California, with its diverse landscapes and vibrant cities, offers excellent opportunities for short-term rental investors. From scenic coastal destinations to bustling urban areas, these markets provide strong investment potential.
Our latest tool, Chalet Intel, provides comprehensive insights and strategies tailored to investors at all experience levels. It includes a calculator, regulation overview, and much more for each market discussed. Links will be provided for each market, allowing you to conduct a more detailed analysis on your own.
1. Coachella, California
Coachella, CA, known for its annual music festival, is also a gateway to Joshua Tree National Park, attracting a large number of tourists throughout the year.
Coachella has seen a 4.10% increase in home values, with the average price now at $412,875. This market thrives with an ADR of $462.00 and an occupancy rate of 51%, translating to an annual revenue of $74,207 from 433 active rentals. The gross yield here is 14.98%, with a cap rate of 8.99%.
Check out our Coachella Airbnb Investor Guide for a deeper dive into our analysis of this short-term rental market or visit Coachella Rental Regulations to explore the Airbnb laws and regulations.
2. Joshua Tree, California
Joshua Tree, CA, is renowned for its namesake national park, featuring unique desert landscapes and rock formations that draw outdoor enthusiasts year-round.
Joshua Tree has seen a notable decrease in home values by -10.20%, with the average price at $385,941. The market shows promise with an ADR of $189.00 and an occupancy rate of 55%, generating annual revenues of $43,880 from 1,362 active rentals. The gross yield stands at 9.47%, with a cap rate of 5.68%.
Discover more about investing in Joshua Tree through Chalet Intel.
