Kokomo, IN Airbnb Market Data, Statistics, and Occupancy Rates

Kokomo Short-Term Rental Market Overview

Kokomo, IN presents an approachable entry point for short-term rental investors, with average home values around $288,401 and annual STR revenue averaging $17,157 across its 32 active Airbnb listings. The market's ADR of $139 sits well below Indiana's $290 state average, yet occupancy at 33% slightly edges out the statewide figure. With 70% year-over-year growth in active listings signaling rising investor interest and an ROI score of 61 out of 100, Kokomo merits a closer look for investors seeking affordable Midwest markets with room to grow.

Key Market Statistics

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

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

Why Investors Consider Kokomo

Kokomo's combination of affordable property prices, improving demand signals, and a still-small competitive set makes it a market worth evaluating for investors seeking yield in Indiana's smaller cities.

Expert Market Assessment

"With an ROI score of 61 out of 100, Kokomo earns an "Attractive Opportunity" designation — a market where the math works for investors who manage costs carefully. Seasonality is moderate: revenue peaks from June through August (topping out near $1,759 in July) and dips notably in February to around $808, creating a spread that investors should plan around. The market's strength lies in its affordability and growth trajectory rather than raw revenue volume, making it best suited for investors targeting steady cash flow from lower-cost properties rather than premium vacation rentals."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Kokomo

Average revenue by month in Kokomo

Revenue in Kokomo peaks during summer, with July ($1,759) and June ($1,756) delivering the strongest months, while February ($808) marks the clear low point — a seasonal spread of over $950 that investors should factor into cash-flow planning. Shoulder months like March, October, and December hold up reasonably well in the $1,500–$1,615 range, helping to smooth out annual returns.

Active Airbnb listings by property size in Kokomo

Supply in Kokomo is evenly split between 1-bedroom and 3-bedroom listings at 10 each, with 2-bedroom properties trailing at just 7 units. The relatively thin 2-bedroom segment could represent a gap for investors looking to differentiate, though the small overall market of 32 listings means any new entry will noticeably shift the competitive landscape.

Average daily rate (ADR) by property size in Kokomo

ADR jumps significantly from 1-bedroom listings at $83 to 2-bedrooms at $148, but then plateaus with 3-bedrooms at $149. This pricing pattern suggests the biggest rate premium comes from stepping up to a 2-bedroom configuration, while the marginal rate gain from a third bedroom is negligible — making the revenue case for 3-bedrooms more dependent on occupancy and total bookings.

Average RevPAN by property size in Kokomo

One-bedroom units deliver the highest RevPAN at $45, driven by their strong 55% occupancy rate, while 2-bedrooms lag significantly at $26 despite their higher ADR. Three-bedroom properties land in between at $37, suggesting that smaller units currently offer the most efficient revenue generation per available night in this market.

Average occupancy rates by property size in Kokomo

Occupancy diverges sharply by size in Kokomo: 1-bedroom listings fill at 55%, more than double the 25% rate for 3-bedrooms and triple the 18% for 2-bedrooms. For investors prioritizing consistent bookings and cash-flow stability, smaller units clearly have the advantage here, though the low 2-bedroom occupancy may partly reflect pricing or quality issues among the limited sample.

Average monthly revenue by property size in Kokomo

Three-bedroom listings generate the highest average monthly revenue at $1,636, outpacing 1-bedrooms ($1,137) and 2-bedrooms ($1,051) despite their lower occupancy rates. The higher nightly rate of 3-bedroom properties compensates for fewer booked nights, though 1-bedroom units offer a closer revenue figure with significantly less property to maintain.

Average annual revenue by property size in Kokomo

At $19,636 per year, 3-bedroom properties lead annual revenue by a meaningful margin over 1-bedrooms ($13,653) and 2-bedrooms ($12,623). When weighed against Kokomo's average home value of $288,401, the 3-bedroom tier offers the strongest gross revenue potential, though investors should pair this with property-specific acquisition costs and expense projections.

Most common amenities for Airbnb listings in Kokomo

Parking (97%), kitchen (94%), and laundry amenities (88–91%) are near-universal among Kokomo listings, signaling baseline guest expectations that any competitive property must meet. Differentiators like hot tubs (6%) and pools (3%) remain rare, presenting potential upside for hosts willing to invest in standout features — while self check-in at 78% has become an expected convenience rather than a perk.

Understanding Kokomo's ROI Score: 61/100

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

Kokomo's ROI score of 61 out of 100 places it in the "Attractive Opportunity" band, reflecting a market where average revenue-to-price ratios and stable occupancy combine with above-average growth trends to create a promising but not effortless investment environment. The supply-demand balance and occupancy stability both register as average, meaning returns will hinge on smart property selection and competitive operations rather than a rising tide lifting all boats. Investors should pair this score with on-the-ground regulatory research and property-level underwriting to validate the opportunity.

Short-Term Rental Regulations in Kokomo

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

Permit Requirements

Operators in Kokomo, Indiana should verify whether a short-term rental permit or business registration is required through the City of Kokomo's planning or licensing departments. State-level requirements in Indiana may also apply, so checking with both local and state authorities before listing is strongly recommended.

Key Restrictions

Common STR restrictions in markets like Kokomo can include occupancy limits, noise ordinances, parking requirements, and minimum stay rules. HOA covenants may impose additional limitations, and investors should confirm zoning compliance and any permit caps that could affect their ability to operate.

Tax Obligations

Short-term rental hosts in Indiana are generally subject to state sales tax and county innkeeper's tax on lodging stays. Platforms like Airbnb often collect and remit some of these taxes automatically, but hosts should confirm their full obligations with local and state tax authorities.

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

Future Outlook & Long-Term Forecast

"Kokomo's above-average market growth trend suggests continued momentum over the next 12–18 months, though the rapid 70% increase in active listings bears watching as new supply could temper occupancy gains. Seasonal patterns point to summer as the revenue peak, with July reaching roughly $1,759 per listing — investors can expect ADR to hold steady or see modest increases of 1–3% if demand keeps pace with supply. Occupancy rates will likely fluctuate between 28–38% market-wide depending on the season, with February remaining the softest month. Overall, the trajectory looks encouraging for early entrants, though maintaining competitive pricing and quality will matter more as the listing pool expands."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Kokomo, IN

What is the average Airbnb occupancy rate in Kokomo?

The average occupancy rate for Airbnb listings in Kokomo is currently 33%, which edges slightly above Indiana's statewide average of 32%. Occupancy varies significantly by property size — 1-bedroom units lead at 55%, while 2-bedroom properties average just 18%. Investors targeting smaller units may see more consistent booking volume.

How much do Airbnb hosts make in Kokomo?

On average, Airbnb hosts in Kokomo earn approximately $1,429 per month or $17,157 per year based on trailing 12-month performance data. Revenue varies by property size: 3-bedroom listings lead with about $19,636 annually, while 2-bedroom units average around $12,623. Actual results depend on factors like pricing strategy, property quality, and guest experience.

Is Kokomo a good market for Airbnb investment?

Kokomo scores 61 out of 100 on Rabbu's ROI Score, placing it in the "Attractive Opportunity" category. The market benefits from affordable home values averaging $288,401, above-average growth trends, and balanced supply-demand dynamics. With only 32 active listings, competition remains limited, though investors should account for moderate occupancy and seasonal revenue swings when building their financial projections.

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

The average daily rate in Kokomo is $139, which is significantly lower than Indiana's statewide average of $290. ADR scales with property size: 1-bedroom listings average $83, 2-bedrooms come in at $148, and 3-bedrooms at $149. The relatively modest rates reflect Kokomo's positioning as an affordable Midwest market rather than a premium destination.

Are short-term rentals legal in Kokomo?

Short-term rentals generally operate in Kokomo, but investors should verify current permit, licensing, and zoning requirements with the City of Kokomo and the State of Indiana before listing a property. Regulations can change, and local ordinances may impose specific conditions on STR operations including occupancy limits, parking, and tax obligations.

When is peak season for Airbnb in Kokomo?

Peak season in Kokomo runs from June through August, with July averaging the highest monthly revenue at approximately $1,759 per listing. October also shows relative strength at $1,615. February is the slowest month, averaging just $808. Investors should plan for this seasonal variation when forecasting annual cash flow.

How many Airbnbs are there in Kokomo?

As of April 2026, there are 32 active Airbnb listings in Kokomo. The market has seen significant growth, with a 70% year-over-year increase in active listings. Supply is split primarily among 1-bedroom (10 listings), 2-bedroom (7 listings), and 3-bedroom (10 listings) properties.

How is Airbnb revenue calculated in Kokomo?

The annual and monthly revenue figures shown for Kokomo 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 roll the remaining data up to a market-level historical average. This approach anchors the figures to what hosts have actually earned recently while naturally reflecting seasonal peaks and slower months, since each month draws on 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 by market
• Average daily rate, occupancy, and RevPAN trends across property sizes
• Monthly and annual revenue estimates based on trailing 12-month booking data
• Home value benchmarks sourced from the Zillow Home Value Index (ZHVI)
• Data sourced from Rabbu proprietary analytics and third-party providers for consistency

Sources and disclaimers

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 market conditions as of April 2026; current conditions may differ. Local regulations, tax requirements, and permit rules are subject to change — always verify with municipal and state authorities before investing.