Airbnb & VRBO Performance in Kansas City Missouri.

Short-Term Rental Regulations in Kansas City, Missouri for 2024

Registration and Licensing

• All short-term rentals must be registered and licensed through the city. A flat registration fee of $200 is required, with annual increases based on the Consumer Price Index.
• Registration must be completed through the city’s Neighborhood Services Department or via the CompassKC website.

Zoning Restrictions

• Non-resident short-term rentals (where the owner does not live on site) are prohibited in neighborhoods zoned as residential. Existing non-resident rentals in these areas are allowed to continue, but new ones are not permitted.

Operational Rules

• Short-term rentals are limited in certain buildings: In buildings with less than three dwelling units, non-resident short-term rentals must be at least 1,000 feet from another non-resident short-term rental. In buildings with more than three units, no more than 25% of the units can be listed as short-term rentals.

Safety and Compliance

• Properties must meet health codes, fire safety standards, and have adequate insurance. Hosts must maintain records of all rental activity and be responsive to complaints.

Tax Requirements

• Short-term rental operators must pay a 7.5% tax on short-term rentals, approved by Kansas City voters in April 2023. Additionally, a nightly lodging and tourism fee has been increased from $1.50 to $3 per bedroom.

Record Keeping

• Hosts must keep records of complaints and transaction details. Booking platforms like Airbnb and VRBO must remove any unregistered short-term rentals.

Penalties for Violations

• Violators may face fines of up to $1,000 per day of violation. Non-resident short-term rentals found in violation of city code can lose their registration for one year, and those with multiple violations or deemed a threat to public health and safety can lose registration for up to three years.

Additional Requirements

• Non-resident owners must provide notice of active accounts for the property and management control and responsibility affidavits. Proof of possession and primary residence is also required for registration.

Public Registry

• The city maintains a public registry of short-term rentals to ensure compliance and oversight.

Top Airbnb Revenue-Generating Neighborhoods in Kansas City, Missouri

1. Country Club Plaza

• Appeal: Known for its Spanish-inspired architecture, upscale boutiques, and delectable eateries. The area is particularly popular during the holiday season due to the renowned Plaza Lights display.
• Guest Attraction: Shopaholics, gourmet enthusiasts, and couples looking for a romantic getaway are drawn to this area.

2. Westport

• Appeal: This historic neighborhood is the heartbeat of Kansas City's nightlife, featuring eclectic bars, live music venues, and boutique shopping.
• Guest Attraction: Nightlife lovers, history buffs, and visitors seeking a taste of Kansas City's vibrant culture are attracted to Westport.

3. Crossroads Arts District

• Appeal: This area is renowned for its art galleries, murals, and the monthly First Fridays art events.
• Guest Attraction: Art lovers, young adventurers, and urban explorers find the Crossroads Arts District particularly appealing.

Key Statistics

• Occupancy Rate: Neighborhoods like these typically see high occupancy rates, with an overall median occupancy rate of 62% in Kansas City.
• Average Daily Rate: The average daily rate in Kansas City is around $118, contributing to significant annual revenues for hosts.
• Annual Revenue: Hosts in these neighborhoods can expect annual revenues of approximately $27,000 to $28,127, depending on the specific location and property type.

These neighborhoods offer a unique blend of culture, entertainment, and amenities that make them highly attractive to Airbnb guests and profitable for hosts.

Tips for Furnishing and Designing an Inviting Airbnb in Kansas City, Missouri

Understand the Local Market and Guest Preferences

• Kansas City's unique blend of urban amenities and outdoor recreation should be reflected in your design. Focus on amenities like close proximity to downtown attractions, access to public transportation, and updated kitchens and bathrooms.

Choose Furniture that Reflects Kansas City's Style

• Incorporate elements that highlight Kansas City's rich history, cultural attractions, and BBQ culture. Opt for mid-century modern or rustic designs that resonate with the city's vibe.

Select Functional and Durable Furniture

• Pick furniture that is easy to clean and maintain. Consider input from your cleaning crew on what holds up best against wear and tear.

Optimize Space with Smart Storage and Space-Saving Furniture

• Use smart storage solutions and space-saving furniture to make the most of the available space, especially in smaller properties. This can include multi-functional furniture pieces.

Enhance the Space with Local Touches

• Add local touches such as artwork, decor items, and plants to create a unique and inviting atmosphere. Cost Plus World Market and similar stores can provide a good selection of such items.

Budget Effectively

• Plan your budget carefully, considering all aspects such as bedroom furniture ($1,000 to $2,000 per bedroom), living room furniture ($2,000), kitchen supplies ($500 to $1,000), and other essentials. A typical 4-bedroom property can cost between $12,000 to $14,000 to furnish completely.

Timing is Everything

• Update your furniture during the off-season or plan short gaps between bookings to minimize disruption to your guests. This ensures your property remains in top shape for visitors.

Focus on Statement Pieces

• Allocate your budget to statement pieces like couches, coffee tables, and dining room tables that define the space. These pieces can make a significant impact on the overall aesthetic and guest satisfaction.

Ensure Compliance with Local Regulations

• Make sure your property complies with Kansas City's short-term rental regulations, including licensing, inspections, noise, and occupancy rules. This will help avoid any legal issues and ensure a smooth operation.

Use Mirrors and Lighting to Enhance the Space

• Use mirrors to make the space feel larger and invest in good lighting to create a welcoming atmosphere. This can significantly improve the overall feel of the property.

Maintain High Standards of Cleanliness and Maintenance

• Ensure your property is always well-maintained and stocked. Have an operations and support team available to handle any issues promptly, such as maintenance and cleaning, to keep your guests happy.

Discovering Kansas City: Top Attractions and Insider Tips for Your Guests

Top Attractions

Museums and Historical Sites

• National WWI Museum and Memorial: Climb to the top of the 217-foot-high Liberty Memorial Tower for a panoramic view of the city.
• Nelson-Atkins Museum of Art: Explore the extensive art collection and the architecturally renowned Bloch building.
• Negro Leagues Baseball Museum: A must-visit for baseball enthusiasts, located in the 18th and Vine neighborhood.
• Harry S. Truman Home and Museum: Learn about the life and presidency of Harry S. Truman in Independence.

Family-Friendly Attractions

• Kansas City Zoo: Features the Discovery Barn, Zoo Learning Center, African Sky Safari, and Helzberg Penguin Plaza.
• LEGOLAND Discovery Center Kansas City: Interactive play areas, 4D cinema, and LEGO-themed activities.
• SEA LIFE Kansas City Aquarium: Get up-close views of over 5,000 sea creatures and interact with them at the Touchpool Experience.

Entertainment and Culture

• Kauffman Center for the Performing Arts: Enjoy a variety of performances including dance, music, and theatre.
• Crossroads Arts District: Participate in First Fridays for art, food trucks, and gallery shows.
• Power & Light District: A vibrant area with restaurants, clubs, and retail space in downtown Kansas City.

Sports and Outdoor Activities

• Arrowhead Stadium: Home of the Kansas City Chiefs football team.
• Kauffman Stadium: Catch a Kansas City Royals baseball game.
• Deanna Rose Children's Farmstead: A free attraction with farm animals, horse-drawn wagon rides, and interactive learning stations.

Other Notable Attractions

• Union Station: A historic landmark with various attractions and activities.
• Boulevard Brewing Company: Take a 40-minute tour and sample local beers.
• Country Club Plaza: Known for its shopping, dining, and beautiful fountains.

Insider Tips

Dining and Nightlife

• Barbecue: Try classic Kansas City barbecue at local restaurants; don't miss the burnt ends and brisket.
• Crossroads Jazz Clubs: Enjoy live jazz at The Blue Room or Green Lady Lounge.
• City Market: Visit this farmers market on Saturday mornings (and Sunday mornings from April to December) for fresh produce and local cuisine.

Transportation

• KC Streetcar: Use the free streetcar service that makes frequent stops along Main Street in downtown Kansas City.
• Driving: While some areas are walkable, driving or using public transportation is often necessary to get around the city.

Special Events

• First Fridays: Attend this monthly event in the Crossroads Arts District for art, food, and culture.
• Plaza Lights: Experience the magical lighting ceremony on Thanksgiving night and enjoy the lights throughout the winter holidays.
• Greater Kansas City Fountain Day: Celebrate the city's fountains in early April.

Unique Experiences

• Strawberry Hill Museum & Cultural Center: Enjoy classic Slavik desserts in the Tea Room, but note that only cash and checks are accepted.
• Kaleidoscope: A creativity zone operated by Hallmark Cards, ideal for children aged 5-12.

By sharing these attractions and insider tips, you can help your guests make the most of their visit to Kansas City, Missouri.

Practical Tips to Run a Successful Short Term Rental Business in Kansas City, Missouri

To ensure a smooth and successful short-term rental business in Kansas City, Missouri, several practical tips can make a significant difference. First, it is crucial to adhere to noise regulations by informing guests about quiet hours through clear communication in your listing and a digital or physical house manual. This manual should also include essential instructions, Wi-Fi passwords, and other vital information to enhance the guest experience.

Implementing a simplified check-in process using smart locks can reduce the hassle of key exchanges and provide guests with immediate access to the property. Additionally, providing detailed parking instructions accompanied by photos can help guests navigate the area more easily, reducing potential issues.

By maintaining compliance with local regulations, such as zoning and safety requirements, and ensuring that your property meets all necessary standards, you can avoid fines and penalties. Regular maintenance, quick responses to guest inquiries, and fostering good relationships with neighbors are also key to maintaining a positive community presence and high guest satisfaction.

Here is a brief list of house cleaning providers in Kansas City, Missouri:

House Cleaning Services in Kansas City, MO

Two Gals & A Broom

• Specializes in residential house cleaning, including one-time, weekly, bi-weekly, and monthly services.
• Offers Top to Bottom Deluxe Cleaning, Maintenance House Cleaning, and Move In/Out Cleaning.
• Staff is bonded, insured, and owner-trained with a 100% Satisfaction Guarantee.

Green Clean Maid Services

• Provides non-toxic and environmentally-friendly residential and commercial cleaning services.
• Services include house cleaning in Overland Park, Olathe, and the Kansas City metro area.
• Fully licensed and insured, family-owned and operated.

The Maids

• Specializes in cleaning for health with a proprietary 22-Step Cleaning Process.
• Uses HEPA filtration vacuums and disinfects commonly touched areas.
• Offers services in Kansas City, Lee’s Summit, Independence, and Liberty, endorsed by Mr. Clean®.

Short-Term Rental Management Fees in Kansas City, Missouri

In Kansas City, Missouri, the fees for managing short-term rentals, such as those on Airbnb or VRBO, can vary significantly based on the level of service provided. Typically, these fees range from 10% to 30% of the rental revenue. Full-service management, which includes comprehensive services like guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum, often around 20-30% of the revenue.

Basic services, which may only include essential management tasks such as rent collection and property listing, can be less expensive, falling towards the 10% mark. Additionally, property owners may incur extra fees for services like cleaning, repairs, or design enhancements, which can further impact the overall cost of management. Understanding these fee structures is crucial for property owners to manage their expenses effectively and ensure their short-term rental properties remain profitable.