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

As of Apr, 27 2026

Rabbu ROI Score

30 / 100

Katy appears higher risk based on current data and may require deeper, property-specific diligence to find compelling opportunities.

Katy Short-Term Rental Market Overview

Katy, TX presents a challenging short-term rental landscape, with an average annual revenue of $19,888 across 205 active listings and an occupancy rate of 35%. While the market's ADR of $149 sits well below the Texas state average of $276, its occupancy slightly edges out the state benchmark of 33%. With average home values around $516,841 and relatively modest revenue potential, investors will need to be selective about property type and pricing strategy to make the numbers work here.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 205
Average Daily Rate (ADR) vs. $276 state avg. $149
Average Occupancy Rate vs. 33% state avg. 35%
RevPAN ADR * Occupancy Rate $52
Average Monthly Revenue Historical 12-month average $1,657
Average Annual Revenue Historical 12-month average $19,888

Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026.

Why Investors Consider Katy

Katy's proximity to Houston's employment centers and family-friendly suburban character attract a mix of relocating families and corporate travelers, though current metrics require careful property-level analysis to justify investment.

Key investment factors

  • Suburban Houston location with access to Energy Corridor and major employers
  • 3-bedroom units show 40% occupancy and $26,156 annual revenue, outperforming other mid-size configurations
  • Home values averaging $516,841 may allow entry at price points below Houston proper
  • 99% year-over-year listing growth signals rising investor interest but also intensifying competition
  • Workspace amenities in 76% of listings suggest meaningful corporate and remote-work demand

Expert Market Assessment

"Current data points to limited investment potential in Katy, driven by below-average occupancy stability and a supply/demand imbalance created by rapid listing growth. Revenue peaks modestly in July at $2,068 per month while January dips to $1,173, reflecting mild seasonality rather than dramatic swings — which does offer some cash-flow predictability. The market may appeal to investors who already own property in Katy or can acquire at a discount, but it's not an obvious destination for pure STR-focused capital deployment without thorough, property-specific due diligence."

— Rabbu Market Analysis Team

Understanding Katy's ROI Score: 30/100

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

What This Means for Investors

Katy's ROI Score of 30 out of 100 places it in the "Limited" investment band, flagging it as a higher-risk market that demands careful, property-specific analysis. The score reflects an average revenue-to-price ratio weighed down by below-average occupancy stability and a supply/demand imbalance driven by rapid listing growth. Investors considering Katy should pair this data with thorough local regulatory research and focus on property configurations — like 3-bedroom homes — that outperform the broader market averages.

Short-Term Rental Regulations in Katy

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

Permit Requirements

Short-term rental operators in Katy, TX should verify whether the city or Fort Bend and Harris counties require a specific STR permit or registration. Regulations in Texas can vary significantly between jurisdictions, so contacting Katy's planning department or city clerk before listing is strongly recommended.

Key Restrictions

Common restrictions that may apply to STR operators in Katy include occupancy limits, minimum stay requirements, noise ordinances, and parking regulations. Investors should also review any applicable HOA rules, as many Katy subdivisions have covenants that restrict or prohibit short-term rentals.

Tax Obligations

Texas imposes a state hotel occupancy tax of 6%, and local jurisdictions may add their own occupancy or tourism taxes on top of that. Platforms like Airbnb typically collect and remit state-level taxes on behalf of hosts, but operators should confirm local tax obligations directly with the relevant taxing authorities.

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

Short-Term Rental Financing for Katy

Financing an Airbnb investment in Katy 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 Katy Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Katy's short-term rental market is likely to remain soft, with occupancy expected to hover in the 33–37% range and limited catalysts for meaningful ADR growth. The near-doubling of active listings year-over-year (99% growth) suggests increasing competition that could further pressure per-listing revenue. Investors who focus on 3-bedroom properties — which show the strongest occupancy at 40% — may find the most stable footing, though overall returns are estimated to remain modest unless supply growth slows."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Katy, TX

What is the average Airbnb occupancy rate in Katy?
The average Airbnb occupancy rate in Katy is currently 35%, which is slightly above the Texas state average of 33%. Occupancy varies by property size, with 3-bedroom units performing best at 40% and 5-bedroom properties lagging at just 16%. Investors should factor in these size-specific differences when projecting cash flow.
How much do Airbnb hosts make in Katy?
On average, Airbnb hosts in Katy earn approximately $1,657 per month or $19,888 annually, based on trailing 12-month booking data. Revenue varies substantially by property size — 1-bedroom units average just $590 per month, while 5-bedroom homes can bring in around $3,691 monthly. These figures represent market-wide averages, and individual performance depends on factors like location within Katy, property quality, and pricing strategy.
Is Katy a good market for Airbnb investment?
Katy currently scores 30 out of 100 on Rabbu's ROI Score, indicating limited investment potential based on current market conditions. The market faces challenges including below-average occupancy stability and a supply/demand imbalance, with active listings growing 99% year-over-year. That said, select property types — particularly 3-bedroom homes — show stronger fundamentals, so investors willing to dig deeper at the property level may still find opportunities worth pursuing.
What is the average daily rate (ADR) for Airbnb in Katy?
The average daily rate for Airbnb listings in Katy is $149, which is significantly below the Texas state average of $276. ADR scales steadily with property size, from $66 for 1-bedroom units up to $271 for 5-bedroom homes. The lower ADR reflects Katy's suburban, non-resort positioning and means investors need to focus on occupancy optimization and cost control to generate positive returns.
Are short-term rentals legal in Katy?
Short-term rentals operate in Katy, TX, as evidenced by the 205 active Airbnb listings in the market. However, investors should verify current permit requirements, zoning rules, and any HOA restrictions that may apply to their specific property before purchasing or listing. Texas does not have a statewide ban on STRs, but local regulations can vary, so checking with Katy's city offices is essential.
When is peak season for Airbnb in Katy?
Peak season for Airbnb in Katy falls in July, when average revenue reaches $2,068 per month. March ($1,898) and May ($1,789) also perform well, likely driven by spring events and travel. The slowest month is January at $1,173, though the overall spread between peak and off-peak is relatively moderate, suggesting Katy doesn't experience extreme seasonal volatility.
How many Airbnbs are there in Katy?
There are currently 205 active Airbnb listings in Katy as of April 2026. The supply has grown dramatically, with 99% year-over-year growth in active listings. One-bedroom units make up the largest share at 77 listings, followed by 4-bedroom homes at 49 and 3-bedroom properties at 41.
How is Airbnb revenue calculated in Katy?
The annual and monthly revenue figures for Katy are derived from the trailing 12 months of historical booking performance for active comparable Airbnb listings in the market — not a forward-looking projection. Rabbu averages each comparable listing's actual revenue per available night (RevPAN) by month over the past year, removes 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 Katy, TX market
  • Average daily rates, occupancy rates, and RevPAN across property sizes
  • Monthly and annual revenue trends based on trailing 12-month booking performance
  • Popular amenity prevalence across active listings to guide property setup decisions
  • Home value benchmarks 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 performance and market conditions may have shifted since the last update. Local regulations, HOA rules, and tax requirements can change; always verify with local authorities before investing.

Next Steps

Ready to invest in Katy's short-term rental market? Take action with these resources:

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