Modeling STR Pro Formas For Plymouth

Thinking about a short-term rental in Plymouth but not sure how to run the numbers with confidence? You are not alone. New local rules, county taxes, and seasonal demand can swing your bottom line fast if you miss a key input. This guide walks you through a clean, local-first pro forma so you can underwrite a Plymouth STR with clarity and make smarter offers. Let’s dive in.

Know Plymouth STR rules

Plymouth adopted a short-term rental ordinance on January 6, 2025 that affects both your setup costs and ongoing operations. Key items to model:

• Zoning permit required, with the permit number posted on the listing and at the property.
• Owner or property manager must reside within 30 miles of Plymouth.
• On-site posting of owner contact, trash, and noise rules; maintain guest records for 3 years.
• No special events or gatherings.
• Short-term rentals are for stays under 30 consecutive days.
• Liability insurance and minimum parking are required, and you must meet building and fire codes.

You can review the official ordinance for details in the town’s STR section. See the town’s adopted requirements in the Short-Term Rentals ordinance. (Plymouth ordinance)

Washington County also levies a 6% occupancy tax on net taxable receipts. Returns are filed monthly and due by the 15th. Build this into your model as a pass-through tax with a small admin allowance for filing. Review the county return and instructions for exact rules. (County occupancy tax form)

Forecast revenue with local data

Start with ADR and occupancy benchmarks

Use local market data as your baseline, then refine with address-level comps. Washington County’s STR market, which includes Plymouth, shows roughly mid-40% occupancy and an average daily rate in the low hundreds. A recent snapshot reports about 141 active listings, occupancy near 45%, ADR around 170 dollars, and annual revenue per listing near the mid teens in thousands. Treat these as conservative starting points and adjust for size, location, and amenities. (AirDNA Washington County overview)

• Higher ADR potential: waterfront proximity, renovated interiors, quality photography, and flexible minimum stays.
• Lower ADR potential: non-waterfront, smaller units, or limited amenities.

Seasonality matters

Plymouth’s demand is seasonal. Plan for rate and occupancy bumps tied to events and regional travel.

• The North Carolina Black Bear Festival draws visitors and can boost booking weeks. (Black Bear Festival)
• The Inner Banks “Harbor Towns” tourism initiative is adding ferry and docking improvements in nearby towns, which can lift visitation over time. Run a modest annual revenue growth scenario to reflect potential tailwinds. (Harbor Towns initiative)

Build your model by month rather than using a flat annual average.

Calendar assumptions to set early

• Nights available: 365 minus personal-use blocks and maintenance days.
• Minimum stays: 1 to 3 nights for weekdays, 2+ for weekends or event weeks.
• Lead time: open calendars far enough ahead to catch peak-season bookings.

Ancillary revenue and cleaning fees

You can charge guests a cleaning fee, but if you pay cleaners from that fee it usually nets out. Model cleaning as an expense per turnover and decide whether to pass the fee through to guests in pricing.

Estimate operating expenses

Platform and management fees

• Platform fees: Airbnb’s host-only model can be in the mid-teens for many PMS-connected hosts. For conservative underwriting, test a 15% fee on gross rental revenue. (Airbnb host fees)
• Management: Full-service vacation rental managers often charge 20% to 30% of gross revenue in small markets. Also model an owner-managed scenario at 0% to 10% to reflect your time or a light co-host. (Property management fee guide)

Cleaning and turnover

Model cleaning by turnover, not as a percent of revenue. Set a per-stay cost that matches your property size and local vendor quotes. Remember that more short stays can lift cleaning frequency and costs.

Utilities and supplies

Include electricity, water and sewer, trash, high-speed internet, and streaming. For a small STR, a blended monthly estimate often falls in the 150 to 500 dollar range depending on seasonality and size.

Insurance and flood

• Liability insurance is required by the ordinance. Add your homeowner’s or landlord policy, plus an STR endorsement or umbrella as needed.
• Many homes near the Roanoke River or Albemarle Sound may be in FEMA flood zones. If the property sits in a Special Flood Hazard Area, your lender may require flood insurance. Model a flood premium or mitigation costs when applicable. You can check coverage pathways and timelines here. (Flood insurance overview) Review Plymouth’s flood code for local standards and elevation considerations. (Plymouth flood code)

Taxes and admin

• Property taxes based on assessed value and county rates.
• 6% county occupancy tax and any applicable sales taxes on taxable receipts.
• Bookkeeping, tax preparation, and compliance time for monthly filings.

Maintenance and reserves

Short-term rentals see faster wear. A common approach is to reserve 5% to 10% of gross revenue for maintenance and furniture, fixtures, and equipment. Older homes or higher-turn properties may benefit from the higher end of the range.

Assemble your Plymouth pro forma

Use a simple, consistent structure so you can compare properties apples to apples.

1. Revenue

• Nights available per month
• ADR per month
• Occupancy per month (booked nights) multiplied by ADR equals monthly rental revenue
• Add any other income you keep (pet fees, mid-stay cleans, gear rentals)

2. Operating expenses

• Platform fees (test a 15% conservative case)
• Management fees (0% owner-managed vs 20% to 30% full service)
• Cleaning per turnover multiplied by forecasted stays
• Utilities and internet
• Insurance (liability required, flood if applicable)
• Property taxes
• Maintenance and reserves
• Occupancy and sales taxes
• Professional and admin costs

3. Net operating income

• NOI equals gross rental revenue minus operating expenses
• If financed, subtract debt service to see cash flow before tax

4. Two scenarios to always show

• Owner-managed case that meets the 30-mile requirement
• Professionally managed case that reflects local availability and response standards

5. Sanity check

• Compare your annual revenue to the county benchmarks. Washington County’s market averages are a helpful cross-check while you refine comps. (AirDNA overview)

Stress test your model

Give yourself a margin of safety by running Low, Base, and High cases.

• ADR: minus 10%, base, plus 10%
• Occupancy: minus 10 points, base, plus 10 points
• Platform fees: 15% host-only case
• Insurance: higher STR liability and flood premiums
• Capex reserve: 10% for accelerated wear
• Cancellations and chargebacks: 1% to 3% of gross

Track cash-on-cash, DSCR if you are financing, and break-even occupancy at your base ADR.

Avoid common pitfalls

• Skipping the zoning permit or missing on-site posting rules
• Overestimating event revenue when events are not allowed
• Forgetting the 30-mile owner or manager proximity requirement
• Under-modeling flood insurance where it is likely required
• Treating cleaning fees as pure revenue while still paying cleaners
• Ignoring monthly filing time for the 6% occupancy tax

Next steps and local checklist

• Pull address-level comps for similar entire-place listings within 10 to 20 miles, then season your ADR and occupancy by month.
• Confirm permit steps, fees, and any required inspections. Budget for any life-safety upgrades.
• Quote insurance early, including flood if the property is in a FEMA flood zone.
• Get written proposals from 2 to 3 local managers and cleaners that meet the 30-mile proximity rule.
• Build owner-managed and full-service models, then pick your purchase price and financing terms that hit your target returns.

Ready to pressure-test a specific address and structure an offer that reflects real performance? Reach out to Levi Bennett for a property-level pro forma, local compliance guidance, and an acquisition plan tailored to your goals.

FAQs

What rules apply to short-term rentals in Plymouth, NC?

• Plymouth requires a zoning permit, posted permit number, 30-mile owner or manager proximity, liability insurance, guest recordkeeping, and no special events. Review the town’s STR ordinance for details. (See the ordinance)

What occupancy tax rate should I model in Washington County?

• Washington County shows a 6% occupancy tax on net taxable receipts with monthly filing due by the 15th. Use the county form and instructions when setting up your returns. (County form)

What ADR and occupancy should I use to start my pro forma?

• As a baseline, Washington County STRs show mid-40% occupancy and ADR around the low hundreds. Replace these with address-level comps and seasonality for accuracy. (Market overview)

How should I model platform and management fees?

• Test a 15% platform fee for Airbnb’s host-only model and underwrite two management cases: owner-managed at 0% to 10% and full-service at 20% to 30%. (Airbnb fees, Management fee guide)

Do I need to budget for flood insurance in Plymouth?

• If the property is in a Special Flood Hazard Area or a lender requires it, include a flood premium. Review Plymouth’s flood code and check policy options and timelines. (Flood code, Flood insurance overview)