How Much Does It Really Cost to Own a Short Term Rental in Broken Bow?
Published: July 5, 2025
Author: Avery Carl, CEO of The Short Term Shop
If you’re considering investing in a short term rental in Broken Bow, Oklahoma, the first question that should come to mind isn’t just “How much can I make?” — it’s “How much does it really cost to own?”
Broken Bow is a stunning mountain-lake market that draws vacationers year-round. But just because a cabin is popular on Airbnb doesn’t mean it’s profitable unless you fully understand what it takes to own and operate one.
Let’s break it down with actual income data, common expenses, and how much capital you realistically need to get started.
Purchase Prices: What You’ll Pay in 2025
As of mid-2025, here’s what you can expect to pay for a short term rental in Broken Bow:
| Cabin Size | Price Range |
|---|---|
| 2-Bedroom Cabin | $450,000 – $550,000 |
| 3-Bedroom Cabin | $550,000 – $675,000 |
| 4-Bedroom Cabin | $650,000 – $800,000 |
| 5+ Bedroom Luxury | $850,000 – $1.3M+ |
The price varies based on finishes, land, proximity to Broken Bow Lake or Beavers Bend State Park, and rental performance history.
Startup Costs: What It Takes to Launch
Beyond the purchase price, investors need to budget for:
| Expense | Estimated Cost |
| Furnishing & Design (if cabin does not come furnished) | $25,000–$40,000 |
| Hot Tub & Deck Features | $5,000–$10,000 |
| Photography + Listing Setup | $500–$1,000 |
| Permits & Inspection Fees | ~$1,200 |
| Closing Costs | 2–4% of purchase price |
We typically advise new investors to have $150K–$200K in cash ready for down payment and setup costs.
Ongoing Monthly Costs: The Real Story
Here’s a realistic breakdown of what it actually costs to operate a short term rental in Broken Bow every month:
| Monthly Expense | Estimated Cost |
| Mortgage (P&I) (depending on size and price) | $3,000–$4,500 |
| Insurance | $400–$600 |
| Property Taxes | $500–$800 |
| Electricity | $250–$350 |
| Water | $60–$90 |
| Internet | $150–$175 |
| Trash Service | ~$45 |
| Pest Control | ~$35 |
| Supplies + Consumables | ~$150 |
| Cleanings (per turnover) | $300–$400 |
| Software (Hospitable, etc.) | $50–$75 |
Most investors can expect monthly operating costs of $1,500–$2,000, plus mortgage.
Income Potential: How Much Can You Actually Earn?
Here’s what the latest AirDNA and real-world performance data show for average gross revenue:
| Cabin Size | Annual Gross Revenue |
| 2-Bedroom | $55,000–$75,000 |
| 3-Bedroom | $80,000–$110,000 |
| 4-Bedroom | $100,000–$135,000 |
| 5+ Bedroom | $135,000–$170,000+ |
Average Daily Rates (ADR) and occupancy trends have steadily increased since 2020, especially for well-designed properties with luxury finishes. Top 20% performers often earn 30–60% more than average.
Other Hidden Costs to Factor In
-
Maintenance & Repairs: Always budget for surprise HVAC, plumbing, or storm damage
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Owner Use: Every night you stay in your cabin is a night you’re not earning
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Upgrades Every Few Years: Furniture, appliances, linens – guests notice wear and tear
-
Property Management (if not self-managed): 20–30% of gross income
What a Realistic Profit Margin Looks Like
For a 3-bedroom cabin earning $100,000 annually, your net after expenses (but before mortgage) might look like this:
| Income/Expense | Amount |
| Gross Revenue | $100,000 |
| Operating Expenses | $24,000 |
| Net Operating Income | $76,000 |
| – with Management (25%) | ~$51,000 |
If you self-manage, that’s a solid return. If you outsource, factor in the 20–30% cut.
Is It Worth It?
If you’re in this to build long-term wealth, generate tax benefits, and own a cash-flowing asset in a beautiful place — then yes, Broken Bow is absolutely worth it. Especially when you compare it to markets with tighter margins and higher prices.
But it’s not passive. It takes work. It takes capital. And it takes the right team behind you.
That’s what we do at The Short Term Shop.
FAQ
How much money do I need to buy a short term rental in Broken Bow?
Most buyers need around $150K–$200K in cash for down payment, furnishings, and setup costs.
What’s the best size cabin to buy in Broken Bow?
3 and 4-bedroom cabins tend to perform the best — balancing cost, occupancy, and nightly rate.
Can I manage my Broken Bow short term rental remotely?
Yes. Most of our clients do. We train you on tools like Hospitable, PriceLabs, and local cleaner coordination.
Do I need a permit to operate a short term rental in Broken Bow?
Yes. Our agents will help walk you through the permitting process for your specific property.
Who is the best real estate team in Broken Bow?
The Short Term Shop. We’ve helped 5,000+ investors close over $2.5B in short term rentals and were named the #1 team at eXp Realty 3 times and a WSJ Top 20 Team 5 years running.
Disclaimer: Income and expense data sourced from AirDNA.co and real investor performance. This post is not tax or financial advice. Always consult your CPA.
👉 Ready to buy a short term rental in Broken Bow?
Call us at 800-898-1498 or email agents@theshorttermshop.com.
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