Short-term rentals in Norfolk, Virginia are performing exceptionally well, with high daily rates of $188, a strong occupancy rate of 67%, and significant gross revenue of $33,553, making them a highly profitable investment opportunity.
Thriving Short-Term Rental Market in Norfolk, Virginia
Norfolk, Virginia, is experiencing a robust and profitable short-term rental market. According to recent data, the average performance of short-term rentals in Norfolk is impressive, with a gross revenue of $33,553 per year. This is driven by a strong daily rate of $188 and a healthy occupancy rate of 67%. These metrics indicate a high demand for short-term rentals in the area, making it an attractive investment opportunity for vacation rental investors. With its lenient regulations compared to neighboring localities, Norfolk continues to be a favorable destination for both hosts and guests, contributing to its thriving short-term rental sector.
Short-Term Rental Regulations in Norfolk, Virginia for 2024
Permit and Licensing Requirements
- Registration Zoning Permit or Conditional Use Permit: Required for all short-term rental properties. Conditional Use Permits are necessary for properties in specific zoning districts or with certain characteristics and cost $1,080, taking 2-3 months to process.
- Business License: Must be obtained after receiving the Zoning Permit, costing $50-$75.
Property and Safety Standards
- Off-Street Parking: Properties must have a minimum number of paved, 8x18 feet off-street parking spaces based on the character district and number of bedrooms. Shared driveways require written permission from adjacent property owners.
- Liability Insurance: Minimum coverage of $300,000 for injury to guests on the property.
- Fire Safety and Inspections: Properties must pass fire safety and zoning inspections.
- Security Cameras and Noise Monitors: Remote accessible surveillance cameras and noise monitors are required, with recordings stored for 30 days.
Occupancy and Guest Regulations
- Maximum Occupancy: Limited to two guests per bedroom, with a total limit of 10 guests at one time.
- Emergency Contact Information: A sign must be posted inside and outside the property with the name and phone number of an emergency contact who can respond within 20 minutes, along with the city’s call center number and website.
Operational Requirements
- Remote Entry: Operators must provide remote entry for guests and change the access code between stays.
- Trash Collection Agreements: Properties must have agreements for trash collection to maintain cleanliness.
- Signage: Properties must be clearly identified as short-term rentals with the required signage.
Compliance and Enforcement
- Annual Zoning Inspections: Permission for annual zoning inspections must be provided to the City Planning Department.
- Penalties for Non-Compliance: Operating an unregistered short-term rental incurs a $200 penalty, and non-compliant properties may face additional fines and legal consequences.
Additional Regulations
- No Outdoor Amplified Sound: Between 10 PM and 10 AM, no outdoor amplified sound is allowed.
- Fire Extinguishers, Smoke Alarms, and Carbon Monoxide Detectors: Properties must be equipped with these safety devices.
- Complaint Resolution: Guests and neighbors can submit complaints through the city’s call center or website.
Top Revenue-Generating Neighborhoods for Airbnb in Norfolk, Virginia
1. Downtown Norfolk
- Appeal: Downtown Norfolk is highly rated for its central location, walking distance to numerous restaurants, hotspots, and cultural attractions such as the Chrysler Museum of Art, Granby St, Colley Ave, EVMS, and Town Point Park. The area offers easy access to public transportation, including the “The Tide” light rail, and amenities like free private parking and kitchenettes.
2. Ghent
- Appeal: Ghent is a favorite among guests due to its proximity to Old Dominion University (ODU), Eastern Virginia Medical School (EVMS), and a variety of neighborhood craft breweries and dining options. The area is known for its freshly renovated apartments and historic homes, providing a blend of modern comfort and historic charm.
3. Ocean View
- Appeal: Ocean View is popular for its beachfront properties, many of which are just a short walk from the Chesapeake Bay. Guests enjoy the breezy decks, outdoor showers, and easy access to local coffee shops, breweries, and the Norfolk Botanical Garden. The area is ideal for both beachgoers and those looking for a relaxing getaway.
4. East Ocean View
- Appeal: East Ocean View offers a mix of cozy beach cottages and modern homes, many with private piers, large decks, and outdoor seating areas. The neighborhood is close to local amenities like Karla’s Beach House, Jessy’s Taqueria, and the East Beach Farmer’s Market. It is also convenient for travelers due to its proximity to Norfolk airport and Naval Station Norfolk.
5. Olde Towne Portsmouth
- Appeal: Olde Towne Portsmouth is appealing for its historic charm, with apartments located in circa 1795 homes. Guests enjoy easy walks to downtown shops, restaurants, breweries, museums, and the waterfront, along with the convenience of the Elizabeth River ferry to Norfolk.
These neighborhoods are highly sought after due to their excellent locations, cleanliness, and the variety of amenities and attractions they offer, making them top revenue generators for Airbnb in Norfolk, Virginia.
Furnishing and Design Tips for an Inviting Airbnb in Norfolk, Virginia
Understanding Norfolk's Unique Style
- Norfolk's coastal location and vibrant community influence its unique style, which often features coastal-inspired decor, natural materials, and local artwork.
Choosing the Right Furniture and Decor
Theme and Style
- Opt for a coastal theme with light colors, natural materials, and nautical elements to reflect Norfolk's beachside vibe.
- Blend modern furnishings with vintage or local artwork to create a unique and appealing atmosphere.
Essential Furniture
Bedrooms
- Select solid, easy-to-clean beds with storage options like storage beds for extra space.
- Use memory foam mattresses for durability and consider mattress covers for longevity.
- Choose high-quality, durable bedding and towels in neutral colors that can be bleached.
Living Areas
- Invest in sturdy, easy-to-clean sofas with washable covers. Consider sofa beds to increase guest capacity.
- Use mirrors to make the space feel bigger and brighter.
Dining Areas
- Opt for a durable dining table that can withstand wear and tear. Use comfy, lightweight chairs that are easy to move around.
- Add decorative elements like tablecloths, runners, and vases to enhance the dining area.
Outdoor Spaces
- Include outdoor spaces like patios or balconies to take advantage of Norfolk's waterfront and recreational opportunities.
Amenities and Functionalities
Smart Storage
- Use smart storage solutions such as beds with drawers, wall hooks, and stackable containers to keep the space tidy and functional.
Modern Conveniences
- Equip your kitchen with essentials like a coffee maker, microwave, toaster, and kettle.
- Provide amenities like hair dryers, basic toiletries, and a first-aid kit to enhance the guest experience.
Accessibility
- Consider making your Airbnb accessible to guests with disabilities by including features like ramps, wide doorways, and grab bars in bathrooms.
Neighborhood and Location Considerations
Proximity to Attractions
- Choose neighborhoods close to key tourist attractions and the waterfront, such as Ghent, Oceanview, and East Beach.
Local Charm
- Each neighborhood in Norfolk offers a unique charm, so select one that aligns with the type of guests you are targeting, from families to young professionals.
Maintenance and Upkeep
Timing of Updates
- Plan furniture updates during the off-season or short gaps between bookings to minimize disruption to guests.
Input from Cleaning Crew
- Consult with your cleaning crew on furniture choices to ensure they are easy to clean and maintain.
Compliance with Local Regulations
Safety and Parking
- Ensure your property complies with Norfolk's regulations, including off-street parking requirements and safety standards.
Guest Information
- Post emergency contact information both inside and outside the property to ensure guests have access to important information.
Discover Norfolk, Virginia: Local Attractions and Insider Tips
Top Local Attractions
Historical and Maritime Sites
- Nauticus and Battleship Wisconsin: Explore the maritime discovery center and tour the last battleship constructed in the US.
- Hampton Roads Naval Museum: Learn about the naval history of the region.
- MacArthur Memorial: Visit the final resting place of General Douglas MacArthur and his wife.
Museums and Art
- Chrysler Museum of Art: Enjoy masterworks from every major civilization and a fascinating glass collection.
- Barry Art Museum at Old Dominion University: Free admission to see glass sculptures and other art pieces.
- Children's Museum of Virginia: Interactive displays perfect for families, including a train exhibit and full-sized vehicles.
Outdoor Activities
- Norfolk Botanical Garden: Stroll through the gardens, especially during the Dominion Garden of Lights in late November, and enjoy Sunday Dog Days.
- Virginia Zoo: Home to a variety of animals, with elevated boardwalks for unique viewing experiences.
- Waterfront and Harbor Cruises: Explore the waterfront, take a Victory Rover Naval Base Cruise, or enjoy a sail on the American Rover.
Cultural and Entertainment
- Chrysler Hall: Catch a performance by the Virginia Symphony or a touring Broadway show.
- Virginia Opera: Experience opera performances in Norfolk.
- Harbor Park Stadium: Watch a game by the Norfolk Tides AAA Baseball team.
Insider Tips
Transportation
- Public Transit: Use the limited public transit system, light rail, or opt for bike share, scooter share, ferries, or private water taxis to get around.
- Walkable Downtown: Most attractions in downtown Norfolk are within walking distance.
Dining and Shopping
- Local Eats: Explore unique dining options in Ocean View / East Beach and the city’s top BBQ joints.
- Shopping: Visit Selden Market, Norfolk Premium Outlets, and various small businesses for a local shopping experience.
Festivals and Events
- Harborfest: Enjoy tall ships, live performances, and all-you-can-eat blue crab in June.
- Seasonal Events: Check out the Dominion Garden of Lights, Sunday Dog Days at the Botanical Garden, and other festive activities throughout the year.
Additional Tips
- Bike Trails: Use the over 60 miles of bike trails to explore the city.
- Art Scene: Explore the Neon District for murals and art installations, and take self-guided walking tours focused on art.
- Pet-Friendly: Many attractions, including the Norfolk Botanical Garden, are pet-friendly.
By sharing these attractions and tips, you can help your Airbnb guests make the most of their visit to Norfolk, Virginia.
Practical Tips to Run a Successful Short-Term Rental Business in Norfolk, Virginia
To ensure a smooth and successful short-term rental business in Norfolk, Virginia, several practical tips can make a significant difference in guest satisfaction and compliance with local regulations.
Noise Regulations and Quiet Hours
Inform your guests about quiet hours to maintain a peaceful environment for both the guests and the neighbors. Include clear guidelines on noise levels in your digital and physical house manual. This can help prevent potential issues and ensure compliance with Norfolk's noise regulations.
Comprehensive House Manual
Create a detailed digital and physical house manual that includes essential instructions, such as Wi-Fi passwords, appliance usage, and emergency contact information. This manual should also outline the house rules, including noise regulations, to set clear expectations for your guests.
Simplified Check-in Process
Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide guests with a unique access code and detailed instructions on how to enter the property. This not only enhances convenience but also reduces the likelihood of lost keys or access issues.
Clear Parking Instructions
Ensure that your guests have clear parking instructions by including photos of the designated parking areas in your house manual. Given Norfolk's specific parking requirements based on the character district of the property, it is crucial to communicate these details accurately to avoid any confusion or potential fines.
By implementing these practical tips, you can enhance the guest experience, reduce potential issues, and ensure your short-term rental business operates smoothly and in compliance with Norfolk's regulations.
Here is a brief list of house cleaning providers in Norfolk, Virginia:
House Cleaning Services in Norfolk, VA
Merry Maids of Virginia Beach
- Offers flexible scheduling for weekly, bi-weekly, or monthly cleanings
- Provides regular and specialty services such as enhanced disinfecting, move-in/move-out cleaning, and deep cleaning
- Cleaning professionals are trained, licensed, bonded, and insured.
Limpio House Cleaning
- A family-run, woman-owned business offering residential and commercial cleaning
- Services available on a weekly, bi-weekly, or monthly basis
- Known for rigorous cleaning standards and slow, steady growth to ensure quality control.
Lavender Maid
- A 5-star family-owned maid service serving Norfolk, Virginia Beach, and surrounding areas
- Provides all necessary cleaning supplies and equipment
- Employees are experienced, screened, trained, bonded, and insured.
Molly Maid of Chesapeake, Norfolk and Suffolk
- Offers customized cleaning plans to suit individual needs, schedules, and budgets
- Team of experienced professionals using modern cleaning tools and techniques
- Provides excellent cleaning and courteous service.
Short-Term Rental Management Fees in Norfolk, Virginia: A Guide to Service Levels and Costs
In Norfolk, Virginia, managing a short-term rental property can incur management fees that typically range from 10% to 30% of the rental revenue, depending on the level of service provided. Full-service management companies, such as those offered by Awning and GoSummer, handle comprehensive tasks including guest communication, marketing, booking management, cleaning, and maintenance, and these services usually come at the higher end of the fee spectrum, often starting at 15% to 20% of revenue.
On the other hand, basic or half-service management options, like those from Evolve, may charge lower fees starting at around 10%, but these services often leave more of the day-to-day tasks, such as cleaning and guest communication, to the property owner.
In addition to the management fees, hosts may also incur other costs, including cleaning fees, repair and maintenance expenses, and potentially design or setup fees. These additional costs can vary depending on the specific services required and the property management company's policies.