Potential ROI for Short-Term Rentals in Oklahoma City and Edmond, Oklahoma

by admin - March 14, 2025

Introduction

Investing in short-term rental properties has become an attractive opportunity for real estate investors, particularly in growing metropolitan areas such as Oklahoma City (OKC) and its affluent suburb, Edmond. Short-term rentals (STRs), whether marketed as Airbnb-style nightly rentals or furnished properties with 30-day minimum stays, offer varying returns based on market demand, regulations, and operational costs. This article compares the potential rate of return (ROI) on Airbnb-style rentals versus 30-day minimum furnished rentals in these markets, providing insights for potential investors.

Market Overview

Oklahoma City

As the capital and largest city in Oklahoma, OKC has a thriving short-term rental market due to its combination of tourism, business travel, and major events. Attractions such as the Oklahoma City National Memorial, Bricktown entertainment district, Chesapeake Energy Arena, and the State Fairgrounds bring a steady stream of visitors. Additionally, corporate travelers, medical professionals, and students contribute to consistent demand for mid-term housing.

Edmond

Edmond, known for its high-quality schools, safe neighborhoods, and family-friendly atmosphere, has a slightly different STR demand than OKC. The city attracts business professionals, university students (University of Central Oklahoma), and families relocating to the area. The mid-term rental model often finds success here, catering to corporate clients and traveling professionals.

Revenue Potential: Airbnb-Style vs. 30-Day Minimum Rentals

Airbnb-Style Short-Term Rentals (Nightly Stays)

Pros:

  • Higher Nightly Rates: An Airbnb in OKC or Edmond can command $80–$200 per night, depending on location, amenities, and seasonality.
  • Tourism & Event-Based Demand: OKC’s event-driven tourism, such as NBA games, concerts, and festivals, can push occupancy rates up significantly.
  • Flexibility in Pricing & Bookings: Hosts can adjust pricing based on demand and market conditions.

Cons:

  • Higher Vacancy Rates: Unlike long-term rentals, occupancy can fluctuate based on seasonality.
  • Increased Turnover Costs: Cleaning and maintenance costs are higher due to frequent guest changes.
  • City Regulations: OKC has implemented short-term rental regulations, including zoning requirements and permit fees, which could impact profitability.

Estimated Gross Revenue: Assuming an average nightly rate of $125 and an occupancy rate of 65%, monthly revenue could range from $2,437 to $3,875.

30-Day Minimum Furnished Rentals

Pros:

  • Consistent Occupancy & Income Stability: Tenants staying 30+ days reduce vacancy risks and offer more predictable income.
  • Lower Turnover Costs: Cleaning and maintenance expenses are significantly lower than Airbnb-style rentals.
  • Fewer Legal Restrictions: Most cities, including OKC and Edmond, do not impose strict regulations on mid-term rentals.

Cons:

  • Lower Daily Revenue: Monthly leases typically earn less per night compared to Airbnb pricing.
  • Less Pricing Flexibility: Rental rates are set for 30 days or more, limiting revenue maximization opportunities.

Estimated Gross Revenue: A furnished rental in OKC or Edmond can command $1,800–$3,500 per month, depending on size and location.

Operational Costs & Net Returns

Cost Considerations

Cost Factor Airbnb-Style STR 30-Day Minimum Rental
Cleaning Fees $50–$100 per turnover $100–$150 per month
Utilities $150–$300 per month $150–$300 per month
Platform Fees 3%–15% (Airbnb/VRBO) 0%–5% (direct bookings)
Property Management 15%–25% 10%–15%
Maintenance & Repairs $100–$300 per month $50–$150 per month

Net Profit Calculation Example: For an Airbnb listing making $3,000 per month with $1,200 in expenses, net profit = $1,800 per month. For a furnished 30-day rental making $2,500 per month with $800 in expenses, net profit = $1,700 per month.

Which Model is Better for ROI?

When to Choose Airbnb-Style STRs

  • If the property is located in a high-traffic area (downtown OKC, near Bricktown, Paseo, or major event venues).
  • If you can achieve an occupancy rate above 65%.
  • If you can self-manage or use low-cost property management to reduce expenses.

When to Choose 30-Day Minimum Rentals

  • If you prefer lower turnover and operational effort.
  • If you want to avoid city regulations and STR permitting costs.
  • If your property is in suburban areas like Edmond, where corporate and traveling professionals seek longer stays.

Conclusion

Both short-term Airbnb rentals and furnished 30-day minimum rentals can be profitable real estate investments in OKC and Edmond. Investors seeking higher returns with more active management might prefer the Airbnb model, while those looking for steady, lower-maintenance income may benefit more from the 30-day rental strategy. The right choice ultimately depends on your investment goals, property location, and ability to manage operations efficiently.

Learn More About Short-Term Rental Management

For those interested in professional cleaning and property management services for short-term rentals, check out Elevated Cleaning Solutions for expert cleaning and turnover services.

For direct inquiries or consultation, contact Elevated Cleaning Solutions at:

Email: okc@elevatedcleaningsolutions.com