Airbnb Calculator

Calculate short-term rental profitability with occupancy rates and platform fees

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Short-Term Rental Profitability

Maximize your returns with short-term rentals using platforms like Airbnb and Vrbo. Unlike traditional rentals, short-term rentals often yield higher gross income but come with higher operating costs and vacancy risks.

This calculator helps you understand the critical balance between occupancy rates, nightly pricing, and turnover costs to find your sweet spot for profitability.

Occupancy Rate

The percentage of nights your property is booked. Break-even occupancy is critical to know.

RevPAR

Revenue Per Available Room. A key metric combining occupancy and average daily rate.

Turnover Costs

Cleaning and management costs per stay. High turnover can eat into profits if not managed.

How to Use This Calculator

  1. 1

    Enter Property & Financing

    Input the purchase price, down payment, and loan terms as with any rental.

  2. 2

    Set Nightly Rate & Occupancy

    Estimate your average nightly price and expected annual occupancy rate.

  3. 3

    Add Short-Term Costs

    Include cleaning, platform fees, utilities, furnishing, and management.

  4. 4

    Review Profitability

    See monthly cash flow and yearly returns, and compare against a long-term rental of the same property.

Frequently Asked Questions

What occupancy rate should I expect for a short-term rental?

Market averages typically range from 50% to 70% annually, with strong tourist destinations reaching higher in peak season. New listings usually start below market average until reviews build up, so model your first year conservatively.

How do I set the right nightly price?

Research comparable listings in your area with similar size, quality, and location. Many hosts use dynamic pricing β€” higher on weekends and peak season, lower midweek and off-season. The calculator lets you use an average effective nightly rate.

Which costs are unique to short-term rentals?

Beyond normal ownership costs, budget for platform fees (typically ~3% host fee on Airbnb), cleaning between stays, utilities and internet, furnishing and replacement of wear items, consumables, and possibly higher insurance and local licensing fees.

Is short-term rental more profitable than long-term?

Gross revenue is often 1.5–2.5x a long-term lease, but expenses and workload are much higher and regulation is stricter in many cities. After all costs, well-run listings in good locations usually still out-earn long-term rentals β€” the calculator lets you compare both.