Phoenix, AZ Short-Term Rental ROI Calculator
Analyze your Airbnb investment with live Phoenix market data. Pre-populated with real ADR, occupancy, and revenue benchmarks.
Investor Quick Take
Strengths
- Competitive ADR — $189/night market rate
- Active market — 9,800+ active listings
Risks
- High seasonality — significant off-season revenue drop
- Moderate regulation — registration or permit required
Moderate Market
Based on ADR, occupancy, and supply metrics
Phoenix is a desert market with 55% average occupancy and $189 ADR.
We've pre-populated this calculator with Phoenix's market averages. Adjust the values to match your specific property.
Phoenix Short-Term Rental Market Overview
Phoenix's warm, dry climate and stunning desert landscape attract visitors seeking outdoor adventure, wellness retreats, and luxury experiences. The inverse seasonality — peak demand from October through April, slower in the intense summer heat — actually benefits long-term investors by avoiding the maintenance wear of summer vacation rushes.
The average STR in Phoenix generates approximately $37,900 in annual revenue, with an average daily rate of $189 and a 55% occupancy rate across the year. These metrics position Phoenix as an accessible entry-point STR market — particularly attractive to investors seeking premium nightly rates with a concentrated peak season.
Active listings in Phoenix grew by 14% year-over-year, currently sitting at approximately 9,800 active STR units. This moderate growth rate suggests a market finding equilibrium between supply and demand, which typically supports stable occupancy and ADR. Investors should track supply trends quarterly using tools like AirDNA or Rabbu before committing capital.
Key considerations for Phoenix investors: regulatory risk is rated moderate — Phoenix requires registration or permits for STR operators. Compliance is manageable but adds time and cost to the investment process. Property management costs, cleaning turnover for short stays, and platform fee optimization are the primary levers operators use to improve net margin in this market.
Market Metrics
Phoenix Airbnb Revenue by Property Size
| Property Size | Avg ADR | Avg Occupancy | Avg Annual Revenue | Est. Cap Rate Range |
|---|---|---|---|---|
| Studio | $95 | 55% | $19K | 2.0–2.7% |
| 1BR | $136 | 55% | $28K | 2.9–4.0% |
| 2BR | $204 | 55% | $42K | 4.5–6.0% |
| 3BR | $280 | 55% | $60K | 6.3–8.5% |
| 4BR+ | $397 | 55% | $85K | 9.0–12.1% |
Phoenix STR Revenue Calendar
Seasonal Insight: Peak season runs February, March, and January. Expect up to 48% higher revenue during peak months. Plan for August and July as your slowest period — approximately 48% below the annual average.
Is Phoenix a Good Market for Short-Term Rentals?
Why investors choose Phoenix
- ✓Solid revenue potential: market average of $37,900 per year with upside for well-managed properties
- ✓Reliable occupancy: 55% market average provides predictable income baseline
- ✓Premium pricing power: Phoenix's destination appeal supports $189/night average — significantly above national STR average of ~$180
- ✓Growing market: 14% annual listing growth signals strong investor and visitor confidence
Key risks to consider
- !Permit requirements: Phoenix requires STR registration — add compliance costs and timeline to your underwriting
- !Moderate seasonality: revenue varies materially by month — budget conservatively for shoulder and off-peak periods
Phoenix STR Regulatory Overview
ModeratePhoenix requires STR registration and strictly enforces nuisance ordinances. Arizona's state preemption law protects the right to rent but Phoenix has implemented significant neighbor complaint and safety requirements.
Key Requirements
- ·City STR registration required
- ·State transaction privilege tax
- ·Nuisance ordinance compliance (noise, parking, occupancy limits)
- ·Annual renewal
Source: City of Phoenix Planning & Development · Last verified: 2026-01. Regulations change frequently — always verify current requirements with local authorities before investing.
Compare Phoenix to Similar Markets
View market →
View market →
View market →
| Metric | Phoenix | Scottsdale | Sedona | Tucson |
|---|---|---|---|---|
| ADR | $189 | $267 | $398 | $142 |
| Occupancy | 55% | 58% | 71% | 52% |
| Avg Revenue | $38K | $57K | $103K | $27K |
| Median Home Value | $445K | $765K | $895K | $295K |
| Regulatory Risk | Moderate | Moderate | Low | Low |
Phoenix Short-Term Rental FAQs
Is Phoenix a good market for short-term rentals?+
Phoenix, AZ is an accessible US STR markets. With an average daily rate of $189 and 55% occupancy, the average listing earns approximately $37,900 per year. Market performance varies significantly by property type, location within the city, and management quality — this calculator helps you model your specific scenario.
What is the average Airbnb income in Phoenix?+
The average STR listing in Phoenix generates approximately $37,900 in gross annual revenue at a $189 average daily rate and 55% occupancy. Top-performing listings with premium amenities, strong reviews, and professional management can earn 30–50% above the market average. After platform fees (3–5%), cleaning costs, and other expenses, net revenue typically ranges 60–75% of gross.
What occupancy rate can I expect for an Airbnb in Phoenix?+
The market-average occupancy in Phoenix is approximately 55%. New listings typically underperform the market average for the first 3–6 months while accumulating reviews. Properties with professional photography, competitive pricing, and consistently high ratings can reach 67–73% occupancy. This market is moderately seasonal — plan for meaningful variation between peak and off-peak months.
What are the STR regulations in Phoenix?+
Regulatory risk in Phoenix is rated Moderate. Phoenix requires STR operators to register and/or obtain permits. The process is manageable but adds cost and lead time. Check with local authorities for current requirements. Regulations change frequently; always confirm current rules with local authorities.
What type of property performs best as an Airbnb in Phoenix?+
In Phoenix, the highest-performing STR properties are typically 2–3 bedroom homes with private pools. Guests in Phoenix prioritize privacy, unique ambiance, and well-equipped spaces. The most efficient segment by revenue-per-dollar-invested is typically the 2-bedroom category.
What is the best season for Airbnb in Phoenix?+
Phoenix sees peak STR demand during October through April. During peak season, top properties can command rates 48% above their annual average. The off-peak period sees materially lower rates and occupancy — conservative underwriting should assume 40–50% of peak revenue during the slowest months.
How much does it cost to buy an STR investment property in Phoenix?+
The median home value in Phoenix is approximately $445,000. With a 20% down payment, you'd invest roughly $102K in cash (including closing costs and setup). At the market-average revenue of $37,900/year, a property at median value would generate a gross revenue yield of approximately 8.5%. Use this calculator to model your specific purchase price, financing terms, and expense assumptions.
How does Phoenix compare to other STR markets?+
Phoenix offers accessible entry points relative to premium coastal markets. The $189 ADR is near the national STR average of roughly $185. For comparison, markets like Aspen and Malibu exceed $450 ADR but require significantly higher acquisition costs. Phoenix offers a lower barrier to entry with reliable occupancy fundamentals.
Ready to run your numbers?
← Browse all marketsUse main calculator →