Since its launch in 2008, Airbnb has witnessed unprecedented growth. Over the past couple of years, Airbnb’s undoubtedly changed the way people view rental properties.
In addition to offering the opportunity to anyone to be a host, it is a very smart investment.
However, you’ll need much more than a good eye. You need to be familiar with the location – and a couple of other factors that affect the success of your potential income.
If you’re eager to make a profit, here are the top 20 locations for generating Airbnb income in 2022!
Factors To Consider
Increasing your Airbnb rental income requires you to be knowledgeable about factors at play here.
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Rules & Regulations
First thing’s first – you need to make sure that the way you’re making money in real estate is in accordance with the laws in that state.
It’s easy to get misled in this market.
You should know that not all states approve of this business strategy – and so they’ve taken the initiative of imposing laws that prohibit short-term rentals and Airbnb listings.
In such states, listing a property or lodging in one is illegal and punishable by law.
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Airbnb Occupancy Rate
Regardless of the short-term rental strategy that you’re going with here, you must know your property’s occupancy rate.
In simple terms, it’s the ratio that helps show potential investors and hosts how much time the property’s been occupied before it becomes accessible for rent again.
It’s calculated by using the number of nights your Airbnb property has been available. Both the reserved and unreserved nights are included in the calculation.
We’re also going to mention some factors that influence the occupancy rate because they’re essential for estimating the return on investment – location, strategy, guest reviews, etc.
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Seasonality
For the most part, it all comes down to your Airbnb demand.
You shouldn’t underestimate the importance of seasonality, though. It could play a pretty crucial role in your Airbnb venture.
If you want your Airbnb to be an attractive tourist destination during summer and winter alike, you’ll focus on exotic or tropical locations. On the other hand, if your goal’s constant income, you should consider an urban area in the 2022 US housing market.
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Return On Investment
Naturally, you want your profits to outweigh the costs; otherwise, this wouldn’t make much sense. That’s why the amount of Airbnb return on investment is another parameter in the series that dictates your Airbnb success.
It’s also essential to know that this parameter relates to another one – the occupancy rate. Namely, cities with a higher investment return usually have a much higher occupancy rate.
It’s a sight for sore eyes if you’re an investor.
If you want to compare your return on investment, compare it with the capitalization rate.
Now that we’ve caught up with a couple of significant factors that will influence your Airbnb income in 2022, there’s no more time to spare.
We’re going to start listing down the top 20 locations you should look into this year!
Best Places For Airbnb Income In 2022
Remember – location, location, location!
Here are the 20 most profitable cities for Airbnb investments in 2022, based on our latest Airbnb analytics:
Best Cities With Airbnb Rental Income $1,000-$2,000
#1: Westville, NJ
- Airbnb Rental Income: $1,991
- Airbnb Daily Rate: 76%
- Airbnb Occupancy Rate: 83.2%
- Traditional Rental Income: $1,611
- Airbnb CoC Return: $9.98
- Median Price For Property: $168,633
- Property Price Per Square Foot: $151
- Days On Market: 84
#2: Garfield Heights, OH
- Airbnb Rental Income: $1,489
- Airbnb Daily Rate: $75
- Airbnb Occupancy Rate: 78.2%
- Traditional Rental Income: $959
- Airbnb CoC Return: 9.14%
- Median Price For Property: $118.039
- Property Price Per Square Foot: $93
- Days On Market: 65
Best Cities With Airbnb Rental Income $2,000-$3,000
#1: Abilene, TX
- Airbnb Rental Income: $2,770
- Airbnb Daily Rate: $175
- Airbnb Occupancy Rate: 62.99%
- Traditional Rental Income: $1,210
- Airbnb CoC Return: 6.92%
- Median Price For Property: $262,209
- Property Price Per Square Foot: $131
- Days On Market: 35
#2: Indianapolis, IN
- Airbnb Rental Income: $2,443
- Airbnb Daily Rate: $158
- Airbnb Occupancy Rate: 55.65%
- Traditional Rental Income: $1,030
- Airbnb CoC Return: 4.86%
- Median Price For Property: $347,858
- Property Price Per Square Foot: $159
- Days On Market: 79
#3: Myrtle Beach, SC
- Airbnb Rental Income: $2,429
- Airbnb Daily Rate: $143
- Airbnb Occupancy Rate: 52.95%
- Traditional Rental Income: $1,407
- Airbnb CoC Return: 3.18%
- Median Price For Property: $338,447
- Property Price Per Square Foot: $212
- Days On Market: 88
#4: St. Robert, MO
- Airbnb Rental Income: $2,775
- Airbnb Daily Rate: $109
- Airbnb Occupancy Rate: 69.87%
- Traditional Rental Income: $962
- Airbnb CoC Return: 8.9%
- Median Price For Property: $212,250
- Property Price Per Square Foot: $100
- Days On Market: 51
Best Cities With Airbnb Rental Income $3,000-$4,000
#1: Athens, GA
- Airbnb Rental Income: $3,415
- Airbnb Daily Rate: $175
- Airbnb Occupancy Rate: 58.7%
- Traditional Rental Income: $1,409
- Airbnb CoC Return: 5.68%
- Median Price For Property: $416,216
- Property Price Per Square Foot: $217
- Days On Market: 70
#2: Waco, TX
- Airbnb Rental Income: $3,409
- Airbnb Daily Rate: $194
- Airbnb Occupancy Rate: 58.88%
- Traditional Rental Income: $1,186
- Airbnb CoC Return: 5.48%
- Median Price For Property: $406,984
- Property Price Per Square Foot: $182
- Days On Market: 73
#3: Pulaski, VA
- Airbnb Rental Income: $3,482
- Airbnb Daily Rate: $241
- Airbnb Occupancy Rate: 58.33%
- Traditional Rental Income: $667
- Airbnb CoC Return: 9.88%
- Median Price For Property: $144,613
- Property Price Per Square Foot: $126
- Days On Market: 51
#4: Osceola, WI
- Airbnb Rental Income: $3,670
- Airbnb Daily Rate: $254
- Airbnb Occupancy Rate: 55.33%
- Traditional Rental Income: $1,257
- Airbnb CoC Return: 9.24%
- Median Price For Property: $268,695
- Property Price Per Square Foot: $217
- Days on Market: 155
#5: Battlefield, MO
- Airbnb Rental Income: $3,364
- Airbnb Daily Rate: $125
- Airbnb Occupancy Rate: 77.73%
- Traditional Rental Income: $1,180
- Airbnb CoC Return: 8.95%
- Median Price For Property: $257,850
- Property Price Per Square Foot: $133
- Days On Market: 36
#6: Phoenix, AZ
- Airbnb Rental Income: $3,676
- Airbnb Daily Rate: $201
- Airbnb Occupancy Rate: 66.47%
- Traditional Rental Income: $1,946
- Airbnb CoC Return: 3.82%
- Median Price For Property: $643,463
- Property Price Per Square Foot: $658
- Days On Market: 65
Best Cities With Airbnb Rental Income $4,000-$5,000
#1: Virginia Beach, VA
- Airbnb Rental Income: $4,474
- Airbnb Daily Rate: $253
- Airbnb Occupancy Rate: 59.7%
- Traditional Rental Income: $1,836
- Airbnb CoC Return: 6.04%
- Median Price For Property: $520,616
- Property Price Per Square Foot: $267
- Days On Market: 48
#2: Chandler, AZ
- Airbnb Rental Income: $4,490
- Airbnb Daily Rate: $203
- Airbnb Occupancy Rate: 68.11%
- Traditional Rental Income: $2,021
- Airbnb CoC Return: 5.57%
- Median Price For Property: $531,327
- Property Price Per Square Foot: $287
- Days on Market: 36
#3: Franklin, NH
- Airbnb Rental Income: $4,280
- Airbnb Daily Rate: $270
- Airbnb Occupancy Rate: 79.27%
- Traditional Rental Income: $1,146
- Airbnb CoC Return: 9.23%
- Median Price For Property: $254,120
- Property Price Per Square Foot: $149
- Days on Market: 140
#4: Santa Fe, NM
- Airbnb Rental Income: $4,041
- Airbnb Daily Rate: $172
- Airbnb Occupancy Rate: 72.31%
- Traditional Rental Income: $2,337
- Airbnb CoC Return: 4.49%
- Median Price For Property: $716,370
- Property Price Per Square Foot: $330
- Days On Market: 100
#5: Savannah, GA
- Airbnb Rental Income: $4,225
- Airbnb Daily Rate: $188
- Airbnb Occupancy Rate: 65.01%
- Traditional Rental Income: $1,348
- Airbnb CoC Return: 5.08%
- Median Price For Property: $643,776
- Property Price Per Square Foot: $279
- Days On Market: 77
Best Cities With Airbnb Rental Income $5,000 & Up
#1: Kirtland, OH
- Airbnb Rental Income: $5,112
- Airbnb Daily Rate: $143
- Airbnb Occupancy Rate: 70.1%
- Traditional Rental Income: $1,380
- Airbnb CoC Return: 10%
- Median Price For Property: $508,422
- Property Price Per Square Foot: $178
- Days On Market: 63
#2: Spring Grove, IL
- Airbnb Rental Income: $7,171
- Airbnb Daily Rate: $328
- Airbnb Occupancy Rate: 66.4%
- Traditional Rental Income: $2,000
- Airbnb CoC Return: 9.8%
- Median Price For Property: $253,617
- Property Price Per Square Foot: $150
- Days On Market: 29
#3: Cottage Grove, MN
- Airbnb Rental Income: $7,304
- Airbnb Daily Rate: $367
- Airbnb Occupancy Rate: 76.75%
- Traditional Rental Income: $2,127
- Airbnb CoC Return: 9.09%
- Median Price For Property: $584,643
- Property Price Per Square Foot: $204
- Days On Market: 262
There you have it – we’ve managed to single out the 20 best locations for Airbnb income in 2022.
The final decision depends on your preferences – as it should!
We’re not going to stop there, though.
If you want to explore a couple more locations that you have in mind, you should have the opportunity to do so.
And you can do this by going over to Mashvisor’s Rental Property Calculator.
Our Airbnb Calculator is one of our super-easy tools that helps future investors evaluate the profitability of property they’re interested in investing in – and once you’re set on the location, this tool will do all the math so that you don’t have to!
Top 3 Tips All Investors Should Know
So far, we’ve talked mainly about Airbnb income property statistics. However, it’s time for us to expand the spectrum a bit and mention a few tips that every investor should know.
Tip #1: Do Your Research
The initial research phase can be crucial for your future (Airbnb) business. It could make it skyrocket – but it can also leave you penniless.
That’s why thorough real estate market research is crucial for your plans.
Before entering any data into the calculator, do some reading on the specific location you’re interested in. Try to figure out what type of market it is, and whether it attracts lots of tourists throughout the year or if it’s a seasonal attraction.
And just as we’ve mentioned at the beginning, don’t skimp on some legal reading. For all you know, the location you’re interested in might have imposed strict laws limiting Airbnb listings.
Tip #2: Use Software Tools
No one expects you to go through dozens of books and fly straight to the property to get the information you need.
You can get everything you need online – within seconds.
Using software tools like our Mashvisor Calculator helps you evaluate and then compare the metrics that you’re interested in the most. That’ll help you make a smarter decision – rather than relying on assumptions.
Tips #3: Have A Business Plan Ready
Having a business plan ready will help you a lot – especially in Airbnb. It could speed up your decision-making process – and help you visualize your goals.
Your business plan will help you decide which strategy you should go with, too. Also, you will have a clear insight into the potential risks that could stand in your way of generating income through Airbnb.
Some important sections to include are:
- Management structure
- Value proposition
- Financial plan
- Analysis of target guests
- Competitor research
- Marketing strategy
Top Locations For Airbnb Income 2022: Final Thoughts
We have successfully covered the topic of the best locations for Airbnb income in 2022. So, now, it’s time to go through the most crucial points again.
It’s come to your attention that the Airbnb market has expanded dramatically since it was first launched – and you want to profit from it. We get it. And now, in 2022, potential investors have the opportunity to do that by evaluating and comparing the success of areas all around the US.
Scroll back up, and you have the top 20 locations for Airbnb income in 2022 all laid out. Each one appeals to a specific type of investor. The vital thing here, though, is that you have all the information you need before you make a decision.
Thanks to Mashvisor, now you can compare dozens of potential locations and receive the results within seconds.
There’s not much to add here, except – if you have any questions or doubts, feel free to reach out to us!