Is Volusia, Florida Good for Airbnb Investment?

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Volusia, Florida Airbnb Investment Overview

Is Airbnb a Good Investment in Volusia, Florida?

Investing in Airbnb properties in Volusia, Florida, presents a compelling opportunity, primarily driven by its robust tourism sector and attractive coastal appeal. The region, encompassing popular destinations like Daytona Beach, benefits from consistent tourist traffic drawn to its beaches, motorsports events, and family-friendly attractions. Current market conditions show a steady demand for short-term rentals, particularly during peak seasons and major events, contributing to favorable occupancy rates. While property values in desirable areas have seen appreciation, Volusia generally offers more accessible entry points compared to some other Florida hotspots, enhancing the investment potential for a broader range of investors. The continuous flow of visitors, coupled with a diverse range of local events, helps maintain strong rental income potential, making Volusia a promising location for Airbnb investments.

How Much Does an Average Airbnb Earn in Volusia?

Based on available market data and property management reports, average Airbnb earnings in Volusia County, Florida typically range from $1,200 to $3,500 per month for standard properties, with beachfront and luxury accommodations earning $3,000 to $6,000 monthly. Seasonal variations show peak earnings during summer months and spring break periods when revenues can increase by 40-60% above baseline, while fall and winter months generally see 20-30% lower occupancy rates except during major events like Daytona 500 or Bike Week which create temporary spikes. Properties within walking distance of Daytona Beach, New Smyrna Beach, or DeLand attractions command premium rates of $150-300 per night compared to inland properties averaging $80-150 nightly. Key factors affecting earnings include proximity to beaches and attractions, property size and amenities, professional photography and listing optimization, responsive host communication, and local event calendars. Properties with pools, hot tubs, or unique features like historic charm typically achieve 15-25% higher occupancy rates, while those offering longer-term stays during racing seasons or snowbird periods can maintain more consistent year-round income streams averaging 65-75% occupancy rates.

Airbnb Return on Investment in Volusia

Airbnb investments in Volusia County, Florida typically generate ROI between 8-15% annually, with coastal properties near Daytona Beach and New Smyrna Beach achieving the higher end of this range due to strong tourist demand. The average payback period for initial investment ranges from 7-12 years depending on property location and purchase price, with beachfront properties recovering costs faster despite higher acquisition costs. Compared to traditional long-term rentals in Volusia County which average 6-9% ROI, short-term rentals can generate 40-60% higher returns but require significantly more active management and carry higher operational costs including cleaning, maintenance, and vacancy periods during slower tourism seasons. Properties within 5 miles of the beach typically achieve occupancy rates of 65-75% annually with average daily rates between $120-200, while inland properties see 50-60% occupancy with rates of $80-130 per night, making location the primary factor in determining investment viability in this market.

Average Airbnb Occupancy Rate in Volusia

Airbnb occupancy rates in Volusia County, Florida typically average around 65-70% annually, with significant seasonal variations driven by the area's beach tourism and proximity to Daytona Beach. Peak occupancy occurs during winter months (December through March) when rates can reach 80-85% as snowbirds and tourists escape colder climates, while summer months see moderate occupancy of 70-75% due to family vacations and beach season. The lowest occupancy rates occur during late fall (September-November) at approximately 45-55% when hurricane season concerns and hot, humid weather deter visitors. Special events like Daytona 500 in February, Bike Week in March, and Biketoberfest in October create temporary spikes that can push occupancy above 90% during those specific weeks. Compared to Florida's statewide Airbnb occupancy average of approximately 60-65%, Volusia County performs slightly better due to its established tourism infrastructure and beach attractions, while it closely matches national Airbnb occupancy averages of 65-68%, though with more pronounced seasonal swings than many inland destinations due to its coastal location and seasonal tourism patterns.

Best Neighborhoods for Airbnb in Volusia

The best Airbnb investment neighborhoods in Volusia County include Daytona Beach Shores, which offers premium beachfront properties with strong pricing power due to direct ocean access and proximity to the Daytona International Speedway, attracting both racing fans and beach vacationers year-round. New Smyrna Beach stands out for its artistic community vibe, excellent surfing conditions, and historic downtown area, commanding higher nightly rates from visitors seeking a more upscale coastal experience. Ormond Beach provides a quieter alternative with beautiful beaches and proximity to golf courses, appealing to families and retirees willing to pay premium rates for peaceful accommodations. DeLand offers unique investment opportunities near Stetson University and Blue Spring State Park, attracting both academic visitors and nature enthusiasts, with lower property acquisition costs but steady demand. Daytona Beach's beachside areas near the boardwalk and pier provide strong rental demand from motorsports tourists, spring breakers, and convention attendees, though properties require careful selection due to varying neighborhood quality. Ponce Inlet appeals to upscale travelers with its lighthouse attraction, pristine beaches, and luxury home rental potential, offering excellent pricing power for waterfront properties. Holly Hill presents more affordable entry points with decent rental potential from its proximity to Daytona Beach attractions while maintaining lower competition from other short-term rentals.

Short-term Rental Regulations in Volusia

Short-term rental regulations in Volusia County, Florida require property owners to obtain a business tax receipt and comply with local zoning ordinances, with most municipalities within the county having their own specific requirements. Properties must typically register with the county and obtain permits that cost approximately $50-150 annually, while occupancy limits are generally restricted to two people per bedroom plus two additional guests, with maximum occupancy rarely exceeding 10-12 people. Owner-occupancy requirements vary by municipality, with some cities like Daytona Beach requiring owner residence within a certain radius, while unincorporated areas may have more lenient rules. Zoning restrictions typically limit short-term rentals to residential and mixed-use areas, with many beachfront communities allowing them in single-family residential zones but prohibiting them in certain historic districts. The registration process involves submitting applications with property details, safety inspections, and proof of insurance, with properties required to display permit numbers in advertisements. Recent regulatory changes since 2022 have included stricter noise ordinances, enhanced parking requirements, mandatory 24-hour contact information for guests, and increased penalties for violations, with several municipalities implementing caps on the total number of short-term rental permits issued in specific neighborhoods to address community concerns about housing availability and neighborhood character.

Short-term Rental Fees and Taxes in Volusia

Short-term rentals in Volusia County, Florida are subject to several fees and taxes including a 6% Florida state sales tax, a 5% Volusia County tourist development tax, and municipal lodging taxes that vary by city ranging from 2-4% (Daytona Beach charges 3%, Ormond Beach 2%, and DeLand 3%). Property owners must obtain a business tax receipt which costs approximately $25-50 annually depending on the municipality, and register with the Florida Department of Revenue for sales tax collection at no cost. Additional requirements include a short-term rental permit from the county costing around $100-200 annually, potential homeowner association fees if applicable, and compliance with local zoning regulations which may require inspections costing $50-150. Some municipalities like Daytona Beach require additional licensing fees of $75-125 per year, and properties must maintain liability insurance with minimum coverage requirements that typically cost $300-800 annually depending on property value and coverage limits.

Is Airbnb a Good Investment in Volusia, Florida?

Investing in Airbnb properties in Volusia, Florida, presents a compelling opportunity, primarily driven by its robust tourism sector and attractive coastal appeal. The region, encompassing popular destinations like Daytona Beach, benefits from consistent tourist traffic drawn to its beaches, motorsports events, and family-friendly attractions. Current market conditions show a steady demand for short-term rentals, particularly during peak seasons and major events, contributing to favorable occupancy rates. While property values in desirable areas have seen appreciation, Volusia generally offers more accessible entry points compared to some other Florida hotspots, enhancing the investment potential for a broader range of investors. The continuous flow of visitors, coupled with a diverse range of local events, helps maintain strong rental income potential, making Volusia a promising location for Airbnb investments.

How Much Does an Average Airbnb Earn in Volusia?

Based on available market data and property management reports, average Airbnb earnings in Volusia County, Florida typically range from $1,200 to $3,500 per month for standard properties, with beachfront and luxury accommodations earning $3,000 to $6,000 monthly. Seasonal variations show peak earnings during summer months and spring break periods when revenues can increase by 40-60% above baseline, while fall and winter months generally see 20-30% lower occupancy rates except during major events like Daytona 500 or Bike Week which create temporary spikes. Properties within walking distance of Daytona Beach, New Smyrna Beach, or DeLand attractions command premium rates of $150-300 per night compared to inland properties averaging $80-150 nightly. Key factors affecting earnings include proximity to beaches and attractions, property size and amenities, professional photography and listing optimization, responsive host communication, and local event calendars. Properties with pools, hot tubs, or unique features like historic charm typically achieve 15-25% higher occupancy rates, while those offering longer-term stays during racing seasons or snowbird periods can maintain more consistent year-round income streams averaging 65-75% occupancy rates.

Airbnb Return on Investment in Volusia

Airbnb investments in Volusia County, Florida typically generate ROI between 8-15% annually, with coastal properties near Daytona Beach and New Smyrna Beach achieving the higher end of this range due to strong tourist demand. The average payback period for initial investment ranges from 7-12 years depending on property location and purchase price, with beachfront properties recovering costs faster despite higher acquisition costs. Compared to traditional long-term rentals in Volusia County which average 6-9% ROI, short-term rentals can generate 40-60% higher returns but require significantly more active management and carry higher operational costs including cleaning, maintenance, and vacancy periods during slower tourism seasons. Properties within 5 miles of the beach typically achieve occupancy rates of 65-75% annually with average daily rates between $120-200, while inland properties see 50-60% occupancy with rates of $80-130 per night, making location the primary factor in determining investment viability in this market.

Average Airbnb Occupancy Rate in Volusia

Airbnb occupancy rates in Volusia County, Florida typically average around 65-70% annually, with significant seasonal variations driven by the area's beach tourism and proximity to Daytona Beach. Peak occupancy occurs during winter months (December through March) when rates can reach 80-85% as snowbirds and tourists escape colder climates, while summer months see moderate occupancy of 70-75% due to family vacations and beach season. The lowest occupancy rates occur during late fall (September-November) at approximately 45-55% when hurricane season concerns and hot, humid weather deter visitors. Special events like Daytona 500 in February, Bike Week in March, and Biketoberfest in October create temporary spikes that can push occupancy above 90% during those specific weeks. Compared to Florida's statewide Airbnb occupancy average of approximately 60-65%, Volusia County performs slightly better due to its established tourism infrastructure and beach attractions, while it closely matches national Airbnb occupancy averages of 65-68%, though with more pronounced seasonal swings than many inland destinations due to its coastal location and seasonal tourism patterns.

Best Neighborhoods for Airbnb in Volusia

The best Airbnb investment neighborhoods in Volusia County include Daytona Beach Shores, which offers premium beachfront properties with strong pricing power due to direct ocean access and proximity to the Daytona International Speedway, attracting both racing fans and beach vacationers year-round. New Smyrna Beach stands out for its artistic community vibe, excellent surfing conditions, and historic downtown area, commanding higher nightly rates from visitors seeking a more upscale coastal experience. Ormond Beach provides a quieter alternative with beautiful beaches and proximity to golf courses, appealing to families and retirees willing to pay premium rates for peaceful accommodations. DeLand offers unique investment opportunities near Stetson University and Blue Spring State Park, attracting both academic visitors and nature enthusiasts, with lower property acquisition costs but steady demand. Daytona Beach's beachside areas near the boardwalk and pier provide strong rental demand from motorsports tourists, spring breakers, and convention attendees, though properties require careful selection due to varying neighborhood quality. Ponce Inlet appeals to upscale travelers with its lighthouse attraction, pristine beaches, and luxury home rental potential, offering excellent pricing power for waterfront properties. Holly Hill presents more affordable entry points with decent rental potential from its proximity to Daytona Beach attractions while maintaining lower competition from other short-term rentals.

Short-term Rental Regulations in Volusia

Short-term rental regulations in Volusia County, Florida require property owners to obtain a business tax receipt and comply with local zoning ordinances, with most municipalities within the county having their own specific requirements. Properties must typically register with the county and obtain permits that cost approximately $50-150 annually, while occupancy limits are generally restricted to two people per bedroom plus two additional guests, with maximum occupancy rarely exceeding 10-12 people. Owner-occupancy requirements vary by municipality, with some cities like Daytona Beach requiring owner residence within a certain radius, while unincorporated areas may have more lenient rules. Zoning restrictions typically limit short-term rentals to residential and mixed-use areas, with many beachfront communities allowing them in single-family residential zones but prohibiting them in certain historic districts. The registration process involves submitting applications with property details, safety inspections, and proof of insurance, with properties required to display permit numbers in advertisements. Recent regulatory changes since 2022 have included stricter noise ordinances, enhanced parking requirements, mandatory 24-hour contact information for guests, and increased penalties for violations, with several municipalities implementing caps on the total number of short-term rental permits issued in specific neighborhoods to address community concerns about housing availability and neighborhood character.

Short-term Rental Fees and Taxes in Volusia

Short-term rentals in Volusia County, Florida are subject to several fees and taxes including a 6% Florida state sales tax, a 5% Volusia County tourist development tax, and municipal lodging taxes that vary by city ranging from 2-4% (Daytona Beach charges 3%, Ormond Beach 2%, and DeLand 3%). Property owners must obtain a business tax receipt which costs approximately $25-50 annually depending on the municipality, and register with the Florida Department of Revenue for sales tax collection at no cost. Additional requirements include a short-term rental permit from the county costing around $100-200 annually, potential homeowner association fees if applicable, and compliance with local zoning regulations which may require inspections costing $50-150. Some municipalities like Daytona Beach require additional licensing fees of $75-125 per year, and properties must maintain liability insurance with minimum coverage requirements that typically cost $300-800 annually depending on property value and coverage limits.

* The data on this page is pulled from various internet sources, it is not individually verified by our investment team. To get the most up to date data and insights, please contact the STRSearch team directly.

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Everything Smart Investors Ask About STR Wealth Building

How to start an Airbnb in Volusia, Florida?

To start an Airbnb in Volusia County, Florida, begin by researching local regulations as the county requires short-term rental properties to obtain a Tourist Development Tax Certificate and comply with zoning ordinances that vary by municipality within the county. Contact Volusia County's Planning and Development Services department to verify your property is in a zone that permits short-term rentals, as some residential areas restrict rentals under 30 days. Obtain necessary permits including a business tax receipt from the county ($25-50 annually), register for Florida sales tax with the Department of Revenue, and secure a Tourist Development Tax account to collect the required 5% tax from guests. Find a suitable property in popular areas like Daytona Beach, New Smyrna Beach, or DeLand, ensuring it meets safety requirements including smoke detectors, carbon monoxide detectors, and proper egress windows. Furnish the property with quality furniture, linens, kitchen essentials, and amenities that appeal to tourists visiting for beach access, Daytona International Speedway events, or business travel. Create your Airbnb listing with professional photos, competitive pricing ($80-200/night depending on location and season), and detailed descriptions highlighting proximity to beaches, attractions, and Interstate 95. Manage your property by establishing check-in procedures, maintaining cleanliness standards, responding promptly to guest communications, and ensuring compliance with the 5% tourist development tax collection and quarterly remittance to Volusia County, while also maintaining proper insurance coverage as standard homeowner's policies typically exclude short-term rental activities.

What's the best way to identify good STR properties in Volusia, Florida?

To identify profitable short-term rental properties in Volusia, Florida, focus on locations within 1-2 miles of Daytona Beach, New Smyrna Beach, or DeLand's historic downtown, prioritizing properties with ocean views, pool access, or proximity to major attractions like Daytona International Speedway and Volusia County beaches. Target 2-4 bedroom properties built after 1990 with modern amenities, parking for multiple vehicles, and outdoor spaces, as these typically command $150-300 per night during peak racing season (February-March) and summer months. Conduct pricing analysis using AirDNA and Mashvisor to identify properties generating $40,000-80,000 annually, comparing against local median home prices of $250,000-400,000 to ensure positive cash flow after expenses. Research competition by analyzing similar properties within a 3-mile radius using tools like AllTheRooms and STR Helper, focusing on occupancy rates above 65% and average daily rates exceeding $120. Utilize Volusia County's permitting database to verify STR compliance requirements, leverage local MLS data through Realtor.com and Zillow for property identification, and consult with Volusia County tourism data showing 8+ million annual visitors to validate demand in your target micro-markets near motorsports venues, beaches, and state parks.

How to get an Airbnb permit in Volusia, Florida?

To obtain an Airbnb/STR permit in Volusia County, Florida, you must first apply through the Volusia County Growth and Resource Management Department by visiting their office at 123 West Indiana Avenue in DeLand or submitting an online application through their permitting portal. Required documents include a completed short-term rental application, proof of property ownership or lease agreement with landlord consent, a site plan showing parking and occupancy layout, certificate of insurance with minimum $1 million liability coverage, contact information for a local property manager within 30 minutes of the property, and payment of applicable fees. The application fee is typically $150 with an annual renewal fee of $100, plus additional inspection fees of approximately $75. You must also obtain a business tax receipt from Volusia County for around $25 annually and register with the Florida Department of Revenue for tourist development tax collection. The property must comply with zoning regulations (prohibited in most residential areas except where specifically allowed), meet fire safety requirements including smoke detectors and fire extinguishers, provide adequate parking (minimum 2 spaces), and maintain occupancy limits based on septic system capacity or 2 people per bedroom maximum. The approval timeline is generally 30-45 days after submitting a complete application, including required inspections by county staff. Once approved, you must display the permit number in all advertising, collect and remit 5% tourist development tax monthly, and renew annually by December 31st.

Is it legal to operate a short-term rental in Volusia, Florida?

Short-term rentals (STRs) are legal in Volusia County, Florida, but are subject to specific regulations that vary by municipality within the county. The county requires STR operators to obtain a business tax receipt and comply with zoning regulations, with most residential areas allowing STRs as an accessory use. Cities like Daytona Beach, New Smyrna Beach, and Ormond Beach have implemented their own ordinances requiring registration, inspections, and adherence to occupancy limits, noise restrictions, and parking requirements. Some beachfront communities have imposed stricter regulations, including minimum rental periods (typically 7-30 days) and caps on the number of STR permits issued. Recent changes since 2020-2022 have included enhanced enforcement mechanisms, increased penalties for violations, and requirements for local contact persons available 24/7. Prohibited areas typically include certain residential neighborhoods zoned exclusively for single-family use, and some municipalities have established buffer zones around schools and residential areas where STRs are restricted.

What are the best places to invest in Airbnb in Volusia, Florida?

The best Airbnb investment areas in Volusia County, Florida include Daytona Beach Shores and New Smyrna Beach for their pristine oceanfront locations attracting year-round beach tourists, NASCAR fans during Daytona 500 events, and motorcycle enthusiasts for Bike Week and Biketoberfest. DeLand's historic downtown district offers strong potential due to Stetson University bringing consistent student and parent visitation, antique shopping tourism, and its proximity to state parks. Ormond Beach presents excellent opportunities near the beach and Tomoka State Park, drawing nature enthusiasts and retirees seeking quieter coastal experiences. Port Orange benefits from its location between Daytona and New Smyrna Beach, offering lower property costs while maintaining beach access for families and business travelers. The Daytona Beach Boardwalk and Ocean Walk Village area commands premium rates during racing seasons, spring break, and summer months due to walkability to entertainment, dining, and beach access, making these neighborhoods particularly lucrative for short-term rental investments.

Airbnb and lodging taxes in Volusia, Florida

In Volusia County, Florida, Airbnb hosts are subject to multiple lodging taxes including the Florida state sales tax of 6%, the Florida tourist development tax of 6%, and Volusia County's tourist development tax of 5%, totaling approximately 17% in combined taxes on short-term rental stays of six months or less. These taxes are typically collected by Airbnb directly from guests at the time of booking through their automated tax collection system, which began around 2016-2017, and the platform remits these funds to the appropriate tax authorities on behalf of hosts. However, hosts remain ultimately responsible for ensuring compliance and may need to register with the Florida Department of Revenue and Volusia County tax collector if Airbnb doesn't collect certain local taxes or if they use other booking platforms. The taxes apply to the rental amount but generally exclude cleaning fees, and exemptions are rare but may include stays exceeding 30 days in some jurisdictions or rentals to certain government employees or organizations. Hosts should verify current rates and collection procedures with local tax authorities as rates and automated collection agreements can change, and some municipalities within Volusia County like Daytona Beach or New Smyrna Beach may impose additional local lodging taxes ranging from 1-3%.

Total cost to purchase, furnish and operate an Airbnb in Volusia, Florida

The total cost to start an Airbnb in Volusia County, Florida is approximately $285,000-$350,000. Property purchase represents the largest expense at $220,000-$280,000 based on median home prices in areas like Daytona Beach and DeLand. Furnishing costs range from $15,000-$25,000 for a complete 2-3 bedroom setup including furniture, appliances, linens, and décor. Initial setup costs including professional photography, listing creation, and marketing materials total $2,000-$3,500. Permits and fees including business license, tourist development tax registration, and potential HOA approvals cost $500-$1,200. Insurance including short-term rental coverage and liability protection runs $2,500-$4,000 annually. Utilities setup and deposits for electricity, water, internet, and cable total $800-$1,500. First six months operating costs including utilities ($900/month), cleaning services ($150 per turnover), maintenance reserves ($300/month), property management if used (25-30% of revenue), and marketing expenses total approximately $8,000-$12,000, assuming 60-70% occupancy rates and average daily rates of $120-$180 depending on property type and location within Volusia County.

Are Airbnb properties in Volusia, Florida profitable?

Airbnb properties in Volusia County, Florida demonstrate strong profitability potential with average annual revenues ranging from $25,000-$45,000 for typical 2-3 bedroom properties, driven by the county's proximity to Daytona Beach and year-round tourism demand. Operating expenses typically consume 40-60% of gross revenue, including cleaning fees ($75-150 per turnover), property management (15-25% of revenue), utilities ($200-400 monthly), insurance ($2,000-4,000 annually), and maintenance costs. Properties near Daytona Beach Shores and New Smyrna Beach achieve the highest profit margins of 35-50%, particularly oceanfront condos that command $150-300 nightly rates during peak seasons like Daytona 500 week and Bike Week in March. Success factors include strategic location within walking distance to beaches, professional photography, dynamic pricing strategies, and maintaining 4.8+ star ratings through consistent guest experiences. A case study of a 3-bedroom beachside property in Ormond Beach generated $38,000 in 2023 revenue with $22,000 in expenses, yielding a 42% profit margin, while inland properties typically see 25-35% margins due to lower nightly rates of $80-150 but reduced seasonal volatility.

What is the expected return on investment for an Airbnb in Volusia, Florida?

Airbnb investments in Volusia, Florida typically generate annual ROI of 12-18% with cash-on-cash returns ranging from 8-15%, driven by the county's proximity to Daytona Beach and attractions like Daytona International Speedway. Properties near the beach in cities like Daytona Beach Shores and New Smyrna Beach command higher nightly rates of $150-300, while inland properties in DeLand or Orange City average $80-150 per night. Investors can expect to reach profitability within 18-24 months, with peak earning potential during Daytona 500 season (February), Bike Week (March), and summer beach season when occupancy rates reach 70-85%. The market benefits from year-round tourism, spring training baseball, and motorsports events, with successful properties typically requiring initial investments of $200,000-400,000 for condos or single-family homes. Cash-on-cash returns are optimized through strategic property selection near major attractions, professional property management, and dynamic pricing strategies that capitalize on Volusia County's seasonal demand fluctuations.

What company can help me find and buy a profitable Airbnb in Volusia, Florida?

STRSearch is a leading national platform that specializes in identifying profitable short-term rental properties for investors in Volusia, Florida. Local real estate agents like Realty Pros Assured and Ocean Properties serve the Daytona Beach and Volusia County markets with expertise in vacation rental investments. National services include Awning (formerly RedAwning), which provides comprehensive Airbnb investment analysis, and Mashvisor, offering data-driven property investment tools for the Florida market. Local companies such as Volusia Vacation Rentals and Coastal Property Management Group provide both acquisition assistance and ongoing management services. BiggerPockets connects investors with local agents experienced in short-term rentals, while AirDNA offers market analysis specific to Volusia County's vacation rental performance. Regional firms like Florida Vacation Rental Management and Sunshine State Property Investments focus on the Central Florida coast, including New Smyrna Beach and Ormond Beach areas. Additional national platforms like Roofstock and HomeUnion occasionally feature Airbnb-suitable properties in the Volusia market, while local boutique agencies such as Beachside Realty Partners and Atlantic Coast Investment Properties specialize in oceanfront and near-beach investment opportunities throughout Volusia County.

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