Is Yonkers, New York Good for Airbnb Investment?

To start an Airbnb in Yonkers, New York, begin by researching local regulations as Yonkers requires short-term rental operators to obtain a business license and comply with zoning laws that typically restrict rentals to no more than 30 days in residential areas. Contact the Yonkers Building Department at (914) 377-6800 to obtain necessary permits including a Certificate of Occupancy for short-term rentals and ensure compliance with fire safety codes. Find a suitable property in neighborhoods like Getty Square, Ludlow, or Riverdale that allows short-term rentals under local zoning ordinances, considering proximity to Metro-North stations for guest convenience. Furnish the space with essential amenities including Wi-Fi, linens, kitchen supplies, and safety equipment like smoke detectors and carbon monoxide alarms as required by Westchester County health codes. Create your listing on Airbnb with professional photos, competitive pricing (average $80-150/night in Yonkers as of 2023), and highlight proximity to NYC (20 minutes by train). Register for New York State sales tax collection through the Department of Taxation and Finance, as you'll need to collect 8.375% tax on bookings. Manage your property by establishing check-in procedures, maintaining cleanliness standards, responding promptly to guests, and keeping detailed records for tax purposes while ensuring compliance with Yonkers' noise ordinances and occupancy limits typically set at 2 guests per bedroom plus 2 additional guests.

To identify profitable short-term rental properties in Yonkers, New York, focus on locations within walking distance of Metro-North stations like Ludlow, Yonkers, or Glenwood for easy Manhattan access, proximity to the Hudson River waterfront, and neighborhoods like Getty Square or Park Hill with ongoing revitalization efforts. Target 2-3 bedroom properties with dedicated parking, modern amenities, outdoor space, and strong WiFi infrastructure, as these command higher nightly rates of $80-150 compared to studios at $60-90. Conduct pricing analysis using AirDNA and Mashvisor to benchmark against similar properties, aiming for 65-75% occupancy rates and 8-12% annual returns, while researching competition density through Airbnb and VRBO searches to identify undersaturated micro-markets. Utilize Yonkers-specific resources including the city's zoning maps to ensure STR compliance, partner with local property management companies like Hudson Valley Property Management, and leverage the Westchester County tourism board data to understand seasonal demand patterns driven by proximity to NYC corporate housing needs and weekend leisure travelers seeking affordable alternatives to Manhattan hotels.

To obtain an Airbnb/STR permit in Yonkers, New York, you must apply through the Yonkers Building Department located at City Hall, 40 South Broadway, Yonkers, NY 10701, or online through their permitting portal. Required documents include a completed short-term rental application, proof of property ownership or lease agreement with landlord consent, certificate of occupancy, floor plans, proof of liability insurance ($1 million minimum), fire safety inspection certificate, and valid New York State sales tax registration. The application fee is approximately $250 with an additional $150 annual renewal fee, plus inspection fees of around $100-200. You must also register with New York State for sales tax collection and remit local occupancy taxes to Westchester County (3%) and New York State (varies by location). The timeline typically takes 4-6 weeks for initial approval, including required inspections by the fire department and building department. Yonkers-specific requirements include maximum occupancy limits based on property size, mandatory smoke and carbon monoxide detectors in all sleeping areas, accessible emergency exits, compliance with zoning regulations (some residential zones prohibit STRs), parking requirements (one space per rental unit), and adherence to noise ordinances with quiet hours from 10 PM to 8 AM.

Short-term rentals (STRs) in Yonkers, New York are currently prohibited under the city's zoning ordinance, which does not permit transient accommodations in residential zones. The city has maintained strict regulations against STRs since approximately 2018-2019, when officials clarified that properties used for short-term rentals of less than 30 days violate existing zoning laws that restrict residential properties to permanent housing. Yonkers Code Enforcement actively pursues violations, and property owners can face fines and legal action for operating illegal STRs. The prohibition applies citywide across all residential zoning districts, with no specific areas designated for legal short-term rental operations. Unlike some neighboring municipalities that have created regulatory frameworks for STRs, Yonkers has maintained its ban without recent legislative changes to allow regulated short-term rentals, citing concerns about housing stock preservation, neighborhood character, and parking issues in the densely populated city.

The best Airbnb investment areas in Yonkers, New York include the Getty Square downtown district, which offers proximity to Metro-North Railroad for easy Manhattan access and attracts business travelers and tourists visiting NYC on a budget; the Riverdale Avenue corridor near the Bronx border, popular with families visiting Yankee Stadium and the Bronx Zoo while offering lower accommodation costs than Manhattan; the Hudson River waterfront areas like Ludlow Park and Warburton Avenue, which appeal to visitors seeking scenic views and outdoor activities along the Hudson River Greenway; the Cross County Shopping Center vicinity, attracting retail tourists and shoppers from the tri-state area; and neighborhoods near Saint Joseph's Seminary, which draw religious tourists and visitors to the historic institution. These areas benefit from Yonkers' strategic location as a more affordable alternative to Manhattan hotels, excellent public transportation connections via Metro-North, proximity to major attractions like Untermyer Park and Gardens, and the growing trend of visitors seeking authentic local experiences outside of traditional tourist zones while maintaining easy access to New York City's attractions.

In Yonkers, New York, Airbnb hosts are subject to multiple layers of lodging taxes including New York State sales tax at 4%, Westchester County sales tax at 4.375%, and the Metropolitan Commuter Transportation District (MCTD) tax at 0.375%, totaling approximately 8.75% in combined sales taxes on short-term rental income. Additionally, hosts must collect and remit the New York State Hotel Unit Fee of $1.50 per unit per night for stays under 30 days. Yonkers itself imposes a local occupancy tax of 3% on short-term rentals under 30 days, which is collected through the city's tax collection system. Airbnb automatically collects and remits state and local occupancy taxes for bookings made through their platform as of 2018, but hosts remain responsible for ensuring compliance and may need to file quarterly returns with the New York State Department of Taxation and Finance and monthly returns with Yonkers for any taxes not collected by the platform. Exemptions typically apply to stays of 30 days or longer, which are considered long-term rentals rather than transient occupancy, and certain government and nonprofit organization bookings may qualify for exemptions with proper documentation.

To start an Airbnb in Yonkers, New York, the total costs would be approximately $650,000-$750,000. Property purchase represents the largest expense at around $550,000-$600,000 based on median home prices in Yonkers as of 2023-2024. Furnishing costs for a complete 2-3 bedroom property would range from $25,000-$40,000 including furniture, appliances, linens, and décor to create an attractive rental space. Initial setup costs including professional photography, listing creation, welcome materials, and basic supplies would be approximately $2,000-$3,000. Permits and fees in Yonkers include short-term rental registration ($150-$300), business license ($100-$200), and potential homeowner association approvals, totaling around $500-$1,000. Insurance costs would increase by $1,500-$3,000 annually for short-term rental coverage beyond standard homeowner's insurance. Utilities including electricity, gas, water, internet, and cable would average $300-$500 monthly or $1,800-$3,000 for six months. First six months operating costs including cleaning services ($100-$150 per turnover), maintenance, restocking supplies, platform fees (3% of bookings), and marketing would total approximately $8,000-$15,000 depending on occupancy rates and property size.

Airbnb properties in Yonkers, New York typically generate annual revenues between $25,000-$45,000 for entire homes and $15,000-$28,000 for private rooms, with average daily rates ranging from $85-$150 depending on property type and location proximity to NYC. 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-$2,400 annually), and maintenance costs ($2,000-$4,000 yearly). Properties near Metro-North stations and downtown Yonkers achieve higher occupancy rates of 65-75% compared to 45-60% in residential areas, with net profit margins typically ranging from 15-35% after all expenses. Success factors include professional photography, competitive pricing strategies, proximity to transportation hubs, and maintaining Superhost status, with properties featuring modern amenities and parking commanding 20-30% premium rates. A typical 2-bedroom apartment near Getty Square generating $35,000 annually might net $8,000-$12,000 profit after expenses, while luxury properties in Ludlow or Crestwood neighborhoods can achieve profit margins exceeding 40% due to higher nightly rates of $180-$250 and appeal to business travelers commuting to Manhattan.

Airbnb investments in Yonkers, New York typically generate annual ROI of 8-12% with cash-on-cash returns ranging from 6-10% based on current market conditions. Properties in desirable neighborhoods near the Hudson River waterfront or close to NYC transit connections can achieve higher returns of 12-15% annually, while standard residential areas average 8-10%. Initial profitability usually occurs within 18-24 months, with break-even on cash investment typically reached in 10-12 years. The proximity to Manhattan (30-45 minutes by train) drives consistent demand from business travelers and tourists seeking affordable alternatives to NYC hotels, with average daily rates of $80-120 and occupancy rates of 65-75% year-round. Properties requiring minimal renovation in established neighborhoods like Getty Square or Ludlow Park tend to reach positive cash flow within 6-12 months, while fixer-uppers may require 24-36 months to achieve consistent profitability.

STRSearch is a national platform that helps investors identify profitable short-term rental properties in Yonkers, New York, providing market analysis and property recommendations. Local real estate agents specializing in Airbnb investments in Yonkers include Keller Williams Hudson Valley Realty, Coldwell Banker Residential Brokerage, and RE/MAX Premier Properties, with agents like Maria Rodriguez at Houlihan Lawrence and David Chen at Douglas Elliman who focus on investment properties. National services include Mashvisor, which offers Airbnb analytics for Yonkers properties, AirDNA for market data and revenue projections, Awning for turnkey Airbnb investments, Roofstock for rental property investments, and BiggerPockets for investor networking and education. Local property management companies that assist with Airbnb operations include Westchester Property Management Group, Hudson Valley Vacation Rentals, and NYC Airbnb Management, while RedAwning and Vacasa provide national short-term rental management services in the Yonkers market. Additional specialized services include Rabbu for Airbnb property sourcing, AirbnbReady for property setup and management, and local contractors like Yonkers Home Renovations who specialize in preparing properties for short-term rental use.