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

Dayton Short-Term Rental Market Overview

Dayton, TN is a small but growing short-term rental market with just 19 active Airbnb listings and an impressive 85% year-over-year growth in supply—signaling rising investor interest. With an average daily rate of $198 (well below Tennessee's $309 state average) and average annual revenue of $24,537, this market offers an accessible entry point for investors looking to capitalize on lake-area and outdoor tourism demand at a lower price point.

Key Market Statistics

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

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

Why Investors Consider Dayton

Dayton's combination of affordable property values, above-average market growth, and lake-driven tourism demand makes it an emerging opportunity for STR investors seeking lower barriers to entry in Tennessee.

Expert Market Assessment

"Dayton earns an "Attractive Opportunity" designation with an ROI score of 59 out of 100, reflecting a market where revenue-to-price ratios are reasonable and growth momentum is above average, though occupancy stability trails behind. Revenue follows a clear seasonal curve—January is the softest month at $334, while October peaks at $3,199, creating a nearly 10x swing that rewards hosts who price dynamically. The small supply base of 19 listings keeps competition manageable, but investors should plan for meaningful off-season revenue dips and build reserves accordingly."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Dayton

Average revenue by month in Dayton

Dayton's revenue peaks sharply in October at $3,199 and bottoms out in January at just $334, revealing pronounced seasonality with a nearly 10x spread between the best and worst months. The April-through-October stretch consistently delivers above-average earnings, making dynamic pricing and off-season cost management essential for profitability.

Active Airbnb listings by property size in Dayton

Supply is evenly distributed across 1-, 2-, and 3-bedroom properties with 5 listings each, meaning no single property size dominates the market. This balanced distribution could signal opportunity for investors who can differentiate with larger properties (4+ bedrooms) that are currently absent from the market.

Average daily rate (ADR) by property size in Dayton

ADR ranges narrowly from $112 for 1-bedroom units to $123 for 2-bedrooms, with 3-bedroom listings at $122—indicating that adding bedrooms doesn't command a significant pricing premium in Dayton. Investors targeting higher nightly rates may need to differentiate through amenities or unique property features rather than simply adding bedrooms.

Average RevPAN by property size in Dayton

One-bedroom listings deliver the strongest RevPAN at $48, nearly double the $24 earned by 3-bedroom properties, driven by their significantly higher occupancy rates. This suggests that smaller, more affordable units convert bookings more efficiently in this market, making them attractive for investors prioritizing consistent per-night yield.

Average occupancy rates by property size in Dayton

Occupancy drops steeply as property size increases: 1-bedrooms fill at 43%, 2-bedrooms at 25%, and 3-bedrooms at just 20%. For investors focused on cash-flow stability, smaller units offer meaningfully more consistent bookings, while larger properties may require premium pricing during peak months to compensate for lower fill rates.

Average monthly revenue by property size in Dayton

Three-bedroom properties lead monthly revenue at $2,164 despite their lower occupancy, benefiting from higher total nightly income when booked. One-bedroom and 2-bedroom units earn $1,387 and $1,300 respectively, illustrating that larger properties can still generate more gross revenue even with fewer booked nights.

Average annual revenue by property size in Dayton

Three-bedroom listings generate the highest annual revenue at $25,975, outpacing 1-bedrooms ($16,650) and 2-bedrooms ($15,611) by a wide margin. For investors weighing total return potential against acquisition costs, the 3-bedroom configuration appears to offer the strongest gross revenue, though the lower occupancy should be factored into cash-flow projections.

Most common amenities for Airbnb listings in Dayton

Kitchen and parking are universal (100% of listings), and self check-in (79%), washer/dryer (74%), and outdoor amenities like BBQ grills and patios (68%) are near-standard—signaling that guests expect a home-away-from-home experience. Lake access (26%) and waterfront positioning (21%) are less common and could serve as strong differentiators for listings looking to command premium rates in this outdoor-oriented market.

Understanding Dayton's ROI Score: 59/100

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

Dayton's ROI score of 59 out of 100 places it in the "Attractive Opportunity" band, reflecting a market where revenue relative to property values is reasonable and growth trends are above average—a promising combination for early-stage markets. However, below-average occupancy stability tempers the outlook, meaning investors should build in conservative cash-flow assumptions and plan for seasonal income variability. Pairing this data with thorough local regulatory research and a visit to understand the area's appeal firsthand will help investors make a well-rounded decision.

Short-Term Rental Regulations in Dayton

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

Permit Requirements

Short-term rental operators in Dayton, Tennessee may need to obtain local permits or register their property with Rhea County or city authorities. Investors should verify current permit requirements directly with the City of Dayton and the State of Tennessee before listing a property.

Key Restrictions

Common STR restrictions in Tennessee communities can include occupancy limits, noise ordinances, parking requirements, and minimum stay rules. HOA covenants may impose additional limitations, and some jurisdictions cap the number of active permits—so it's important to review all applicable local and community-level rules before purchasing.

Tax Obligations

Tennessee imposes state and local sales taxes as well as occupancy taxes on short-term rentals, and platforms like Airbnb typically collect and remit a portion of these on behalf of hosts. Investors should confirm their full tax obligations with local and state authorities, as additional county-level assessments may apply.

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

Future Outlook & Long-Term Forecast

"With supply growing at 85% year over year, Dayton's STR market is in an expansion phase that typically precedes stabilization. Over the next 12–18 months, we estimate ADR could hold steady or edge up 1–3% as new listings compete for bookings, while occupancy may settle in the 30–35% range as the market absorbs additional inventory. Seasonal peaks in late summer and fall—particularly October—should continue to drive the strongest revenue months. Investors entering now can position themselves ahead of further supply growth, though monitoring occupancy stability will be critical as more listings come online."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Dayton, TN

What is the average Airbnb occupancy rate in Dayton?

The average occupancy rate for Airbnb listings in Dayton is currently 32%, which slightly exceeds the Tennessee state average of 29%. Occupancy varies significantly by property size, with 1-bedroom units achieving the highest rate at 43%, while 3-bedroom properties average around 20%. Seasonal fluctuations also play a role, so hosts should expect softer bookings during winter months.

How much do Airbnb hosts make in Dayton?

Airbnb hosts in Dayton earn an average of $2,044 per month and approximately $24,537 per year based on trailing 12-month performance data. Revenue varies by property size—3-bedroom listings lead with about $25,975 annually, while 1-bedroom units bring in around $16,650. Monthly earnings fluctuate significantly with seasonality, ranging from roughly $334 in January to $3,199 in October.

Is Dayton a good market for Airbnb investment?

Dayton shows promising short-term rental potential with an ROI score of 59 out of 100, rated as an "Attractive Opportunity." The market benefits from above-average growth trends and reasonable revenue relative to average home values of $404,631. However, occupancy stability is below average, so investors should plan for seasonal income swings and consider properties that can command premium rates during peak months to offset quieter periods.

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

The average daily rate in Dayton is $198, which is significantly below the Tennessee state average of $309. ADR varies modestly across property sizes: 1-bedroom listings average $112, 2-bedrooms come in at $123, and 3-bedrooms average $122. The lower ADR compared to state averages reflects Dayton's positioning as a more affordable, rural-tourism destination.

Are short-term rentals legal in Dayton?

Short-term rentals are generally permitted in Dayton, TN, though operators may need to comply with local permitting, zoning, and tax requirements. Regulations can change, so prospective investors should verify current rules with the City of Dayton and Rhea County authorities, as well as check any applicable HOA restrictions, before purchasing or listing a property.

When is peak season for Airbnb in Dayton?

Peak season in Dayton runs from approximately April through October, with the strongest revenue month being October at $3,199 on average. August ($2,917) and the spring months of April–May ($2,548–$2,616) are also strong performers. The off-season from December through February sees a sharp decline, with January averaging just $334—making seasonal pricing strategies essential for maximizing returns.

How many Airbnbs are there in Dayton?

As of April 2026, there are 19 active Airbnb listings in Dayton. The supply is evenly distributed with 5 listings each for 1-bedroom, 2-bedroom, and 3-bedroom properties. Notably, the market has experienced 85% year-over-year growth in active listings, suggesting increasing investor interest in the area.

How is Airbnb revenue calculated in Dayton?

The annual and monthly revenue figures for Dayton 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. We average each comparable listing's actual revenue per available night (RevPAN) by month over the past year, remove regional outliers, and roll the results 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 window. 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 Dayton and surrounding areas
• Average daily rate, occupancy, and RevPAN trends across property sizes
• Monthly and annual revenue estimates based on trailing 12-month booking performance
• Home value data sourced from the Zillow Home Value Index (ZHVI)
• Amenity prevalence data across active listings to benchmark guest expectations

Sources and disclaimers

Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Apr, 27 2026. Revenue projections are estimates based on comparable properties and do not guarantee future performance. Data reflects trailing 12-month historical performance as of April 2026 and may not capture very recent market shifts. Local regulations, tax requirements, and permit rules can change; investors should verify current rules with municipal and state authorities before purchasing.