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

As of Apr, 27 2026

Rabbu ROI Score

50 / 100

Fredericksburg presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.

Fredericksburg Short-Term Rental Market Overview

Fredericksburg, VA sits at the crossroads of history and the greater Washington, D.C. commuter belt, giving it a dual appeal for leisure visitors and professionals alike. With 104 active Airbnb listings generating an average annual revenue of $24,387, the market offers moderate income potential, though its 29% occupancy rate trails the Virginia state average of 34%. An ROI score of 50 out of 100 signals a competitive landscape where selective deal sourcing and smart property positioning will separate profitable investments from mediocre ones.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 104
Average Daily Rate (ADR) vs. $339 state avg. $232
Average Occupancy Rate vs. 34% state avg. 29%
RevPAN ADR * Occupancy Rate $66
Average Monthly Revenue Historical 12-month average $2,032
Average Annual Revenue Historical 12-month average $24,387

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 draws investor attention thanks to its proximity to Washington, D.C., a historic downtown that attracts tourism, and a range of property sizes that allow flexible investment strategies.

Key investment factors

  • Proximity to Washington, D.C. and major military installations supports a steady flow of business and government travelers
  • Historic downtown and Civil War battlefield sites drive year-round leisure tourism
  • Larger properties (4–5 bedrooms) command significantly higher nightly rates, with 5-bedroom units averaging $636 ADR
  • Average home values of $627,349 create a challenging but manageable entry point when paired with higher-bedroom revenue potential
  • Nearly all listings offer parking (97%) and kitchens (92%), signaling a market geared toward self-sufficient, longer-stay guests

Expert Market Assessment

"Fredericksburg presents a moderate opportunity best suited for investors who can source properties at favorable prices and optimize operations to stand out in a growing field. The market's pronounced seasonality — with July revenues ($2,682) running more than double January's ($1,279) — means cash-flow planning around softer winter months is essential. Occupancy stability is average and the revenue-to-price ratio sits below average, so the path to strong returns likely runs through larger properties that capture premium nightly rates rather than volume-driven strategies on smaller units."

— Rabbu Market Analysis Team

Understanding Fredericksburg's ROI Score: 50/100

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

Factor Fredericksburg Performance Weight
Revenue-to-Price Ratio Below average 40%
Occupancy Stability Average 30%
Market Growth Trend Average 15%
Supply/Demand Balance Below average 15%

What This Means for Investors

Fredericksburg's ROI score of 50 out of 100 places it in the 'Competitive Opportunity' band, reflecting a market where demand exists but returns require disciplined execution. The revenue-to-price ratio and supply/demand balance both register below average — driven by $627K average home values and a 115% surge in new listings — while occupancy stability and market growth trend sit at average levels. Investors should pair this data with thorough local regulatory research and focus on property types (particularly larger homes) where the competitive dynamics are more favorable.

Short-Term Rental Regulations in Fredericksburg

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

Permit Requirements

The City of Fredericksburg, Virginia may require short-term rental operators to obtain a business license or specific STR permit before listing a property. Investors should verify current permit requirements directly with the city's planning or zoning department, as rules can change.

Key Restrictions

Common restrictions in Virginia markets like Fredericksburg can include occupancy limits tied to the number of bedrooms, minimum-stay requirements in certain residential zones, noise and parking regulations, and potential HOA covenants that limit or prohibit short-term rentals. Some municipalities also impose caps on the total number of permits issued, so early engagement with local officials is advisable.

Tax Obligations

Short-term rental operators in Virginia are generally subject to state and local transient occupancy taxes, as well as applicable sales tax. Platforms like Airbnb often collect and remit some of these taxes on behalf of hosts, but operators should confirm their full tax obligations with a local accountant or the Virginia Department of Taxation.

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

Short-Term Rental Financing for Fredericksburg

Financing an Airbnb investment in Fredericksburg requires lenders who understand STR income. Rabbu partner lenders offer:

  • DSCR Loans: Qualify based on property income, not personal income
  • Low Down Payment: As low as 10–15% for investment properties
  • Fast Closing: 21–30 day average close times
  • STR Experience: Lenders who understand vacation rental underwriting
Connect with a Fredericksburg Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Fredericksburg's short-term rental market is likely to remain competitive as listing supply continues growing — year-over-year active listings have surged 115%. Seasonal patterns suggest revenue will peak again in the June–August corridor, with monthly averages potentially reaching $2,400–$2,700 during those months. ADR may see modest upward pressure in the range of 1–3% as hosts differentiate through amenities and property quality, though occupancy could remain flat or dip slightly given the expanding supply. Investors entering now should plan conservatively and budget for softer winter months when revenue historically drops below $1,400."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Fredericksburg, VA

What is the average Airbnb occupancy rate in Fredericksburg?
The average occupancy rate for Airbnb listings in Fredericksburg is currently 29%, which falls below the Virginia state average of 34%. Occupancy varies by property size — 2- and 3-bedroom units tend to perform best at 31% and 32% respectively, while larger 4- and 5-bedroom properties see lower occupancy rates of 16% and 11%. These figures reflect the market's competitive dynamics and seasonal demand patterns.
How much do Airbnb hosts make in Fredericksburg?
On average, Airbnb hosts in Fredericksburg earn approximately $2,032 per month or $24,387 per year based on trailing 12-month booking data. Revenue varies significantly by property size: 1-bedroom listings average about $14,754 annually, while 5-bedroom properties can bring in around $58,298 per year. Peak earning months fall between June and August, when monthly revenues can exceed $2,400.
Is Fredericksburg a good market for Airbnb investment?
Fredericksburg carries an ROI score of 50 out of 100, placing it in the 'Competitive Opportunity' category. The market has strong investor interest and growing demand driven by tourism and proximity to Washington, D.C., but higher home prices (averaging $627,349) and a rapidly expanding supply of listings (115% year-over-year growth) mean returns require careful property selection and competitive positioning. Larger properties tend to generate substantially higher revenue and may offer a more favorable risk-reward profile.
What is the average daily rate (ADR) for Airbnb in Fredericksburg?
The average daily rate across all Airbnb listings in Fredericksburg is $232, which is below the Virginia state average of $339. ADR varies considerably by property size — 1-bedroom units average $223, while 5-bedroom properties command an impressive $636 per night. This tiered pricing structure rewards investors who can accommodate larger groups.
Are short-term rentals legal in Fredericksburg?
Short-term rentals operate in Fredericksburg, VA, as evidenced by the 104 active Airbnb listings currently in the market. However, local regulations regarding permits, zoning, and licensing can change, so prospective investors should verify current rules with the City of Fredericksburg's planning department and review any applicable HOA restrictions before purchasing a property.
When is peak season for Airbnb in Fredericksburg?
Peak season in Fredericksburg runs from June through August, with July being the highest-earning month at an average of $2,682 in revenue. The summer months benefit from tourism to the area's historic sites, outdoor activities, and family travel. The slowest months are January ($1,279) and February ($1,351), creating a roughly 2:1 revenue swing between peak and off-peak periods.
How many Airbnbs are there in Fredericksburg?
There are currently 104 active Airbnb listings in Fredericksburg as of April 2026. The market has seen significant growth, with active listings increasing 115% year over year. One-bedroom units make up the largest share of supply at 45 listings, followed by 2-bedroom (23) and 3-bedroom (20) properties.
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. We average each comparable listing's actual revenue per available night (RevPAN) by month over the past year, remove regional outliers, and aggregate the results into a market-level historical average. Because each month uses its own historical data, the figures naturally reflect seasonal peaks and slower periods. Individual results can vary based on property quality, pricing strategy, and how actively a host manages their listing.

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 Fredericksburg, VA
  • Average daily rates, occupancy rates, and RevPAN metrics across property sizes
  • Monthly and annual revenue trends based on trailing 12-month booking data
  • Popular amenity prevalence across active listings in the market
  • Home value data sourced from the Zillow Home Value Index (ZHVI)

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, HOA rules, and tax obligations vary and should be independently verified before making an investment decision.

Next Steps

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