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ResourcesseparatorHosting for Airbnb Investors

Airbnb Occupancy Rate: What to Expect For Your Property

If you're investing in short-term rentals, the Airbnb occupancy rate is a key stat you’ll want to keep an eye on. Whether you're scouting out a new market, shopping for a property, or just checking in on how your current rental is doing, this number is crucial. Why? Because along with the average daily rate, occupancy rate plays a big role in determining your monthly income and overall return on investment.

In this post, we’ll break down everything you need to know about Airbnb occupancy rates—perfect for both new and seasoned hosts. We’ll explain what it is, how you can calculate it, where to find the highest occupancy rates in the U.S., and what you can do to keep your vacancy rates low.

Understanding Airbnb Occupancy Rate

Airbnb occupancy rate is one of the go-to metrics for gauging how well a short-term rental is performing. In simple terms, it tells you how often your vacation rental is being booked compared to how often it's actually available for guests.

This rate is typically shown as a percentage, but it can also be looked at in terms of booked nights. You can calculate it on a monthly basis, annually, or whatever timeframe fits your goals.

Occupancy rates can give insight into either a whole market—like a city, neighborhood, or even a state—or an individual property. A market-wide rate gives you an idea of how busy vacation rentals are on average in that area, while a property-specific rate focuses on how often your particular listing is rented out.

Why Occupancy Rates Matter

Occupancy rate is a big deal for short-term rental hosts because it plays a direct role in how much money you bring in each month—and ultimately, your return on investment (ROI). The more nights your place is booked, the more revenue you generate. Fewer bookings? Less income. It’s that simple.

Here’s the math behind it: Airbnb income is usually calculated by multiplying the average daily rate (ADR) by the number of nights booked. This figure is a key part of ROI metrics like the cap rate or cash-on-cash return.

Let’s break it down with an example:

  • If you rent your property for 20 nights in a month at $230 per night:
    $230 × 20 = $4,600 in revenue.
  • But if you only get 10 nights booked the next month:
    $230 × 10 = $2,300—half the income.

As you can see, a drop in occupancy has a direct and significant impact on earnings.

That said, while high occupancy is generally good, it doesn’t automatically mean better ROI. If your nightly rate is too low just to stay fully booked, you might not be maximizing your profit. The goal is to strike the right balance between occupancy and ADR.

So, when shopping for a rental property, it’s smart to target markets that show consistently strong short-term rental demand. High occupancy rates often signal a healthy market where you’re more likely to earn steady income—but don’t forget to factor in nightly rates and local competition too.

How an Airbnb Occupancy Rate is Calculated

Understanding how to calculate your Airbnb occupancy rate is crucial for evaluating your rental's performance. Here's the straightforward formula:

Occupancy Rate (%) = (Number of Booked Nights / Number of Available Nights) × 100

Let's break it down with an example:

Imagine you've made your property available for guests 300 days in a year, reserving the remaining 65 days for personal use or maintenance. If guests have booked your place for 260 of those available nights, your occupancy rate would be:

Occupancy Rate = (260 booked nights / 300 available nights) × 100 = 86.7%

This means your property was occupied approximately 87% of the time it was available for bookings.

A common mistake some hosts make is dividing the number of booked nights by the total days in the year (365), which would undervalue the occupancy rate. Remember, it's essential to base your calculations only on the nights your property is available for booking to get an accurate measure of its performance.

How to Find Airbnb Occupancy Rate on Airbnb

If you’re new to hosting on Airbnb or managing multiple listings, it’s important to know that Airbnb doesn’t give you direct access to occupancy rate data for entire cities or markets. So, if you’re hoping to use Airbnb to find the best places to invest with low vacancy, you’ll need to look elsewhere—Airbnb itself won’t show you that big-picture data.

That said, you can access occupancy insights for your own listings. To do this, you’ll need to enable professional hosting tools—which is free and easy. Just go to Account Settings, scroll to Professional Tools, and toggle it on.

Once that’s set up, head over to your Performance dashboard and click on the Occupancy and Rates section. There, you’ll find historical data showing how often your listing was booked over the past 12 months, along with average nightly rates.

What’s even more helpful is Airbnb also gives you a look at how your property stacks up against similar listings in the area. This comparison can help you figure out whether your place is performing well or if you might need to tweak your pricing, improve your photos, or up your marketing game to attract more bookings.

What’s Considered a Good Airbnb Occupancy Rate

When it comes to short-term rentals, a solid Airbnb occupancy rate is usually anything above 50%. If your property is booked less than half the time it’s available, that’s a red flag—it could mean your pricing is too high or your marketing needs work.

That said, 50% is really the bare minimum. To get the most out of your investment, you should be aiming for at least a 65% occupancy rate. In many popular markets, top-performing listings even hit 70–75%. Keep in mind, when your place is sitting empty, it’s not making money—so staying booked is key to strong ROI.

It’s also important to remember that what counts as a “good” occupancy rate really depends on where your property is located. The national average in the U.S. is currently around 54%, but this can swing wildly depending on the city, neighborhood, or even zip code. For instance, a 70% occupancy rate is excellent in a market where the average is 55%, but not so great if most rentals in the area are booking at 80%.

So before you dive into buying a short-term rental, take some time to study the local numbers. Knowing the average occupancy rate in your target market will help you set realistic goals—and spot high-potential listings.

How to Check Airbnb Occupancy Rate for Any City or Zip Code

Finding Airbnb occupancy rates for a specific city or zip code can be a bit tricky if you're relying solely on Airbnb’s official website—it doesn’t offer that kind of market-level data upfront. For new investors without access to professional tools, this can make the research process time-consuming. You’d have to manually reach out to hosts, gather your own data, and crunch the numbers to get any real insight.

Luckily, there are platforms designed to simplify this. AirDNA, for instance, offers a user-friendly MarketMinder tool that lets you search by city or zip code. You’ll get access to key metrics like the average occupancy rate, seasonal trends, booking lead times, and even revenue potential based on real Airbnb listings.

Another solid option is the Awning Airbnb Market Data tool. All you have to do is to enter the name of a city or a zip code, and immediately you’ll get access to comprehensive Airbnb market performance analysis, including the average occupancy rate.

Both tools pull from actual booking activity, making their occupancy figures much more reliable than guessing or manual estimates. While these platforms usually require a subscription, they offer free trials or limited insights for free, which can be helpful for quick checks.

Some of the top data points you can expect from these tools include:

  • Average occupancy rate by city or zip code
  • Average Daily Rate (ADR)
  • Monthly short-term rental income
  • Return on investment (ROI) metrics
  • Number of active Airbnb listings
  • Market size classifications (small, medium, large)
  • Seasonality trends and booking lead times

Using these platforms can give you a competitive edge, especially when scouting new markets or assessing performance benchmarks.

10 Cities with the Highest and Lowest Airbnb Occupancy Rates

If you’re looking to invest in a short-term rental, knowing where demand is strong—and where it’s not—can help you make a smarter decision. Targeting the right market can mean more bookings, fewer vacancies, and better returns. To help you out, here’s a look at U.S. cities with the highest and lowest Airbnb occupancy rates based on 2024 data.

We’ve focused on locations that have at least 100 active listings to ensure data reliability.

Top 10 Cities with the Highest Airbnb Occupancy Rates (2024)

According to the latest market data, these U.S. cities are leading the way in terms of Airbnb occupancy:

  1. Key West, FL – 83.3%
  2. Honolulu, HI – 82.7%
  3. New Orleans, LA – 81.1%
  4. Santa Fe, NM – 80.5%
  5. Asheville, NC – 79.9%
  6. Charleston, SC – 78.4%
  7. Savannah, GA – 77.8%
  8. Naples, FL – 77.3%
  9. Sedona, AZ – 76.9%
  10. Portland, ME – 76.2%

These cities benefit from a mix of tourism appeal, favorable regulations, and seasonal consistency. Florida, the Carolinas, and parts of the Southwest continue to be standout performers in the short-term rental market.

Top 10 Cities with the Lowest Airbnb Occupancy Rates (2024)

Not all markets are thriving. Here are cities where short-term rentals are struggling to book nights:

  1. Detroit, MI – 30.4%
  2. Cleveland, OH – 32.1%
  3. Toledo, OH – 33.6%
  4. Bakersfield, CA – 34.2%
  5. Memphis, TN – 35.9%
  6. El Paso, TX – 36.5%
  7. Wichita, KS – 37.1%
  8. Oklahoma City, OK – 37.8%
  9. St. Louis, MO – 38.2%
  10. Fresno, CA – 39.0%

These lower-performing markets often face challenges such as limited tourism demand, economic volatility, or stricter local rules around short-term rentals.

How to Boost Your Airbnb Occupancy Rate

Just because your Airbnb isn’t booked solid doesn’t mean it has to stay that way. Occupancy rates aren’t set in stone—and luckily, there’s a lot you can do to nudge them in the right direction.

Here are 12 tried-and-true tips from seasoned hosts and property managers to help you fill up your calendar:

  • Start with the right location: Before you even buy a property, make sure you’re looking in a market where short-term rentals actually perform well. Focus on areas with an average occupancy rate of 50% or higher. The cities we listed above are a good place to start, but you can also use tools like the Awning Market Data Tool to dig deeper.
  • Furnish with purpose: Great photos start with great furniture. Go for comfy, neutral, and durable pieces that show well in your listing and stand up to guests. Think like a traveler: what extras would you love to find in a rental? Then, offer that—plus a little more.
  • Optimize your listing: Treat your Airbnb listing like a sales page and apply various Airbnb SEO strategies to rank. Use a clear, catchy title, write a warm and honest description, highlight all your amenities, and use high-quality photos. These elements help your listing stand out and rank better in search.
  • Use dynamic pricing: Prices shouldn’t be a set-it-and-forget-it deal. The best hosts adjust nightly rates based on seasons, demand, and what the competition is doing. Tools like Airbnb Smart Pricing, Beyond, or AirDNA’s pricing feature can help you automate this and stay competitive.
  • Enable Instant Booking: Turning on Instant Booking makes it easier for guests to reserve without waiting for approval—and it gives your listing a boost in Airbnb’s search results. Just make sure your guest requirements are set, so you're still getting the kind of visitors you want.
  • Automate your messages: Guests expect quick replies, and response time affects your ranking. Use tools like Evolve or RedAwning to automatically send booking confirmations, check-in instructions, and post-stay follow-ups.
  • Ask for reviews: The more (and better) reviews you have, the more attractive your listing becomes. Make sure guests have a great stay, then kindly follow up asking them to leave a review—it really makes a difference.
  • Offer more than a bed: These days, guests are looking for memorable experiences, not just a place to crash. Whether it’s a welcome basket, insider tips on the area, or a stylish space with local flair, go the extra mile to make their stay special.
  • Aim for Superhost status: Airbnb Superhosts get more visibility and earn more trust from potential guests. Keep your ratings high, respond quickly, and deliver consistently great stays to hit that badge.
  • Promote beyond Airbnb: Don’t rely solely on Airbnb to drive traffic. Share your listing on Instagram, Facebook, travel forums, and even consider running a few Google Ads. The more places people can find you, the better.
  • Keep it spotless: Cleanliness is non-negotiable. Guests expect a sparkling space with fresh linens, restocked essentials, and everything in working order. Staying on top of maintenance and presentation helps drive return visits and glowing reviews.
  • Consider a property manager: If managing everything yourself feels overwhelming, it might be worth bringing in a pro. The best vacation rental management company, like Awning can handle guest communication, cleaning, pricing, and more—freeing you up while helping boost both bookings and income.

Final Thoughts

If you're serious about getting the most out of your short-term rental, boosting your Airbnb occupancy rate should be high on your list. A great place to start is by investing in a market where bookings are already strong—like the ones we covered earlier. From there, use the 12 tips we shared to keep your place booked and bringing in steady income. A few smart moves can go a long way toward making your rental a top performer.

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