Introduction
In recent years, the short-term rental market in Little Rock, Arkansas, has seen a significant surge in popularity. With its unique blend of culture, history, and natural beauty, this charming southern city has become a hot spot for travelers seeking comfortable and convenient accommodation options. In this blog post, we will delve into the thriving Airbnb and short-term rental scene in Little Rock, exploring key data points and answering important questions about the city’s market.
Understanding the Market
Home Values and Depreciation
According to Zillow, the median home value in Little Rock stands at $205,937. Homes in the area have experienced a modest depreciation rate of 2.00%. This data indicates that property values in Little Rock remain relatively stable, making it an attractive destination for real estate investors looking to tap into the short-term rental market.
Short-Term Rental Landscape
Chalet reports that there are currently 539 active short-term rentals in Little Rock, showcasing the city’s growing popularity among hosts. The average daily rate for these rentals is $144, with an occupancy rate of 52%. Annually, these short-term rentals generate a total revenue of $20,900, highlighting the lucrative nature of the market.
Supply Trends
The average gross yield for short-term rentals in Little Rock stands at an appealing 10.15%.
Property Taxes
For potential investors, it’s crucial to consider property taxes. According to SmartAsset, the average property tax rate in Little Rock is 0.68%. Understanding these financial aspects is essential for anyone looking to enter the short-term rental market.
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Exploring Little Rock
Now that we’ve covered the data points related to the Airbnb and short-term rental market, let’s delve into some key aspects of Little Rock to provide a holistic view.
Median Household Income
The median household income in Little Rock, AR, is an important indicator of the economic environment. It helps gauge the spending capacity of potential renters and tourists.
Climate
Little Rock experiences a humid subtropical climate with hot summers and mild winters. Understanding the climate can help hosts determine the best times for rental availability.
Population
The population size of Little Rock plays a role in determining the potential customer base for short-term rentals. More residents often mean more opportunities for rental income.
Sports Teams and Colleges
Knowing the local sports teams and colleges is beneficial for hosts. Visitors attending games or college-related events may seek short-term accommodations.
Crime Rate
Safety is a top concern for travelers. Understanding the crime rate in Little Rock is essential for both hosts and guests.
Visitor Demographics
Knowing where visitors are coming from and the total number of visitors to Little Rock can help hosts tailor their listings to meet the needs of their target audience.
Tourist Attractions
Highlighting the city’s biggest tourist attractions in your listing can attract more guests. Little Rock boasts several noteworthy sites, and hosts can capitalize on these.
Peak Season
Identifying the peak tourist season in Little Rock allows hosts to adjust their pricing and availability for maximum profitability.
Conclusion
The Airbnb and short-term rental market in Little Rock, AR, is thriving, with promising data points that attract both seasoned investors and newcomers to the industry. Understanding the city’s unique characteristics and catering to the needs of its visitors are key to success in this dynamic market. Whether you’re a host looking to expand your portfolio or a traveler seeking a memorable stay, Little Rock’s short-term rental scene has something to offer for everyone.
