Lemon Grove, CA Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

50 / 100

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

Lemon Grove Short-Term Rental Market Overview

Lemon Grove, CA is a small but emerging short-term rental market just east of San Diego, with 46 active Airbnb listings and average annual revenue of $22,961 per property. While the market's $143 ADR sits well below the California state average of $551, its relatively modest supply and favorable supply/demand dynamics create a niche opportunity — particularly for investors willing to source deals carefully in a competitive pricing environment. The 178% year-over-year growth in active listings signals rising investor interest, though occupancy at 34% trails the 43% state average.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 46
Average Daily Rate (ADR) vs. $551 state avg. $143
Average Occupancy Rate vs. 43% state avg. 34%
RevPAN ADR * Occupancy Rate $49
Average Monthly Revenue Historical 12-month average $1,913
Average Annual Revenue Historical 12-month average $22,961

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

Why Investors Consider Lemon Grove

Investors are drawn to Lemon Grove for its proximity to San Diego's tourism and employment base, combined with a still-small supply of short-term rentals and relatively accessible home prices compared to coastal neighbors.

Key investment factors

  • Favorable supply/demand balance with only 46 active listings in the market
  • Proximity to San Diego drives leisure and business travel spillover demand
  • Two-bedroom properties generate the highest RevPAN at $52, offering a clear return advantage
  • Summer seasonality provides strong peak-season revenue to anchor annual cash flow
  • Home values averaging $845,608 are competitive relative to many San Diego County submarkets

Expert Market Assessment

"Lemon Grove presents a competitive opportunity that rewards disciplined deal sourcing rather than broad market entry. The below-average revenue-to-price ratio and 34% occupancy rate mean not every property will cash-flow comfortably, but two-bedroom units averaging $30,809 annually stand out as the strongest configuration. Seasonality is meaningful — July revenue runs roughly 2.4× the January trough — so investors should budget for softer winter months. The above-average supply/demand balance is a bright spot, suggesting the market hasn't yet been oversaturated despite rapid listing growth."

— Rabbu Market Analysis Team

Understanding Lemon Grove'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 Lemon Grove 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%

What This Means for Investors

Lemon Grove's ROI Score of 50 out of 100 places it in the 'Competitive Opportunity' band, meaning the market has real potential but demands careful deal selection. The below-average revenue-to-price ratio (driven by $845,608 average home values relative to $22,961 in annual revenue) is the primary drag on the score, while average occupancy stability and an above-average supply/demand balance partially offset that pressure. Pairing this data with thorough local regulatory research and targeting two-bedroom properties — which generate the strongest RevPAN — will help investors identify the deals most likely to pencil out.

Short-Term Rental Regulations in Lemon Grove

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

Permit Requirements

Short-term rental operators in Lemon Grove, California may be required to obtain a business license or STR-specific permit before listing a property. Investors should verify current registration requirements directly with the City of Lemon Grove and San Diego County, as local ordinances can change.

Key Restrictions

Common restrictions in similar California markets include occupancy limits, minimum-stay requirements, noise and nuisance ordinances, and parking mandates for guests. HOA rules can impose additional limitations, so investors should review any applicable CC&Rs before purchasing a property intended for short-term rental use.

Tax Obligations

California STR operators are typically subject to transient occupancy taxes (TOT), and platforms like Airbnb often collect and remit these on the host's behalf. Investors should also account for state and local sales tax obligations and confirm applicable rates with San Diego County or the City of Lemon Grove.

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

Short-Term Rental Financing for Lemon Grove

Financing an Airbnb investment in Lemon Grove 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 Lemon Grove Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Lemon Grove's STR market is likely to see continued supply growth given the sharp increase in new listings, which could put additional pressure on occupancy rates unless local demand keeps pace. Seasonal patterns suggest revenue will concentrate in the June–August window, with July historically delivering roughly $3,178 in average monthly revenue — more than double the winter lows near $1,300. Investors should plan for ADR to remain relatively flat or see modest 1–3% increases, with annual occupancy likely settling in the 32–36% range as the market absorbs new supply. Selective property acquisition and strong operational execution will be key to outperforming these averages."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Lemon Grove, CA

What is the average Airbnb occupancy rate in Lemon Grove?
The average occupancy rate for Airbnb listings in Lemon Grove is currently 34%, which trails the California state average of 43%. Occupancy varies by property size, with one-bedroom units performing best at 41%, while studios average 28% and two-bedrooms come in at 30%. Investors targeting higher occupancy should focus on competitive pricing and strong guest amenities to outperform the market average.
How much do Airbnb hosts make in Lemon Grove?
Airbnb hosts in Lemon Grove earn an average of $1,913 per month and approximately $22,961 annually, based on trailing 12-month historical booking data. Revenue varies significantly by property size: two-bedroom listings lead with about $2,567 per month ($30,809 annually), while one-bedroom units average $1,166 per month ($13,995 annually). Peak summer months, especially July, can push monthly earnings above $3,100.
Is Lemon Grove a good market for Airbnb investment?
Lemon Grove scores a 50 out of 100 on Rabbu's ROI Score, placing it in the 'Competitive Opportunity' category. The market benefits from an above-average supply/demand balance and proximity to San Diego, but its below-average revenue-to-price ratio means investors need to be selective with acquisitions. Two-bedroom properties offer the strongest return profile, and operators who manage seasonality well and maintain high-quality listings have the best shot at solid returns.
What is the average daily rate (ADR) for Airbnb in Lemon Grove?
The average daily rate in Lemon Grove is $143, which is significantly below the California state average of $551. ADR varies by property size: studios average $104, one-bedrooms $90, and two-bedrooms command $174. The lower ADR relative to the state reflects Lemon Grove's inland suburban positioning compared to coastal resort markets.
Are short-term rentals legal in Lemon Grove?
Short-term rentals operate in Lemon Grove, but investors should verify current regulations directly with the City of Lemon Grove and San Diego County. California municipalities frequently update their STR ordinances, and requirements around permits, taxes, and operational restrictions can change. Consulting local planning or code enforcement departments before purchasing is strongly recommended.
When is peak season for Airbnb in Lemon Grove?
Peak season in Lemon Grove runs from June through August, with July standing out as the highest-earning month at an average of $3,178 in revenue. June ($2,385) and August ($2,542) also perform well above the annual average. The slowest months are January ($1,300) and November ($1,494), so investors should plan for roughly a 2.4× swing between peak and trough months.
How many Airbnbs are there in Lemon Grove?
As of April 2026, there are 46 active Airbnb listings in Lemon Grove. The market has grown rapidly, with a 178% year-over-year increase in active listings. One-bedroom units make up the largest share of supply at 21 listings, followed by 10 two-bedrooms and 7 studios.
How is Airbnb revenue calculated in Lemon Grove?
The annual and monthly revenue figures for Lemon Grove 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. This approach anchors the numbers to what hosts have actually earned recently, while naturally reflecting seasonal peaks and slower periods because each month uses its own historical performance data. 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 and property size
  • Average daily rate, occupancy, and RevPAN metrics benchmarked against state averages
  • Monthly and annual revenue trends based on trailing 12-month historical booking data
  • Home value estimates sourced from the Zillow Home Value Index (ZHVI)
  • Amenity prevalence data across active listings to identify guest expectations

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 may not capture very recent market shifts or regulatory changes. Individual property results will vary based on location, quality, pricing strategy, and management approach.

Next Steps

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

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