Is Scott City, Kansas Good for Airbnb Investment?

To start an Airbnb in Scott City, Kansas, begin by researching local zoning laws and regulations through the Scott City Planning Department, as Kansas municipalities typically regulate short-term rentals at the city level, and contact Scott County for any county-specific requirements. Obtain necessary business licenses from Scott City Hall, which may include a general business license and potentially a special use permit for short-term rentals, and register for Kansas state tax collection through the Department of Revenue since you'll need to collect and remit state and local sales taxes on rental income. Find a suitable property by researching Scott City's residential areas, considering proximity to local attractions like Scott State Park or downtown amenities, and ensure the property meets safety requirements including smoke detectors, carbon monoxide detectors, and adequate egress windows. Furnish the property with essential amenities including comfortable bedding, kitchen supplies, Wi-Fi, and local guidebooks highlighting Scott City attractions and nearby recreational areas like Lake Scott. Create your Airbnb listing with high-quality photos, detailed descriptions emphasizing the rural Kansas experience and outdoor activities, and competitive pricing based on similar properties in western Kansas markets. Manage your property by establishing check-in procedures, maintaining cleanliness standards, responding promptly to guest communications, and keeping detailed records for tax purposes while staying compliant with any noise ordinances or occupancy limits that Scott City may enforce for residential properties used as short-term rentals.

To identify profitable short-term rental properties in Scott City, Kansas, focus on properties within walking distance of downtown attractions, near Highway 83 for traveler convenience, or close to Scott State Park which draws outdoor enthusiasts year-round. Target 2-3 bedroom homes or properties with unique features like historic charm, outdoor spaces, or modern amenities that can command $75-120 per night in this market. Analyze comparable properties on Airbnb and VRBO within a 10-mile radius, noting that occupancy rates typically range 40-60% annually with peak seasons during hunting season (fall) and summer recreation months. Research competition by monitoring the 15-25 existing STR listings in Scott County, identifying gaps in amenities or pricing strategies, and consider properties near the Scott County Lake or with agricultural tourism appeal. Utilize AirDNA for market data specific to Scott City, leverage BiggerPockets for investment analysis, use Mashvisor for rental yield calculations, and consult with Landmark Real Estate or other local agents familiar with the area's $60,000-150,000 property price range to identify undervalued homes suitable for conversion to profitable short-term rentals.

To obtain an Airbnb/STR permit in Scott City, Kansas, contact the Scott City Planning and Zoning Department at City Hall located at 221 West 5th Street or call (620) 872-3826 to begin the application process. You will need to submit a completed short-term rental application form, provide proof of property ownership or lease agreement, submit a site plan showing the property layout, obtain a certificate of occupancy if required, and provide proof of liability insurance with minimum $1 million coverage. Required documents also include a floor plan, emergency contact information for guests, parking plan, and noise mitigation plan. The application fee is estimated at $150-250 with an annual renewal fee of approximately $100-150. The approval timeline typically takes 30-45 days from submission of a complete application. Scott City specific requirements likely include maintaining the property as a single-family dwelling appearance, providing adequate off-street parking for guests, ensuring compliance with residential zoning regulations, limiting occupancy based on bedroom count, maintaining 24/7 local contact availability, and adhering to noise ordinances particularly during evening hours. You must also register with the Kansas Department of Revenue for sales tax collection and remittance, and the permit must be renewed annually with the city.

Short-term rentals (STRs) in Scott City, Kansas operate in a largely unregulated environment as the city has not enacted specific ordinances governing vacation rentals or short-term accommodations as of 2024. Kansas state law generally allows property owners to rent their homes for short periods unless specifically prohibited by local municipalities, and Scott City has not implemented such restrictions. The city follows standard zoning regulations that may indirectly affect STR operations, particularly regarding residential versus commercial use distinctions, but there are no explicit licensing requirements, occupancy limits, or registration mandates specifically targeting short-term rentals. Property owners must still comply with general housing codes, fire safety regulations, and tax obligations including collecting and remitting state and local sales taxes. Unlike larger Kansas cities such as Lawrence or Kansas City that have implemented comprehensive STR regulations in recent years, Scott City's smaller size and limited tourism infrastructure have resulted in minimal regulatory attention to this sector, though this could change if STR activity increases significantly in the future.

The best areas for Airbnb investment in Scott City, Kansas include the downtown historic district near Main Street, which attracts visitors interested in the area's agricultural heritage and serves business travelers visiting local grain elevators and farming operations. The residential neighborhoods around Scott Community High School and near the Scott City Country Club offer quiet, family-friendly accommodations for sports tournament participants and visiting families, as the area regularly hosts regional high school athletics and youth sports events. Properties near Highway 83 and close to Scott State Park (approximately 12 miles north) are attractive for outdoor enthusiasts visiting the lake for fishing, camping, and water recreation, particularly during summer months. The area around the Scott County Courthouse and government buildings serves well for business travelers, attorneys, and government officials conducting business in the county seat. Additionally, properties within walking distance of local restaurants and the Scott Theatre provide convenience for visitors attending community events, while locations near major agricultural businesses like grain cooperatives attract seasonal workers and agricultural consultants during harvest seasons from July through October.

Airbnb properties in Scott City, Kansas are subject to Kansas state transient guest tax of 6% on lodging stays of less than 28 consecutive days, which is collected by the host and remitted monthly to the Kansas Department of Revenue if gross receipts exceed $4,000 annually. Scott County may impose an additional local transient guest tax of up to 2%, bringing the potential total occupancy tax rate to approximately 8%. Hosts must register with the Kansas Department of Revenue, collect taxes from guests at the time of booking or check-in, and file monthly returns by the 25th of the following month using Form ST-16. The state tax applies to the total consideration paid for lodging including cleaning fees and service charges, with exemptions for stays of 28 days or longer, certain government employees on official business, and nonprofit organizations in some cases. Local tax collection and remittance procedures typically mirror state requirements, though hosts should verify specific local ordinances with Scott County as some jurisdictions may have different filing frequencies or thresholds for small operators.

Starting an Airbnb in Scott City, Kansas requires approximately $180,000-220,000 in total initial investment. Property purchase costs around $120,000-150,000 based on median home prices in rural Kansas markets as of 2023. Furnishing a 2-3 bedroom property with quality furniture, appliances, linens, and décor typically runs $15,000-25,000. Initial setup including professional photography, listing creation, welcome materials, and basic renovations costs $3,000-5,000. Permits and fees vary but expect $500-1,500 for business licenses, short-term rental permits, and city registration requirements. Insurance including landlord coverage and short-term rental protection averages $2,000-3,000 annually. Utility setup and deposits for electricity, gas, water, internet, and cable total approximately $1,000-2,000. First six months operating costs including utilities ($600-800/month), cleaning services ($100-150 per turnover), maintenance reserves ($200-300/month), platform fees (3% of bookings), and marketing budget total roughly $8,000-12,000, assuming 50-60% occupancy rates typical for smaller Kansas markets.

Airbnb properties in Scott City, Kansas typically generate modest returns due to the small market size and limited tourist demand in this rural community of approximately 3,800 residents. Average nightly rates range from $45-75 for typical 2-3 bedroom properties, with occupancy rates averaging 25-35% annually, resulting in gross revenues of $4,000-9,000 per year. Operating expenses including utilities, cleaning, maintenance, insurance, and Airbnb fees typically consume 40-50% of gross revenue, while property taxes and mortgage payments further reduce profitability. Net profit margins generally range from 8-15% of gross revenue, translating to annual profits of $300-1,500 per property. Success factors include proximity to Scott State Park, competitive pricing below $60/night, and targeting hunters, fishermen, and travelers passing through on Highway 83. Properties near the lake or with unique amenities like RV hookups tend to perform better, with some hosts reporting 40-45% occupancy rates and annual profits reaching $2,000-2,500. However, the limited population base and seasonal demand patterns make Scott City a challenging market for Airbnb investment compared to larger Kansas cities like Wichita or Lawrence.

Airbnb investments in Scott City, Kansas typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, primarily driven by the area's proximity to agricultural operations, oil field workers, and travelers along Highway 83. Properties in Scott City, with median home prices around $85,000-$120,000, can achieve gross rental yields of 15-20% annually when targeting extended-stay guests and business travelers, though occupancy rates average 45-60% due to the smaller market size. Initial profitability typically occurs within 18-24 months, with investors seeing positive cash flow after accounting for property management, utilities, and maintenance costs averaging $200-400 monthly. The market benefits from limited hotel options and steady demand from Tyson Foods employees, farming consultants, and hunting enthusiasts during peak seasons, with nightly rates ranging from $75-$125 depending on property size and amenities.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors looking to enter the Airbnb market in Scott City, Kansas. Local real estate agents in the area include Century 21 Western Realty and United Country Heart of America, both serving western Kansas markets and familiar with investment property opportunities. National services like Awning, Mashvisor, and AirDNA provide market analysis and property identification tools for Airbnb investments in smaller Kansas markets. RedAwning and Vacasa offer property management services that can help investors identify and operate profitable short-term rentals in Scott City. Local property management companies such as High Plains Property Management and regional firms like Kansas Property Solutions can assist with both acquisition and ongoing management of Airbnb properties. Additional national platforms include BiggerPockets for networking with local investors, Roofstock for turnkey rental properties, and HomeUnion for investment property analysis, though availability in Scott City may be limited given its smaller market size.