Airbnb Occupancy Rate Benchmarks by US Market (2025)

If you own a short-term rental, knowing whether your property is performing well — or leaving money on the table — starts with understanding Airbnb occupancy rate benchmarks for your specific market. A 65% occupancy rate might be stellar in one city and mediocre in another. This guide breaks down average occupancy rates across major US markets heading into 2025, and shows you exactly how to stack your property up against the competition.

Airbnb Occupancy Rate Benchmarks Across Major US Markets

Short-term rental occupancy rates vary dramatically depending on geography, seasonality, property type, and local supply. According to 2025 STR market data, the national average occupancy rate for Airbnb and VRBO listings sits between 55% and 65% — but that number tells only part of the story. Here's how some of the most active US vacation rental markets compare:

High-Occupancy Markets (65%–80%+)

Certain markets consistently outperform national averages due to year-round demand, strong tourism infrastructure, or limited housing supply:

• Oahu / Honolulu, HI: One of the top-performing STR markets in the country, routinely hitting 75–80%+ occupancy driven by international and domestic tourism year-round.
• Gatlinburg / Smoky Mountains, TN: A perennial favorite for family travel and outdoor recreation, averaging 68–75% occupancy with strong shoulder season demand.
• Gulf Shores / Orange Beach, AL: Coastal demand and a loyal repeat visitor base push occupancy to 65–72% annually.
• Scottsdale, AZ: Mild winters and major events like spring training and the Barrett-Jackson auction drive consistent occupancy of 65–70%.
• Nashville, TN: Bachelorette parties, live music tourism, and convention traffic keep this urban market solidly above 65% year-round.

Mid-Tier and Emerging Markets (50%–65%)

These markets offer strong revenue potential but may require sharper pricing strategies and marketing to hit the upper end of the range:

• Austin, TX: A booming market with increasing supply that has moderated occupancy to the 58–65% range, though ADR remains strong.
• Joshua Tree, CA: Highly seasonal with peak demand in spring and fall; annual averages land around 55–62%.
• Denver / Colorado Mountains: Ski season drives winter spikes, but off-peak months pull the annual average to 55–60%.
• Savannah, GA: Growing tourism infrastructure and historic charm support steady occupancy in the 58–65% range.
• Sedona, AZ: Strong demand from wellness and nature travelers, averaging 60–67% with premium ADR offsetting any dips.

How to Benchmark Your Property Against Airbnb Occupancy Rate Standards

Understanding national and regional Airbnb occupancy rate benchmarks is only useful if you can apply them to your specific listing. Benchmarking isn't just about finding the average — it's about finding the right comparison set for your property.

The Right Way to Compare Your STR Performance

Accurate benchmarking requires comparing apples to apples. A four-bedroom lakefront home shouldn't be measured against a studio apartment in the same zip code. When evaluating your occupancy, consider these key variables:

• Bedroom and bathroom count: Properties with similar sleeping capacity and amenities are your true competitive set.
• Property type: Cabins, condos, beach houses, and urban apartments each have distinct occupancy curves.
• Listing age and review count: Newer listings typically see 10–20% lower occupancy until they accumulate reviews and search ranking.
• Pricing strategy: Static pricing almost always underperforms dynamic pricing — especially in markets with heavy seasonality.
• Amenities and photography: Listings with professional photos and in-demand amenities (hot tubs, EV chargers, pet-friendly policies) consistently outperform comparable listings on occupancy.

What to Do If Your Occupancy Is Below Benchmark

If your property is trailing the Airbnb occupancy rate benchmarks for your market, the fix is rarely just "lower your prices." Companies like E&J Retreats, a national STR management firm, use professional-grade analytics tools to identify exactly why a property underperforms — whether it's pricing gaps, listing quality issues, minimum night restrictions, or review response rates. Often, a few targeted adjustments can move occupancy by 10–15 percentage points within a single quarter.

The smartest operators treat Airbnb occupancy rate benchmarks as a living target — something to monitor monthly, not just annually. Markets shift, new inventory enters, and traveler preferences evolve. Staying ahead means consistently measuring your performance against the right comparables and adjusting your strategy accordingly. E&J Retreats provides owners with ongoing market reporting so you're never flying blind.