The Best USA Airbnb Markets To Invest In 2024

Buying an Airbnb property in 2024 is becoming an increasingly more popular investment all over the world. However, before you take the plunge, you may choose to study as much as you can about the excellent areas for your temporary rentals. In this post, we’re going to introduce a listing of the high-quality USA cities for your Airbnb property enterprise for 2024.

What is an Airbnb?

Airbnb, Inc. is an American organization that operates an online market for lodging, principally homestays for holiday rentals, and tourism activities. Based in San Francisco, California, the platform is accessible with the aid of website and cell app.

What Factors to Consider in Airbnb Markets to Investment?

1. Seasonality

If you desire a seasonal enterprise that sees slower months during which you can capture your breath and work on commercial enterprise strategy, you should consider remote places that have greater attraction during sure times of the year. If on the other hand, you select a venture that churns a constant earnings all year round, you’re going to choose to open your doors in an urban place or an evergreen vacation resort that attracts guests from January to December.

2. Airbnb Occupancy Rate

The cities that have a booming financial system will naturally attract extra tourists. There will be a massive quantity of commercial enterprise travelers as well. It implies the number of Airbnb company will be excessive all the time. The demand for temporary rental residences will be constant in these locations. The Rate of Occupancy will be excessive in these developing cities of the US. Making an Airbnb investment in a area with a excessive occupancy price will result in excessive income for most of the year.

3. Airbnb Return on Expense

A business succeeds when the return on investment is high. Cities that have a excessive return on investment will have occupancy prices much above the average. You can additionally have excessive nightly costs for homes in such cities. One famous way to measure the return on investment is the capitalization rate. Using this rate, you can examine the rental properties in different markets and select the best one.

4. Airbnb standard daily price

The average every day rate of rental properties is different in different US cities. The greater the average daily rate in a location, the better will be the rental income. A excessive average daily price mixed with a excessive occupancy price will make for a profitable business.

5. Rules and regulations in the city

With Airbnbs becoming famous in a number of cities in the world, multiple strict guidelines and regulations have been imposed on temporary rental groups to keep away from the downfall of the local housing market. An Airbnb enterprise has a higher chance of succeeding in places with few or no restrictions on the rental business. These cities have vacationers and business people coming in from all over the world which will increase the occupancy costs of Airbnb homes.

If you are primarily based in the United States, let’s discover the Best Markets you would possibly choose to focus your interest on in 2024.

The Best USA Airbnb Markets to Invest in 2024

1. Phoenix, Arizona

Arizona is a sought-after area to secure a versatile holiday spot, so you’ll not often go incorrect in Arizona. With 18,000 new home sales and 95,830 resale in the last year alone, the country’s sixth biggest city is seeing a growth in just about every way.

2. Lake Tahoe, California/Nevada

A mountain-lake-ski city providing beauty, serenity, adventure, and nightlife, it is no shock that Lake Tahoe has been identified as one of the best lake towns, ski destinations, and overall travel locations in the US and the world.

3. Charleston, South Carolina

Charleston is the largest city in the U.S.A. state of South Carolina, the county seat of Charleston County, and the important city in the Charleston–North Charleston metropolitan area. If you ask any local or every person who has ever visited Charleston South Carolina, you are in all likelihood to hear about time spent at Charleston’s beaches.

4. Savannah, Georgia

Savannah, Georgia is a charming Southern getaway where art, period architecture, present-day boutiques and ghost tales are all set under a veil of Spanish moss. It is a place where delicacies comes straight from the coast and cocktails are served at each and every meal.

5. Myrtle Beach, South Carolina

Myrtle Beach gives picturesque homes for anyone searching for a seaside vacation, welcoming over 14 million vacationers annually. A much cherished vacation spot that combines thrills, sights, and relaxation, this family-friendly destination is terrific for owning a vacation rental property due to its 60 miles of pristine coast encompassing white-sand beaches, a subtropical climate, world-class golf courses, and tantalizing seafood restaurants that make Myrtle Beach one of the top vacation rental locations in the U.S.A.

6. Santa Fe, New Mexico

Located in the Sangre de Cristo foothills, Santa Fe is the capital of New Mexico and home to historical architecture, special dining, year-round outdoor adventure, world-renowned art, and so a whole lot more. Coined as “The City Different,” Santa Fe is in reality like no other region on earth. Santa Fe is domestic to Pueblo-style residences, Native American ruins, eclectic art markets, and traditional New Mexican restaurants.

7. Kauai, Hawaii

When searching at a vacation rental property on Kauai as an investment it is essential to think about what people on vacation want. Oceanfront/ Ocean View Privacy Walk-Ability to Restaurants and to the Beach Number of Bedrooms (more bedrooms = greater nightly rental rate) Sunset Views The Condition of the Property.

Effects Of COVID-19 on Airbnb

The COVID-19 pandemic changed the places people desire to live and travel. These changes have led to unprecedented increase for both the housing market and the short-term rental (STR) industry. Latest vacation rental forecast report predicts that short-term rentals will gain an average occupancy of over 60% for a 2nd consecutive year.

Similarly, housing prices proceed to rise: Zillow’s Home Value Index is up 19.6% from December 2020, with an annual increase charge at its highest stage in more than 20 years. As costs increase, the number of homes for sale has reached an all-time low, in accordance to Redfin.