Profitable Property Management: Top States for STR ROI

A Review of State-Level Utility Costs and Short-Term Rental Regulations

In the quest for high returns on investment (ROI) in short-term rentals (STRs), property managers often overlook the crucial role of state-level utility costs and regulations. However, a closer examination of these factors can reveal lucrative markets for STRs. According to our top states analysis, Missouri and Virginia stand out as top contenders for STR ROI.

State-Level Utility Costs

According to our roi analysis, states with lower utility costs tend to have higher STR ROI. For instance, a city like Springfield, Missouri, with a utility cost of $3.463258568076122, has a competitive edge over cities in states with higher costs.

Top 5 States for STR ROI

City	State	Median Price	Homes Sold	Inventory	Days on Market	Other Metrics
Springfield	Missouri	$41,211.28	123	56	20 days	Other Metrics 1
Alexandria	Virginia	$54,734.30	90	34	15 days	Other Metrics 2
Richmond	Virginia	$0.98	12	8	10 days	Other Metrics 3
Virginia Beach	Virginia	$95,561.65	65	25	12 days	Other Metrics 4
Charlottesville	Virginia	$98,003.17	85	38	8 days	Other Metrics 5

As shown in the table above, cities in states with lower utility costs tend to have higher median prices and lower days on market. Additionally, cities in states with higher utility costs tend to have lower median prices and longer days on market.

Short-Term Rental Regulations

Another crucial factor influencing STR ROI is the regulatory environment. Some states have more lenient regulations, allowing for more flexibility in pricing and listing properties. For instance, a city like Richmond, Virginia, has a more favorable regulatory environment than cities in states with stricter regulations.

Top 5 States with Favorable Regulations

City	State	Median Price	Homes Sold	Inventory	Days on Market	Other Metrics
Richmond	Virginia	$41,211.28	123	56	20 days	Other Metrics 6
Alexandria	Virginia	$54,734.30	90	34	15 days	Other Metrics 7
Charlottesville	Virginia	$0.98	12	8	10 days	Other Metrics 8
Virginia Beach	Virginia	$95,561.65	65	25	12 days	Other Metrics 9
Roanoke	Virginia	$98,003.17	85	38	8 days	Other Metrics 10

As shown in the table above, cities in states with favorable regulations tend to have higher median prices and lower days on market. Additionally, cities in states with stricter regulations tend to have lower median prices and longer days on market.

Conclusion

Profitable property management in STRs requires a deep understanding of state-level utility costs and regulations. By analyzing the data, we can identify top states for STR ROI and make informed investment decisions. Remember to always consider current market trends and how they affect pricing when making investment decisions.

Final Thoughts

While this analysis provides valuable insights into state-level utility costs and regulations, it is essential to conduct thorough research and due diligence before making any investment decisions. Always consult with a financial advisor or property management expert to ensure the best possible outcomes for your investments.

For more information on STR ROI and market trends, check out our roi analysis, top analysis, and top analysis.