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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Hereford presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.
Hereford, AZ is a small, emerging short-term rental market in southeastern Arizona with just 18 active Airbnb listings and an average annual revenue of $24,887 per property. While average daily rates sit well below the state average at $165, the market benefits from a favorable supply/demand balance that could reward investors who source deals selectively. With home values averaging $563,308 and a revenue-to-price ratio rated below average, cash-flow success here hinges on careful property selection and operational efficiency.
According to Rabbu market data, the Hereford short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 18 |
| Average Daily Rate (ADR) | vs. $434 state avg. | $165 |
| Average Occupancy Rate | vs. 53% state avg. | 47% |
| RevPAN | ADR * Occupancy Rate | $76 |
| Average Monthly Revenue | Historical 12-month average | $2,074 |
| Average Annual Revenue | Historical 12-month average | $24,887 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Apr, 27 2026.
Investors look at Hereford for its favorable supply/demand dynamics in a low-competition desert market, though returns require disciplined deal sourcing given the below-average revenue-to-price ratio.
Key investment factors
"Hereford's STR market presents a competitive but selective opportunity. The ROI score of 50 out of 100 reflects a market where the supply/demand balance is healthy, but elevated home values relative to rental income compress margins. Seasonality is moderate—March stands out as the clear revenue peak at nearly $3,000, while September dips to around $1,554—so investors should budget for fluctuations without facing a true off-season cliff. Two-bedroom properties are the revenue workhorses here, and investors who focus on that configuration may find the strongest path to positive cash flow."
— Rabbu Market Analysis Team
March is Hereford's standout month at $2,988 in average revenue, while September marks the low point at $1,554—a spread of roughly $1,434 that reflects moderate seasonality with no true dead season. A secondary revenue bump in October through December ($2,214–$2,346) gives investors two distinct earning windows each year.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$1,873 |
| February |
|
$2,255 |
| March |
|
$2,988 |
| April |
|
$2,096 |
| May |
|
$1,877 |
| June |
|
$1,716 |
| July |
|
$1,904 |
| August |
|
$1,739 |
| September |
|
$1,554 |
| October |
|
$2,214 |
| November |
|
$2,346 |
| December |
|
$2,319 |
One-bedroom listings dominate supply with 9 of 18 active properties, followed by 5 two-bedroom units. The absence of larger configurations (3+ bedrooms) could signal an underserved niche for investors willing to offer more space in this small market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
9 |
| 2 bedrooms |
|
5 |
Interestingly, one-bedroom properties command a higher ADR ($148) than two-bedroom units ($132), suggesting that smaller, well-appointed listings may attract premium-seeking guests. However, two-bedroom properties more than compensate through higher occupancy and total revenue.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$148 |
| 2 bedrooms |
|
$132 |
RevPAN is nearly identical across property sizes—$75 for one-bedroom and $76 for two-bedroom listings—indicating that both configurations generate comparable per-night revenue after accounting for occupancy. The difference in total earnings comes down to how much more consistently two-bedroom units stay booked.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$75 |
| 2 bedrooms |
|
$76 |
Two-bedroom properties lead with 57% occupancy compared to 50% for one-bedroom units, suggesting that guests in Hereford tend to prefer a bit more space. The 7-percentage-point gap translates into meaningfully higher monthly revenue for two-bedroom hosts.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
50% |
| 2 bedrooms |
|
57% |
Two-bedroom listings earn approximately $2,627 per month—more than three times the $848 monthly average for one-bedroom units. This stark difference underscores how the combination of higher occupancy and consistent demand makes two-bedroom properties the clear revenue leader in Hereford.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$848 |
| 2 bedrooms |
|
$2,627 |
At $31,525 annually, two-bedroom properties generate roughly triple the $10,187 earned by one-bedroom listings. For investors evaluating return potential, the two-bedroom configuration appears to offer the strongest path to meaningful cash flow in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$10,187 |
| 2 bedrooms |
|
$31,525 |
Parking is universal (100%) and kitchens are near-universal (94%), reflecting a guest base that expects self-sufficient, drive-in accommodations—consistent with Hereford's rural Arizona setting. Outdoor amenities like patio/balcony (83%), backyard (83%), and outdoor furniture (89%) are also heavily represented, signaling that guests prioritize outdoor living and nature enjoyment.
| Amenity | Trend | Value |
|---|---|---|
| Parking |
|
100% |
| Kitchen |
|
94% |
| Outdoor Furniture |
|
89% |
| Backyard |
|
83% |
| Patio or Balcony |
|
83% |
| Self Check-in |
|
83% |
| Workspace |
|
72% |
| Washer |
|
61% |
| BBQ Grill |
|
56% |
| Dryer |
|
56% |
| Pets |
|
17% |
| Hot Tub |
|
11% |
| EV Charger |
|
6% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Hereford Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Below average | 40% |
| Occupancy Stability | Average | 30% |
| Market Growth Trend | Below average | 15% |
| Supply/Demand Balance | Above average | 15% |
Hereford's ROI Score of 50 out of 100 places it in the 'Competitive Opportunity' band, where demand exists but margins require careful execution. The below-average revenue-to-price ratio is the primary drag, driven by home values near $563,000 against annual revenues around $25,000, while average occupancy stability and an above-average supply/demand balance partially offset that concern. Investors should pair this data with thorough local regulatory research and focus on two-bedroom properties to maximize their chances of achieving positive cash flow.
Understanding local STR regulations is essential before investing in Hereford. Here's the current regulatory landscape:
Short-term rental operators in Hereford, AZ should verify whether Cochise County or the state of Arizona requires a business license, transaction privilege tax (TPT) license, or specific STR registration before listing a property. Arizona's statewide preemption law limits local governments from outright banning vacation rentals, but hosts are still encouraged to confirm current permit requirements with local authorities.
Common restrictions that may apply include occupancy limits tied to property size, noise ordinances, parking requirements, and rules around signage or advertising. Investors in HOA-governed communities should review CC&Rs carefully, as some associations impose additional minimum-stay or usage restrictions that supersede broader state-level permissions.
Arizona requires STR hosts to collect and remit a transaction privilege tax (TPT) as well as any applicable county lodging taxes. Many booking platforms remit state-level taxes on behalf of hosts, but operators should confirm with the Arizona Department of Revenue to ensure full compliance with all obligations.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Hereford can provide current regulatory guidance.
Financing an Airbnb investment in Hereford requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Hereford's STR market is likely to see continued supply growth—active listings surged 210% year over year—which could moderate occupancy if demand doesn't keep pace. Seasonal patterns suggest revenue peaks around March ($2,988) and a softer stretch through late summer, so investors should plan for monthly revenue swings of roughly $1,400 between peak and trough. ADR may drift modestly upward in the $165–$175 range as hosts refine pricing, though occupancy could settle around 45–50% as the market absorbs new inventory. These estimates assume no major regulatory changes and continued baseline demand from visitors drawn to the area's natural landscape."
— 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 performance and market conditions may have changed since the reporting period. Local regulations, HOA rules, and tax obligations should be independently verified before making investment decisions.
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