Airbnb Market Analytics & Investment Insights
Annual Revenue
$69,239
Based on 3500 full time Airbnb rentals
Average Daily Rate
$652
Gross Yield
10.74%
#57 in the USOccupancy Rate
50%
Place a Palm Springs, CA Airbnb in service before 12/31 and claim 100% bonus depreciation.
Yes — operating a short-term rental in Palm Springs, CA can be highly profitable. Palm Springs, CA Airbnb listings sees consistent guest demand, with Airbnb hosts earning an average annual revenue of $69,239 and achieving a 50% occupancy rate. With around 3,500 active vacation rentals on the market, Palm Springs, CA offers strong opportunity for investors while still avoiding the oversaturation seen in some larger U.S. cities.
According to Zillow's Home Value Index Methodology, homes in Palm Springs, CA have depreciated by -4.27% over the last year.
As of August 2025, the Zillow Home Value Index shows a typical home value of $644,963 in Palm Springs, CA.
There are 3,500 active short-term rentals, with an average daily rate of $652, resulting in an approximate annual revenue of $69,239 per property.
From the occupancy rate standpoint and demand data, March, February, and November are the top performing months in Palm Springs. The occupancy rate in March is 72% and average daily rate is $677. The occupancy rate in February is 66% and average daily rate is $801. The occupancy rate in November is 62% and average daily rate is $529.
Palm Springs, CA is considered Investor-Friendly for short-term investments. See Palm Springs, CA Rental Regulations for more information.
Average Daily Rate Trend
$652
Occupancy Rate Trend
50%
Monthly Occupancy Rate Trend
62%
Monthly Average Daily Rate Trend
$821
Let our agents guide you to the best short-term rental investments in Palm Springs, CA
Active Short-Term Rentals
3,500
Before setting up an Airbnb in Palm Springs, CA, it's essential to review the city's short-term rental regulations. Platforms like Airbnb and Vrbo are popular inPalm Springs, CA, but hosts should understand how local policies may apply to their property.
Overall, Palm Springs, CA's regulations are considered relatively host-friendly, though certain neighborhoods may be subject to zoning restrictions. In some cases, property owners may need to register their rental with the city and comply with limits on the number of permits a single host can hold. Additionally, short-term rental operators are required to pay local lodging and Airbnb-related taxes to remain compliant.
For a complete breakdown, visit our guide to Airbnb laws in Palm Springs, CA
Short-term rentals in Palm Springs, CA offer an average gross yield of 10.74%, with a typical property tax of 0.86%—source: SmartAsset Property Tax Calculator.
The median household income in Palm Springs, CA is $0.
The occupancy rate for Airbnb rentals in Palm Springs, CA is 50%, which is lower than the average occupancy rate for the United States of 54%.
The most popular type is 3-bedroom with an average daily rate of $675 and an average yearly revenue of $135,430.
Unemployment in Palm Springs, CA is 4.9%, which is higher than the U.S. average of 4.1%.
Discover the leading hosts in Palm Springs, CA ranked by guest ratings and active listings. These hosts combine scale with exceptional guest satisfaction, setting the benchmark for success.
Michael Edward leads the market with 142 active listings and maintains an exceptional 4.90 average guest rating.
Vacasa California leads the market with 111 active listings and maintains an exceptional 4.48 average guest rating.
Poolside Vacation Rentals leads the market with 90 active listings and maintains an exceptional 4.99 average guest rating.
These top performers serve as benchmarks for what drives success in Palm Springs, CA's competitive short-term rental scene. Their strategies combine operational efficiency with outstanding guest experiences, making them the gold standard for aspiring hosts and property managers in the area.
10 hosts available
Palm Springs, CA is a popular destination for travelers, with Airbnb demand coming from cities like Los Angeles (15.48% of all guests), San Francisco (5.03% of all guests), and San Diego (4.18% of all guests).
The average booking lead time for short-term rentals in Palm Springs, CA is 75 days.
The top short-term rental hosts in Palm Springs, CA include Michael Edward, Vacasa California and Poolside Vacation Rentals. These hosts have an average rating of 4.90, 4.48 and 4.99 respectively.
Bedrooms | Listings | Occupancy | Average Daily Rate | Annual Revenue |
---|---|---|---|---|
Studio | 13 | 46% | $157.89 | $26,510 |
1 Bedroom | 589 | 61% | $309.52 | $68,915 |
2 Bedroom | 591 | 61% | $379.94 | $84,594 |
3 Bedroom | 1263 | 55% | $674.62 | $135,430 |
4 Bedroom | 623 | 52% | $939.41 | $178,300 |
5 Bedroom | 135 | 50% | $1446.37 | $263,963 |
Looking for the most profitable areas to invest in Palm Springs, CA short-term rentals? These neighborhoods stand out for strong returns and steady demand.
These top-performing neighborhoods combine solid occupancy with competitive daily rates, making them some of Palm Springs, CA's most promising Airbnb investment opportunities. Their success serves as a benchmark for what drives profitability in the local market.
Explore detailed analytics for every neighborhood in Palm Springs, CA. Click on any zipcode to view comprehensive data including occupancy rates, revenue projections, and investment potential.
Rank | Neighborhood (Zipcode) | Gross Yield | Annual Revenue | Active Listings | Median Home Value |
---|---|---|---|---|---|
1 | 92262 | 4% | $29,986 | 3,086 | $677K |
2 | 92262 | 4% | $29,986 | 3,086 | $677K |
3 | 92264 | 4% | $22,275 | 1,952 | $608K |
4 | 92264 | 4% | $22,275 | 1,952 | $608K |
Zipcode Analytics
Click on any zipcode to view detailed analytics for that area. Data includes occupancy rates, seasonal trends, and investment projections.
Thinking about investing in a Palm Springs, CA short-term rental? Chalet Airbnb revenue calculator helps you quickly estimate how much you could earn in any neighborhood across the city. Get instant, data-backed insights into occupancy, daily rates, and annual revenue to identify the most profitable Airbnb opportunities in Palm Springs, CA.
Calculate Your Income PotentialConnect with a lender specializing in short-term rentals in Palm Springs, CA
Disclaimer
This page and the data presented are for informational purposes only. The information provided should not be construed as financial, legal, or investment advice. Market conditions can change rapidly, and past performance does not guarantee future results. Always consult with qualified professionals before making investment decisions.