Is Raeford, North Carolina Good for Airbnb Investment?

To start an Airbnb in Raeford, North Carolina, begin by researching local regulations through Hoke County and the City of Raeford planning departments, as most North Carolina municipalities require short-term rental permits and may have zoning restrictions limiting rentals to certain residential areas. Contact Hoke County's tax office to obtain a business license and register for occupancy tax collection, which typically runs 6-8% in North Carolina counties. Find a suitable property by working with local real estate agents familiar with Raeford's neighborhoods near Fort Bragg or downtown areas, ensuring the property is zoned for short-term rentals and considering proximity to military housing for consistent demand. Apply for necessary permits including a short-term rental permit from the city (estimated $100-300 annually), fire safety inspection, and ensure compliance with North Carolina's vacation rental regulations. Furnish the property with quality furniture, linens, and amenities targeting military families and travelers, budgeting approximately $15,000-25,000 for a complete setup. Create your Airbnb listing with professional photos highlighting proximity to Fort Bragg and local attractions like Raeford's downtown or nearby golf courses. For management, establish cleaning protocols between guests, install keyless entry systems, and consider hiring local cleaning services like those found through Raeford area Facebook groups or Craigslist, while maintaining 24/7 guest communication and coordinating with property management companies if needed for remote oversight.

To identify profitable short-term rental properties in Raeford, North Carolina, focus on locations within 15-20 minutes of Fort Bragg military base, as this drives significant demand from military families and contractors seeking temporary housing. Target 3-4 bedroom single-family homes or townhouses built after 1990 with modern amenities, full kitchens, washer/dryer, high-speed internet, and parking, as these appeal to extended-stay military guests. Analyze pricing using AirDNA and Mashvisor to benchmark against comparable properties, aiming for $80-150 per night depending on size and amenities, with military-focused properties commanding premium rates during PCS seasons (summer months). Research competition by monitoring active Airbnb and VRBO listings within a 10-mile radius, noting occupancy rates, guest reviews, and pricing strategies of top performers. Utilize tools like Rabbu, BiggerPockets calculators, and local MLS data through Zillow or Realtor.com to analyze purchase prices, renovation costs, and projected cash flow, while connecting with Raeford-area real estate agents familiar with investment properties and military housing allowance rates. Consider properties near recreational areas like Raven Rock State Park or downtown Fayetteville for additional leisure traveler appeal, and ensure compliance with Cumberland County short-term rental regulations and HOA restrictions before purchasing.

To obtain an Airbnb/STR permit in Raeford, North Carolina, you must first contact the Raeford Planning and Zoning Department at City Hall located at 218 Campus Avenue to determine if short-term rentals are permitted in your specific zoning district, as the city likely requires a conditional use permit or special exception for STR operations. Submit an application that includes a completed permit form, property deed or lease agreement, floor plan showing maximum occupancy, parking plan demonstrating adequate off-street parking, contact information for a local property manager if you're not local, proof of liability insurance (typically $1 million minimum), and a good neighbor agreement outlining house rules and noise policies. The application fee is estimated at $150-300 for the initial permit plus potential additional fees for inspections or hearings. You'll need to schedule inspections with the fire department and building inspector to ensure compliance with safety codes, occupancy limits, and emergency egress requirements. The approval process typically takes 30-60 days and may require a public hearing if neighbors object or if located in certain residential zones. Once approved, you must register for a North Carolina sales tax license through the NC Department of Revenue and collect applicable state and local occupancy taxes. Annual renewal is required with fees around $75-150, and you must maintain current insurance, respond to complaints within 2 hours, and ensure the property meets all ongoing safety and zoning requirements specific to Raeford's municipal code.

Short-term rentals (STRs) are generally legal in Raeford, North Carolina, as the city does not have specific municipal ordinances prohibiting them as of 2024. However, operators must comply with North Carolina state regulations and Hoke County requirements, which typically include business license registration, tax collection responsibilities, and adherence to residential zoning laws. Most residential properties in Raeford can be used for STRs provided they meet basic safety standards and don't violate homeowners association restrictions where applicable. The city has not implemented the strict regulatory frameworks seen in larger North Carolina municipalities like Asheville or Charlotte, though operators should verify current zoning compliance and may need to obtain general business licenses. Recent trends in North Carolina show increasing local regulation of STRs, so Raeford property owners should monitor potential future ordinances that could introduce registration requirements, occupancy limits, or operational restrictions similar to those adopted by other municipalities in the state between 2022-2024.

The best areas for Airbnb investment in Raeford, North Carolina are downtown Raeford near Main Street for its proximity to local businesses and restaurants, the neighborhoods surrounding Fort Bragg's western border which attract military families and personnel needing temporary housing, areas near the Raeford-West Hoke Middle School and Hoke County High School for visiting families during school events and sports tournaments, properties close to the Cape Fear River for outdoor enthusiasts and fishing tourism, and residential areas near McLauchlin Road (Highway 401) for easy access to both Fayetteville and the greater Fort Bragg military community. These locations benefit from consistent military-related demand due to Raeford's proximity to one of the largest military installations in the world, family visits during PCS moves and training exercises, outdoor recreation tourism along the river systems, and business travelers needing alternatives to limited hotel options in this smaller town that serves as a gateway between Fayetteville's urban amenities and rural recreational areas.

In Raeford, North Carolina, Airbnb properties are subject to North Carolina's 4.75% state sales tax and a 6% state occupancy tax, totaling 10.75% in state-level taxes on short-term rental stays under 90 days. Hoke County, where Raeford is located, typically imposes an additional 6% county occupancy tax, bringing the total occupancy tax burden to approximately 16.75%. These taxes are generally collected by Airbnb directly from guests at the time of booking through their automated tax collection system, which began operating in North Carolina around 2017-2018. Airbnb remits these collected taxes directly to the North Carolina Department of Revenue on a monthly basis on behalf of hosts. However, hosts may still need to register with the state and county tax authorities and file periodic returns even when Airbnb collects taxes, as requirements can vary. Properties rented for 90 days or longer are typically exempt from occupancy taxes but may still be subject to sales tax. Some jurisdictions may offer exemptions for certain types of accommodations or extended stays, and hosts should verify current local requirements with Hoke County tax authorities as municipal regulations can change and may include additional local taxes or fees.

To start an Airbnb in Raeford, North Carolina, expect total costs of approximately $185,000-$220,000. Property purchase will be your largest expense at $150,000-$180,000 based on median home prices in Cumberland County. Furnishing costs typically range $8,000-$15,000 for a complete 2-3 bedroom setup including furniture, appliances, linens, and decor. Initial setup costs including professional photography, listing creation, and basic renovations average $2,000-$4,000. Permits and fees vary but budget $500-$1,500 for business licenses, short-term rental permits, and inspections required by Cumberland County and North Carolina. Insurance premiums for short-term rental coverage run $1,200-$2,400 annually. Utility deposits and connections cost approximately $500-$800. First six months operating costs including utilities ($150-$250 monthly), cleaning services ($75-$125 per turnover), maintenance reserves ($200-$400 monthly), property management software ($20-$50 monthly), and marketing expenses total roughly $3,500-$6,000. Additional considerations include potential HOA fees, property taxes, and emergency repair funds which could add another $2,000-$5,000 to your initial investment.

Airbnb properties in Raeford, North Carolina typically generate modest returns with average daily rates ranging from $75-120 depending on property size and amenities, resulting in monthly revenues of $1,800-3,200 for well-managed properties with 60-70% occupancy rates. Operating expenses including cleaning fees ($40-60 per turnover), property management (15-25% of revenue), utilities ($150-250/month), insurance ($100-200/month), and maintenance ($200-400/month) typically consume 45-60% of gross revenue. Properties near Fort Liberty (formerly Fort Bragg) command premium rates due to military personnel demand, with some hosts reporting net profit margins of 15-25% annually on properties purchased for $150,000-250,000. Success factors include proximity to the military base, professional photography, responsive communication, and amenities like high-speed internet and washer/dryer units. A typical 3-bedroom home purchased for $200,000 in 2022 might generate $28,000 annual revenue with $18,000 in expenses, yielding $10,000 net profit (5% cash-on-cash return), though properties with military contracts or corporate housing arrangements can achieve 8-12% returns through higher occupancy and reduced vacancy periods.

Airbnb investments in Raeford, North Carolina typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, based on the area's proximity to Fort Bragg military base which creates consistent demand from military personnel and their families. Properties in Raeford generally achieve profitability within 18-24 months, with average nightly rates of $85-120 for 2-3 bedroom homes and occupancy rates of 65-75% annually. The market benefits from steady military rotations and training exercises at Fort Bragg, with companies like Vacasa and RedAwning reporting strong performance metrics for short-term rentals in Cumberland County and surrounding areas since 2019. Initial investment costs are relatively low compared to major metropolitan areas, with median home prices around $180,000-250,000, allowing investors to achieve positive cash flow within the first year while building equity through property appreciation of approximately 3-5% annually in the Raeford market.

STRSearch is a national platform that helps investors identify profitable short-term rental properties in Raeford, North Carolina, using data analytics to evaluate potential returns. Local real estate agents in the Fayetteville-Raeford area who specialize in investment properties include Keller Williams Realty agents, Coldwell Banker agents, and RE/MAX professionals who understand the Fort Bragg military market that drives rental demand in Raeford. National services like BiggerPockets connects investors with local experts, while Mashvisor provides market analysis for short-term rental investments in Cumberland County. AirDNA offers vacation rental data and market insights for the Raeford area, and Awning provides full-service Airbnb property management once properties are acquired. Local property management companies such as Carolina Property Management and Fayetteville-based STR management firms can assist with operations, while national companies like RedAwning and Vacasa also service the North Carolina market. Real estate investment groups through BiggerPockets and local REIA chapters in Fayetteville provide networking opportunities with other investors active in the Raeford market, and platforms like Roofstock occasionally feature turnkey rental properties in the area that could be converted to short-term rentals.