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With more than 2.25 million Airbnb listings in the US*, the US vacation rental market continues to grow, as does total rental income. In 2023, the short-term rental market increased to $64 billion with individual listings earning on average more than $26,000 in revenue across the year**.
So, despite intensifying competition throughout the industry, there are still plenty of investment opportunities and chances to grow your vacation rental inventory.
In this article, you’ll see 10 of the most exciting short-term rental markets in 2024. As well as an overview of each location, you’ll find this accompanying data from AirDNA:
But your real estate investing choices shouldn’t only depend on these performance metrics—other key considerations include:
All the 10 short-term markets here take these factors into account. Also, where applicable, you’ll see relevant information on short-term rental laws, including insights into noise and occupancy ordinances, limits on rental properties and stays, and licensing considerations.
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From hidden gems to burgeoning cultural hubs, these top short-term rental markets promise not only captivating experiences for guests but also significant investment potential. Here’s where to focus your attention in 2024, with key short-term rentals (STR) statistics included.
ADR: $207.3
RevPAR: $133.6
Occupancy rate: 63%
Abiquiu is a captivating blend of stunning landscapes, rich cultural history, and artistic inspiration, famously associated with the modernist painter, Georgia O'Keeffe. This enchanting area offers you the opportunity to cater to art enthusiasts, hikers, and those seeking spiritual retreats.
You could enhance your property with original local art and offer experiences like guided tours of Georgia O'Keeffe's beloved locations to attract guests looking for an immersive cultural experience. Also, consider providing amenities, such as outdoor lounging areas to enjoy the breathtaking New Mexico sunsets, and forging partnerships with local guides for kayaking or exploring the nearby Ghost Ranch.
ADR: $317.9
RevPAR: $212.5
Occupancy rate: 67%
Cooke City is a secluded gateway to the wonders of Yellowstone National Park, offering direct access to some of the park's most pristine landscapes. This small, year-round community caters to adventurers and nature lovers, from snowmobilers and cross-country skiers in the winter to hikers and wildlife enthusiasts in the summer.
Positioning your property here means tapping into a niche market of guests seeking off-the-beaten-path experiences. Highlighting amenities that cater to outdoor activities—such as offering outdoor equipment rentals, like bikes or snowshoes—can make your services especially appealing, while insider recommendations on hikes and restaurants can also add to the adventure.
ADR: $274.9
RevPAR: $142.6
Occupancy rate: 51%
Creede offers a unique blend of natural beauty and cultural richness. This former silver mining town, located in the San Juan Mountains, now thrives on its arts scene and outdoor activities. Short-term rentals here often bring guests looking to delve into Creede's vibrant theater productions, art galleries, and the stunning landscapes that surround the town.
Offering amenities that allow your guests to unwind after a day of adventure or cultural exploration, along with curated local recommendations, will be essential to a positive guest experience. So be sure to highlight the ease of access to both the outdoors and the town's cultural offerings throughout your marketing efforts.
ADR: $320
RevPAR: $188.6
Occupancy rate: 58%
*Values given for Livingston, MT
Nestled between the Absaroka and Gallatin mountain ranges, Paradise Valley, MT, is a breathtaking corridor to Yellowstone National Park. This area's stunning landscape, with the Yellowstone River winding through it, is a magnet for outdoor enthusiasts and those seeking solace in nature.
Your investment here could serve as a base for adventures in the park, fly fishing, horseback riding, and hot spring visits. Enhancing your space with amenities that cater to these activities, such as secure gear storage or cozy outdoor spaces for relaxation after a day out exploring, can appeal to a broad range of guests. Emphasize the unparalleled access to nature and the myriad of activities available to make your property stand out.
Just be sure to consider Paradise Valley’s restrictions on noise and “unruly gatherings” in short-term rentals, which include additional limits on Sundays and holidays.
Pro tip:
Noise monitoring could save your business.
Minut sends you an automated alert if there’s a problem at one of your vacation rentals, while guests will receive an automated message asking them to keep the noise down, call off their party, or stop smoking.
Learn more
ADR: $244.2
RevPAR: $150.4
Occupancy rate: 63%
Rico, situated within the picturesque San Juan Mountains, offers a tranquil escape from the hustle and bustle of busier tourist destinations. This small town, rich in mining history and surrounded by dramatic landscapes, naturally caters to those seeking solace and adventure in Colorado's rugged wilderness.
Custom hiking maps and organized adventure guides, alongside offering amenities like outdoor kitchens for al fresco dining, will help your property and services appeal to guests in pursuit of a genuine connection with nature. So showcase your property’s ease of access to the San Juan Mountains. Additionally, consider integrating elements that enhance the outdoor experience, like stargazing kits or eco-friendly toiletries, which will also help you stand out from the competition.
As with some of the other top-performing rental markets, you’ll need to investigate what regulations and limits are in place before committing to any investment, since the number of STR properties in Rico is restricted across certain districts and quadrants.
ADR: $376.4
RevPAR: $282.8
Occupancy rate: 72%
Rodanthe, part of the serene Outer Banks, is famous for its natural beauty and coastal charm, as well as an ideal spot for beach lovers and adventure seekers. Here, properties are typically tailored to those looking to either unwind at the beach, go sea fishing, or take part in thrill-seeking activities like kiteboarding.
By incorporating local nautical decor and offering amenities like outdoor showers and rentals for water sports, you’ll be an ideal choice for the vast majority of guests looking to book in the area. Also, you could consider exploring partnerships with local tour operators for exclusive guest experiences, like guided wildlife tours or historical excursions.
ADR: $176.6
RevPAR: $97
Occupancy rate: 53%
Tulsa is a city where history, culture, and outdoor activities converge. From its art deco downtown to the lush landscapes of the Gathering Place, the town’s 66-acre park along the Arkansas River, Tulsa offers something for every visitor.
Positioning your property as a gateway to experiencing Tulsa's rich musical heritage, including the Woody Guthrie Center and the vibrant Brady Arts District, as well as its outdoor attractions, can capture a wide array of guests. Consider tapping into those interests by offering themed decor reflecting Tulsa's musical and artistic heritage and providing maps highlighting a self-guided tour of Tulsa's historical music venues and art installations.
Note that Tulsa’s short-term rental zoning and licensing ordinances specify that “it is the responsibility of the operator to prevent nuisance behavior and maintain neighborhood peace and quiet.” Also, depending on the size of your property, you may have to “collect a lodging tax of 5 percent from guests and remit those taxes monthly to the City of Tulsa.”
ADR: $184.8
RevPAR: $113
Occupancy rate: 59%
*Values given for Grand Junction, CO
Immerse your guests in the rugged beauty of Western Colorado, a haven for outdoor activities such as hunting, fishing, and exploring the vast wilderness. This region's diverse landscape offers breathtaking views and a chance for guests to reconnect with nature.
By focusing your accommodations on catering to these experiences, complete with amenities like fire pits for evening gatherings and secure storage for outdoor gear, you can bring in guests seeking an authentic wilderness escape. Highlighting your property's proximity to local attractions and natural wonders like the Colorado National Monument can make it the perfect base for a memorable outdoor adventure.
You’ll need to carry out some careful research first, though, since some counties have implemented limits on the issuing and transfer of STR operating licenses.
ADR: $120.4
RevPAR: $56.8
Occupancy rate: 47%
*Values given for Scottsbluff, NE
Consider an investment property among the sprawling landscapes of Western Nebraska, where the spirit of the Old West is alive and well. This region, known for its stark beauty and historical landmarks like Chimney Rock and Scotts Bluff National Monument, offers a unique opportunity for property managers and real estate investors.
Here, you can attract guests interested in exploring the great outdoors, from hiking and bird watching to stargazing in some of the country's darkest skies. Providing accommodations that highlight these natural wonders, along with local heritage, can set your listings apart. Consider offering guides to local trails and historical sites, or even partnering with local tour operators to give your guests an unforgettable experience.
ADR: $331.9
RevPAR: $185
Occupancy rate: 58%
As the "Waterpark Capital of the World," Wisconsin Dells offers a unique blend of natural beauty and exhilarating attractions. Imagine owning a property where every season brings new guests eager to explore the Dells' famous river tours, theme parks, and indoor waterparks, perfect for any weather.
In this bustling tourist hotspot, you have a unique opportunity to tap into a market that thrives year-round. With sites like the breathtaking Wisconsin River and adrenaline-pumping roller coasters, your short-term rental investment could become the go-to retreat for families and adventurers alike. Remember, creating memorable stays with cozy, family-friendly amenities can significantly boost your occupancy rates and reviews.
Bear in mind that in Wisconsin Dells, WI, short-term rentals must obtain a DATCP "tourist rooming house" license and municipal permits, with owners responsible for tax registration and remittance. For properties listed on lodging marketplaces, the platforms handle state and local tax collections.
Even with a vacation rental property in a zone with low seasonality, only moderate competition, and increasing popularity with travelers, you need fully streamlined and scalable processes to maintain healthy profit margins and grow your inventory.
As you’ve seen, many districts throughout the US have implemented short-term rental laws to help preserve the identity of the local community, protect the housing market, and avoid issues with unruly guests. These include STR regulations on noise and occupancy.
With Minut’s standalone sensor, you can install a solution in minutes to:
Whether you’re looking to purchase a property in a new and exciting short-term rental market or extend your third-party property management services to a new location, some of your key considerations should include:
By carefully defining your target audience, tailoring your properties and hospitality to that audience’s needs and preferences, and marketing your properties to highlight their most attractive and unique features, you can maximize your investment returns.
As part of your solution to improving the guest experience and marketing your services to homeowners, you should implement a fully automated noise monitoring system that alerts you in real-time to occupancy issues, cigarette smoking, environmental hazards, and security concerns.
*Search logistics
**AirDNA
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