Introduction
Lexington, Kentucky, often referred to as the “Horse Capital of the World,” is a city known for its rich history, scenic landscapes, and vibrant culture. Over the years, the city has become a popular destination for tourists and travelers seeking a taste of Southern charm. With the rise of Airbnb and other short-term rental platforms, Lexington’s housing market has witnessed significant changes. In this blog post, we will delve into the short-term rental market in Lexington, exploring key data points and providing insights for both hosts and travelers.
The Real Estate Landscape
Property Depreciation
According to Zillow, homes in Lexington experienced a 7.00% depreciation, making it an attractive market for potential real estate investors looking for affordable properties.
Median Home Value
The median home value in Lexington, KY, stands at $292,304, offering a range of options for short-term rental property investments.
Airbnb in Lexington
Active Short-Term Rentals
Chalet reports a staggering 1,026 active short-term rentals in Lexington, showcasing the popularity of this market among property owners.
Average Daily Rate
The average daily rate for short-term rentals in the city is $229.30, making it a competitive market for hosts looking to maximize their rental income.
Occupancy Rate
Chalet also reveals an occupancy rate of 49%, indicating consistent demand for short-term rental properties throughout the year.
Annual Revenue
Hosts in Lexington can expect an annual revenue of approximately $33,400 from their short-term rental properties.
Gross Yield
The average gross yield for short-term rentals in Lexington is an attractive 11.43%, making it a lucrative investment opportunity.
Property Tax
SmartAsset reports an average property tax rate of 0.89%, which can be a factor for property owners to consider when operating short-term rentals.
