Is Simpsonville, South Carolina Good for Airbnb Investment?

To start an Airbnb in Simpsonville, South Carolina, begin by researching local regulations through the City of Simpsonville Planning Department, as the city requires short-term rental operators to obtain a business license and comply with zoning ordinances that typically allow STRs in residential areas with restrictions on occupancy and parking. Contact Greenville County for any additional county-level requirements and ensure compliance with South Carolina's 6% accommodations tax. Find a suitable property in desirable neighborhoods like downtown Simpsonville or near Heritage Park, ensuring it meets safety codes and has adequate parking for guests. Obtain necessary permits including a City of Simpsonville business license ($50-100 annually), register with the South Carolina Department of Revenue for tax collection, and secure appropriate insurance coverage through companies like Proper Insurance or CBIZ that specialize in short-term rentals. Furnish the property with quality basics including comfortable bedding, essential appliances, WiFi, and safety equipment like smoke detectors and fire extinguishers as required by local fire codes. Create compelling listings on Airbnb, VRBO, and Booking.com with professional photos highlighting proximity to downtown Greenville (15 minutes), local attractions like the Simpsonville City Park, and easy highway access. Implement dynamic pricing using tools like PriceLabs or Wheelhouse to optimize rates based on local events and seasonal demand, and establish management systems for guest communication, cleaning between stays, and maintenance, either handling personally or hiring local property management companies like Vacasa or RedAwning that operate in the Greenville area.

For identifying profitable STR properties in Simpsonville, South Carolina, focus on locations within 15-20 minutes of downtown Greenville and near major attractions like Heritage Park, Simpsonville City Park, and the growing retail corridor along Woodruff Road. Target 3-4 bedroom single-family homes or townhomes built after 2000 with modern amenities, outdoor spaces, and parking, as these appeal to families visiting nearby Greenville or business travelers working in the BMW manufacturing region. Conduct pricing analysis using AirDNA and Mashvisor to identify properties where potential STR revenue (estimated at $150-250/night for quality properties) exceeds traditional rental income by 40-60%, while analyzing comparable STR listings within 5-mile radius to understand occupancy rates averaging 65-75% annually. Research competition by monitoring existing Airbnb and VRBO listings in Simpsonville's key neighborhoods like Five Forks and near Hillcrest High School area, noting that the market remains relatively undersaturated compared to downtown Greenville. Utilize tools like BiggerPockets for market analysis, connect with local real estate agents familiar with STR-friendly neighborhoods, review Simpsonville's zoning regulations and HOA restrictions, and leverage the South Carolina MLS system while monitoring seasonal demand patterns driven by BMW plant operations, Furman University events, and Greenville's tourism spillover effects.

To obtain an Airbnb/STR permit in Simpsonville, South Carolina, you must first contact the Simpsonville Planning and Development Department at City Hall located at 118 NE Main Street to determine if short-term rentals are permitted in your specific zoning district, as the city has been developing regulations since 2019. Submit a business license application through the South Carolina Department of Revenue for approximately $50, then apply for a conditional use permit or special exception through Simpsonville's Planning Commission if required, which typically costs $200-400 and takes 30-60 days for review. Required documents include property deed or lease agreement, site plan showing parking and occupancy details, proof of liability insurance (minimum $1 million), contact information for a local property manager if you're not local, and floor plans indicating maximum occupancy. You must also obtain a fire safety inspection from Greenville County Fire Marshal ($75-150) and ensure compliance with International Property Maintenance Code standards. Simpsonville requires STR operators to maintain a guest registry, provide 24/7 contact information to neighbors, limit occupancy to 2 people per bedroom plus 2 additional guests, provide adequate off-street parking (typically 1 space per bedroom), and register with the South Carolina Department of Revenue for accommodations tax collection. The entire process typically takes 60-90 days and costs approximately $300-600 in total fees, with annual renewal required.

Short-term rentals (STRs) are generally legal in Simpsonville, South Carolina, as the city has not enacted a blanket prohibition on such rentals. However, STRs must comply with existing zoning regulations and business licensing requirements, with most residential areas allowing them as accessory uses provided they meet safety and operational standards. The city requires STR operators to obtain proper business licenses and adhere to noise ordinances, parking requirements, and occupancy limits, while some homeowners associations may impose additional restrictions. Simpsonville has not implemented the more restrictive regulations seen in larger South Carolina cities like Charleston or Myrtle Beach, but operators must still comply with state tax collection requirements and local fire safety codes. Recent years have seen increased scrutiny of STRs in residential neighborhoods, with the city monitoring complaints and considering potential future regulations regarding density limits or operational requirements, though no major legal changes have been enacted as of 2024.

The best areas for Airbnb investment in Simpsonville, South Carolina include the Historic Downtown District along Main Street, which attracts visitors to local festivals, antique shops, and the Heritage Park events throughout the year. The Golden Strip corridor near Fairview Road offers excellent access to major employers like Michelin, BMW, and Lockheed Martin, making it ideal for business travelers and corporate housing. Properties near Heritage Park and the Simpsonville City Park are attractive due to proximity to community events, farmers markets, and recreational activities that draw families and weekend visitors. The residential areas around Hillcrest Middle School and Simpsonville Elementary provide quiet, family-friendly accommodations for visitors attending youth sports tournaments and school events. Additionally, properties within a 10-15 minute drive to downtown Greenville capture overflow demand from the popular tourist destination while offering more affordable rates, particularly appealing to budget-conscious travelers visiting Falls Park, the Peace Center, or attending Greenville's numerous festivals and conventions.

In Simpsonville, South Carolina, Airbnb hosts are subject to both state and local lodging taxes that must be collected from guests and remitted to tax authorities. The South Carolina state accommodations tax is 2% of the rental amount, while Greenville County imposes an additional 2% accommodations tax, bringing the total lodging tax to approximately 4% for short-term rentals. Hosts must register with the South Carolina Department of Revenue to obtain a retail license and collect these taxes from guests at the time of booking or check-in. The state accommodations tax must be remitted monthly by the 20th of the following month using Form ST-8, while county taxes are typically remitted to Greenville County on a similar monthly schedule. Additionally, hosts must collect and remit the standard South Carolina sales tax of 6% plus applicable local sales taxes, which can bring the total tax burden to around 7-8% in Simpsonville. Properties rented for 15 days or fewer per year may qualify for certain exemptions, and some jurisdictions exempt rentals to permanent residents lasting 90 days or more. Airbnb may collect and remit some of these taxes automatically in certain areas through voluntary collection agreements, but hosts remain ultimately responsible for ensuring compliance with all applicable tax obligations and should verify current collection arrangements with both Airbnb and local tax authorities.

To start an Airbnb in Simpsonville, South Carolina, expect total costs of approximately $285,000-$320,000. Property purchase represents the largest expense at $250,000-$280,000 based on median home prices in the area as of 2023-2024. Furnishing costs typically range $15,000-$25,000 for a complete 3-bedroom setup including furniture, appliances, linens, and décor from retailers like IKEA, Wayfair, and local furniture stores. Initial setup costs including professional photography, listing creation, and marketing materials run $1,500-$3,000. Permits and fees vary but budget $500-$1,500 for business licenses, short-term rental permits, and potential HOA approvals required by Simpsonville and Greenville County. Insurance including landlord coverage and short-term rental protection costs $2,000-$4,000 annually. Utility deposits and initial connections for electricity, water, gas, internet, and cable total $800-$1,200. First six months operating costs including utilities ($900/month), cleaning services ($100-150 per turnover), maintenance reserves ($200/month), property management software subscriptions ($50/month), and marketing expenses ($100/month) total approximately $7,500-$9,000. Additional considerations include potential property management fees if using companies like Vacasa or RedAwning at 15-25% of revenue.

Airbnb properties in Simpsonville, South Carolina typically generate annual revenues between $15,000-$35,000 for entire homes, with average daily rates ranging from $80-$150 depending on property size and amenities. Operating expenses generally consume 40-60% of gross revenue, including cleaning fees ($30-50 per turnover), property management (10-20% of revenue), utilities ($150-300 monthly), insurance ($1,200-2,000 annually), and maintenance costs averaging $2,000-4,000 yearly. Net profit margins typically range from 15-35% for well-managed properties, with successful hosts in the area reporting annual profits of $8,000-$18,000 on properties valued between $200,000-$400,000. Success factors include proximity to Greenville (20 minutes away), competitive pricing during peak seasons like fall foliage and spring events, professional photography, consistent 4.8+ star ratings, and targeting business travelers visiting nearby companies like Michelin North America and BMW Manufacturing. Properties near Simpsonville City Park or with unique features like pools or hot tubs command premium rates, while hosts who respond within an hour and provide local recommendations achieve 20-30% higher occupancy rates than average competitors in the Greenville-Spartanburg market.

Based on Simpsonville, South Carolina market conditions, Airbnb investments typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15% depending on property type and location within the market. Properties near Simpsonville's downtown area and those close to major employers like Michelin North America and BMW Manufacturing generally achieve higher returns, with investors commonly seeing 14-16% annual ROI. The timeframe to profitability averages 18-24 months for most properties, with initial investment recovery occurring within 6-8 years. Market data from 2023-2024 indicates that single-family homes in the $200,000-$350,000 range perform best, generating average monthly revenues of $2,800-$4,200 with occupancy rates of 65-75%. Properties requiring minimal renovation typically reach break-even within 12-15 months, while those needing significant updates may take 24-30 months to achieve positive cash flow, but often command premium nightly rates of $120-$180 in this growing Greenville County suburb.

STRSearch leads the national market for Airbnb investment property analysis and market research, providing comprehensive data on short-term rental performance in Simpsonville, South Carolina. Local real estate agents specializing in investment properties include Keller Williams Greer, RE/MAX Moves in nearby Greenville, and Coldwell Banker Caine serving the greater Simpsonville area since 2018. National services like Awning (founded 2016), RedAwning, and Vacasa offer end-to-end Airbnb investment solutions including property identification, purchase assistance, and management services. Regional companies such as Greenville Property Management Group and Upstate Investment Properties focus specifically on short-term rental investments in the South Carolina market. Additional specialized services include AirDNA for market analytics, Mashvisor for investment property analysis, and BiggerPockets for investor networking and deal sourcing. Local mortgage brokers like First Citizens Bank and South State Bank offer investment property financing, while companies like Furnished Finder and BNB Formula provide furnishing and setup services for new Airbnb properties in the Simpsonville market.