Rental Costs for Owners on Long Beach Island

Owning a vacation rental on LBI can offset expenses and even generate strong cash flow, but it’s important to understand the costs that come with renting your home. From township requirements to turnover logistics, here’s what to factor in before or after you list.

1. Local Rental Registration Fees

Most towns on LBI require homeowners to register their property as a rental before listing or collecting rent. Fees and rules vary by municipality.

• Beach Haven: Annual registration required, fee around $150

• Long Beach Township: Short-term and long-term rental rental property owners need to provide an $100 insurance filing fee and a certificate of liability insurance to the township

• Surf City, Harvey Cedars, Ship Bottom, Barnegat Light: Each has its own rules

Some towns also require a fire safety inspection, which may include smoke and carbon detector checks and visible street numbering.

2. Turnover and Cleaning Costs

Weekly turnovers are standard for LBI rentals. This usually includes:

• Cleaning Service: $250 to $400+ depending on size. Saturdays are the most common turnover days but Fridays and Sundays are becoming increasingly popular as cleaners have more openings

• Linen Service (optional): Some owners offer sheet or towel rental packages

• Restocking: Consumables like propane tanks, light bulbs, beach badges, etc.

3. Property Management or Rental Agent Commission

There are two common routes to rent your LBI property:

• Self-Manage: You list, coordinate bookings, and handle all logistics. Common platforms are VRLBI, VRBO, and AirBnB.

• Agent-Managed: Many local brokers offer rental management for a percentage of each booking

Typical agent commission:
10 to 12% of gross rent

4. Marketing and Platform Fees

If you market the home yourself, expect to pay platform or listing fees:

• VRBO or Airbnb: Service fees typically range from 3 to 5% for hosts

• VRLBI: They have different tiers that will determine which page you show up on. Plans start from $349/year to $1,074/year

• Some owners run paid ads or boosted social posts during booking season

5. Repairs, Maintenance & Wear and Tear

When a home is rented for 8 to 12 weeks each summer, expect:

• Increased wear on appliances and furniture

• Occasional emergency repairs (HVAC, plumbing, lockouts)

• Pre-season prep: Pool openings, landscaping, window washing

• Post-season winterization: Outdoor shower shutoff, irrigation blowout, etc.

If you offer luxury amenities like a hot tub, gas firepit, or electric vehicle charger, upkeep costs may be slightly higher.

6. Insurance Considerations

Many standard homeowners policies do not cover short-term rental use. You’ll need:

• Liability protection in case of guest injury

• Consider creating an LLC for protection against your other assets.

Pro tip: Ask your insurance agent if your policy covers loss of rental income during damage-related downtime.

7. Seasonal Utilities

While utilities are part of ownership, usage goes up when guests are present:

• Air conditioning and laundry cycles add to electric

• Pool and spa equipment increase power and water bills

• Wi-Fi and streaming services are expected by most renters

Need Help Estimating Your Rental ROI?

I can walk you through projected gross income, estimated expenses, and what homes like yours typically earn per week on the market. Whether you’re buying or already own, I’ll help you make smart choices that keep your rental profitable and stress-free.