Chattanooga, TN Airbnb Market Data, Statistics, and Occupancy Rates

Chattanooga Short-Term Rental Market Overview

Chattanooga's short-term rental market presents an attractive entry point for investors, with 623 active Airbnb listings generating an average annual revenue of $27,323. The market's ADR of $169 sits well below the Tennessee state average of $309, keeping acquisition and pricing accessible, while occupancy holds at 30% — just above the state benchmark. Above-average occupancy stability paired with reasonable property values (averaging $507,232) creates a compelling revenue-to-cost equation for investors willing to target the right property sizes.

Key Market Statistics

According to Rabbu market data, the Chattanooga short-term rental market shows:

Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026.

Why Investors Consider Chattanooga

Chattanooga appeals to investors because it blends above-average occupancy stability with moderate property prices relative to revenue potential across a diverse range of property types.

Expert Market Assessment

"With an ROI score of 60 out of 100, Chattanooga lands in the "Attractive Opportunity" tier — a market where healthy demand and reasonable property prices converge without the extreme competition seen in Tennessee's pricier destinations. Seasonality is evident: revenue peaks sharply in July at $3,028 and dips to $1,302 in January, so investors should plan for a roughly 2.3x swing between peak and off-peak months. Larger properties significantly outperform on a revenue basis, with 6+ bedroom homes earning over four times what a one-bedroom generates annually. The balanced supply-demand dynamics and above-average occupancy stability make this a market worth serious consideration for investors who can weather the quieter winter months."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Chattanooga

Average revenue by month in Chattanooga

Chattanooga's revenue cycle peaks in July at $3,028 and bottoms out in January at $1,302, producing a seasonal spread of over $1,700. The May-through-October stretch consistently delivers above-average returns, while the winter months (December through February) represent the softest period — investors should budget for this roughly 2.3x seasonal swing.

Active Airbnb listings by property size in Chattanooga

One-bedroom properties dominate supply with 218 listings (35% of the market), followed by 2-bedrooms at 174 and 3-bedrooms at 136. Larger properties are notably scarce — only 14 five-bedroom and 7 six-plus-bedroom listings exist — which may represent an opportunity for investors willing to acquire bigger homes in a less competitive segment.

Average daily rate (ADR) by property size in Chattanooga

ADR scales steeply with size in Chattanooga: studios command $100 per night while 6+ bedroom homes reach $485, nearly a 5x premium. The sharpest ADR jump occurs between 3-bedroom ($195) and 4-bedroom ($283) properties, suggesting that crossing the 4-bedroom threshold unlocks substantially higher nightly pricing power.

Average RevPAN by property size in Chattanooga

RevPAN climbs consistently with property size, from $33–$34 for studios and 1-bedrooms up to $101 for 6+ bedroom properties. This steady escalation, even as occupancy dips for larger units, confirms that the ADR premium on bigger homes more than compensates for their lower fill rates.

Average occupancy rates by property size in Chattanooga

Studios and 2-bedroom units lead occupancy at 35% and 34% respectively, while larger 5-bedroom (20%) and 6+ bedroom (21%) properties stay filled less often. For investors prioritizing consistent booking volume and cash-flow predictability, smaller units offer the most reliable occupancy, though the revenue math often favors larger homes despite lower fill rates.

Average monthly revenue by property size in Chattanooga

Monthly revenue rises sharply with property size: 1-bedrooms average $1,607 while 6+ bedroom homes generate $9,557 — nearly 6x more. The jump from 3-bedroom ($2,988) to 4-bedroom ($4,373) represents a meaningful inflection point where monthly income begins to substantially outpace smaller configurations.

Average annual revenue by property size in Chattanooga

Annualized, 6+ bedroom properties lead at $114,684, dwarfing the $19,286 that 1-bedroom units produce. Four-bedroom homes at $52,487 and 5-bedrooms at $69,271 offer the strongest balance of revenue potential against what is still a relatively thin competitive field in Chattanooga's larger-property segment.

Most common amenities for Airbnb listings in Chattanooga

Parking (97%), self check-in (93%), and a full kitchen (93%) are near-universal among Chattanooga listings, establishing them as baseline guest expectations rather than differentiators. Amenities like hot tubs (11%), pools (8%), and waterfront access (5%) remain rare and could give new listings a competitive edge, while the 63% workspace prevalence signals meaningful demand from remote workers and longer-stay guests.

Understanding Chattanooga's ROI Score: 60/100

Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.

How the ROI Score is Calculated

What This Means for Investors

Chattanooga's ROI score of 60 out of 100 places it in the "Attractive Opportunity" band, driven primarily by above-average occupancy stability and average marks for revenue-to-price ratio, market growth, and supply-demand balance. The above-average occupancy factor is particularly encouraging, suggesting that demand in this market holds up more consistently than in many comparable Tennessee markets. Investors should pair these metrics with local regulatory research and property-level financial modeling to confirm that a specific deal pencils out.

Short-Term Rental Regulations in Chattanooga

Understanding local STR regulations is essential before investing in Chattanooga. Here's the current regulatory landscape:

Permit Requirements

The City of Chattanooga and the State of Tennessee may require short-term rental operators to obtain a permit or register their property before hosting guests. Investors should verify current permit requirements directly with the Hamilton County or Chattanooga city clerk's office, as rules can change.

Key Restrictions

Common restrictions that may apply in Chattanooga include occupancy limits based on the number of bedrooms, minimum-stay requirements in certain zones, noise ordinances, parking provisions, and potential HOA restrictions that could limit or prohibit short-term rental activity. Checking for any local permit caps or neighborhood-specific overlays before purchasing is strongly recommended.

Tax Obligations

Short-term rental operators in Tennessee are typically subject to state and local sales tax, as well as occupancy or tourism taxes. Many booking platforms collect and remit some of these taxes automatically, but hosts should confirm their obligations with the Tennessee Department of Revenue and local tax authorities to ensure full compliance.

Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Chattanooga can provide current regulatory guidance.

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Chattanooga is expected to maintain steady demand, with summer months continuing to drive the bulk of earnings — July historically tops $3,028 in average monthly revenue. ADR growth of 2–4% is a reasonable estimate given the market's average growth trajectory and balanced supply-demand dynamics. Occupancy rates should hold in the 28–35% range depending on property size, with larger homes likely continuing to capture premium nightly rates. Investors should factor in the notable 136% year-over-year growth in active listings, which could temper gains if supply outpaces demand."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Chattanooga, TN

What is the average Airbnb occupancy rate in Chattanooga?

The average Airbnb occupancy rate in Chattanooga is currently 30%, which sits slightly above the Tennessee state average of 29%. Occupancy varies by property size, with studios leading at 35% and 2-bedroom units close behind at 34%, while larger 5-bedroom and 6+ bedroom properties tend to fill around 20–21% of available nights.

How much do Airbnb hosts make in Chattanooga?

On average, Airbnb hosts in Chattanooga earn approximately $2,276 per month or $27,323 per year based on the trailing 12-month performance of active listings. Revenue scales considerably with property size — one-bedroom listings average about $19,286 annually, while 4-bedroom homes bring in around $52,487 and 6+ bedroom properties can reach $114,684 per year. Individual results will vary depending on location, amenities, pricing strategy, and property quality.

Is Chattanooga a good market for Airbnb investment?

Chattanooga scores a 60 out of 100 on Rabbu's ROI Score, placing it in the "Attractive Opportunity" category. The market benefits from above-average occupancy stability and a balanced supply-demand dynamic, with average home values around $507,232. While the revenue-to-price ratio is considered average, investors targeting larger properties (3+ bedrooms) can unlock significantly higher revenue. Pairing data research with local regulatory due diligence is recommended before committing.

What is the average daily rate (ADR) for Airbnb in Chattanooga?

The average daily rate for Airbnb listings in Chattanooga is $169, which is notably lower than the Tennessee state average of $309. ADR increases substantially with property size: studios average $100 per night, 3-bedroom homes command $195, and 6+ bedroom properties reach $485 per night. This pricing structure offers investors flexibility to target different guest segments.

Are short-term rentals legal in Chattanooga?

Short-term rentals do operate in Chattanooga, with 623 active Airbnb listings currently in the market. However, local regulations may require permits, registration, or adherence to specific zoning rules. Investors should verify current requirements with the City of Chattanooga and Hamilton County authorities before purchasing, as STR regulations in Tennessee can vary by municipality and may change over time.

When is peak season for Airbnb in Chattanooga?

Peak season in Chattanooga runs primarily through the summer months, with July delivering the highest average monthly revenue at $3,028. June ($2,586), August ($2,595), and October ($2,578) also perform well, reflecting both summer tourism and fall foliage demand. The slowest months are January ($1,302) and February ($1,407), creating a seasonal spread of more than 2x between peak and off-peak periods.

How many Airbnbs are there in Chattanooga?

As of April 2026, there are 623 active Airbnb listings in Chattanooga. The market has experienced 136% year-over-year growth in active listings, indicating strong investor interest. One-bedroom units make up the largest share with 218 listings, followed by 2-bedroom (174) and 3-bedroom (136) properties, while larger 5-bedroom and 6+ bedroom listings remain relatively scarce.

How is Airbnb revenue calculated in Chattanooga?

The annual and monthly revenue figures shown for Chattanooga are derived from the trailing 12 months of historical booking performance for active comparable Airbnb listings in the market — they are not forward-looking projections. Rabbu averages each comparable listing's actual revenue per available night (RevPAN) by month over the past year, removes regional outliers, and rolls the remaining data up to a market-level historical average. This approach anchors the figures to what hosts have actually earned recently while naturally reflecting seasonal peaks and slower months, since each month uses its own historical performance. Individual results can vary based on property quality, pricing strategy, and operational management.

About Rabbu Market Data

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.

What this data includes

• Regularly updated active Airbnb and STR listing counts for the Chattanooga market
• Average daily rate, occupancy, and RevPAN trends by property size and month
• Annual and monthly revenue estimates based on trailing 12-month historical booking data
• Home value benchmarks sourced from the Zillow Home Value Index (ZHVI)
• Data compiled from multiple providers including Rabbu proprietary analytics for consistency

Sources and disclaimers

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 performance and market conditions as of the dates noted; actual results may differ based on future supply, demand, and regulatory changes. Local short-term rental regulations vary and should be independently verified before making any investment decision.