Columbus’s growing tourism profile, Ohio State University event calendar, and convention business create a strong short-term rental market. The regulatory environment is moderate, and the affordable entry points make Columbus one of the more attractive STR investment markets in the Midwest. Here’s the complete guide.
Columbus STR Regulations
Columbus requires short-term rental operators to register with the city and obtain a short-term rental license. The city defines short-term rentals as lodging offered for fewer than 30 consecutive days. Operators must maintain a local contact who can respond to issues within a reasonable timeframe.
The licensing process involves demonstrating property ownership, providing proof of insurance, and ensuring compliance with building and fire safety codes. Columbus’s regulatory approach is considered moderate — less restrictive than Nashville’s permit limitations but more structured than cities with minimal oversight.
Tax Obligations
Columbus STR operators must collect and remit the Franklin County bed tax (hotel/motel tax) of approximately 5.1% in addition to Ohio state sales tax of 5.75% and Franklin County sales tax of 1.25%. The combined tax burden on STR revenue runs approximately 12% to 13%. Airbnb and similar platforms collect and remit some taxes automatically for Ohio listings, but operators should verify coverage.
Operators must also register with the Ohio Department of Taxation for sales tax collection and maintain records of all rental transactions.
ROI Potential
Columbus’s median home price of approximately $315,000 provides a moderate entry point for STR investment. Well-located properties can generate $30,000 to $55,000 in gross annual revenue depending on location, property size, and management quality. Net cash-on-cash returns typically range from 5% to 12% for properties in strong STR neighborhoods.
The demand drivers are consistent: Ohio State football weekends (seven home games generating exceptional nightly rates), Ohio State graduation, the Arnold Sports Festival (over 200,000 visitors), the Columbus Crew season, and a robust convention calendar at the Greater Columbus Convention Center.
Best Neighborhoods for STR Investment
The Short North and Italian Village provide the strongest demand from leisure travelers and arts-district visitors. German Village’s charm and walkability support premium nightly rates. The Arena District draws event-driven demand. University District properties perform well during football season and OSU events but face higher vacancy during summer months. Downtown locations serve the convention market.
Victorian Village and Harrison West offer the aesthetic appeal that drives high ratings and repeat bookings — the historic architecture photographs well and creates the distinctive listing that stands out on platform searches.
Operational Considerations
Professional property management in Columbus runs 15% to 25% of gross revenue. The Ohio State football calendar is the single most important revenue driver — properties within walking distance of the stadium can charge 3x to 5x normal rates on game weekends. Pricing strategy around the university calendar and major events is essential for maximizing returns.
Columbus’s growing corporate relocation activity also supports mid-term rentals (30+ days) — a category that avoids some STR regulations while providing consistent occupancy. Many investors in the Columbus market operate a hybrid model, combining short-term bookings during peak events with mid-term corporate housing during slower periods.
For more on Columbus investment, explore our real estate stats and neighborhood guide.