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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Bay City presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.
Bay City, TX is a small coastal-region market with 51 active Airbnb listings and an average daily rate of $243, slightly below the Texas state average of $276. The market shows pronounced seasonality, with summer months driving the strongest revenue, while annual earnings average $21,233 per listing. A 138% year-over-year increase in active listings signals growing investor interest, though occupancy at 19% sits well below the 33% state average — making selective deal sourcing essential for anyone entering this market.
According to Rabbu market data, the Bay City short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 51 |
| Average Daily Rate (ADR) | vs. $276 state avg. | $243 |
| Average Occupancy Rate | vs. 33% state avg. | 19% |
| RevPAN | ADR * Occupancy Rate | $45 |
| Average Monthly Revenue | Historical 12-month average | $1,769 |
| Average Annual Revenue | Historical 12-month average | $21,233 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026.
Investors are drawn to Bay City for its relatively affordable home values and waterfront appeal, though the market requires careful property selection given below-average occupancy and increasing competition.
Key investment factors
"Bay City presents a competitive but challenging opportunity for STR investors. The market's ROI score of 41 out of 100 reflects average revenue-to-price ratios paired with below-average occupancy stability and supply/demand balance. Seasonality is a defining characteristic — revenue swings from a low of $713 in December to a peak of $3,129 in July, meaning investors need to plan for significant cash flow variability across the year. The sweet spot appears to be larger 3-bedroom properties that can command $310 nightly rates and generate roughly $31,743 annually, but even these require strategic pricing and strong amenity packages to compete in a market where supply has more than doubled year over year."
— Rabbu Market Analysis Team
Bay City exhibits sharp seasonality, with July ($3,129) delivering roughly four times the revenue of the slowest month, December ($713). A secondary spring bump in March ($2,216) and sustained summer strength through August ($2,144) define the peak earning window, while November through January represent the off-season trough that investors should budget around.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$800 |
| February |
|
$1,447 |
| March |
|
$2,216 |
| April |
|
$1,341 |
| May |
|
$1,993 |
| June |
|
$2,692 |
| July |
|
$3,129 |
| August |
|
$2,144 |
| September |
|
$1,664 |
| October |
|
$2,159 |
| November |
|
$931 |
| December |
|
$713 |
Supply is fairly evenly distributed across 1-bedroom (12 listings), 2-bedroom (17), and 3-bedroom (16) properties, with 2-bedrooms holding a slight edge. The relatively balanced breakdown means no single property size dominates, though the absence of 4+ bedroom listings could signal either limited demand for larger groups or an underserved niche worth exploring.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
12 |
| 2 bedrooms |
|
17 |
| 3 bedrooms |
|
16 |
ADR scales steeply with property size in Bay City: 3-bedroom listings command $310 per night — more than double the $135 rate for 1-bedrooms. The jump from 2-bedrooms ($199) to 3-bedrooms represents a $111 premium, suggesting that larger properties with the right amenities can capture significantly higher nightly rates in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$135 |
| 2 bedrooms |
|
$199 |
| 3 bedrooms |
|
$310 |
Three-bedroom properties deliver the strongest RevPAN at $58, outpacing 2-bedrooms ($36) and 1-bedrooms ($23) by a wide margin. This indicates that despite similar occupancy rates across sizes, the ADR premium on larger units translates directly into better revenue per available night — a key efficiency metric for investors.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$23 |
| 2 bedrooms |
|
$36 |
| 3 bedrooms |
|
$58 |
Occupancy rates are remarkably flat across property sizes, ranging from 17% for 1-bedrooms to 19% for both 2- and 3-bedroom units. This uniformity suggests that demand limitations are market-wide rather than size-specific, reinforcing that revenue differentiation in Bay City comes primarily from nightly rate rather than booking frequency.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
17% |
| 2 bedrooms |
|
19% |
| 3 bedrooms |
|
19% |
Three-bedroom listings stand out as the top monthly earners at $2,645, more than double the $1,100 that 2-bedroom properties generate. Interestingly, 1-bedrooms ($1,264) slightly outperform 2-bedrooms on a monthly basis, possibly due to pricing efficiency or a more targeted guest demographic.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$1,264 |
| 2 bedrooms |
|
$1,100 |
| 3 bedrooms |
|
$2,645 |
At $31,743 annually, 3-bedroom properties generate roughly 2.4 times the revenue of 2-bedrooms ($13,210) and over twice that of 1-bedrooms ($15,179). For investors targeting the strongest absolute return potential in Bay City, 3-bedroom configurations clearly offer the most compelling revenue profile relative to other available sizes.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$15,179 |
| 2 bedrooms |
|
$13,210 |
| 3 bedrooms |
|
$31,743 |
Kitchens (98%), self check-in (84%), and BBQ grills (82%) are near-universal among Bay City listings, reflecting a guest base that expects a self-sufficient, outdoor-oriented stay. Waterfront access appears in 65% of listings — a notable differentiator that aligns with the area's coastal appeal — while pools and lake access remain rare at just 10%, potentially offering a competitive edge for properties that include them.
| Amenity | Trend | Value |
|---|---|---|
| Kitchen |
|
98% |
| Self Check-in |
|
84% |
| BBQ Grill |
|
82% |
| Parking |
|
80% |
| Washer |
|
78% |
| Patio or Balcony |
|
78% |
| Backyard |
|
73% |
| Outdoor Furniture |
|
71% |
| Dryer |
|
69% |
| Waterfront |
|
65% |
| Pets |
|
57% |
| Workspace |
|
37% |
| Lake Access |
|
10% |
| Pool |
|
10% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Bay City Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Average | 40% |
| Occupancy Stability | Below average | 30% |
| Market Growth Trend | Average | 15% |
| Supply/Demand Balance | Below average | 15% |
Bay City's ROI score of 41 out of 100 places it in the Competitive Opportunity band, reflecting a market where investor interest is real but returns demand more careful execution. The score draws on an average revenue-to-price ratio, below-average occupancy stability (19% vs. 33% state average), average market growth trends, and a below-average supply/demand balance driven by the 138% surge in new listings. Investors should pair these metrics with thorough local regulatory research and conservative cash flow modeling to identify properties that can outperform the market average.
Understanding local STR regulations is essential before investing in Bay City. Here's the current regulatory landscape:
Short-term rental operators in Bay City, TX may be required to obtain permits or register with local authorities before listing their property. Investors should verify current permit requirements directly with the City of Bay City and Matagorda County, as regulations can change.
Common STR restrictions in Texas communities can include occupancy limits, minimum stay requirements, noise ordinances, and parking regulations. HOA rules may also impose additional limitations on short-term rental activity, so investors should review any applicable deed restrictions or community covenants before purchasing.
Texas requires short-term rental operators to collect and remit state hotel occupancy tax, and local jurisdictions may impose additional occupancy or tourism taxes. Major booking platforms often handle tax collection on behalf of hosts, but operators should confirm their specific obligations with the Texas Comptroller's office.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Bay City can provide current regulatory guidance.
Financing an Airbnb investment in Bay City requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Bay City's STR market is likely to remain highly seasonal, with peak demand concentrated in June and July where monthly revenue can exceed $2,600–$3,100. The rapid supply growth (138% year-over-year) may put additional downward pressure on occupancy unless demand keeps pace, so investors should anticipate occupancy rates hovering in the 17–22% range. ADR could hold steady or see modest 1–3% adjustments as the market matures, but larger properties — particularly 3-bedrooms — appear better positioned to capture the limited demand at premium nightly rates."
— Rabbu Market Analysis Team
Rabbu provides Airbnb and short-term rental market data and statistics across the United States. Our mission is to empower investors with accurate insights and easy-to-use tools, so they can confidently identify and act on the best opportunities in the Airbnb market.
Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026. Revenue projections are estimates based on comparable properties and do not guarantee future performance. Data reflects trailing 12-month historical averages and may not capture very recent market shifts. Local regulations, HOA rules, and tax obligations vary and should be independently verified before investing.
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