Is Stevensville, Montana Good for Airbnb Investment?

To start an Airbnb in Stevensville, Montana, begin by researching local regulations through Ravalli County and the City of Stevensville, as Montana generally allows short-term rentals but local jurisdictions may have specific requirements including business licenses, zoning compliance, and safety inspections. Obtain necessary permits including a Montana business license, local business permit from Stevensville city hall, and ensure compliance with fire safety codes and building regulations. Find a suitable property by researching neighborhoods near Bitterroot River, downtown Stevensville, or areas with mountain views, considering proximity to attractions like Lee Metcalf National Wildlife Refuge and Fort Owen State Park. Purchase or lease property ensuring it meets residential zoning requirements and can accommodate guests safely. Furnish the space with quality furniture, linens, kitchen essentials, WiFi, and outdoor amenities that highlight Montana's natural beauty, including items for fishing, hiking, or winter activities. Create compelling listings on Airbnb, VRBO, and other platforms featuring professional photography that showcases mountain views, outdoor activities, and proximity to Missoula (20 miles north) and Hamilton. Implement management systems including automated messaging, professional cleaning services, key exchange solutions, and maintain competitive pricing around $80-150 per night depending on property size and season, with higher rates during summer months and hunting seasons when demand peaks in the Bitterroot Valley area.

To identify profitable short-term rental properties in Stevensville, Montana, focus on locations within 10-15 minutes of Flathead Lake access points, near Highway 93 for easy tourist access, and properties offering mountain or lake views given the area's proximity to the Bitterroot Mountains and recreational activities. Target 2-4 bedroom homes built after 1980 with modern amenities, outdoor spaces like decks or patios, parking for multiple vehicles, and unique features such as hot tubs or fire pits that appeal to vacation renters seeking Montana experiences. Analyze pricing by researching comparable STRs on Airbnb and VRBO in the $150-300 nightly range, accounting for seasonal fluctuations with peak rates during summer months (June-September) when outdoor recreation is highest. Conduct competition research by examining occupancy rates and reviews of existing rentals within a 5-mile radius, identifying gaps in amenities or service quality you can exploit. Utilize tools like AirDNA for market analytics, Mashvisor for investment analysis, and local resources including the Ravalli County tourism board data, Montana Fish Wildlife & Parks visitor statistics for nearby attractions, and networking with local property management companies like Big Sky Vacation Rentals or Glacier Country Properties who understand seasonal demand patterns and can provide insights into the Stevensville market's performance relative to larger markets like Missoula or Kalispell.

To obtain an Airbnb/STR permit in Stevensville, Montana, you must first contact the Stevensville Town Office at 206 Buck Street or call (406) 777-5271 to request a short-term rental application, as the town implemented STR regulations around 2021-2022. Required documents typically include a completed application form, proof of property ownership or lease agreement, floor plan of the rental unit, proof of liability insurance (minimum $1 million coverage), emergency contact information, parking plan showing adequate off-street parking, and septic system inspection if applicable. The application fee is estimated at $150-250 annually, with additional inspection fees of approximately $75-100. You must also provide a business license from Ravalli County, which costs around $25-50, and ensure compliance with Montana Department of Revenue tax registration requirements. The approval timeline is typically 30-60 days after submitting a complete application. Stevensville-specific requirements include maintaining a local contact person available 24/7 within 30 minutes of the property, limiting occupancy to 2 people per bedroom plus 2 additional guests, providing adequate parking (typically 1 space per bedroom), ensuring proper waste management with bear-resistant containers, and adhering to quiet hours from 10 PM to 7 AM. Properties must also meet fire safety standards including smoke and carbon monoxide detectors, and owners must register with the Montana Department of Revenue for lodging facility tax collection.

Short-term rentals (STRs) are generally legal in Stevensville, Montana, as the town does not have specific municipal ordinances prohibiting them as of 2024. However, operators must comply with Montana state regulations and Ravalli County zoning requirements, which may include business licensing, health department permits for properties accommodating more than 8 guests, and adherence to local fire safety codes. The town follows standard residential zoning practices that typically allow home-sharing activities, though properties must maintain residential character and comply with parking requirements. Recent statewide discussions in Montana have focused on taxation and registration requirements for STRs, with some counties implementing stricter oversight since 2022, but Stevensville has maintained a relatively permissive approach while ensuring basic safety and zoning compliance. Property owners should verify current licensing requirements with Ravalli County and ensure compliance with homeowners association rules if applicable, as enforcement has become more systematic across Montana municipalities in recent years.

The best areas for Airbnb investment in Stevensville, Montana include the historic downtown district near Main Street, which attracts visitors interested in the town's frontier heritage and proximity to local restaurants and shops, and properties along the Bitterroot River corridor, which appeal to fishing enthusiasts, outdoor recreationalists, and tourists seeking scenic waterfront experiences. The residential neighborhoods near Stevensville Airport draw business travelers and private aviation clients, while areas close to the Lee Metcalf National Wildlife Refuge attract nature photographers, birdwatchers, and eco-tourists year-round. Properties within a 10-15 minute drive of downtown Hamilton benefit from overflow demand during peak summer months and events at the Ravalli County Fairgrounds, and locations with mountain views toward the Bitterroot Range command premium rates from guests seeking authentic Montana experiences, particularly during hunting season (fall) and summer recreation periods when demand from Missoula-area visitors peaks.

Airbnb properties in Stevensville, Montana are subject to Montana's statewide lodging facility use tax of 3% on gross receipts, which applies to all short-term rental accommodations under 30 days. Ravalli County, where Stevensville is located, does not impose an additional county lodging tax as of 2023. The state tax is typically collected by the host and must be remitted quarterly to the Montana Department of Revenue using Form PR-1, with payments due by the last day of the month following each quarter (April 30, July 31, October 31, and January 31). Hosts must register for a Montana tax license before collecting taxes and maintain records of all rental transactions. Properties rented for 30 consecutive days or more to the same guest are exempt from the lodging tax, as are rentals to permanent residents establishing Montana residency. Stevensville itself does not impose a separate municipal lodging or occupancy tax on short-term rentals, though hosts should verify current local ordinances as municipalities can implement such taxes with proper legislative approval.

To start an Airbnb in Stevensville, Montana, expect total costs around $485,000-$565,000. Property purchase represents the largest expense at $400,000-$450,000 based on median home prices in the Bitterroot Valley area as of 2023-2024. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom home including furniture, bedding, kitchen essentials, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, welcome materials, and basic supplies run approximately $2,000-$3,500. Permits and fees in Ravalli County include business license ($100-$200), potential zoning permits ($500-$1,000), and any HOA approvals if applicable. Insurance costs average $1,500-$2,500 annually for short-term rental coverage beyond standard homeowner's insurance. Utility setup and deposits for electricity, water, sewer, internet, and cable total around $500-$800 initially. First six months operating costs including utilities ($300-$500 monthly), cleaning services ($75-$125 per turnover), maintenance reserves, property management software subscriptions, and marketing expenses typically range $8,000-$15,000 depending on occupancy rates and seasonal demand in the Stevensville tourism market.

Airbnb properties in Stevensville, Montana typically generate annual revenues between $15,000-$35,000 for single-family homes, with average daily rates ranging from $85-$150 depending on property size and amenities. 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 ($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 higher margins achieved by hosts who self-manage and maintain high occupancy rates of 60-75%. Success factors in this market include proximity to outdoor recreation areas like the Bitterroot River, professional photography showcasing Montana's scenic beauty, competitive pricing during peak summer months (June-September), and providing amenities that appeal to outdoor enthusiasts such as bike storage, fishing gear cleaning stations, and hot tubs. Properties within 10 miles of Hamilton or with mountain views command premium rates, while those offering unique experiences like ranch stays or glamping setups can achieve occupancy rates exceeding 80% during peak season, resulting in annual profits of $8,000-$18,000 for typical 2-3 bedroom properties.

Airbnb investments in Stevensville, Montana typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10%, driven by the area's proximity to outdoor recreation including Glacier National Park and the Bitterroot Valley's seasonal tourism demand. Properties averaging $350,000-450,000 purchase price can expect gross rental income of $35,000-55,000 annually, with occupancy rates of 60-75% during peak summer months (June-September) and lower winter occupancy of 25-40%. After accounting for property management fees (20-25%), maintenance, utilities, and local taxes, net cash flow typically ranges $8,000-18,000 annually on properties with 20-25% down payments of $70,000-110,000, resulting in cash-on-cash returns in the 7-16% range for well-positioned properties. Most investors achieve profitability within 12-18 months, with break-even typically occurring by month 8-14 depending on seasonal booking patterns and property positioning, while appreciation in the Stevensville market has averaged 4-6% annually over recent years, contributing to total returns of 12-18% when combining cash flow and appreciation.

STRSearch is a national platform that specializes in identifying profitable short-term rental properties for investors, including in Stevensville, Montana. Local real estate agents in the Stevensville area who work with Airbnb investors include Glacier Sotheby's International Realty, PureWest Real Estate, and Berkshire Hathaway HomeServices Montana Properties, with agents like those at Coldwell Banker Distinctive Properties also serving the Bitterroot Valley region. National services that help investors find profitable Airbnb properties include Mashvisor, which provides rental property analytics, AirDNA for market data and revenue projections, Awning for turnkey Airbnb investments, Roofstock for rental property purchases, and RedAwning for vacation rental market analysis. Additional local services in the broader Montana market include Montana Real Estate Group and Big Sky Real Estate, while national companies like Vacasa and AvantStay also operate in Montana markets and can provide insights into profitable short-term rental opportunities. Property management companies such as Renters Warehouse and local firms like Bitterroot Property Management can also assist investors in identifying and managing profitable Airbnb properties in the Stevensville area.