Fredericksburg, TX Airbnb Market Data, Statistics, and Occupancy Rates

Fredericksburg Short-Term Rental Market Overview

Fredericksburg, TX has established itself as one of the Texas Hill Country's premier short-term rental destinations, with 1,397 active Airbnb listings drawing visitors to its wineries, German heritage, and scenic landscape. The market commands an average daily rate of $258 and generates roughly $28,581 in annual revenue per listing, though occupancy sits at 27% — below the 33% Texas state average. With average home values above $1.1 million and a 139% year-over-year increase in active listings, the market is competitive and requires careful deal sourcing to achieve strong returns.

Key Market Statistics

According to Rabbu market data, the Fredericksburg 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 Fredericksburg

Fredericksburg attracts investor attention because of its strong brand as a Texas Hill Country tourism destination, though high property prices and rising competition demand disciplined deal selection.

Expert Market Assessment

"Fredericksburg represents a competitive opportunity where strong traveler demand meets elevated property prices and a rapidly expanding supply base. The ROI score of 36 out of 100 reflects below-average revenue-to-price ratios and occupancy stability — not a lack of demand, but a market where margins are tighter and selective sourcing matters. Seasonality is notable: March stands out as the peak month at $3,266 in average revenue, while January dips to $1,532, creating meaningful cash-flow variation across the year. Investors who target larger, well-appointed properties and optimize pricing around seasonal patterns are best positioned to outperform the market averages."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Fredericksburg

Average revenue by month in Fredericksburg

March is Fredericksburg's standout month at $3,266 in average revenue, more than double the January low of $1,532, reflecting strong spring tourism tied to Hill Country wildflower season. Revenue holds relatively steady from April through December in the $2,100–$2,700 range, suggesting moderate but consistent demand outside the spring peak.

Active Airbnb listings by property size in Fredericksburg

One-bedroom properties dominate supply with 614 listings — nearly 44% of the market — followed by 2-bedroom (294) and 3-bedroom (250) units. Larger properties with 5 or 6+ bedrooms are notably scarce at just 43 and 42 listings respectively, which could signal less competition and opportunity for investors willing to invest in bigger homes.

Average daily rate (ADR) by property size in Fredericksburg

ADR climbs steeply with size, from $183 for 1-bedroom units to $952 for 6+ bedroom properties — a more than 5x premium. The jump from 3 bedrooms ($268) to 4 bedrooms ($406) is particularly significant, suggesting that the group-accommodation segment commands a meaningful pricing advantage.

Average RevPAN by property size in Fredericksburg

Revenue per available night scales dramatically with property size, from $43–$45 for studios and 1-bedrooms up to $336 for 6+ bedroom homes. This progression confirms that larger properties generate substantially more revenue per night even after accounting for their somewhat higher occupancy rates.

Average occupancy rates by property size in Fredericksburg

Occupancy rates range from 20% for studios to 35% for 6+ bedroom properties, indicating that larger homes not only charge more per night but also stay booked more often. The relatively modest spread — all sizes fall between 20% and 35% — means occupancy alone won't make or break a deal; ADR and property size are the bigger revenue drivers here.

Average monthly revenue by property size in Fredericksburg

Monthly revenue differences across property sizes are dramatic: 1-bedroom listings average $1,773 per month while 6+ bedroom homes bring in $11,369 — more than six times as much. The 4-bedroom sweet spot at $4,702 per month represents nearly double the market average of $2,381, offering a strong middle ground between acquisition cost and revenue potential.

Average annual revenue by property size in Fredericksburg

Annual revenue ranges from roughly $21,000 for studios and 1-bedrooms to $136,435 for 6+ bedroom properties, underscoring that scale is the primary revenue lever in Fredericksburg. For investors focused on maximizing gross revenue, 4-bedroom homes earning $56,434 and 5-bedroom homes at $87,548 annually present strong configurations relative to the smaller competitive set at those sizes.

Most common amenities for Airbnb listings in Fredericksburg

Parking (96%), self check-in (85%), and a full kitchen (84%) are essentially table stakes in Fredericksburg, while outdoor-oriented amenities like patios (65%), backyards (59%), and BBQ grills (54%) reflect the market's leisure and Hill Country character. Hot tubs appear in 47% of listings, suggesting they're a meaningful differentiator but not yet ubiquitous — investors adding one could gain a competitive edge.

Understanding Fredericksburg's ROI Score: 36/100

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

Fredericksburg's ROI score of 36 out of 100 places it in the "Competitive Opportunity" band, reflecting below-average revenue-to-price ratios and occupancy stability in a market where home values exceed $1.1 million. Market growth trend and supply/demand balance score at average levels, indicating that while demand fundamentals are intact, the rapid 139% growth in listings is creating pricing pressure. Investors should pair this data with thorough local regulatory research and focus on larger, well-differentiated properties to maximize returns in this highly competitive but desirable Hill Country market.

Short-Term Rental Regulations in Fredericksburg

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

Permit Requirements

Fredericksburg and Gillespie County, Texas may require short-term rental operators to obtain permits or register their properties before listing them. Investors should verify current requirements directly with the City of Fredericksburg and Gillespie County offices, as local STR ordinances in Texas Hill Country communities have been evolving.

Key Restrictions

Common restrictions that may apply to short-term rentals in this area include occupancy limits, noise ordinances, parking requirements, and minimum-stay provisions. HOA or deed restrictions can also limit STR activity in certain subdivisions, and some jurisdictions impose caps on the total number of permits issued, so checking property-level eligibility before purchasing is advisable.

Tax Obligations

Short-term rental operators in Texas are typically responsible for collecting and remitting the state hotel occupancy tax as well as any applicable local hotel taxes. Many booking platforms handle tax collection automatically, but hosts should confirm compliance with both state and Gillespie County obligations.

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

Future Outlook & Long-Term Forecast

"Looking ahead 12–18 months, Fredericksburg's continued popularity as a weekend getaway and wine-country destination should sustain demand, though the rapid influx of new supply — reflected in the 139% listing growth — is likely to keep occupancy rates under pressure. Investors can expect ADR to hold relatively steady in the $250–$270 range, but revenue gains will depend on differentiation and operational strategy rather than market-wide tailwinds. Seasonal swings will persist, with March leading as the strongest month and January remaining the softest, so budgeting for off-peak cash-flow gaps is essential. Our estimates suggest occupancy may stabilize in the 25–30% range as the market absorbs new inventory."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Fredericksburg, TX

What is the average Airbnb occupancy rate in Fredericksburg?

The average Airbnb occupancy rate in Fredericksburg is currently 27%, which falls below the Texas state average of 33%. Occupancy varies by property size, with 6+ bedroom properties achieving the highest rate at 35%, while studios trail at 20%. The lower overall occupancy reflects the large and growing supply of listings in this popular market.

How much do Airbnb hosts make in Fredericksburg?

On average, Airbnb hosts in Fredericksburg earn approximately $2,381 per month or $28,581 per year based on trailing 12-month booking data. Earnings scale significantly with property size — 1-bedroom units average about $21,278 annually, while 6+ bedroom properties can generate around $136,435 per year. Revenue also fluctuates seasonally, with March being the strongest month and January the weakest.

Is Fredericksburg a good market for Airbnb investment?

Fredericksburg is a well-known Texas Hill Country destination with proven traveler demand, but it's a competitive market that requires careful deal selection. Average home values exceed $1.1 million, and with occupancy at 27%, the revenue-to-price ratio is below average. Investors who focus on larger, differentiated properties with desirable amenities like hot tubs and outdoor spaces tend to perform above market averages. Success here hinges on buying right and operating efficiently rather than relying on broad market momentum.

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

The average daily rate for Airbnb listings in Fredericksburg is $258, slightly below the Texas state average of $276. ADR scales sharply with property size: 1-bedroom units average $183 per night, 4-bedroom homes reach $406, and 6+ bedroom properties command an impressive $952 per night. This pricing premium on larger homes reflects the group and family travel demand that characterizes this market.

Are short-term rentals legal in Fredericksburg?

Short-term rentals operate actively in Fredericksburg, TX, with over 1,397 current Airbnb listings in the market. However, local regulations may require permits, registration, or compliance with zoning rules, and these requirements can change. Prospective investors should check directly with the City of Fredericksburg and Gillespie County for the most current STR ordinances before purchasing a property.

When is peak season for Airbnb in Fredericksburg?

March is the clear peak season for Airbnb in Fredericksburg, with average monthly revenue reaching $3,266 — more than double the January low of $1,532. The spring months (March–April) and late fall through the holiday season (November–December) tend to perform strongest, likely driven by wildflower season, wine harvest, and holiday travel. Summer months like June and September see somewhat softer performance, though revenue remains above $2,000.

How many Airbnbs are there in Fredericksburg?

There are currently 1,397 active Airbnb listings in Fredericksburg as of April 2026. The supply has grown by 139% year over year, making it an increasingly competitive landscape. One-bedroom properties make up the largest share of listings at 614, followed by 2-bedroom units at 294 and 3-bedroom homes at 250.

How is Airbnb revenue calculated in Fredericksburg?

The annual and monthly revenue figures for Fredericksburg 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, drops regional outliers, and rolls the remainder up to a market-level historical average. This approach anchors the figures to what hosts have actually earned recently rather than to forecasts, while naturally reflecting seasonal peaks and slower months because 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 Fredericksburg market
• Average daily rate, occupancy, and RevPAN trends across property sizes
• Monthly and annual revenue benchmarks based on trailing 12-month booking data
• Home value data from the Zillow Home Value Index (ZHVI) for acquisition cost context
• Amenity prevalence data showing what features are most common among active listings

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 current snapshots as of April 2026; market conditions may have shifted since the last update. Local regulations, tax requirements, and permit rules are subject to change — always verify with municipal and county authorities before investing.