial profitability usually occurs within 18-24 months for well-positioned properties, with break-even typically achieved by month 14-20 after accounting for furnishing costs, property management fees (typically 20-25%), and seasonal occupancy fluctuations that average 65-75% annually. The market benefits from consistent tourism demand driven by NASCAR events, bike weeks, and beach proximity, supporting sustainable returns of 15-22% for premium beachside properties and 10-16% for standard residential conversions, with most investors seeing positive cash flow within the first 12-18 months of operation.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking in Port Orange, Florida. Local real estate agents like those at Realty Pros Assured and Century 21 Sundance Realty have experience with vacation rental properties in the Daytona Beach area including Port Orange. National services include Awning (formerly RedAwning) which provides market analysis and property management, Mashvisor for investment property analytics, and AirDNA for short-term rental data analysis. Local property management companies like Vacasa and RedAwning operate in the Central Florida market and can assist with both acquisition and management of Airbnb properties. Real estate investment firms such as Roofstock and Arrived Homes occasionally feature Florida coastal properties, while local agents at RE/MAX Signature and Coldwell Banker Premier Properties understand the Port Orange vacation rental market dynamics given its proximity to Daytona Beach attractions and New Smyrna Beach.