Fairhope, AL Airbnb Market Data, Statistics, and Occupancy Rates

Fairhope Short-Term Rental Market Overview

Fairhope, AL earns an ROI score of 61 out of 100, placing it in the "Attractive Opportunity" category for short-term rental investors. With an average daily rate of $288 — well above Alabama's $247 state average — and annual revenue averaging $66,040 across 149 active listings, the market rewards operators who can navigate its pronounced seasonality. The charming Eastern Shore town on Mobile Bay draws leisure travelers, and the above-average revenue-to-price ratio suggests strong income potential relative to local home values.

Key Market Statistics

According to Rabbu market data, the Fairhope 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 Fairhope

Investors are drawn to Fairhope for its above-average revenue-to-price ratio and the premium nightly rates its Gulf Coast charm can command.

Expert Market Assessment

"Fairhope presents a moderately compelling opportunity for investors who can tolerate heavy seasonality and position their properties to capture the summer surge. July revenue tops $16,050 per listing on average, while December bottoms out near $1,365 — a spread that demands careful cash-flow planning. The above-average revenue-to-price ratio and premium ADR are genuine strengths, though the below-average supply/demand balance and rapid listing growth signal increasing competition. Investors targeting 4-bedroom properties or underserved niches will be best positioned to capture outsized returns."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Fairhope

Average revenue by month in Fairhope

Fairhope's revenue curve is heavily seasonal, with July ($16,050) delivering nearly 12 times what December ($1,365) produces. A secondary spring bump in March ($8,068) and strong summer months from June through August account for the bulk of annual income, so investors should budget for lean winters when monthly revenue can dip below $1,500.

Active Airbnb listings by property size in Fairhope

One-bedroom listings dominate supply with 52 of the 149 active listings, while 4-bedroom properties are the scarcest at just 13. The relatively thin supply of larger homes — combined with their superior revenue metrics — may signal an opportunity for investors willing to acquire bigger properties in this market.

Average daily rate (ADR) by property size in Fairhope

ADR climbs steadily from $240 for 1-bedroom units to $379 for 4-bedroom properties, a 58% premium that reflects growing guest willingness to pay for space. The jump from 3-bedroom ($300) to 4-bedroom ($379) is particularly pronounced, suggesting the largest properties capture a meaningful rate premium in Fairhope.

Average RevPAN by property size in Fairhope

Four-bedroom listings lead RevPAN at $155 per available night, more than double the $72 that 1-bedroom units generate, thanks to both higher rates and occupancy. Two-bedroom properties ($100) edge out 3-bedrooms ($92), making them a solid middle-ground option for investors seeking efficiency without the higher acquisition cost of a 4-bedroom home.

Average occupancy rates by property size in Fairhope

Four-bedroom properties achieve the highest occupancy at 41%, while 1-bedroom and 3-bedroom units hover around 30–31%. The 2-bedroom segment sits at 37%, suggesting that larger properties in Fairhope benefit from stronger demand — potentially from families and groups visiting for extended stays.

Average monthly revenue by property size in Fairhope

Monthly revenue ranges from $3,759 for 1-bedroom listings to $9,666 for 4-bedroom properties, a gap of nearly $6,000 per month. The 2- and 3-bedroom categories cluster in the $5,100–$5,600 range, offering moderate returns that track close to the market-wide average of $5,503.

Average annual revenue by property size in Fairhope

At $115,996 per year, 4-bedroom listings generate more than 2.5 times the annual revenue of 1-bedroom units ($45,118), making them the clear top earner in Fairhope. Three-bedroom properties bring in $67,359 annually — closely aligned with the market average — while 2-bedrooms produce $61,572, offering a balanced entry point for investors weighing acquisition cost against income potential.

Most common amenities for Airbnb listings in Fairhope

Parking (98%) and a full kitchen (92%) are virtually table-stakes in Fairhope, followed closely by washer, self check-in, and dryer at around 82%. Outdoor-oriented amenities like patios (73%), outdoor furniture (68%), and backyards (66%) reflect the market's leisure character, while waterfront access (22%) and beach access (9%) remain differentiators that could help listings stand out.

Understanding Fairhope's ROI Score: 61/100

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

With a score of 61 out of 100, Fairhope lands in the "Attractive Opportunity" band, driven primarily by an above-average revenue-to-price ratio that indicates healthy earnings relative to the market's $799,468 average home value. Occupancy stability and market growth trend are rated average, while the supply/demand balance leans below average — a factor worth monitoring given the 131% year-over-year surge in active listings. Pairing this score with on-the-ground regulatory research and a property-specific pro forma will give investors the most complete picture.

Short-Term Rental Regulations in Fairhope

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

Permit Requirements

Operators in Fairhope, Alabama may need to obtain a short-term rental permit or business license before listing a property. Investors should verify current requirements directly with the City of Fairhope and Baldwin County, as local ordinances can change.

Key Restrictions

Common restrictions in markets like Fairhope can include occupancy limits, noise ordinances, parking requirements, and minimum-stay provisions. HOA covenants may impose additional limitations on STR activity in certain neighborhoods, so reviewing deed restrictions before purchasing is strongly advised.

Tax Obligations

Short-term rental hosts in Alabama are generally subject to state lodging tax and may owe local sales or tourism taxes to Baldwin County. Many booking platforms collect and remit some of these taxes automatically, but hosts should confirm their full obligation with a local tax professional.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Fairhope's short-term rental market should continue to benefit from steady leisure demand along the Gulf Coast, though investors should plan for dramatic seasonal swings — July revenue runs roughly 12× higher than December's. Listing supply has grown 131% year over year, which could pressure occupancy rates that already sit at 34%, slightly below Alabama's 38% average. ADR is likely to hold in the $280–$300 range given the market's premium positioning, but new entrants will need sharp pricing strategies during the softer winter months. Occupancy may stabilize around 32–36% as supply growth moderates and the market finds equilibrium."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Fairhope, AL

What is the average Airbnb occupancy rate in Fairhope?

The average occupancy rate for Airbnb listings in Fairhope is currently 34%, which falls slightly below Alabama's statewide average of 38%. Occupancy varies meaningfully by property size — 4-bedroom listings lead at 41%, while 1-bedroom units average around 30%. The market's strong summer seasonality means occupancy spikes during peak months and softens considerably in winter.

How much do Airbnb hosts make in Fairhope?

On average, Airbnb hosts in Fairhope earn approximately $5,503 per month and $66,040 per year based on trailing 12-month performance. Earnings vary significantly by property size: 4-bedroom listings average $9,666 per month ($115,996 annually), while 1-bedroom units bring in around $3,759 per month ($45,118 annually). Summer months, particularly June and July, account for a large share of annual income.

Is Fairhope a good market for Airbnb investment?

Fairhope scores 61 out of 100 on Rabbu's ROI Score, placing it in the "Attractive Opportunity" tier. Its strengths include an above-average revenue-to-price ratio and a daily rate of $288 that exceeds the state average. However, the market's supply/demand balance is rated below average, and listing growth of 131% year over year means competition is intensifying. Investors who choose the right property size and manage seasonality well can find solid returns here.

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

The average daily rate in Fairhope is $288, which is $41 higher than Alabama's statewide average of $247. ADR scales with property size: 1-bedroom listings average $240 per night, 2-bedrooms come in at $272, 3-bedrooms at $300, and 4-bedroom properties command $379 per night. These premium rates reflect the market's appeal as a Gulf Coast leisure destination.

Are short-term rentals legal in Fairhope?

Short-term rentals do operate in Fairhope, with 149 active Airbnb listings currently on the market. However, local regulations may require permits, business licenses, or compliance with zoning ordinances. Investors should check directly with the City of Fairhope and Baldwin County for the most current rules, as STR regulations can evolve over time.

When is peak season for Airbnb in Fairhope?

Peak season in Fairhope runs from June through July, with July delivering the highest average revenue at $16,050 per listing and June close behind at $11,815. March also sees a notable bump to $8,068, likely driven by spring visitors. The slowest months are December ($1,365) and January ($1,492), creating a dramatic seasonal spread that investors need to factor into their financial planning.

How many Airbnbs are there in Fairhope?

Fairhope currently has 149 active Airbnb listings. The supply is led by 1-bedroom properties (52 listings), followed by 3-bedrooms (39), 2-bedrooms (37), and 4-bedrooms (13). Notably, listing supply has grown 131% year over year, indicating strong investor interest in the market.

How is Airbnb revenue calculated in Fairhope?

The annual and monthly revenue figures for Fairhope 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 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 Fairhope market
• Average daily rate, occupancy, and RevPAN trends across property sizes
• Monthly and annual revenue metrics based on trailing 12-month booking performance
• Home value data from the Zillow Home Value Index (ZHVI) for investment context
• Popular amenity prevalence 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 Mar, 17 2026. Revenue projections are estimates based on comparable properties and do not guarantee future performance. Data reflects trailing 12-month averages and may not capture very recent regulatory or market shifts. Individual property results will vary depending on location, condition, pricing strategy, and management quality.