Ottumwa, IA

  • Overview
  • Performance
  • Listings
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Key Performance Metrics

Market snapshot

Performance indicators for the Ottumwa short-term rental market based on reliable data.

Listings

18 / 35

Reliable / Active

Cap Rate

14%

Middle-Earners Gross Yield

Revenue

$16,939

Middle-Earners Revenue

Occupancy

64%

Middle-Earners Occupancy

Home Value

$125,634

Median Home Sale Price

Top Earners

$34,009

Top-Earners Revenue

Ottumwa

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Ottumwa.

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B

Generally Investor friendly

Ottumwa Regulations

Short‑term rentals are lawful but tied to zoning; investors in non‑as‑of‑right districts must obtain a conditional‑use permit (CUP) and satisfy multiple licenses/inspections (state lodging license, fire‑safety, health, city registration if adopted, tax permits). The process is structured and predictable with no explicit citywide caps or bans, making compliance feasible and relatively low‑risk.

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About Ottumwa

Ottumwa, Iowa, sits in the rolling farmland of southeastern Iowa as the county seat of Wapello County. With a population of approximately 24,000, it is one of the larger cities in its region and serves as a commercial and cultural hub for the surrounding rural counties. Straddling the Des Moines River, Ottumwa has a long history tied to coal mining, meatpacking, and river commerce, and it is perhaps best known as the gateway to the American Gothic House in nearby Eldon. The city lies about 85 miles southeast of Des Moines, the nearest major metropolitan area, and roughly 100 miles west of the Mississippi River.

A small but iconic stop in downtown Ottumwa is the Canteen Lunch in the Alley, a narrow diner that has been operating in the same brick alleyway since 1936. Famous for its loose-meat sandwiches and old-fashioned counter service, the restaurant has been celebrated by national food writers as one of the most authentic historic lunch counters in the country. Visitors can park near Main Street and walk directly into the alley, making it an easy stop for travelers passing through or staying in town for a weekend.

Just a short drive southeast of Ottumwa, in the town of Eldon, stands the American Gothic House, the white wood-frame home that artist Grant Wood painted in 1930. The actual structure, complete with its distinctive Gothic-style upper window, is open to the public as a visitor center, and guests can pose on the front porch with a reproduction of the painting's pitchfork. The drive from Ottumwa to Eldon takes roughly 25 minutes and remains one of the most photographed small-town art pilgrimages in the Midwest.

About 15 miles northwest of the city, Lake Wapello State Park offers a quiet escape into the wooded hills of southern Iowa. The roughly 1,150-acre park surrounds a 92-acre lake and features a network of hiking trails, a small campground, and a sandy swimming beach. It is a favorite spot for local fishing, kayaking, and autumn leaf-peeping, and the drive from downtown Ottumwa takes about 25 minutes.

For travelers considering a short-term rental investment, Ottumwa offers a refreshingly off-the-beaten-path base with a low cost of entry and a steady stream of visitors drawn to its unusual combination of regional attractions. Its riverfront setting, classic Midwestern downtown, and proximity to both the American Gothic House and Lake Wapello State Park give it broad appeal for weekend road-trippers, art-history buffs, and outdoor enthusiasts alike, while its distance from major urban centers keeps it feeling like a genuine small-city getaway.

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