The short-term rental market in Oak Harbor, Washington, is highly profitable, with a median occupancy rate of 52%, an average daily rate of $152, and an average annual host income of $30,000, driven by consistent demand and a supportive regulatory environment.
Thriving Short-Term Rental Market in Oak Harbor, Washington
Oak Harbor, Washington, is experiencing a robust and profitable short-term rental market, making it an attractive destination for both hosts and investors. The city boasts a median occupancy rate of 52%, indicating a strong and consistent demand for short-term rentals throughout the year.
The average daily rate for these rentals is $152, contributing to an average annual host income of $30,000. The peak season, which begins in late spring and extends through the summer months, sees higher occupancy rates and the potential for higher daily rates due to increased demand from tourists and outdoor enthusiasts.
With lenient regulations and a diverse range of listings from budget-friendly rooms to luxury waterfront homes, Oak Harbor offers a favorable environment for short-term rental operations. This combination of high occupancy rates, lucrative daily rates, and supportive local policies makes Oak Harbor an excellent choice for those considering investing in the short-term rental market.
Short-Term Rental Regulations in Oak Harbor, Washington for 2024
While Oak Harbor, Washington, does not have comprehensive short-term rental regulations at the county level as of now, there are some key points and requirements that vacation rental owners should be aware of:
Licensing and Registration
- Oak Harbor does not have specific short-term rental licensing requirements, but it does require a business license for operating any business, including short-term rentals.
Local Ordinances
- There are no current short-term rental requirements in Island County, but the county is considering implementing them. It is advisable to check with the City of Oak Harbor and Island County for any updates.
Zoning and Land Use
- No specific regulations are mentioned for short-term rentals in Oak Harbor, but general zoning and land use rules apply. It is important to ensure compliance with these regulations.
Health and Safety
- While not specific to Oak Harbor, vacation rental properties in Washington State must comply with health and safety regulations, including the installation of working smoke and carbon monoxide detectors and maintaining a clean and safe environment for guests.
Sales and Lodging Taxes
- Vacation rental owners must collect and remit sales and lodging taxes on their rental income. The specific tax rates vary by location and may include state, county, and city taxes.
Noise Ordinances
- Oak Harbor, like many other cities, has noise ordinances that restrict excessive noise during certain hours. It is important to familiarize yourself with these local noise regulations.
Homeowners Associations (HOAs)
- If the property is located in an area with an HOA, there may be additional restrictions or rules governing short-term rentals. It is crucial to check with the HOA for any specific regulations.
General Compliance
- Ensure that your rental property complies with all applicable city and county regulations, including any future regulations that may be implemented by Island County or the City of Oak Harbor.
High-Revenue Neighborhoods for Airbnb in Oak Harbor, Washington
Neighborhoods Generating Significant Airbnb Revenue
Deception Pass State Park Area
- This area is highly appealing due to its proximity to outdoor activities, hiking trails, beach access, and the iconic Deception Pass Bridge. Guests are drawn to the natural beauty and recreational opportunities available here.
Waterfront Neighborhoods
- Neighborhoods along the waterfront are desirable for guests seeking relaxing getaways and beachfront experiences. These locations offer scenic views and easy access to recreational activities such as boating and fishing.
Fort Casey State Park Area
- Similar to Deception Pass, this area attracts guests interested in outdoor activities and historical sites. The park's military history and scenic views make it a popular destination.
Oak Harbor Marina and Downtown Area
- Centrally located neighborhoods near the Oak Harbor Marina and downtown area are convenient for tourists and business travelers. These areas provide easy access to local attractions, shops, and dining options.
Naval Air Station Whidbey Island Area
- Neighborhoods close to the Naval Air Station Whidbey Island are attractive to visiting military personnel and their families. This constant influx of visitors enhances the demand for short-term rentals in these areas.
Why These Neighborhoods Are Appealing
- Proximity to Outdoor Activities: Areas near state parks and waterfront locations offer a range of outdoor activities, making them ideal for nature enthusiasts and families.
- Scenic Views and Recreational Opportunities: The natural beauty of these areas, including beaches and parks, provides guests with memorable experiences.
- Convenience and Accessibility: Centrally located neighborhoods offer easy access to local attractions, shops, and dining options, making them convenient for both tourists and business travelers.
- Military Presence: The strong military presence in the area ensures a constant demand for temporary housing, making these neighborhoods stable for short-term rental investments.
Discover Oak Harbor, Washington: Local Attractions and Insider Tips
Local Attractions
Historic Downtown Oak Harbor
- Stroll along Pioneer Way to explore unique shops, art galleries, and delicious eateries.
- Visit Garry Oak Gallery for local art, Purple Moon for unique gifts, Hive Jive for local honey, and Little Town Cottage for homemade body products.
Pacific Northwest Naval Air Museum
- A must-visit for history buffs and aviation enthusiasts, featuring interactive exhibits, military artifacts, and historic aircraft.
Deception Pass State Park
- Hike the North Beach Trail, Goose Rock, or the Discovery Trail. Enjoy beaches, picnic areas, and scenic views. Dogs are allowed on a leash.
Blue Fox Drive-In
- Catch a movie under the stars, and enjoy go-karts, an arcade, and a snack bar with a variety of food options. The BackLot Tavern offers rotating taps and other drinks for those over 21.
Whidbey Playhouse
- Attend a performance at this community theater, which hosts musicals, comedies, dramas, and concerts throughout the year.
Recreational Activities
- Rent kayaks, stand-up paddleboards, or go sailing in the Puget Sound region.
- Explore hiking trails, go bird watching, or enjoy nature walks in the area.
Fort Casey State Park and Fort Ebey State Park
- Visit Fort Casey to see a pre-World War I military fort and the Admiralty Head Lighthouse. Fort Ebey offers beaches, bike trails, kite-flying, and cliffs for hang-gliding.
Windjammer Park
- Take a morning walk along the shoreline walkway, extending about a mile, and enjoy the scenic views.
Local Farms and Markets
- Visit The Farm Stand at K&R Farms for fresh local produce, ice cream, and handmade waffle cones. Explore the sunflower field, corn maze, and pumpkin patch in late summer and fall.
- Check out Whidbey Farm and Market for products from local vendors, live music on weekends, and seasonal activities like hay rides and a corn maze.
North Whidbey Farm
- Spend an afternoon cuddling with baby goats and enjoying the fresh air and beautiful scenery.
Insider Tips
Dining
- Start your day with breakfast at Chris’ Bakery or Riverside Cafe, both local favorites.
- Grab a special latte at Whidbey Coffee and a bagel sandwich from Whidbey Island Bagel Factory.
Shopping
- Explore the quaint shops in Historic Downtown Oak Harbor, including Geez Skate Shop and other unique boutiques.
Events
- If visiting around Labor Day, enjoy the Oak Harbor Music Festival, one of Washington’s best small-town festivals.
Visitor Information
- Stop by the Greater Oak Harbor Chamber of Commerce Visitor Center for brochures, tourism information, and expert advice on planning your itinerary.
Outdoor Activities
- Take advantage of the Mediterranean climate and enjoy the beaches, waterways, and marine wildlife of Whidbey Island.
By sharing these local attractions and insider tips, you can help your Airbnb guests have a memorable and enjoyable stay in Oak Harbor, Washington.
Practical Tips to Run a Successful Short-Term Rental Business in Oak Harbor, Washington
To ensure a smooth and successful short-term rental business in Oak Harbor, Washington, several key practices should be implemented. Here are some practical tips:
Noise Regulations and Guest Communication
Inform your guests about the local noise regulations and quiet hours to avoid disturbances and potential fines. Clearly communicate these rules in your rental agreement and house rules document to ensure guests are aware of the expectations.
Comprehensive House Manual
Create both digital and physical house manuals that include essential instructions, such as Wi-Fi passwords, appliance usage, and emergency contact information. This will help guests navigate the property easily and reduce the number of inquiries you receive.
Simplified Check-in Process
Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide detailed check-in instructions, including photos of the property and parking areas, to help guests find and access the property without hassle.
Parking Instructions
Include clear parking instructions with photos in your house manual to guide guests on where to park and how to navigate the property's parking facilities. This helps prevent parking issues and ensures a smooth arrival experience for your guests.
By following these tips, you can enhance the guest experience, reduce potential issues, and maintain compliance with local regulations, ultimately contributing to the success of your short-term rental business in Oak Harbor.
Here is a brief list of house cleaning providers in Oak Harbor, Washington:
House Cleaning Services
Blue Ribbon Cleaning Company
- Locally owned and operated on Whidbey Island
- Offers residential, post-construction, and move-in/move-out cleaning services
- Uses green products on request
- Licensed, insured, and 100% satisfaction guaranteed.
Sparkling and Beyond
- Based in Oak Harbor, WA
- Uses state-of-the-art equipment
- Experienced in various cleaning services.
Other Local Services
- Multiple house cleaning services listed on Care.com, including various local providers with rates starting at $16/hr and an average experience of 1 year.
- Top-rated house cleaners listed on Angi and Homeaglow, offering professional, affordable, and background-checked services.
For more detailed information, you can visit the respective websites or contact the services directly.
Short-Term Rental Management Fees in Oak Harbor, Washington: A Breakdown of Costs and Services
In Oak Harbor, Washington, the fees for managing short-term rentals can vary significantly, typically ranging from 10% to 30% of the rental revenue, depending on the level of service provided. Full-service management companies, such as Summer and Perch, offer comprehensive services including guest communication, dynamic pricing, marketing, and maintenance, which generally come with higher fees, often around 20% of the rental income.
For a more basic service package, fees can be lower, such as the 10% commission offered by some providers. Additionally, hosts may incur extra fees for services like cleaning, repairs, and design, which are not always included in the base management fee. It is crucial for hosts to carefully evaluate the services and associated costs to ensure they align with their investment goals and compliance with local regulations.