Quick-term rental investing isn’t about grabbing the most cost effective fixer-upper and hoping visitors magically seem. It’s about choosing the proper markets with robust demand, versatile guidelines, and the potential to push income previous six figures. In locations the place scorching tubs and pet-friendliness transfer the needle, the distinction between a dud and a standout typically comes all the way down to the extras.
This listing ranks the highest 10 STR markets below $500K primarily based on income potential, visitor demand, investability, and the ability of value-adding options. Each contains insights on the kind of vacationers it attracts, what makes it particular, and the way a lot you’ll be able to realistically earn. We pulled median dwelling costs from Zillow as of Could 2025 that can assist you body expectations.
Simply bear in mind: Median means center. If you happen to purpose for top-tier revenue, anticipate to purchase an above-average property. That additional funding is commonly what unlocks the intense money move. I listing the present STR laws obtainable on-line for every market, and each investor ought to you’ll want to completely perceive these earlier than significantly investing in a property anyplace.
1. Lancaster, PA
Median dwelling worth: $360,383
High-performing properties: $120,000/yr (3 BR+, scorching tub, pet-friendly)
- Occupancy fee: 56%
- ADR: $212.57
- RevPAR: $119.46
Lancaster is among the most neglected STR alternatives within the Northeast. Whereas the typical itemizing brings in simply over $38K, properties that mix the right format with facilities like a scorching tub and pet-friendliness can attain $120K yearly. Visitors are usually households, {couples}, and weekenders from close by metros like Philly, Baltimore, and D.C., visiting Amish Nation, exploring vintage outlets, and attending seasonal gala’s.
Submarkets like Christiana and Conestoga provide rural appeal with STR-friendly zoning and comparatively low competitors. Income progress and occupancy are climbing steadily, and with a strong ADR and growing demand, Lancaster provides probably the greatest ROI tales within the area.
Regulation snapshot
- STR registration is required in authorised zoning districts.
- Native 24/7 contact required (use your cleaner or helpful particular person in the event you ask me *shrug*)
- Security inspections necessary
- Lancaster STR data
2. Panama Metropolis Seashore, FL
Median dwelling worth: $416,972
High-performing properties: $110,000/yr (4 BR w/ scorching tub + pet-friendly)
- Occupancy fee: 57%
- ADR: $319.21
- RevPAR: $181.65
Panama Metropolis Seashore has gone from spring break capital to a family-friendly coastal STR powerhouse. Whereas the typical dwelling brings in $52.7K, sensible operators who mix a four-bedroom format with a pool, scorching tub, and pet-friendly entry can attain six figures. Visitors listed below are largely households and multigenerational vacationers coming for the seashore, state parks, and water actions. Bahama Seashore and El Centro Seashore are high submarkets for his or her walkability and extra relaxed regulatory enforcement.
This market thrives on quantity and facilities. ADRs have risen 14% yr over yr, signaling pricing energy regardless of elevated stock. With the fitting combo of facilities and licensing in place, Panama Metropolis Seashore delivers distinctive money move for a sub-$500K funding.
Regulation snapshot
- STR license is required from the town and state.
- Native contact required inside half-hour.
- The license quantity should seem in all listings.
- Panama Metropolis Seashore STR data.
3. Logan, OH
Median dwelling worth: $242,034
High-performing properties: $106,000/yr (4-BR dwelling)
- Occupancy fee: 54%
- ADR: $353.21
- RevPAR: $189.06
Logan is the gateway to Hocking Hills, one of the vital visited pure locations within the Midwest. That alone fuels regular STR demand from nature lovers, mountaineering teams, and {couples} on romantic escapes. The common STR earns $64K/yr, and a four-bedroom dwelling simply clears $100K. ADRs are robust because of the world’s rural appeal and restricted high-quality lodging.
Visitors in Logan are on the lookout for peace, seclusion, and nature-integrated experiences. Suppose cabins, scorching tubs below the celebs, and fireplace pits. Listings have surged by 13%, however income progress remains to be climbing, displaying that the market is way from saturated.
Regulation snapshot
- Registration varies by county.
- Lodging tax assortment is required.
- Septic and fireplace code necessities for brand new builds.
- Logan STR laws.
4. Columbia, SC
Median dwelling worth: $232,153
High-performing properties: $108,000/yr (5 BR w/ pool)
- Occupancy fee: 55%
- ADR: $565.67
- RevPAR: $314.74
Columbia is quietly probably the greatest worth STR markets within the Southeast. With median property costs simply above $230K and high-yielding five-bedroom properties producing $94K to $108K, the numbers pencil out quick. Add a pool, and also you’re nicely into six-figure gross income territory. The visitor base is a mixture of college guests, navy households (Fort Jackson), and road-trippers between Atlanta and Charleston.
Demand is rising quicker than provide (10% vs. 8%), and the market has robust seasonality and income progress elements. High submarkets embody West Columbia, Arcadia Lakes, and the downtown hall.
Regulation snapshot
- STR allow and enterprise license required.
- Native contact required if the proprietor lives >45 miles away.
- Max occupancy and parking guidelines are enforced.
- Columbia STR data.
5. Fredericksburg, TX
Median dwelling worth: $496,229
High-performing properties: $102,000/yr (3 BR+ w/ scorching tub + pet-friendly)
- Occupancy fee: 44%
- ADR: $362.97
- RevPAR: $158.53
Fredericksburg is a design-led, experience-driven market that caters to high-spending {couples} and small teams. Whereas common income sits round $54K, including a scorching tub and pet-friendliness pushes that over $100K. This is among the few Texas wine nation locations permitting STRs in the fitting zones.
Visitors are weekend warriors from Austin, San Antonio, and Houston. Suppose ladies’ journeys, romantic getaways, and luxurious birthday weekends. Houses that lean into aesthetics and curated experiences win large.
Regulation snapshot
- STR allow required with annual inspections.
- Zoning caps in residential areas.
- Native emergency contact inside one hour required.
- Fredericksburg STR data.
6. Joshua Tree, CA
Median dwelling worth: $362,049
High-performing properties: $98,200/yr (3 BR w/ scorching tub)
- Occupancy fee: 52%
- ADR: $337.76
- RevPAR: $176.86
Joshua Tree stays the poster youngster for design-focused desert STRs. The common dwelling earns $58.5K/yr, however a three-bedroom with a scorching tub and group-friendly format earns near $100K. Visitors come for the nationwide park, stargazing, and religious escapes. Many additionally search influencer-inspired structure like domes, A-frames, and micro-villas.
This market thrives on aesthetic differentiation. The visitor base contains LA creatives, {couples}, yoga retreats, and pal teams trying to disconnect in model.
Regulation snapshot
- STR allow via San Bernardino County.
- 24/7 native contact required inside 30 miles.
- Strict visitor caps and promoting guidelines.
- Joshua Tree STR information.
7. Pensacola, FL
Median dwelling worth: $257,567
High-performing properties: $100,000+/yr (4 BR w/ pool and pet-friendly)
- Occupancy fee: 60%
- ADR: $328.70
- RevPAR: $197.92
Pensacola is among the most substantial worth performs on the Gulf Coast, providing low buy-in costs and top-tier income progress. Whereas the typical STR earns round $58K yearly, bigger properties with a pool and pet-friendly setup can push into six figures. Visitors embody beach-going households, navy guests, and snowbirds searching for a warm-weather escape.
High submarkets like Pensacola Seashore, Navarre Seashore, and Perdido Key provide excessive demand and relaxed vibes with robust occupancy charges. With rising ADRs, Pensacola combines affordability with upside, primarily for traders targeted on long-term appreciation and powerful short-term returns.
Regulation snapshot
- Registration is required for all STRs.
- Limits on the variety of visitors and vehicles.
- Native contact required for emergency response.
- Pensacola STR data.
8. Seaside, OR
Median dwelling worth: $481,317
High-performing properties: $81,000/yr (scorching tub property)
- Occupancy fee: 58%
- ADR: $328.81
- RevPAR: $191.48
Seaside and neighboring Cannon Seashore stay coastal Oregon’s finest STR areas. The common property earns $60.8K, however scorching tubs enhance income by over $20K. Visitors are a mixture of Portlanders, nature lovers, and households searching for mild-weather getaways.
The panorama favors scenic escapes, walkable downtowns, and seashore proximity. Seasonality is decrease right here, so returns are secure throughout the yr.
Regulation snapshot
- STR allow and inspection required.
- Native contact in Clatsop County required.
- Max occupancy guidelines enforced.
- Seaside STR data.
9. Savannah, GA
Median dwelling worth: $322,222
High-performing properties: $124,000 (4+ bed room, pool, pet pleasant)
- Occupancy fee: 59%
- ADR: $328.57
- RevPAR: $195.27
Savannah provides robust ADR and occupancy, however income progress has plateaued. The common STR earns $63K/yr. Visitors go to for weddings, meals and tradition, ghost excursions, and historic appeal. Finest bets are in White Marsh and Isle of Hope, the place properties cater to small teams and marriage ceremony events. As is typical, having a pool and being pet-friendly are huge promoting factors on this space.
Regulation snapshot
- STR certificates required by the town.
- Non-owner STRs capped by zone.
- Native contact required.
- Savannah STR data.
10. Houston, TX
Median dwelling worth: $267,854
High-performing properties: $100,800/yr (5 BR w/ pool)
- Occupancy fee: 51%
- ADR: $608.57
- RevPAR: $312.32
Houston may not be the primary metropolis you consider for STRs, however it’s one of many highest-yielding city markets within the nation for the proper of property. A five-bedroom dwelling close to downtown with a pool can high $100K/yr. Visitors embody enterprise vacationers, medical sufferers (MD Anderson), sports activities followers, and event-goers.
High submarkets embody Houston Heights, Downtown, and La Porte. Pet-friendly properties earn 13% to 25% extra. Regulation is gentle however altering; the town handed its first STR ordinance in 2025, requiring registration by 2026.
Regulation snapshot
- STR registration and a $275 charge are required (beginning in 2026).
- Native contact and security posting necessities.
- Noise/occasion use restrictions.
- Houston STR ordinance overview.
Ultimate Ideas
Simply because these markets have robust potential doesn’t imply the right deal will seem the primary day you begin wanting. The local weather remains to be aggressive. Rates of interest are excessive, and lots of sellers are pricing prefer it’s 2022.
However that’s no purpose to take a seat on the sidelines. Good offers are on the market. The hot button is staying affected person, doing the reps, and realizing your numbers.
You need to acknowledge a strong alternative when it hits the market since you’ve already spent hours finding out the world. Perceive the laws inside and outside. Know which submarkets to look at. Construct relationships with a trusted agent and lender, so that you’re prepared to maneuver when the fitting one seems.
If you happen to’re chasing a sound worth deal, be ready to place some cash into the property. A turnkey short-term rental normally prices extra, however that is perhaps the fitting path, relying in your targets. Actual property is versatile like that. Your technique ought to replicate the place you need to be 5, 10, and even 20 years from now.
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