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

Decatur Short-Term Rental Market Overview

Decatur, TN is a small but compelling short-term rental market that punches above its weight on revenue potential relative to home prices. With an average annual revenue of $51,318 against average home values of $428,969, the revenue-to-price ratio rates above average — a key draw for yield-focused investors. The market is intimate, with just 15 active Airbnb listings, and its waterfront and lake-access amenities suggest demand driven by outdoor recreation and lakeside getaways. Supply growth has been notable (310% year-over-year listing increase), signaling rising investor interest in this Tennessee retreat market.

Key Market Statistics

According to Rabbu market data, the Decatur 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 Decatur

Decatur appeals to investors seeking high revenue yield in a low-competition lakeside market where outdoor recreation sustains seasonal demand.

Expert Market Assessment

"Decatur earns a Standout Opportunity designation with an ROI score of 82 out of 100, driven primarily by its above-average revenue-to-price ratio and favorable supply/demand dynamics. Seasonality is pronounced — July peaks near $7,706 in average monthly revenue while January bottoms out around $491 — so investors need to budget for a significant winter lull. The market's tight supply of 15 listings and strong lake-recreation appeal create a niche where well-managed properties can capture outsized share of summer demand. Occupancy stability is the one area that lags, rating below average at 11%, which underscores the importance of aggressive pricing and marketing during shoulder months."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Decatur

Average revenue by month in Decatur

Decatur's revenue cycle is sharply seasonal, peaking in July at $7,706 and bottoming in January at just $491 — a roughly 15x spread. The warm-weather months of May through October all exceed $4,300, giving investors a solid six-month earning window, while the November-through-March stretch requires careful budgeting for lean cash flow.

Active Airbnb listings by property size in Decatur

All 5 listings with reported size data are 3-bedroom properties, making this the dominant — and currently only visible — property configuration in Decatur. This concentration could signal an opportunity for investors willing to offer differentiated sizes, such as 2-bedroom cabins or larger 4+ bedroom lake houses, to capture underserved demand segments.

Average daily rate (ADR) by property size in Decatur

Three-bedroom properties in Decatur command an ADR of $175, which is below the market-wide average of $263. This gap suggests that larger or more premium listings in the market may be driving the overall ADR up, and investors targeting 3-bedroom units should price competitively while focusing on amenities that justify rate premiums.

Average RevPAN by property size in Decatur

Three-bedroom listings generate a RevPAN of just $11, reflecting the combination of a $175 ADR and a 7% occupancy rate. This underscores that while nightly rates are reasonable, the challenge in this segment lies in driving consistent bookings — particularly during off-peak months.

Average occupancy rates by property size in Decatur

Three-bedroom properties average only 7% occupancy, which is below the already modest 11% market-wide rate. For investors in this size category, maximizing peak-season bookings and experimenting with longer minimum stays or discounted weekly rates during shoulder months will be critical to improving cash-flow consistency.

Average monthly revenue by property size in Decatur

Three-bedroom units bring in an average of $2,365 per month, roughly 55% of the market-wide monthly average of $4,276. This gap indicates that other property types or premium waterfront listings in the market are earning significantly more, and investors should carefully evaluate whether a 3-bedroom configuration aligns with their return targets.

Average annual revenue by property size in Decatur

At $28,391 per year, 3-bedroom properties generate about 55% of the market-wide annual average of $51,318. Investors considering this property size should model returns conservatively, though there may be upside potential in optimizing amenities like lake access and waterfront features that command higher rates.

Most common amenities for Airbnb listings in Decatur

Kitchens appear in 100% of Decatur listings, while BBQ grills, self check-in, and parking each feature in 93% — signaling that these are baseline guest expectations rather than differentiators. Waterfront access (73%) and lake access (67%) confirm the outdoor-recreation focus of this market, and the relatively low prevalence of hot tubs (20%) suggests a potential amenity gap investors could exploit to stand out.

Understanding Decatur's ROI Score: 82/100

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

Decatur's ROI score of 82 out of 100 places it in the Standout Opportunity band, driven by an above-average revenue-to-price ratio and strong supply/demand balance that favor early-mover investors. The one area to watch is occupancy stability, which rates below average and reflects the market's heavy seasonality — winter months can be very quiet. Pairing this data with on-the-ground regulatory research and a conservative off-season budget will give investors the clearest picture of actual return potential.

Short-Term Rental Regulations in Decatur

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

Permit Requirements

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

Key Restrictions

Common restrictions in Tennessee STR markets can include occupancy limits, noise ordinances, parking requirements, and minimum-stay rules. Properties governed by HOAs may face additional covenants that limit or prohibit short-term rentals, so reviewing any applicable deed restrictions is essential before purchasing.

Tax Obligations

Tennessee imposes state and local occupancy taxes on short-term rentals, and hosts may also owe state sales tax. Platforms like Airbnb often collect and remit some of these taxes automatically, but operators should confirm their full obligation with the Tennessee Department of Revenue.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Decatur's STR market is likely to continue attracting new supply as investors recognize its favorable revenue-to-price dynamics. Seasonal patterns suggest revenue could concentrate heavily between April and October, with July remaining the standout month — expect peak-season ADRs to hold steady or tick up 2–4% as lake-oriented demand remains resilient. Occupancy, currently at 11% on average, may face pressure as new listings absorb demand, though the supply/demand balance still rates above average. Investors entering now should plan conservatively around the pronounced off-season dip in January and February, where monthly revenues drop below $600."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Decatur, TN

What is the average Airbnb occupancy rate in Decatur?

The average Airbnb occupancy rate in Decatur is currently 11%, which is notably below the Tennessee state average of 29%. This reflects the market's strong seasonality — lake and outdoor recreation demand drives bookings from spring through fall, while winter months see very limited activity. Investors should factor this seasonal pattern into their financial planning.

How much do Airbnb hosts make in Decatur?

Airbnb hosts in Decatur earn an average of $4,276 per month, or approximately $51,318 per year, based on the trailing 12 months of booking data. Revenue is heavily seasonal, with July topping out around $7,706 and January dipping to roughly $491. Individual results will vary depending on property quality, pricing strategy, and how effectively hosts market during shoulder and off-peak periods.

Is Decatur a good market for Airbnb investment?

Decatur scores 82 out of 100 on Rabbu's ROI Score, placing it in the Standout Opportunity tier. Its above-average revenue-to-price ratio and favorable supply/demand balance make it attractive for investors seeking yield in a small, lake-oriented market. The main consideration is seasonality — occupancy stability is below average, so investors need to be comfortable with a pronounced off-season. That said, the low competition (just 15 active listings) gives well-positioned properties a strong chance to capture demand during peak months.

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

The average daily rate for Airbnb listings in Decatur is $263, compared to the Tennessee state average of $309. For 3-bedroom properties specifically, the ADR is $175. The market-wide average is higher than the 3-bedroom segment because it reflects the full mix of listings, some of which may command premium rates due to size or waterfront positioning.

Are short-term rentals legal in Decatur?

Short-term rentals operate in Decatur, TN, with 15 active Airbnb listings currently on the market. However, local regulations can change, and operators may need permits or registrations at the county or state level. We recommend verifying current rules with Meigs County and the Tennessee Department of Revenue before purchasing or listing a property.

When is peak season for Airbnb in Decatur?

Peak season in Decatur runs from roughly May through October, with July being the highest-revenue month at an average of $7,706. June ($6,488) and October ($5,644) are also strong months. The off-season runs from December through February, when monthly revenues can drop below $600. This pattern aligns with the lake and outdoor recreation demand that drives the local market.

How many Airbnbs are there in Decatur?

There are currently 15 active Airbnb listings in Decatur as of April 2026. The market has seen significant growth, with a 310% year-over-year increase in active listings. Despite this growth, supply remains very low compared to most Tennessee markets, which can benefit hosts through reduced competition during peak demand periods.

How is Airbnb revenue calculated in Decatur?

The annual and monthly revenue figures for Decatur 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 remainder 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 data. 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 Decatur, TN market
• 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 averages as of April 2026 and may not capture very recent market shifts. Local regulations, permit requirements, and tax obligations can change — always verify with local authorities before investing.