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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Fort Payne offers attractive short-term rental potential, with a balance of healthy demand and revenue relative to property values.
Fort Payne, Alabama presents an intriguing opportunity for short-term rental investors drawn to northeast Alabama's natural attractions, including proximity to Little River Canyon and Lookout Mountain. With an average annual revenue of $23,685 across just 30 active listings and average home values around $318,748, the market offers a favorable revenue-to-price ratio. While occupancy sits at 28%—below the state average of 38%—above-average market growth (369% year-over-year listing increase) signals rising investor and traveler interest that could tighten demand over time.
According to Rabbu market data, the Fort Payne short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 30 |
| Average Daily Rate (ADR) | vs. $247 state avg. | $223 |
| Average Occupancy Rate | vs. 38% state avg. | 28% |
| RevPAN | ADR * Occupancy Rate | $62 |
| Average Monthly Revenue | Historical 12-month average | $1,973 |
| Average Annual Revenue | Historical 12-month average | $23,685 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Apr, 27 2026.
Fort Payne's combination of affordable property prices, growing traveler interest in outdoor recreation, and a still-small supply base creates a window for early-mover investors to establish competitive listings.
Key investment factors
"Fort Payne rates as an attractive opportunity with a 59 out of 100 ROI score, driven primarily by healthy revenue relative to property costs and a strong market growth trajectory. Seasonality is pronounced: revenue peaks in July and August above $2,600 per month, while January dips to just $883—a spread that demands careful cash-flow planning. The below-average occupancy rate of 28% is the market's most notable headwind, suggesting that pricing optimization and standout amenities will be critical differentiators. Investors who manage seasonal expectations and deliver the outdoor-focused experience guests expect should find this small-market niche rewarding."
— Rabbu Market Analysis Team
Fort Payne displays strong seasonality, with August topping out at $2,684 and January bottoming at just $883—a 3x spread that investors need to budget around. A notable secondary peak in October ($2,441) suggests fall tourism provides an additional revenue boost beyond the core summer season.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$883 |
| February |
|
$1,202 |
| March |
|
$2,181 |
| April |
|
$1,810 |
| May |
|
$2,038 |
| June |
|
$2,218 |
| July |
|
$2,626 |
| August |
|
$2,684 |
| September |
|
$1,865 |
| October |
|
$2,441 |
| November |
|
$2,091 |
| December |
|
$1,640 |
Two-bedroom properties dominate the market with 15 listings, making up half of the 30 total active units, while 1-bedroom listings account for 7. The absence of larger 3+ bedroom properties in the data could signal an underserved niche for investors willing to offer more space for families or groups.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
7 |
| 2 bedrooms |
|
15 |
ADR scales modestly from $136 for 1-bedroom units to $160 for 2-bedroom properties—an 18% premium for adding a second bedroom. Given that the incremental cost of a second bedroom is often modest relative to total acquisition price, the 2-bedroom configuration likely offers the better rate-per-dollar trade-off.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$136 |
| 2 bedrooms |
|
$160 |
Two-bedroom listings deliver $47 in RevPAN compared to $32 for 1-bedroom units, a 47% advantage that reflects both higher nightly rates and stronger occupancy. This gap makes 2-bedroom properties the clear efficiency winner when it comes to revenue generated per available night.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$32 |
| 2 bedrooms |
|
$47 |
Occupancy runs at 29% for 2-bedroom listings and 24% for 1-bedroom units, both below the state average of 38%. The 5-percentage-point edge for 2-bedroom properties contributes meaningfully to their revenue advantage and suggests guests in Fort Payne tend to prefer slightly larger accommodations.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
24% |
| 2 bedrooms |
|
29% |
Two-bedroom properties average $1,876 per month—roughly 55% more than the $1,208 generated by 1-bedroom units. For investors weighing acquisition costs against monthly cash flow, the 2-bedroom segment clearly delivers stronger top-line performance in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$1,208 |
| 2 bedrooms |
|
$1,876 |
At $22,522 annually, 2-bedroom listings earn substantially more than 1-bedroom units at $14,505, making them the stronger revenue generators in Fort Payne. Investors targeting the best return potential should prioritize 2-bedroom configurations, which account for the bulk of both supply and income in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$14,505 |
| 2 bedrooms |
|
$22,522 |
Kitchens (100%), self check-in (93%), BBQ grills (87%), and parking (87%) are near-universal, signaling that guests expect a self-sufficient, outdoor-oriented experience. Hot tubs appear in 47% of listings and could serve as a competitive differentiator, while lake access remains rare at just 3%, representing a potential premium feature for properties with that capability.
| Amenity | Trend | Value |
|---|---|---|
| Kitchen |
|
100% |
| Self Check-in |
|
93% |
| BBQ Grill |
|
87% |
| Parking |
|
87% |
| Backyard |
|
70% |
| Outdoor Furniture |
|
70% |
| Patio or Balcony |
|
70% |
| Washer |
|
67% |
| Dryer |
|
60% |
| Hot Tub |
|
47% |
| Workspace |
|
47% |
| Pets |
|
43% |
| Lake Access |
|
3% |
| Sauna |
|
3% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Fort Payne Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Average | 40% |
| Occupancy Stability | Below average | 30% |
| Market Growth Trend | Above average | 15% |
| Supply/Demand Balance | Average | 15% |
Fort Payne's ROI score of 59 out of 100 places it in the 'Attractive Opportunity' band, suggesting the market merits serious consideration but comes with specific risks to manage. The score is buoyed by an average revenue-to-price ratio and above-average market growth, while below-average occupancy stability tempers the outlook. Investors should pair this data with thorough local regulatory research and conservative cash-flow modeling that accounts for the market's pronounced seasonal swings.
Understanding local STR regulations is essential before investing in Fort Payne. Here's the current regulatory landscape:
Operators in Fort Payne, Alabama should verify whether a short-term rental permit or business license is required by contacting the city's planning or licensing department. Alabama does not impose a statewide STR registration system, so local municipal rules govern permit obligations.
Common restrictions that may apply include occupancy limits, noise ordinances, parking requirements, and minimum-stay rules. Investors should also check for any HOA covenants or zoning overlays that could limit STR activity in specific neighborhoods.
Alabama levies a state lodging tax on short-term rentals, and DeKalb County or the City of Fort Payne may impose additional occupancy or tourism taxes. Many booking platforms collect and remit state-level taxes automatically, but hosts should confirm local tax obligations are also being met.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Fort Payne can provide current regulatory guidance.
Financing an Airbnb investment in Fort Payne requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Fort Payne's STR market is likely to see continued supply growth as new investors respond to the area's above-average market growth trend. ADR may edge up modestly—perhaps 2–5%—as operators refine pricing strategies for peak months like July, August, and October. Occupancy could stabilize in the 28–33% range as supply and demand find a new equilibrium, though seasonal softness in January and February will persist. Investors entering now should plan for meaningful revenue swings between peak and off-peak months while the market matures."
— 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 Apr, 27 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 market shifts or regulatory changes. Individual property results will vary based on location, condition, pricing strategy, and management quality.
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