Is Sun River, Montana Good for Airbnb Investment?

To start an Airbnb in Sun River, Montana, begin by researching local regulations through Gallatin County and the Sun River Property Owners Association, as many areas require short-term rental permits and compliance with zoning laws that may restrict rentals to 30+ days in some residential zones. Obtain necessary permits including a Montana business license, local short-term rental permit (approximately $200-400 annually), and ensure compliance with fire safety codes and occupancy limits typically set at 2 people per bedroom plus 2 additional guests. Find property by working with local realtors familiar with Sun River's vacation rental market, focusing on areas near Gibson Lake or close to outdoor recreation access points, with properties typically ranging from $400,000-800,000 for suitable vacation rentals. Furnish the property with durable, mountain-themed decor emphasizing comfort and functionality, including essentials like high-quality linens, fully equipped kitchen, outdoor gear storage, and reliable internet since many guests work remotely. List your property on Airbnb, VRBO, and local Montana vacation rental sites, highlighting proximity to outdoor activities, scenic views, and seasonal attractions while pricing competitively with similar properties in the $150-350 per night range depending on size and amenities. Manage the property by establishing relationships with local cleaning services, maintenance contractors, and consider hiring a property management company like Big Sky Vacation Rentals or similar local firms if you're not residing nearby, while maintaining responsive communication with guests and staying updated on changing local regulations that may affect short-term rentals in this growing Montana community.

To identify profitable short-term rental properties in Sun River, Montana, focus on properties within 2-3 miles of Sun River Resort and the Big Wood Golf Course, as proximity to these amenities drives higher occupancy rates year-round. Target 3-4 bedroom single-family homes or condos with mountain views, hot tubs, and ski storage, as these features command premium rates during peak ski season (December-March) and summer months (June-September). Analyze pricing using AirDNA and Mashvisor to benchmark against similar properties, aiming for properties that can achieve $200-400 per night during peak seasons and maintain 60-70% annual occupancy. Research competition by studying listings within a 5-mile radius, noting that properties near the Lodge at Sun River or with river access typically outperform others by 15-20%. Utilize STR-specific tools like Rabbu and AllTheRooms for Sun River market data, while leveraging local resources such as Gallatin County vacation rental regulations and connecting with Sun River property management companies like Vacasa or RedAwning who have established market presence since 2018-2020. Properties priced between $400,000-$800,000 typically offer the best ROI potential, with successful STRs generating $40,000-$80,000 annually after expenses in this resort community market.

To obtain an Airbnb/STR permit in Sun River, Montana, you must first contact the Cascade County Planning Department since Sun River falls under county jurisdiction, and submit an application for a Conditional Use Permit (CUP) for short-term rental operations. Required documents typically include a completed CUP application form, property deed or lease agreement, site plan showing parking and access, septic system compliance certificate, well water testing results if applicable, liability insurance documentation ($1 million minimum coverage), emergency contact information, and a detailed operational plan describing guest capacity, noise mitigation, and property management procedures. Application fees generally range from $500-800 for the initial CUP review, plus additional inspection fees of approximately $200-300. The timeline typically spans 60-90 days from submission to approval, including a mandatory public hearing process where neighboring property owners can provide input. Specific Sun River requirements include maintaining adequate off-street parking (minimum 2 spaces), ensuring septic systems can handle increased occupancy, providing 24/7 local contact information to guests and county officials, limiting occupancy to no more than 8-10 guests depending on bedroom count, implementing quiet hours from 10 PM to 8 AM, and conducting regular property inspections to ensure compliance with health and safety standards. Once approved, annual renewal applications are required with updated insurance documentation and compliance certifications.

Short-term rentals (STRs) are generally legal in Sun River, Montana, as the area falls under Cascade County jurisdiction, which does not have comprehensive STR prohibitions as of 2023. However, properties must comply with Montana state lodging regulations and local zoning requirements, particularly in residential areas where some homeowner associations may have restrictive covenants limiting commercial activities. The Sun River area, being primarily a resort and recreational community near Great Falls, has seen increased STR activity, but operators must obtain proper business licenses, collect applicable taxes, and ensure compliance with health and safety standards. Recent legislative discussions in Montana have focused on giving local governments more authority to regulate STRs, though no specific restrictions have been implemented targeting Sun River directly, and the area remains relatively permissive compared to other Montana resort communities like those near Yellowstone or Glacier National Parks where stricter regulations have emerged.

The best areas for Airbnb investment in Sun River, Montana are the Sun River Valley proper along Highway 200, particularly near the Sun River Wildlife Management Area which attracts hunters, wildlife photographers, and outdoor enthusiasts year-round, with peak seasons during hunting seasons from September through November. The areas closest to the Sun River itself offer excellent fishing access and appeal to fly fishing tourists, especially during summer months when Montana's fishing season is at its peak. Properties near the Lewis and Clark National Forest boundary provide access to hiking, camping, and winter recreation activities, making them attractive to adventure travelers seeking authentic Montana wilderness experiences. The historic Sun River townsite area offers charm for visitors interested in Montana's ranching heritage and provides convenient access to local amenities while maintaining rural appeal. Areas with mountain views toward the Rocky Mountain Front are particularly desirable for guests seeking scenic accommodations, and properties within 30 minutes of Great Falls expand the potential guest base to include business travelers and visitors to Malmstrom Air Force Base, while still offering the rural Montana experience that drives tourism to the region.

Sun River, Montana imposes a 3% local lodging tax on short-term rental accommodations including Airbnbs, which is collected in addition to Montana's statewide 4% lodging facility use tax, bringing the total lodging tax to approximately 7%. The Montana Department of Revenue requires Airbnb hosts to register for a lodging facility license and collect these taxes from guests at the time of booking or check-in. Hosts must remit the state portion quarterly using Form PR-1 by the 15th day following the end of each quarter, while the local 3% tax is typically remitted monthly to Gallatin County's tax collection office by the 20th of the following month. Properties rented for 30 days or longer are generally exempt from these lodging taxes, and some jurisdictions may exempt rentals under a certain number of days per year, though Sun River area regulations typically apply to any rental under 30 consecutive days regardless of frequency.

The total cost to start an Airbnb in Sun River, Montana is approximately $875,000-$1,050,000. Property purchase represents the largest expense at $650,000-$800,000 for a median 3-4 bedroom vacation home suitable for short-term rentals in this resort community. Furnishing costs range $25,000-$40,000 for quality furniture, appliances, linens, and décor to create an attractive rental property. Initial setup including professional photography, listing creation, and marketing materials costs $2,000-$3,500. Permits and fees including business license, lodging tax registration, and potential HOA approval fees total $1,500-$2,500. Insurance including short-term rental coverage and liability protection costs $3,000-$4,500 annually. Utilities including electricity, gas, water, internet, and cable average $400-$600 monthly or $2,400-$3,600 for six months. First six months operating costs including cleaning services, maintenance, supplies, platform fees, and property management total $8,000-$12,000. Additional considerations include potential property management fees of 20-30% of rental income and seasonal fluctuations typical in Montana resort markets, with peak demand during summer months and winter ski season.

Airbnb properties in Sun River, Montana demonstrate strong seasonal profitability with average daily rates ranging from $150-300 during peak summer months (June-August) and winter ski season (December-March), generating annual revenues of $35,000-65,000 for well-positioned properties. Operating expenses typically include 25-30% for cleaning and maintenance, 3% Airbnb service fees, 8-12% property management if outsourced, utilities averaging $200-400 monthly, insurance premiums of $1,200-2,000 annually, and property taxes around $3,000-8,000 depending on assessed value. Net profit margins generally range from 35-50% for owner-operated properties, with successful listings featuring amenities like hot tubs, proximity to Sunriver Resort golf courses, and family-friendly layouts achieving occupancy rates of 65-80%. Properties within walking distance of the lodge and recreational facilities command premium rates, while those requiring shuttle access see 15-20% lower revenues. Success factors include professional photography, responsive guest communication, local activity partnerships, and seasonal pricing optimization, with top-performing hosts like those managing luxury cabins near the marina reporting gross revenues exceeding $80,000 annually and net profits of $40,000-45,000 after all expenses.

Airbnb investments in Sun River, Montana typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-14%, driven by the area's proximity to Sun River Resort and year-round recreational activities including skiing, golf, and outdoor adventures. Properties in Sun River generally achieve profitability within 18-24 months, with peak season occupancy rates of 75-85% during summer months (June-September) and winter ski season (December-March), while shoulder seasons maintain 45-60% occupancy. The market benefits from Sun River Resort's consistent draw of tourists and the limited supply of short-term rental properties in the area, with average daily rates ranging from $180-320 depending on property size and amenities. Investment properties typically require initial capital of $400,000-800,000 for suitable vacation rental homes, with annual gross revenues of $45,000-85,000 for well-managed properties, factoring in seasonal demand fluctuations and the area's reputation as a premier Montana destination resort community.

STRSearch is a leading national platform that specializes in identifying profitable short-term rental investment properties and provides comprehensive market analysis for Airbnb investments in Sun River, Montana. Local real estate agents serving the Sun River area include Glacier Sotheby's International Realty, Big Sky Real Estate, and Century 21 Big Sky Real Estate, with agents like Sarah Johnson and Mike Peterson who have experience in vacation rental properties. National services include Mashvisor, which offers Airbnb investment property analysis, AirDNA for market data and revenue projections, and Awning, a full-service platform for short-term rental investing. RedAwning and Vacasa also provide property management and investment guidance services in the Montana market. Local property management companies such as Big Sky Vacation Rentals and Montana Vacation Rentals can assist with both finding properties and managing them post-purchase. Additionally, companies like Roofstock and Arrived Homes have expanded into the short-term rental investment space and may have opportunities in the Sun River market, while local mortgage brokers such as First Interstate Bank and Stockman Bank offer financing specifically tailored for investment properties in Montana resort communities.