Introduction – The Promise of Airbnb Income
People all over the world wonder “how much can you earn by advertising on Airbnb in the United States?” The answer is enticing because the U.S. remains Airbnb’s largest market. The platform has more than 8 million active listings globally, with over 2.25 million in the United States. Typical U.S. host earned about US $14,000 in supplemental income in 2023, and comprehensive analysis shows average monthly revenues around US $4,300 between November 2023 and December 2024localbird.io. Those are national averages—stand‑out markets and diligent hosts earn much more.
Ready to start hosting? Use this exclusive Airbnb host invitation link to create your listing. Once you’re live, connect your property to Guestfier for free and start offering add‑ons and upsells effortlessly. You’ll maximize revenue and keep guests happy!
This guide will break down earnings potential by city and property type, explain key metrics like occupancy rate and average daily rate (ADR), outline taxes and costs, and show you how services like Guestfier can increase profits. Whether you’re listing a spare room or building a short‑term rental portfolio, understanding U.S. market data will help you forecast income and make smart decisions.
1. How Much Do U.S. Airbnb Hosts Earn on Average?
National averages
Recent studies from vacation‑rental analytics firms reveal that the typical U.S. host makes roughly US $14,000 per year iGMS notes that the average host earns $13,800 annually. While those numbers might not match a full‑time salary, they can cover a mortgage payment or fund vacations.
Another useful metric is average monthly revenue. Localbird’s 2025 guide cites average monthly earnings of about $4,300 between November 2023 and December 2024localbird.io. This figure aggregates revenue from all property types—studio apartments rented a few weekends per year as well as large homes rented most of the year.
Variations by property and market
Income varies dramatically based on location, property size, amenities and management strategy. For example:
- Superhosts vs. regular hosts: About 34 % of U.S. hosts hold Superhost status, and Superhosts earn roughly 29 % more revenue than regular hosts Achieving excellent reviews and responsiveness pays off.
- Booking lead time and length of stay: The average booking window is 33 days. Properties available year‑round with flexible minimum nights can fill more of the calendar.
- Listing type: Entire homes generally command higher rates than private rooms, but they require more maintenance and capital. iGMS warns investors to compare similar property types when evaluating revenues.
Why the averages matter
National averages are a helpful starting point, but they mask huge differences between markets. A host in Maui may earn $96,000 per year, whereas a similar property in Springfield might earn $28,000. The next sections dig into city‑level data so you can identify lucrative locations.
2. Key Metrics: Occupancy Rate and Average Daily Rate (ADR)
What is occupancy rate?
The occupancy rate measures the percentage of nights that a rental is booked out of the total nights it’s available. High occupancy indicates strong demand and effective management. Mashvisor’s 2025 table for U.S. markets shows occupancy rates ranging from 34 % in Ocean City, MD to 65 % in Honolulu, HI. The same dataset reveals that many big markets—Los Angeles, Seattle and Washington, DC—maintain occupancy above 60 %. Conversely, markets like Nashville experienced a drop from 56 % in 2024 to 50 % in 2025 due to oversupply.
What is ADR?
Average daily rate (ADR) represents the average price guests pay per night. According to Airbtics’ data cited by iGMS, the nationwide ADR in the U.S. is about $236.95. However, ADR varies widely by city. For example, a Statista‑sourced list shows:
| City | ADR (approx.) |
|---|---|
| San Francisco, CA | $392 |
| Los Angeles, CA | $292 |
| San Diego, CA | $279 |
| Austin, TX | $224 |
| New Orleans, LA | $207 |
| Dallas, TX | $192 |
| Boston, MA | $168 |
| Seattle, WA | $165 |
| Chicago, IL | $161 |
| New York City, NY | $156 |
These rates indicate potential revenue per booked night. Cities with higher ADRs often have higher property costs and regulations, so profit depends on balancing nightly rate against expenses.
High‑occupancy markets
Hospitable’s 2025 analysis lists U.S. cities with the highest 12‑month occupancy rates:
| Rank | City/State | Occupancy | Notes |
|---|---|---|---|
| 1 | Hanalei, HI | 69 % | Hawaiian destinations dominate due to year‑round tourism. |
| 2 | Kahuku, HI | 68 % | Another Hawaiian market with high occupancy. |
| 3 | Koloa, HI | 66 % | |
| 4 | Ridgedale, MO | 64 % | Located near the Ozark mountains. |
| 5 | Kapolei, HI | 63 % |
Even within high‑occupancy states, rates can differ by town, so use localized data when evaluating investments. Keep in mind that occupancy dropped slightly across most major markets between 2024 and 2025 due to increased competition.
3. Where Can You Earn the Most? City‑Level Revenue Comparisons
Monthly revenue leaders (1‑bedroom properties)
iGMS aggregated data from Airbtics to identify U.S. markets where a typical one‑bedroom property earns more than the national monthly average of $2,000. Here are the top 10 cities:
| Rank | City & State | Average Monthly Revenue* |
|---|---|---|
| 1 | Kissimmee, FL | $2,607 |
| 2 | Cleveland, OH | $2,543 |
| 3 | Lake Arrowhead, CA | $2,514 |
| 4 | Canyon Lake, TX | $2,421 |
| 5 | Las Vegas, NV | $2,400 |
| 6 | Philadelphia, PA | $2,382 |
| 7 | Big Bear Lake, CA | $2,291 |
| 8 | South Salt Lake, UT | $2,203 |
| 9 | Baltimore, MD | $2,124 |
| 10 | Springfield, MO | $2,010 |
*Data based on 2024 market analysis; revenues assume a one‑bedroom property.
Markets earning $3,000–$4,000 per month
Another set of cities—highlighted by Mashvisor—push beyond $3,000 in monthly revenue. Examples include Smyrna, GA ($3,015), Tigard, OR ($3,027), Colorado Springs, CO ($3,050) and Dallas, TX ($3,074). These markets show how mid‑sized cities with strong demand can out‑perform tourist hotspots.
High‑revenue markets from Airbtics data
Airbtics compiles a comprehensive table of the Top 100 U.S. cities for Airbnb in 2025, which includes occupancy rate, ADR and annual revenue. The top positions demonstrate how occupancy and ADR translate into annual earnings:
| City | Occupancy | ADR | Annual Revenue* | Notes |
|---|---|---|---|---|
| Los Angeles, CA | 66 % | $209 | $51,698 | Strict STR regulations; high tourism keeps occupancy strong. |
| New York City, NY | 67 % | $159 | $39,983 | Severe regulations push many hosts toward long‑term rentals. |
| San Diego, CA | 70 % | $228 | $59,604 | Sunny climate attracts year‑round visitors. |
| Austin, TX | 60 % | $168 | $37,872 | Growing tech hub with festivals like SXSW. |
| Houston, TX | 59 % | $128 | $28,465 | Affordable property prices; lenient regulations. |
| Jacksonville, FL | 63 % | $195 | $46,190 | Beaches and theme parks drive demand. |
| Maui, HI | 79 % | $329 | $96,052 | Highest occupancy and ADR in the top 15; tourism hub. |
| Honolulu, HI | 87 % | $194 | $62,845 | Extremely high occupancy; strict regulations. |
| Palm Springs, CA | 57 % | $404 | $85,552 | High ADR due to luxury rental market. |
*Annual revenues are Airbtics estimates for 2025 and assume high year‑round availability.
These figures illustrate how a strong combination of occupancy and high daily rates can yield impressive annual earnings. Maui stands out with its 79 % occupancy and $329 ADR, resulting in roughly $96,000 per year. Conversely, cities like Houston have lower ADRs and occupancy but remain profitable due to lower property costs and lenient regulations.
Highest nightly rates
If you plan to list a luxury property, note that certain East Coast destinations command very high nightly rates. Hospitable’s ranking shows Westhampton Beach, NY ($2,575 per night), Amagansett, NY ($2,501) and Ocean Beach, NY ($1,941) among the highest ADRs. Investing in such markets requires significant capital but offers the potential for premium revenue.
Highest monthly revenue markets
Hospitable also lists the cities with the highest monthly Airbnb revenue. The top three are Hanalei, HI ($25,624 per month), Snowmass Village, CO ($21,920) and Nantucket, MA ($21,467). Westhampton Beach and Amagansett also exceed $19,000 per month. These figures underscore the earning potential of luxury destinations but also highlight the need to account for higher acquisition costs and stricter regulations.
4. Understanding Costs and Taxes
Airbnb fees and operating expenses
Airbnb typically charges hosts a 3 % service fee for each booking under the “split‑fee” model. If you choose the “host‑only fee,” you’ll pay around 15 % but guests avoid service charges. Besides platform fees, hosts must budget for:
- Cleaning and maintenance: Regular professional cleaning, laundry and replenishing supplies.
- Utilities: Electricity, water, gas, internet and streaming services.
- Insurance: Short‑term rental insurance is essential to protect against liability and damage.
- Mortgage and property taxes: Factor in mortgage payments and local property taxes; some cities also levy occupancy taxes that Airbnb may collect and remit on your behalf.
U.S. tax rules for hosts
The Internal Revenue Service treats Airbnb income as taxable. Guesty’s 2025 guide explains the 14‑day rule: you don’t have to report or pay taxes on Airbnb income if (1) you rent your property for 14 days or fewer in a year and (2) you personally use it for more than 14 days (or 10 % of the rental days). If you exceed that limit, all rental income becomes taxable.
TaxSlayer elaborates that hosts who rent more than 14 days must report gross rental income and can deduct legitimate expenses such as cleaning fees, insurance, utilities, mortgage interest and advertising. To comply with IRS reporting requirements, Airbnb may ask you to submit Form W‑9 (or W‑8BEN/W‑8ECI if you’re not a U.S. resident). Platforms typically withhold 24–30 % of earnings if you fail to provide tax forms. Filing correctly helps avoid unnecessary withholding and may allow for deductions.
When tax season arrives, hosts report rental income on Schedule E if the activity is passive (e.g., you simply provide lodging and occasional cleaning) or Schedule C if you operate the rental like a business with frequent services. Consult a tax professional for guidance.
Local regulations and compliance
Regulations vary widely by city. New York City, for example, imposes strict limits on short‑term rentals, prompting many hosts to pivot to month‑long stays. Some cities require permits, limit the number of rental days per year or prohibit entire‑home rentals. Before investing, review local zoning laws and homeowner association (HOA) rules.
5. How to Start Hosting on Airbnb: Step‑by‑Step
1. Research your market and regulations
Study occupancy and ADR data for your desired location. Check whether your city requires a short‑term rental permit and whether there are caps on rental days. Avoid heavily saturated markets unless your property has unique features.
2. Prepare your property
- Clean and furnish: Provide comfortable beds, quality linens, reliable Wi‑Fi and a well‑equipped kitchen.
- Take high‑quality photos: Bright, professional photography dramatically increases clicks and bookings.
- Write an accurate description: Highlight unique amenities (hot tub, parking, pet‑friendly). Use your target keyword naturally—e.g., “Discover how much you can earn on Airbnb in the U.S.”
3. Create your listing and set prices
Airbnb’s interface guides you through listing creation. Choose the “split fee” model to reduce guest charges or the “host‑only fee” if you prefer absorbing service fees. Use dynamic pricing tools or check comparable listings to set competitive nightly rates. Consider seasonal adjustments: charge more during local festivals or summer high season and offer discounts in low season.
4. Boost occupancy with flexible policies
Offer flexible cancellation policies and minimum stay requirements to attract more bookings. Many guests book last‑minute, so keep your calendar up to date. Use Airbnb’s instant booking to capture spontaneous travelers.
5. Deliver exceptional guest experiences
Respond promptly to inquiries, maintain cleanliness and provide clear check‑in instructions. High ratings and Superhost status lead to higher revenue and better search placement.
When you’re ready to list, use this Airbnb host invitation link to unlock a special sign‑up bonus. After creating your listing, connect it to Guestfier to automate bookings, sell add‑ons and enhance guest communication—all from one dashboard.
6. Maximizing Your Earnings: Strategies and Guestfier’s Role
Optimize pricing and calendar
Dynamic pricing algorithms adjust nightly rates based on demand, seasonality and events. You can use tools within Airbnb or third‑party software. Monitor competitor pricing and adjust accordingly.
Enhance your listing
- Professional photos boost search visibility.
- Compelling headlines attract clicks (“Modern condo near downtown with rooftop pool”).
- Detailed amenities list ensures guests know what to expect.
- Encourage guests to book direct by offering discounts for longer stays (weekend or week‑long specials).
Diversify revenue through upselling
Guests often crave convenience and unique experiences. Upselling can significantly increase revenue per booking:
- Early check‑in / late check‑out: Offer for a fee.
- Transportation services: Airport pick‑up or rental car arrangements.
- Food and beverage packages: Welcome baskets, breakfast kits or local wine tastings.
- Experiences: Guided hikes, surf lessons or city tours.
Leverage Guestfier to streamline and upsell
Guestfier integrates seamlessly with Airbnb and other vacation‑rental platforms. According to the company’s site, it connects hosts and guests on a single platform: hosts manage bookings and sell products or services, while guests receive a unique link with everything they need. Here’s how Guestfier helps maximize earnings:
- Digital shop for add‑ons: Hosts can sell snacks, drinks, souvenirs and local experiences. The system also supports upsells like cleaning services, airport rides or breakfast. Selling extras increases revenue without raising nightly rates.
- Centralized dashboard: Guestfier lets you manage inventory and keep everything organized. You can track bookings, orders and payments across multiple properties.
- Automated guest communications: Each booking includes a unique link containing stay details, digital shop and local recommendations. Guests can easily buy add‑ons with one click, leading to more satisfied guests.
- Convenient payments: Guests can pay instantly via credit/debit card, PayPal, Venmo or Zelle, and the host receives notifications.
- Clear financial reports: The platform separates lodging revenue from upsell revenue and provides real‑time insights.
By adopting Guestfier, hosts can automate routine tasks, improve guest satisfaction and generate additional revenue from every booking—all of which contribute to higher overall income.
7. Real‑World Examples
Example 1: Family condo in Kissimmee, Florida
Sarah owns a one‑bedroom condo near Walt Disney World. Kissimmee tops the Airbtics monthly revenue list at $2,607 per month. Sarah listed her property on Airbnb with an average nightly rate of $130 and an occupancy around 65 %. She used Guestfier to offer shuttle rides to Disney, local snack bundles and late checkout. These upsells added roughly $400 per month, bringing her total revenue to about $3,000 per month after platform fees. Seasonal peaks during school holidays pushed monthly revenue even higher.
Example 2: Luxury villa in Maui, Hawaii
Jason invested in a four‑bedroom villa on Maui, where Airbtics reports a 79 % occupancy rate, $329 ADR and annual revenue of about $96,052. He charges $450 per night during high season and $300 during off‑season. Using Guestfier, Jason sells private chef dinners, surf lessons and massage packages. These add‑ons generate an extra $1,500–$2,000 per month, pushing annual revenue past $120,000. Despite strict regulations and high property taxes, the combination of high nightly rates and upsells makes Maui extremely profitable.
Example 3: Urban loft in Chicago, Illinois
Maria purchased a two‑bedroom loft in downtown Chicago. The Airbtics table lists Chicago with a 65 % occupancy and $151 ADR and $36,815 in annual revenue. She invested in quality furniture, fast Wi‑Fi and a workstation to attract business travelers. Chicago’s strong “bleisure” market means guests mix work and tourism. Maria partners with local tour companies via Guestfier to offer architecture river cruises and deep‑dish pizza tours. Upsells contribute $300 per booking on average, increasing her net income by roughly 15 %. By maintaining excellent reviews, she achieved Superhost status and now earns above the city average.
Example 4: Budget-friendly home in Houston, Texas
In Houston, a lenient regulatory environment and lower property prices make Airbnb investments accessible. Airbtics shows that Houston properties average 59 % occupancy, $128 ADR and $28,465 annual revenue. Tim and Lisa bought a three‑bedroom home near the Medical Center and aimed for affordability. They set a nightly rate of $150 and offered free parking. Occupancy reached 70 % because of proximity to hospitals and universities. Tim used Guestfier to offer airport transfers and grocery delivery, yielding an extra $200 per booking. After expenses, the property nets about $35,000 per year—higher than the Airbtics estimate due to strategic upselling and longer stays.
8. Tips for Success
- Research intensively: Use data from sources like Airbtics, Mashvisor and Hospitable to compare occupancy rates, ADRs and regulations before buying a property.
- Focus on guest experience: Superhosts earn nearly 30 % more than regular hosts. Respond quickly, exceed expectations and personalize recommendations.
- Use dynamic pricing: Adjust rates based on demand, events and seasonality to maximize revenue without sacrificing occupancy.
- Offer upsells: Add‑on services drive extra income. Guestfier makes it easy to create a digital shop for snacks, tours and extras.
- Stay compliant: Follow local regulations, collect taxes when required and file appropriate forms (Schedule E or C).
- Track expenses: Keep detailed records of income and costs (cleaning, utilities, mortgage interest). These records are essential for tax deductions.
- Diversify platforms: While Airbnb dominates, cross‑listing on Vrbo or Booking.com can fill gaps, especially in off‑season.
Conclusion – Your Path to Airbnb Profitability
The question “how much can you earn by advertising on Airbnb in the United States” has no single answer—earnings range from a few thousand dollars a year to over $100,000 depending on location, property type, management practices and hospitality. Nationally, the typical U.S. host earns about $14,000 per year, but cities like Kissimmee and Maui show how strategic investments and excellent management can yield $3,000–$8,000 per month.
By understanding occupancy rates and ADRs, optimizing pricing, providing exceptional experiences and leveraging upsell platforms like Guestfier, you can significantly increase your Airbnb income. Remember to account for taxes, local regulations and operating costs. With data‑driven planning and the right tools, hosting on Airbnb can be a lucrative side hustle or full‑time business.
Take the next step toward financial freedom. Use this special Airbnb host referral link to register as a host today. Then connect your listing to Guestfier to manage bookings, upsell experiences and delight guests. More revenue, happier guests—what are you waiting for?
