Airbnb Rules and Regulations in Fairbanks, Alaska

As of 2024, Fairbanks, Alaska, has implemented a comprehensive set of regulations governing short-term rental to ensure a harmonious balance between the interests of hosts, guests, and the local community. Hosts are required to obtain a Short-Term Rental Permit from the City of Fairbanks and comply with all applicable zoning, building, and fire safety codes. Additionally, properties must adhere to occupancy limits based on the number of bedrooms and parking spaces available. Hosts are responsible for collecting and remitting the Fairbanks Bed Tax, which is currently set at 8%.

To maintain neighborhood tranquility, quiet hours are enforced from 10:00 PM to 7:00 AM, and all parking must be accommodated on-site. Hosts must provide a local contact person, such as a property manager or co-host, who can respond to any issues within a reasonable timeframe. Failure to comply with these regulations may result in fines, penalties, or the revocation of the Short-Term Rental Permit. By adhering to these rules, Airbnb hosts in Fairbanks can contribute to a thriving and sustainable tourism industry while preserving the quality of life for local residents.

Fairbanks Airbnb Market Data:

• Average Revenue – $78.3K per year
• Average Daily Rate – $351.5 per night
• Average Occupancy Rate – 61%
• Average RevPAR – $222.3
• Average Home Prices – $282,600

1. Top Place to Invest in Fairbanks, Alaska - Downtown

Downtown Fairbanks, the heart of Alaska's second-largest city, is rapidly emerging as a prime investment opportunity for those looking to start short-term rental businesses. With its rich history, vibrant cultural scene, and growing popularity among tourists, this area offers a unique blend of urban charm and natural beauty, making it an increasingly desirable destination.

Downtown Airbnb Market Data:

• Average Revenue – $60.1K per year
• Average Daily Rate – $294.2 per night
• Average Occupancy Rate – 56%
• Average RevPAR – $171.3

Convenience - 7/10

Downtown Fairbanks boasts a high level of convenience for visitors. Essential amenities such as grocery stores, restaurants, and shops are readily available within the area. The proximity to major transportation hubs, including the Fairbanks International Airport and the Alaska Railroad, further enhances accessibility for travelers.

Tourist Attractions - 8/10

Downtown Fairbanks is a hub for cultural and historical attractions. The Morris Thompson Cultural and Visitors Center offers a glimpse into the rich heritage of Alaska's indigenous peoples, while the Fairbanks Community Museum and Pioneer Park provide insights into the city's gold rush era. Additionally, the area hosts numerous local festivals and events throughout the year, celebrating the unique Alaskan way of life.

Things to Do - 7/10

Visitors to Downtown Fairbanks can enjoy a variety of activities. The Chena River Walk offers scenic strolls along the riverfront, while the Fairbanks Summer Arts Festival showcases local artists and performers. Outdoor enthusiasts can explore nearby hiking trails or embark on guided tours to witness the breathtaking northern lights during winter.

Average Home Prices - 8/10

According to Zillow data for 2024, the median home value in Downtown Fairbanks is $309,000, with an 8.4% year-over-year appreciation rate. This relatively affordable price point and the area's growing popularity present an attractive investment opportunity for Airbnb investors looking to capitalize on the booming tourism market.

Proximity to Work-Related Travel - 6/10

While Downtown Fairbanks may not be the most convenient location for work-related travel, it does offer reasonable proximity to essential facilities. The Fairbanks Memorial Hospital is located within the area, while the nearest convention center and sports venues are situated in the surrounding neighborhoods, within a short driving distance.

X-Factor - 9/10

Its unique blend of urban sophistication and rugged Alaskan charm sets Downtown Fairbanks apart. The area's historic buildings and vibrant arts and cultural scene create a captivating atmosphere that appeals to visitors seeking an authentic and immersive experience. Additionally, Downtown Fairbanks' proximity to natural wonders, such as the nearby Chena River and the stunning Alaskan wilderness, offers a rare opportunity to combine urban exploration with outdoor adventures.

2. Top Place to Invest in Fairbanks, Alaska - Chena Ridge

Chena Ridge, a vibrant community nestled in the heart of Fairbanks, Alaska, is rapidly emerging as a prime investment destination for Airbnb and short-term rental investors. With its convenient location, rich history, and proximity to outdoor adventures, this area offers a unique blend of urban amenities and natural beauty, making it an increasingly desirable choice for travelers.

Chena Ridge Airbnb Market Data:

• Average Revenue – $87.7K per year
• Average Daily Rate – $375.5 per night
• Average Occupancy Rate – 64%
• Average RevPAR – $250.7

Convenience - 8/10

Chena Ridge boasts a high level of convenience for visitors. Essential amenities such as grocery stores, restaurants, and convenience stores are readily available within the community. The area's proximity to major transportation hubs, including the Fairbanks International Airport and the Alaska Railroad, further enhances accessibility for travelers. Chena Ridge is just a short drive from downtown Fairbanks, providing easy access to the city's attractions and services.

Tourist Attractions - 7/10

While Chena Ridge itself may not be a major tourist destination, its location near several popular attractions makes it an ideal base for exploring the region. The Chena River State Recreation Area, just a stone's throw away, offers hiking, fishing, and camping opportunities amidst stunning natural scenery. The nearby Chena Hot Springs Resort, renowned for its geothermal pools and ice museum, is another major draw for visitors seeking unique experiences.

Things to Do - 8/10

Outdoor enthusiasts will find no shortage of activities in and around Chena Ridge. The Chena River State Recreation Area provides ample opportunities for hiking, kayaking, and wildlife viewing during the summer, while the winter brings cross-country skiing and snowmobiling opportunities, making it an excellent destination for fitness enthusiasts as well. Additionally, the community's proximity to downtown Fairbanks offers access to a variety of cultural events, museums, and local festivals throughout the year.

Average Home Prices - 7/10

According to Zillow data for 2024, the median home value in Chena Ridge is $282,600, with a modest 1.1% year-over-year appreciation rate. While prices may be higher than in some other areas in Alaska, Chena Ridge's desirable location and growing popularity among tourists make it an attractive investment opportunity for Airbnb investors. The area offers a range of properties, from single-family homes to cabins and apartments, catering to various investment strategies.

Proximity to Work-Related Travel - 7/10

Chena Ridge's location in Fairbanks provides reasonable proximity to work-related travel destinations. The Fairbanks Memorial Hospital is located within a short drive, while the nearest convention center and sports venues are situated in the surrounding neighborhoods, making it a viable option for business travelers and event attendees.

X-Factor - 9/10

What sets Chena Ridge apart is its unique blend of urban convenience and access to the great outdoors. The community's rich history, dating back to the gold rush era, adds a sense of character and charm that appeals to visitors seeking an authentic Alaskan experience. Additionally, Chena Ridge's proximity to natural wonders like the Chena River and the stunning Alaskan wilderness creates a rare opportunity for travelers to combine urban exploration with outdoor adventures, making it an increasingly popular destination for Airbnb guests seeking a truly immersive and unforgettable experience.

3. Top Place to Invest in Fairbanks, Alaska - Two Valley

Two Valley, a picturesque community nestled in the heart of Fairbanks, Alaska, is rapidly emerging as a prime destination for investors seeking to launch short-term rental businesses. With its stunning natural surroundings, proximity to outdoor adventures, and growing popularity among nature enthusiasts, this area offers a unique blend of tranquility and accessibility, making it an increasingly desirable choice for travelers seeking an authentic Alaskan experience.

Two Valley Airbnb Market Data:

• Average Revenue – $80.3K per year
• Average Daily Rate – $372.7 per night
• Average Occupancy Rate – 59%
• Average RevPAR – $226

Convenience - 5/10

While Two Valley itself may not offer a wide range of amenities, its proximity to Fairbanks provides access to essential services. Grocery stores, restaurants, and shops are just a short drive away, ensuring a comfortable stay for guests. However, the community's rural setting and distance from the city center may not be as convenient for those seeking a more urban experience.

Tourist Attractions - 8/10

Two Valley's main draw lies in its stunning natural surroundings and proximity to popular outdoor destinations. The nearby Chena River State Recreation Area offers opportunities for hiking, fishing, and wildlife viewing, while the Goldstream Valley and its historic mining sites provide a glimpse into the area's rich gold rush heritage. The community's proximity to the Chena Hot Springs Resort, renowned for its geothermal pools and ice museum, adds to its appeal as a tourist hotspot.

Things to Do - 9/10

Outdoor enthusiasts will find no shortage of activities in and around Two Valley. Hiking, camping, and fishing are popular pursuits in the nearby Chena River State Recreation Area and the Goldstream Valley. Visitors can enjoy cross-country skiing, snowmobiling, and even dog sledding tours in the winter months. The community also hosts several annual events, such as the Two Valley Solstice Festival, celebrating the area's unique culture and natural beauty.

Average Home Prices - 7/10

According to Zillow data for 2024, the median home value in Two Valley is $295,000, with a modest 1.7% year-over-year appreciation rate. While prices may be higher than some other rural areas in Alaska, Two Valley's growing popularity among tourists and its proximity to Fairbanks make it an attractive investment opportunity for Airbnb investors. The area offers a range of properties, from cozy cabins to spacious homes, catering to various investment strategies.

Proximity to Work-Related Travel - 4/10

Two Valley's rural location may not be the most convenient for work-related travel. The nearest hospital, convention center, and sports venues are all located in Fairbanks, approximately a 20-25 minute drive from the community. However, the area's peaceful setting and natural beauty could appeal to remote workers seeking a quiet and inspiring retreat.

X-Factor - 10/10

What sets Two Valley apart is its unparalleled access to the stunning natural beauty of Alaska's interior. The community's proximity to the Chena River, the Goldstream Valley, and the Chena Hot Springs Resort creates a truly immersive and authentic Alaskan experience. Additionally, Two Valley's tight-knit community and annual events foster a welcoming atmosphere that appeals to visitors seeking a genuine taste of local culture and hospitality. As more travelers seek out off-the-beaten-path destinations and nature-based getaways, Two Valley is poised to become an increasingly popular choice for Airbnb guests looking to escape the hustle and bustle of everyday life and reconnect with the great outdoors.

4. Top Place to Invest in Fairbanks, Alaska - Ester

Ester, a charming community located just a short drive from downtown Fairbanks, is rapidly emerging as a hidden gem for Airbnb startups. With its rich history, stunning natural surroundings, and growing popularity among outdoor enthusiasts, this area offers a unique blend of rustic charm and modern amenities, making it an increasingly desirable destination.

Ester Airbnb Market Data:

• Average Revenue – $87.7K per year
• Average Daily Rate – $375.5 per night
• Average Occupancy Rate – 64%
• Average RevPAR – $250.7

Convenience - 6/10

While Ester itself may not offer a wide range of amenities, its proximity to Fairbanks provides easy access to essential services. Grocery stores, restaurants, and shops are just a short drive away, ensuring a comfortable stay for guests. However, the community's rural setting may not be as convenient as more urban areas for those seeking a wider variety of options.

Tourist Attractions - 7/10

Ester's main draw lies in its rich history and natural beauty. The Ester Gold Camp, a preserved mining camp from the early 20th century, offers visitors a glimpse into the area's gold rush past. The nearby Goldstream Valley's stunning landscapes and hiking trails are another major attraction for nature lovers and outdoor enthusiasts.

Things to Do - 8/10

Outdoor activities are the highlight of Ester and its surrounding areas. Hiking, fishing, and wildlife viewing are popular pursuits in the Goldstream Valley and the nearby Chena River State Recreation Area. Visitors can enjoy cross-country skiing, snowmobiling, and even dog sledding tours in the winter months. Additionally, the community hosts several annual events, such as the Ester Fourth of July Celebration and the Ester Republic Brewfest, celebrating the area's unique culture and history.

Average Home Prices - 7/10

According to Zillow data for 2024, the median home value in Ester is $265,000, with a modest 2.3% year-over-year appreciation rate. While prices may be higher than in some other rural areas in Alaska, Ester's growing popularity among tourists and its proximity to Fairbanks make it an attractive investment opportunity for Airbnb investors. The area offers a range of properties, from cozy cabins to spacious homes, catering to various investment strategies.

Proximity to Work-Related Travel - 5/10

Ester's rural location may not be the most convenient for work-related travel. The nearest hospital, convention center, and sports venues are all located in Fairbanks, approximately a 15-20 minute drive from the community. However, the area's peaceful setting and natural beauty could appeal to remote workers seeking a quiet and inspiring retreat.

X-Factor - 9/10

Its unique blend of history, natural beauty, and a strong sense of community sets Ester apart. The area's rich gold rush heritage, stunning landscapes, and outdoor recreation opportunities create a truly immersive and authentic Alaskan experience. Ester's tight-knit community and annual events also foster a welcoming atmosphere that appeals to visitors seeking a genuine taste of local culture and hospitality. As more travelers seek out off-the-beaten-path destinations and nature-based getaways, Ester is poised to become an increasingly popular choice for Airbnb guests looking to escape the hustle and bustle of everyday life.