Understanding Airbnb rental statistics is crucial in every Airbnb investor’s success. Mashvisor offers the right tools to help you get started.
Real estate investors need immediate access to the Airbnb rental statistics to make a profitable vacation rental investment. Understanding the market data and analytics for short-term rentals in your area is a critical practice that can help you make an informed business decision.
Why Are Airbnb Analytics Important for Investors
Airbnb analytics is the practice of gathering and analyzing essential information about short-term rentals in a certain area. This information is organized and prepared for proper interpretation, which is a crucial part of every Airbnb owner’s investing process. This data can help investors understand how short-term rental properties perform in a particular location, including their function in the housing market, tourism, and economy.
Here are a few reasons why investors should know and understand Airbnb data analytics:
To make fact-based business decisions
By knowing the accurate figures, you’ll see the market demand for Airbnb rentals in a specific place, the property types that renters prefer, and the driving factors that draw guests to the area. This can help you take a fact-based approach to make any investment decision confidently.
To help you find the right investment property
A complete Airbnb market data includes the best real estate markets for vacation rental properties, as well as the best type of Airbnb investment property in a certain location. This is useful for investors who are not yet sure what property to buy and where to invest in Airbnb rentals.
To improve your return on investment
As investors, understanding the short-term rental data in your chosen area will help ensure that you’ll get good returns from your Airbnb investment properties. If you know the vacation rental data and analytics, you will have a general overview of how your income property will perform. Through this, you can make relevant business decisions that can improve your ROI.
To mitigate risks
If you make decisions backed by realistic Airbnb rental statistics data, you won’t expose yourself to unnecessary risk. Insights showing your possible expenses versus your potential income are beneficial because they provide a general idea of how your investment will work.
To understand the seasonality of short-term rentals in the area
You will also understand the demand for vacation rentals based on each season. This will give you a basic idea of how your cash flow will look during peak and low seasons.
What Data to Look For
What is the necessary information that you need to find out about Airbnb rentals? For starters, you need to determine how many total Airbnb listings are there in your area. You also need to check what types of properties are being rented out and which property types often get occupied. This will give you an idea of your potential competitors and which properties have more market demands.
Other equally vital information to look for when analyzing the Airbnb stats include:
- Average Airbnb daily rate: The average rate that short-term rental owners charge per night’s stay
- Airbnb occupancy rate: The demand for Airbnb rental properties
- Average monthly Airbnb rental income: The average rental income an Airbnb income property generates per month
- Airbnb cash on cash return: The ratio of the net operating income to the total cash investment of the investor
It’s vital to check the Airbnb-related details of an investment property to understand its income potential. Similarly, it’s also necessary to determine other information about your chosen location’s housing market.
A more detailed set of Airbnb rental statistics should include the following:
- Median property price
- Cap rate
- Cash flow
- Rental comps and insights
By knowing the above data, you can further comprehend the market trends that can help you decide on the best real estate investment strategy that will maximize your profits.
How to Access the Airbnb Rental Statistics
Finding the most accurate and up-to-date real estate data for Airbnb rentals can be tedious and time-consuming. Fortunately, several online resources provide access to relevant Airbnb figures. However, not all real estate platforms that provide analytics are created equal, so carefully choosing which online resources and tools to trust is crucial.
Follow these simple steps to start accessing the most accurate and current Airbnb stats:
Step 1: Choose a Platform
The best platform for accessing precise Airbnb rental statistics and analysis gives you an overview of all possible investment strategies. This allows you to make prudent business decisions based on actual figures. When choosing a real estate data platform, make sure to work with the one that provides a holistic approach to providing real estate data analytics and insights.
Mashvisor provides all the necessary insights, information, and market trends about an investment property. It offers complete Airbnb data based on well-researched and up-to-date facts about your chosen short-term rental markets. Additionally, it uses algorithms and machine learning tools to give investors predictive insights to have an idea of how a property will perform in the future.
You can schedule a demo or start a free trial to test and discover what this platform can do.
Step 2: Search for an Available Investment Property
Once you have chosen your real estate data platform, the next step is to search for an investment property. With Mashvisor, you can quickly do this through the Property Finder tool. All you need to do is type your preferred city or neighborhood, and Mashvisor will provide you with a list of all the available properties for sale in that area.
Step 3: Refine Your Search
After searching for income properties for sale in a certain area, you can further refine your search to narrow down your options. Mashvisor makes this easier for you to do through its heatmap analysis tool. The Heatmap is a popular real estate tool that can help you find investment properties in the form of a map.
Mashvisor’s Heatmap Analysis Tool
Using this tool, you can specify measures for the heatmap to show results based on your preferred criteria. The heatmap then marks the neighborhoods with available investment properties based on the filters you choose.
With Mashvisor, you can narrow down your short-term rental search based on specific measures, such as:
- Airbnb Cash on Cash Return: This filter shows results based on the cash on cash return of the Airbnb investment property. This property valuation tool tells if the investor’s initial cash investment is worth the possible returns an Airbnb property can generate.
- Airbnb Rental Income: This filter shows results based on the average Airbnb monthly rental income. This helps investors assess each neighborhood’s Airbnb market by analyzing which areas have high rental income.
- Airbnb Occupancy Rate: This filter is one of the most essential Airbnb rental statistics data to consider when choosing a place for your Airbnb rentals. The Airbnb occupancy rate shows which neighborhoods have high Airbnb demand.
- Listing Price: The listing price is a useful measure if you want to stick to a budget. Mashvisor’s heatmap analysis tool allows you to specify a price range, and it will only show the available properties that meet your specified criteria.
Step 4: Review the Property’s Analytics
When you find a particular property that interests you, the next crucial step is to check the Airbnb analytics and determine whether it would make a profitable vacation rental investment. With Mashvisor, you can easily do this by clicking on the property that you like and you will quickly get an overview of the property’s market data and insights.
Mashvisor’s Airbnb Rental Statistics Data
What data can you get from Mashvisor’s Airbnb stats? Mashvisor features a one-stop-shop platform that provides market trends, data analysis, projections, and interactive insights to help new and experienced real estate investors find a suitable investment property. Moreover, Mashvisor presents the property’s in-depth data analysis in a simple yet organized manner, making sure that even new investors can easily understand.
Here is the essential information Mashvisor provides:
- Property Valuation Analytics: This includes an overview of the rental income, expenses, cash flow, cash on cash return, cap rate, the 10-year payback balance, which is a cumulative profit at the end of ten years after breaking even.
- Neighborhood Analytics: Mashvisor provides complete neighborhood analytics to help you understand the different investment potentials in a particular neighborhood. Additionally, you will get an overview of the neighborhood’s rental property types, occupancy rate stats, and rental income stats.
- Rental Strategy: Mashvisor shows the best rental strategy for a specific property based on information such as rental income, expenses, cash flow, cash on cash return, cap rate, and occupancy rate.
- Mortgage Calculator: Mashvisor’s mortgage calculator lets you customize your financing plan so that you can include your mortgage costs with the computation of expenses.
- Expense Data: Mashvisor provides estimates of expenses associated with owning an Airbnb income property—including insurance, utilities, property management fees, maintenance fees, rental income taxes, HOA dues, and cleaning fees. You can also add your custom expenses for a more personalized computation.
- Investment Payback Balance: This is a table that summarizes the property’s metrics and shows how much returns you will owe after a certain number of years. This interactive computation takes into account your expenses and the property’s vacancies.
Step 5: Calculate Your Potential Returns
Based on the Airbnb rental statistics and market data, you can calculate your potential returns and decide whether or not the property is a worthy investment. Mashvisor provides an Airbnb calculator that can help you manipulate the figures to see if you’ll still have a positive cash flow after the expenses.
Mashvisor allows you to change the comparable rental income if you want to see how your investment would perform with lower or higher rental income. You can also customize the occupancy rate to factor in the possible vacancies you will get in a year. Further, the interactive expenses table allows you to input your figures and add custom expenses to provide a more accurate calculation.
Mashvisor’s Airbnb calculator is more efficient than creating spreadsheets because you can directly fine-tune your costs and view the newly calculated returns in a clearly organized report. While you can input your own figures, certain expenses are pre-calculated for you so you do not have to calculate them manually. The pre-calculated costs include the interest rate (if you plan to finance the purchase through a mortgage), property tax, maintenance fees, insurance, and more.
Mashvisor’s Airbnb calculator allows you to enter or change the figures for:
- One-time startup costs, including the inspection fee, repair costs, furniture and appliances, and closing costs
- Recurring expenses, like insurance, utilities, taxes, HOA dues, maintenance fees, management fees, and cleaning fees
- Mortgage and financing details, such as the property price, down payment, mortgage type, loan term, and interest rate
Ready to Access Airbnb Rental Statistics?
Accurate Airbnb data analytics are key factors that can help you choose a profitable Airbnb income property. It’s essential to access complete Airbnb rental statistics that are presented in a way that’s easily understandable so you can make the right decision for your short-term rental business.
The best platform that offers in-depth Airbnb statistics should be interactive and efficient, so you can easily customize the data to provide a more personal report and analysis. Are you ready to find the best investment property with high earning potential? Sign up for Mashvisor today and we will help you find the right income property and give you access to complete data analytics.