Is Union, South Carolina Good for Airbnb Investment?

To start an Airbnb in Union, South Carolina, begin by researching local zoning laws and regulations through the Union County Planning Department, as short-term rentals may require special permits or fall under specific zoning classifications. Contact Union City Hall at (864) 429-1700 to inquire about business licenses, occupancy permits, and any short-term rental ordinances that may apply. Obtain necessary permits including a business license from Union County, fire safety inspection, and potentially a conditional use permit if operating in residential zones. Find a suitable property by searching local real estate listings, considering proximity to attractions like Rose Hill Plantation State Historic Site or downtown Union, ensuring the property meets safety codes and has adequate parking. Furnish the space with quality furniture, linens, kitchen essentials, and safety equipment including smoke detectors, carbon monoxide detectors, and fire extinguishers, while creating an appealing aesthetic that reflects Southern charm. List your property on Airbnb and other platforms like VRBO, taking professional photos, writing detailed descriptions highlighting local attractions, and setting competitive pricing based on comparable properties in the Union area. Manage your listing by responding promptly to inquiries, maintaining cleanliness standards, coordinating check-ins and check-outs, collecting South Carolina state sales tax (currently around 6% plus local taxes), and ensuring compliance with ongoing reporting requirements to local authorities while building positive guest reviews to increase bookings.

To identify profitable short-term rental properties in Union, South Carolina, focus on locations within 10-15 minutes of downtown Union or near Lake Robinson and other recreational areas, as these attract visitors for fishing, boating, and outdoor activities. Target 2-4 bedroom single-family homes or cabins built after 1980 with modern amenities, full kitchens, outdoor spaces, and parking, as Union's market caters primarily to families and small groups visiting for lake activities or passing through on I-26. Analyze comparable STR properties using AirDNA and Mashvisor to identify optimal pricing between $80-150 per night, with seasonal adjustments for summer lake season and fall hunting periods. Research competition by monitoring existing Airbnb and VRBO listings within a 15-mile radius, noting occupancy rates, pricing strategies, and guest reviews to identify market gaps. Utilize tools like Rabbu, BiggerPockets calculators, and local MLS data through Coldwell Banker or Century 21 offices in Union to analyze purchase prices, renovation costs, and projected returns, while consulting Union County's zoning regulations and HOA restrictions before purchasing, as the small-town market typically generates 40-60% occupancy rates with strong weekend and holiday demand from Charlotte and Columbia metro areas.

To obtain an Airbnb/STR permit in Union, South Carolina, contact the Union City Planning and Zoning Department at City Hall located at 105 East Main Street, Union, SC 29379, or call (864) 429-1700 to initiate the application process. Required documents typically include a completed short-term rental application form, proof of property ownership or lease agreement, floor plan of the rental unit, certificate of occupancy, general liability insurance policy with minimum $1 million coverage, contact information for a local property manager if you're not local, and a site plan showing parking arrangements. The application fee is estimated at $150-250 with an annual renewal fee of approximately $100-150. You'll need to schedule inspections with the fire department and building code enforcement, ensure compliance with Union's zoning ordinances (STRs may be restricted in certain residential zones), provide adequate off-street parking (typically 1-2 spaces per unit), install smoke and carbon monoxide detectors in all sleeping areas, post your permit number and emergency contact information prominently in the rental, and maintain a guest registry. The approval timeline typically takes 30-45 days from submission of a complete application, including time for inspections and any required corrections. Union may also require compliance with noise ordinances, occupancy limits based on square footage and bedrooms, and adherence to specific signage requirements for the property.

Short-term rentals (STRs) are generally legal in Union, South Carolina, as the city does not have specific ordinances prohibiting them, following South Carolina's overall permissive stance toward vacation rentals. However, STR operators must comply with standard business licensing requirements, collect and remit state accommodations taxes (currently 2% state tax plus local taxes), and ensure properties meet basic safety and zoning requirements for residential areas. Union County and the city may require business licenses for commercial rental activities, and properties must adhere to existing residential zoning laws and homeowners association restrictions where applicable. While there haven't been significant recent legal changes specifically targeting STRs in Union, operators should verify current local business license requirements and tax obligations with Union County offices, as smaller municipalities in South Carolina occasionally update their regulations regarding commercial activities in residential zones.

The best areas for Airbnb investment in Union, South Carolina include the Historic Downtown District near Main Street, which attracts visitors interested in the area's textile mill heritage and antique shopping, particularly during the annual Cotton Festival. The Rose Hill Plantation State Historic Site vicinity offers potential for guests visiting this significant antebellum property and its gardens. Areas near the Sumter National Forest boundaries appeal to outdoor enthusiasts seeking hiking, fishing, and hunting activities. The neighborhoods around Cross Keys Plantation provide access to both historical tourism and proximity to Spartanburg (30 minutes away) for business travelers working with companies like BMW Manufacturing, Michelin, and other Upstate industrial facilities. Properties near Highway 176 corridor benefit from travelers heading to larger destinations like Columbia or Charlotte while seeking affordable overnight stays, and the area around Union County Airport serves small aircraft travelers and those attending regional business meetings or events at nearby venues.

In Union, South Carolina, Airbnb hosts are subject to both state and local lodging taxes. The South Carolina state accommodations tax is 2% on gross rental receipts, while Union County imposes an additional local accommodations tax of approximately 3%, bringing the total lodging tax rate to around 5%. These taxes apply to short-term rentals of less than 90 consecutive days and are collected from guests at the time of booking. Airbnb typically collects and remits the state accommodations tax directly to the South Carolina Department of Revenue on behalf of hosts through their automated tax collection system, but hosts remain responsible for registering with the state and ensuring compliance. For the local Union County accommodations tax, hosts must register with the county tax office, collect the tax from guests, and remit payments monthly by the 20th of the following month along with required reporting forms. The state sales tax of 6% may also apply to the rental transaction. Exemptions generally include rentals to permanent residents (90+ days), certain government employees on official business, and rentals that fall below minimum thresholds, though hosts should verify current exemption criteria with local tax authorities as regulations can change.

To start an Airbnb in Union, South Carolina, expect total costs around $180,000-$220,000. Property purchase represents the largest expense at approximately $150,000 based on median home prices in Union County as of 2023. Furnishing costs typically range $15,000-$25,000 for a complete 2-3 bedroom property including furniture, appliances, linens, and decor to create an attractive rental space. Initial setup costs including professional photography, listing creation, and basic renovations average $3,000-$5,000. Permits and fees vary but expect around $500-$1,500 for business licenses, short-term rental permits, and any required inspections depending on Union's local regulations. Insurance costs approximately $1,200-$2,000 annually for landlord and short-term rental coverage. Utility setup and deposits for electricity, water, internet, and cable typically cost $500-$800 initially. First six months of operating costs including utilities ($200-$300 monthly), cleaning services ($75-$100 per turnover), maintenance reserves ($200 monthly), property management software ($50 monthly), and marketing expenses total approximately $4,000-$6,000, assuming moderate occupancy rates during the initial period.

Airbnb properties in Union, South Carolina typically generate modest returns with average daily rates ranging from $75-120 depending on property size and amenities, resulting in monthly revenues of $1,800-3,600 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 monthly), insurance ($100-200 monthly), and maintenance ($200-400 monthly) typically consume 45-60% of gross revenue, leaving net profit margins of 15-35% for successful operators. Properties within 30 minutes of attractions like Rose Hill Plantation State Historic Site or those offering unique amenities like hot tubs or fire pits tend to outperform basic listings, with some hosts like those operating renovated historic homes reporting annual profits of $8,000-15,000 per property. Success factors include professional photography, responsive communication, competitive pricing during peak seasons (spring and fall), and maintaining 4.8+ star ratings, though the smaller market size in Union County means properties may experience seasonal fluctuations with lower winter occupancy rates of 30-45% compared to summer peaks of 75-85%.

Based on Union, South Carolina market conditions, Airbnb investments typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% depending on property type and location within the market. Properties in Union generally reach profitability within 18-24 months, with single-family homes near Lake Robinson and downtown areas performing strongest at the higher end of these ranges. The market benefits from proximity to Spartanburg and Charlotte tourism spillover, seasonal lake recreation demand, and relatively low property acquisition costs averaging $80,000-$150,000 for investment-suitable properties. Occupancy rates typically range 45-65% annually with average daily rates of $75-$120, though properties with lake access or unique amenities can command $130-$180 per night during peak summer and fall seasons.

STRSearch is a leading national platform that helps investors identify profitable short-term rental properties in Union, South Carolina, by providing data analytics on occupancy rates, revenue potential, and market trends. Local real estate agents in Union who specialize in investment properties include Century 21 Blackwell & Co. Realty and Keller Williams Realty, both of which have agents experienced in identifying properties suitable for Airbnb conversions. National services like Mashvisor and AirDNA offer comprehensive market analysis and property search tools specifically for short-term rental investments in smaller markets like Union. RedAwning and Vacasa provide property management services that can help investors maximize their Airbnb returns in the area. Local property management companies such as Upstate Property Solutions and Carolina Property Management Group offer specialized Airbnb management services. BiggerPockets, while primarily an educational platform, connects investors with local professionals in South Carolina who understand the Airbnb market dynamics in smaller cities like Union.