Airbnb & VRBO Performance in South Padre Island Texas.

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South Padre Island, Texas: Airbnb & VRBO Vacation Rental Market Overview

South Padre Island, Texas, is experiencing a robust short-term rental market, with average occupancy rates of 49%, a daily rate of $336, and a monthly revenue of $34,117, indicating a strong and resilient travel destination.

Market overview

Thriving Short-Term Rental Market in South Padre Island, Texas

South Padre Island is experiencing a robust short-term rental market, marked by stable and profitable performance. The median occupancy rate for short-term rentals in the area stands at an impressive 54%, indicating a strong demand for vacation properties.

Average daily rates are also favorable, with a typical listing commanding an average daily rate of $250. This, combined with the high occupancy rate, results in an annual revenue of approximately $45,000 for hosts.

Despite some regulatory discussions, the current lenient regulatory environment and the island's appealing tourist attractions continue to make South Padre Island an attractive and profitable destination for short-term rental investors.

Short Term Regulations

Short-Term Rental Regulations in South Padre Island, Texas for 2024

Registration and Licensing

  • All short-term rental properties must be registered with the City of South Padre Island. The registration number must be posted on all advertisements.
  • Owners/Operators must submit the name, address, email, and telephone number of the Owner/Operator, and other required documents.

Contact and Emergency Information

  • A 24/7 contact number for a representative with a one-hour response time is required to assist City authorities in enforcing quality of life ordinances.

Hotel Occupancy Tax (HOT)

  • The Hotel Occupancy Tax rate is 17%, comprising:
  • City HOT: 8.5%
  • City Venue Tax: 2%
  • County Venue Tax: 0.5%
  • State HOT: 6% (remitted separately to the State Comptroller).

Compliance and Reporting

  • Owners must file HOT tax reports monthly, even if there are no rental activities.
  • Registration and tax compliance must be maintained through Avenu Insight for city and county taxes, and the Texas State Comptroller for state taxes.

Quality of Life Ordinances

  • Compliance with noise, disturbance, and fire code occupancy regulations is mandatory. Owners or their agents are held accountable for the actions of their rental guests.

Property Requirements

  • Properties must conform to all applicable city-adopted codes, regulations, and ordinances, including the presence of smoke and carbon monoxide detectors, fire extinguishers, and operable emergency escapes and rescue openings.

Enforcement

  • The City has the authority to enforce regulations through inspections and penalties. Violations can result in a penalty of $500.

Additional Requirements

  • An evacuation plan must be posted in each unit or permitted sleeping area.
  • Guests must be informed of all relevant city codes and occupants' liability.
Neighborhood Performance

Top Neighborhoods for Airbnb Revenue in South Padre Island, Texas

Why These Neighborhoods Are Appealing

South Padre Island is a popular vacation spot known for its white sand beaches, vibrant nightlife, and family-friendly activities. Here are the top neighborhoods that generate significant Airbnb revenue, along with reasons why they are appealing to guests:

1. Beachfront Properties Near Schlitterbahn Waterpark and Beach Resort

  • Appeal: These properties offer direct access to the beach and are close to the Schlitterbahn Waterpark, a major attraction for families and thrill-seekers. Guests can enjoy breathtaking ocean views, easy beach access, and a variety of water park amenities.

2. Areas Around Andy Bowie Park and Isla Blanca Park

  • Appeal: These neighborhoods are surrounded by natural beauty, with Andy Bowie Park and Isla Blanca Park providing ample opportunities for outdoor activities such as hiking, birdwatching, and water sports. The proximity to these parks makes them ideal for nature lovers and families.

3. South Padre Island Dolphin Research & Sea Life Nature Center and Surrounding Areas

  • Appeal: Guests are drawn to these areas due to the educational and interactive experiences offered by the Dolphin Research & Sea Life Nature Center. The neighborhood also features several beach access points and is close to other local attractions.

4. Laguna Madre Nature Trail and Nearby Condos

  • Appeal: This area is popular for its scenic trails and natural beauty. Condos here often feature amenities like pools, hot tubs, and fully equipped kitchens, making them comfortable and convenient for guests. The proximity to the nature trail adds an extra layer of appeal for those who love the outdoors.

5. Clayton's Beach Bar and Grill and the Entertainment District

  • Appeal: This neighborhood is vibrant and lively, with Clayton's Beach Bar and Grill being a central hub for dining and entertainment. Guests can enjoy a short walk to the beach, access to various restaurants and bars, and a lively atmosphere that is perfect for both families and groups of friends.

Key Metrics

  • Average Daily Rate: $250
  • Median Occupancy Rate: 54%
  • Average Annual Revenue per Host: $45,000
  • Total Active Listings: 2,588 (as of September 2024).

These neighborhoods combine the best of South Padre Island's natural beauty, recreational activities, and convenience, making them highly attractive to Airbnb guests and profitable for hosts.

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Design Tips

Tips for Furnishing and Design of an Airbnb in South Padre Island, Texas

To create an inviting and uniquely styled Airbnb in South Padre Island, consider the following tips:

Emphasize Beach and Coastal Themes

  • Incorporate elements like nautical colors, beach-inspired decor, and natural textures such as wicker, rattan, or driftwood to reflect the island's coastal vibe.

Optimize for Natural Light and Views

  • Choose furnishings that maximize natural light and take advantage of ocean or bay views. Use light-colored curtains, large windows, and mirrors to enhance the sense of brightness and openness.

Provide Comfortable and Functional Spaces

  • Ensure the space is comfortable and functional. Include fully equipped kitchens with all necessary appliances, comfortable beds, and amenities like washers and dryers. Consider adding outdoor furniture for decks or patios to extend the living space.

Incorporate Local Touches

  • Add local touches such as artwork, decorative items, or books that highlight the island's culture and history. This can help guests feel more connected to the area.

Utilize Outdoor Spaces Effectively

  • Make the most of outdoor spaces by including amenities like heated pools, hot tubs, BBQ grills, and outdoor showers. These features can enhance the guest experience and provide a relaxing atmosphere.

Ensure Modern Amenities

  • Provide modern amenities such as fast Wi-Fi, smart TVs, and keyless entry to cater to the needs of tech-savvy guests. Upgraded broadband internet and premium Wi-Fi can be particularly appealing.

Maintain Cleanliness and Hygiene Standards

  • Emphasize cleanliness and hygiene by ensuring regular deep cleaning and disinfection. This can include providing beach towels, beach chairs, and other essentials to keep the space clean and convenient for guests.

Create a Welcoming Atmosphere

  • Use lighting and decor to create a welcoming atmosphere. Motorized shades for privacy, colorful decor, and comfortable seating areas can make the space feel more inviting.

Consider Family and Group Needs

  • If the property is intended for families or groups, include amenities like game rooms, pool tables, ping pong tables, and outdoor activities such as putting greens or basketball goals.

Ensure Accessibility and Convenience

  • Make sure the property is easily accessible with features like elevators, secure parking, and close proximity to beach access points. This can significantly enhance the guest experience.

By following these tips, you can create an Airbnb in South Padre Island that is both inviting and reflective of the island's unique style and charm.

Insider Tips

Discover the Charm of South Padre Island: Local Attractions and Insider Tips

Local Attractions

Beaches and Water Activities

  • Clear Water Beaches: Enjoy the longest stretch of white sand beach in Texas, perfect for sunbathing, sandcastle building, and swimming.
  • Surf Lessons: Take a surf lesson at a designated beach access point, with the option to request instructors to come to your resort.
  • Banana Boat Rides and Jet Ski Rentals: Experience thrilling water sports and tours available through various rental companies.
  • Snorkeling: Explore the underwater world of South Padre Island.

Nature and Wildlife

  • South Padre Island Birding and Nature Center: Participate in guided nature walks, explore over 3,300 feet of boardwalk, and use the five-story viewing tower to spot local wildlife.
  • Dolphin Tours: Join a dolphin-watching tour and see these marine mammals up close. Arrive early for covered seating and don't forget sunscreen.
  • Sea Turtle and Bird Watching: Observe sea turtles and a variety of bird species in their natural habitats.

Historical Sites

  • Port Isabel Lighthouse State Historic Site: Visit this historic lighthouse for a glimpse into the island's past.

Family-Friendly Activities

  • Gravity Park: Enjoy amusement park rides, go-karts, mini golf, and more. Open from 6 PM to 12 AM daily.
  • Sandcastle Village: View impressive sand castle sculptures, free to the public with donations accepted.
  • Water Parks: Spend a day at a local water park, which is child-friendly and offers cabana rentals for a comfortable day out.

Tours and Excursions

  • Parasailing and Cruises: Experience parasailing or take a family-friendly cruise with food, drinks, games, music, and fireworks.
  • Guided Nature Walks: Join local nature experts for guided walks to learn about the island's plant and animal life.

Shopping and Dining

  • Farmers’ Market: Visit the Sunday Farmers’ Market to sample local produce, baked goods, and handmade crafts.
  • Local Dining and Nightlife: Enjoy a variety of dining options, from casual to fine dining, and experience the island's vibrant nightlife scene.

Insider Tips

Fireworks Displays

  • Weekly Fireworks: Catch spectacular fireworks shows every Tuesday, Thursday, Friday, and Saturday night during the summer at various locations like Louie’s Backyard, Isla Grand Beach Resort, and Clayton’s Beach Bar & Grill.

Practical Advice

  • Sunscreen and Hydration: Always bring plenty of sunscreen and stay hydrated, especially during outdoor activities.
  • Early Arrivals: Arrive early for popular tours and activities to secure the best spots.
  • Cabana Rentals: Consider renting a cabana at water parks for a private place to eat, relax, and change.

Local Events

  • SpaceX Launches: Keep an eye out for updates on SpaceX launches, which can be a unique and exciting experience.

By sharing these attractions and tips, you can help your Airbnb guests make the most of their visit to South Padre Island.

Practical Tips

Practical Tips to Run a Successful Short Term Rental Business in South Padre Island, Texas

To run a successful short term rental business in South Padre Island, Texas, several key practices can enhance the experience for both guests and local residents. Here are some practical tips:

Noise Regulations and Guest Communication

Ensure compliance with South Padre Island's noise regulations by clearly informing guests about quiet hours. Include this information in both digital and physical house manuals to avoid any misunderstandings. This helps maintain a good relationship with neighbors and prevents potential complaints that could lead to fines.

Comprehensive House Manual

Create a detailed house manual that includes essential instructions, Wi-Fi passwords, and other important details. This manual should be available both digitally and in physical form within the rental property to help guests navigate the space efficiently.

Simplified Check-in Process

Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. This not only enhances guest convenience but also reduces the administrative burden on property owners or managers.

Clear Parking Instructions

Provide clear parking instructions, accompanied by photos, to help guests understand where and how to park their vehicles. This can prevent parking-related issues and ensure a smooth arrival experience.

By implementing these strategies, you can ensure a smooth and enjoyable experience for your guests while also complying with local regulations, thereby contributing to a positive reputation for your short term rental business on South Padre Island.

Local Vendors

Here is a brief list of house cleaning providers in South Padre Island, Texas:

House Cleaning Providers in South Padre Island, TX

Turno

  • Offers vacation rental and Airbnb cleaning services.
  • Features include payment by card, auto-scheduling, digital checklists, and photo documentation.

Sparkling and Beyond

  • Provides professional cleaning services for Airbnb and short-term rentals.

Angie's List House Cleaners

  • A list of top-rated house cleaners in South Padre Island, with costs typically ranging between $30 and $50 per hour.

HomeAdvisor Cleaning Services

  • Matches clients with up to 3 top-rated cleaning service professionals in South Padre Island, based on verified reviews.

For repair or maintenance services, you may need to consult additional resources as the provided links primarily focus on cleaning services.

Management fees

South Padre Island, Texas: Understanding Short-Term Rental Management Fees

South Padre Island, a picturesque beach destination at the southern tip of Texas, is a popular spot for vacation rentals. For property owners, managing these rentals can be streamlined through various management services, but it comes with associated fees. Typically, short-term rental management fees in South Padre Island range from 10% to 30% of the rental revenue, depending on the level of service provided. Full-service management, which includes guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum. In contrast, basic services that may only include listing and booking management might be more budget-friendly. Additionally, property owners may incur extra fees for cleaning, repairs, or design services, which can vary based on the specific needs of the property and the management company's policies.

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Why choose RedAwning

RedAwning is a tech leader in full-service short-term rental management, powered by our exclusive, unmatched tools.
Other property managers
Cost
Starting at 10%
25-40%
Guest communications
5-15 mins / 24 hours a day
1 hour+
Host communications
Dedicated phone and text line with no time on hold
Chat bots, hold lines and email threads
Insurance
Robust liability and dwelling coverage for every reservation
Spotty coverage with low claim approval rates
Contract
No cancellation fees
No contract lock-in
Just 90 days notice to cancel
Cancellation penalties
Number of Channels Your Listing is On
50+
2-4

Experience in numbers

Rest well knowing your property is managed by an experienced team powered by world-class technology.
+10-30%
in gross revenue
4.8 stars
guest rating
14+ years
managing STRs

Short Term Rental Calculator

Find out how much your property in South Padre Island should generate as a short term rental and look at the performance of properties around yours.

35,000+ Properties
Hosts stay with RedAwning
1,000,000,00 Nights Booked
RedAwing knows how to get bookings
50+ Top Booking Channels
More than any other platform available

Furnishing checklist

This comprehensive checklist ensures that your rental is guest-ready with all the essentials to create a comfortable and memorable experience in South Padre Island.

Living Room
Seating: Sofa, armchairs, and ottomans
Coffee Table
Entertainment: Smart TV (with streaming apps) and remote control
Decor: Area rug, wall art, plants, and throw pillows
Lighting: Floor lamp or table lamps
Charging Stations: Power strips or outlets with USB ports
Bedrooms
Beds: High-quality mattress with mattress protector
Linens: At least two sets of sheets per bed
Pillows: Hypoallergenic pillows (2-4 per bed)
Blankets: Extra throw blankets or quilts
Nightstands: With lamps or charging docks
Closet or Storage: Hangers, dresser, or luggage rack
Blackout Curtains or Shades
Bathrooms
Towels: Bath towels, hand towels, washcloths (2 sets per guest)
Shower Curtain & Liner
Toiletries: Shampoo, conditioner, body wash, hand soap
Bathroom Essentials: Toilet paper, tissues, trash bin
Hairdryer
Mirror: Full-length or wall mirror
Dining Area
Dining Table: Seating for the maximum number of guests
Place Settings: Placemats or tablecloths
Centerpiece: Vase with flowers or decorative piece
Kitchen
Appliances: Refrigerator, microwave, toaster, coffee maker, kettle
Cookware: Pots, pans, baking trays
Utensils: Forks, knives, spoons, spatulas, tongs
Dinnerware: Plates, bowls, glasses, mugs (2 sets per guest)
Cutting Board & Knives
Basic Spices & Condiments: Salt, pepper, oil
Cleaning Supplies: Sponge, dish soap, paper towels, trash bags
Outdoor Space (if applicable)
Seating: Outdoor chairs, benches, or lounges
Table: For outdoor dining or drinks
Lighting: String lights or outdoor lanterns
Grill: With necessary utensils and instructions
Outdoor Trash Bin
Extras to Elevate Guest Experience
Welcome Basket: Snacks, water bottles, or wine
Guidebook: Local recommendations and house rules
Board Games or Books: Entertainment for guests
Umbrella & Flashlight
Iron & Ironing Board
Laundry: Washer, dryer, and detergent (if available)
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⇤ Airbnb Statistics for Texas