Lexington, MI Airbnb Market Data, Statistics, and Occupancy Rates

Lexington Short-Term Rental Market Overview

Lexington, MI is a small lakeside market on Lake Huron that punches above its weight for short-term rental investors looking at favorable revenue-to-price ratios. With an average home value of $371,635 and trailing-twelve-month annual revenue averaging $32,158, the market offers an above-average yield relative to property costs. The 45 active Airbnb listings signal a compact, less saturated market, though occupancy at 20% — well below the 42% Michigan state average — reflects highly seasonal demand concentrated in the summer months.

Key Market Statistics

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

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

Why Investors Consider Lexington

Investors look at Lexington for its above-average revenue-to-price ratio and the strong seasonal demand driven by Lake Huron recreation, which can generate the bulk of annual income in just a few peak months.

Expert Market Assessment

"Lexington represents an attractive but intensely seasonal opportunity. The summer months of July and August alone account for nearly $14,000 in combined average revenue — roughly 43% of the full-year total — while winter months like January and February barely clear $750. This feast-or-famine pattern means investors need strong financial reserves to weather the off-season, but those who manage costs carefully can benefit from the market's above-average revenue-to-price dynamics. The ROI score of 68 out of 100 reflects genuine upside tempered by below-average occupancy stability, making this a market best suited for investors comfortable with seasonal cash-flow swings."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Lexington

Average revenue by month in Lexington

Lexington's revenue is intensely seasonal, with August ($7,286) and July ($6,536) generating roughly 10x the income of the slowest months like January ($747) and February ($771). Investors should plan to earn the majority of their annual return in a roughly four-month window from June through September, with shoulder months offering moderate supplemental income.

Active Airbnb listings by property size in Lexington

Two-bedroom properties dominate supply with 15 of the 45 active listings, followed by 3-bedrooms (11) and 1-bedrooms (8), while 4-bedroom homes are the scarcest at just 7 listings. The limited supply of larger homes, combined with their higher ADR and RevPAN, may signal opportunity for investors willing to acquire 4-bedroom properties.

Average daily rate (ADR) by property size in Lexington

ADR scales sharply with size in Lexington — 4-bedroom homes command $380 per night, nearly triple the $133 rate for 1-bedroom units, with 2-bedrooms at $162 and 3-bedrooms at $219. The jump from 3 to 4 bedrooms is especially steep (+$161), suggesting strong group and family demand for larger lakefront accommodations.

Average RevPAN by property size in Lexington

Four-bedroom properties deliver the highest RevPAN at $54, followed by 1-bedrooms at $43, 3-bedrooms at $38, and 2-bedrooms trailing at $30. The strong RevPAN for 4-bedrooms despite their lower occupancy (14%) reflects the outsized nightly rates these properties command during peak season.

Average occupancy rates by property size in Lexington

One-bedroom units lead occupancy at 32%, considerably ahead of 2-bedrooms (19%), 3-bedrooms (18%), and 4-bedrooms (14%). The higher fill rate for smaller properties suggests they attract bookings beyond just peak summer, offering somewhat more consistent — though lower-revenue — cash flow throughout the year.

Average monthly revenue by property size in Lexington

Monthly revenue climbs with property size, from $2,144 for 1-bedroom units to $2,980 for 4-bedroom homes, though the spread is relatively narrow given the large difference in nightly rates. This compression reflects the trade-off between higher ADR for larger homes and the stronger occupancy rates smaller units maintain.

Average annual revenue by property size in Lexington

Four-bedroom properties top annual revenue at $35,764, roughly 39% more than the $25,728 generated by 1-bedroom units. Three-bedroom homes at $32,535 offer a middle ground that may appeal to investors seeking strong revenue without the higher acquisition and maintenance costs of a 4-bedroom lakefront property.

Most common amenities for Airbnb listings in Lexington

Parking and kitchen access are universal (100%), while lake access (87%), BBQ grills (89%), and beach access (71%) dominate the amenity mix — confirming that guests overwhelmingly choose Lexington for outdoor lakefront experiences. Investors should consider these amenities as baseline expectations rather than differentiators, with hot tubs (24%) and pet-friendliness (49%) offering potential competitive edges.

Understanding Lexington's ROI Score: 68/100

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

Lexington's ROI score of 68 out of 100 lands in the 'Attractive Opportunity' band, driven primarily by an above-average revenue-to-price ratio that gives investors a favorable yield relative to property acquisition costs. The score is tempered by below-average occupancy stability — a direct consequence of the market's sharp seasonality — while market growth trend and supply/demand balance both register as average. Pairing this data with thorough local regulatory research and a realistic off-season budget will help investors determine whether Lexington's summer-heavy revenue model fits their strategy.

Short-Term Rental Regulations in Lexington

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

Permit Requirements

Short-term rental operators in Lexington, Michigan may need to obtain a local permit or register their property with the village or Sanilac County before listing. Investors should verify current permit requirements directly with Lexington municipal offices and the State of Michigan, as rules can change and enforcement varies by jurisdiction.

Key Restrictions

Common STR restrictions in small Michigan lakeside communities can include occupancy limits tied to bedroom count, minimum stay requirements during certain seasons, noise ordinances, parking regulations, and septic or wastewater capacity rules for waterfront properties. HOA covenants may also restrict or prohibit short-term rentals in certain subdivisions, so reviewing any applicable deed restrictions before purchasing is essential.

Tax Obligations

Michigan requires short-term rental hosts to collect and remit the state's 6% use tax, and some localities impose additional accommodation or tourism assessments. Platforms like Airbnb often handle state tax collection automatically, but hosts should confirm local obligations and maintain proper records for compliance.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, we estimate Lexington's summer peak revenues will remain robust, with ADR potentially increasing 2–4% as lakefront demand in Michigan continues to grow modestly. Occupancy is likely to stay in the 18–22% range on an annualized basis given the deeply seasonal nature of this market, though operators who price competitively during shoulder months (May, September, October) could push above that floor. Supply grew 141% year-over-year, which bears watching — if new listings outpace demand growth, per-listing revenue could compress. Investors should budget conservatively for the November–March slow season and plan to capture maximum revenue during the June–August window."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Lexington, MI

What is the average Airbnb occupancy rate in Lexington?

The average occupancy rate for Airbnb listings in Lexington, MI is currently 20%, which is significantly below the Michigan state average of 42%. This low annualized figure reflects the market's heavily seasonal nature — occupancy surges during the summer lake season and drops considerably in winter. One-bedroom properties lead at 32% occupancy, while larger homes sit in the 14–19% range, suggesting smaller units attract more consistent bookings throughout the year.

How much do Airbnb hosts make in Lexington?

Airbnb hosts in Lexington earn an average of $2,679 per month and approximately $32,158 per year based on trailing 12-month performance data. Revenue varies substantially by property size: 4-bedroom homes lead at roughly $35,764 annually, while 1-bedroom units average about $25,728. Keep in mind that most of this revenue is concentrated in the June–August peak season, so monthly income swings significantly throughout the year.

Is Lexington a good market for Airbnb investment?

Lexington earns a Rabbu ROI Score of 68 out of 100, placing it in the 'Attractive Opportunity' tier. The market's standout feature is its above-average revenue-to-price ratio — with average home values around $371,635 and annual revenue near $32,158, the yield compares favorably to many Michigan markets. The main trade-off is below-average occupancy stability due to pronounced seasonality. Investors who can manage cash flow through slow winter months and capitalize on the lucrative summer window will find this market compelling.

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

The average daily rate in Lexington is $226, which is below the Michigan state average of $350. ADR scales meaningfully with property size: 1-bedroom units average $133 per night, 2-bedrooms come in at $162, 3-bedrooms at $219, and 4-bedroom properties command $380 per night. The premium for larger homes reflects the demand from families and groups seeking lakefront vacation rentals.

Are short-term rentals legal in Lexington?

Short-term rentals are generally permitted in Lexington, MI, though operators may need to obtain local permits or register with the municipality. Michigan does not have a statewide ban on STRs, but local regulations — including zoning restrictions, occupancy limits, and permit requirements — can vary. We recommend contacting Lexington village offices and reviewing any HOA or deed restrictions on your specific property before listing.

When is peak season for Airbnb in Lexington?

Peak season in Lexington runs from June through August, with August being the single highest-earning month at an average of $7,286 in revenue, followed closely by July at $6,536. The shoulder months of May ($2,268) and September ($3,318) also produce meaningful income. The slowest period is January through March, when monthly revenue dips below $1,100, reflecting the seasonal nature of this Lake Huron vacation market.

How many Airbnbs are there in Lexington?

There are currently 45 active Airbnb listings in Lexington, MI. The market saw substantial supply growth of 141% year-over-year, indicating rising investor interest. Two-bedroom properties make up the largest share with 15 listings, followed by 3-bedrooms (11), 1-bedrooms (8), and 4-bedrooms (7). The relatively small total supply means new entrants can still find positioning opportunities, though the rapid growth rate warrants monitoring.

How is Airbnb revenue calculated in Lexington?

The annual and monthly revenue figures shown for Lexington 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 remainder 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 because each month uses its own historical performance. Individual results can vary based on property quality, pricing strategy, location within Lexington, 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 Lexington, MI market
• Average daily rate, occupancy, and RevPAN metrics benchmarked against state averages
• Trailing 12-month revenue data broken down by month and property size
• Supply distribution and amenity prevalence across active listings
• 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 performance and market conditions as of April 2026; actual results may differ as conditions evolve. Local regulations, permit requirements, and tax obligations are subject to change — investors should verify current rules with local authorities before purchasing.