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

Magnolia Short-Term Rental Market Overview

Magnolia, TX is a small but rapidly expanding short-term rental market northwest of Houston, with just 55 active Airbnb listings and a striking 188% year-over-year growth in supply. Average annual revenue sits at $21,571 on a market-wide basis, though larger properties push well above that figure. With an average daily rate of $228 — below the Texas state average of $276 — and occupancy at 25%, the market demands careful deal selection, particularly given average home values around $654,276.

Key Market Statistics

According to Rabbu market data, the Magnolia 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 Magnolia

Magnolia attracts investor attention due to its proximity to Houston, rapid supply growth signaling perceived opportunity, and the potential for larger properties to generate meaningful revenue despite below-average market-wide metrics.

Expert Market Assessment

"Magnolia presents a competitive opportunity where success depends heavily on property selection and operational execution. The market's 25% average occupancy and $58 RevPAN sit below Texas state averages, indicating that many listings underperform — yet the top tier of larger homes pulls significantly higher returns. Seasonality is moderate, with revenue peaking in July at $2,442 and dipping to around $1,090 in January, creating a roughly 2.2x spread between the best and weakest months. Investors targeting 3- to 5-bedroom properties with strong outdoor amenities will be best positioned to capitalize on the demand that does exist in this growing market."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Magnolia

Average revenue by month in Magnolia

Revenue in Magnolia peaks in July at $2,442 and bottoms out in January at $1,090, creating a pronounced summer-driven seasonal pattern with roughly 2.2x variation between the strongest and weakest months. Spring and fall months cluster in the $1,650–$1,900 range, providing a modest baseline outside peak season.

Active Airbnb listings by property size in Magnolia

One-bedroom units dominate supply with 20 of the 55 active listings, while 5-bedroom properties are the scarcest at just 5 listings. The relative undersupply of larger homes — combined with their substantially higher revenue — may signal an opportunity for investors willing to acquire 4- or 5-bedroom properties.

Average daily rate (ADR) by property size in Magnolia

ADR scales steeply with size, jumping from $93 for 1-bedroom listings to $436 for 5-bedroom properties. Three-bedroom units command a notably high $348 per night, making them a compelling middle ground between acquisition cost and nightly rate premium.

Average RevPAN by property size in Magnolia

Three-bedroom properties deliver the highest RevPAN at $95, outperforming even 5-bedrooms ($87) and significantly exceeding 1-bedrooms ($24). This suggests that 3-bedroom listings achieve the best balance of rate and occupancy, generating the most efficient per-night revenue in the market.

Average occupancy rates by property size in Magnolia

Occupancy rates are relatively compressed across property sizes, ranging from 20% for 5-bedroom units to 28% for both 2- and 3-bedroom listings. The narrow spread suggests that demand is broadly distributed, though all sizes sit below the 33% Texas state average, pointing to market-wide softness in booking frequency.

Average monthly revenue by property size in Magnolia

Five-bedroom properties lead monthly revenue at $3,108, followed closely by 4-bedrooms at $2,855, while 1-bedroom units trail significantly at $863. Interestingly, 2- and 3-bedroom listings generate nearly identical monthly revenue ($1,584 and $1,564), suggesting that the real revenue leap occurs when moving to 4+ bedrooms.

Average annual revenue by property size in Magnolia

Annual revenue ranges from $10,366 for 1-bedroom units to $37,306 for 5-bedroom properties, a nearly 3.6x difference that underscores the premium larger homes command. Four-bedroom listings also perform strongly at $34,261 annually, and given their somewhat higher occupancy compared to 5-bedrooms, they may offer a more balanced risk-return profile.

Most common amenities for Airbnb listings in Magnolia

Parking (98%), kitchen (95%), and laundry (80–82%) are near-universal, signaling that guests expect a home-like experience as a baseline. Outdoor amenities like backyards (66%), patios (66%), and BBQ grills (49%) are common differentiators, while lake access (22%) and pools (20%) remain less prevalent — adding either could help a listing stand out in this competitive, rural-suburban market.

Understanding Magnolia's ROI Score: 41/100

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

Magnolia's ROI Score of 41 out of 100 places it in the 'Competitive Opportunity' band, reflecting below-average marks across revenue-to-price ratio, occupancy stability, and market growth trend, with only the supply/demand balance rated as average. This means the market rewards selective investors who target the right property type and price point rather than offering broad, easy returns. Pairing this data with thorough local regulatory research and a focus on larger, amenity-rich properties will be key to unlocking viable returns in this market.

Short-Term Rental Regulations in Magnolia

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

Permit Requirements

Short-term rental operators in Magnolia, TX may be subject to local permitting or registration requirements from the city or Montgomery County. Investors should verify current rules with the City of Magnolia and relevant county offices before listing a property.

Key Restrictions

Common STR restrictions in Texas communities can include occupancy limits, minimum stay requirements, noise and parking regulations, and HOA-level restrictions that may limit or prohibit short-term rentals entirely. Given Magnolia's suburban and rural character, HOA covenants are especially worth reviewing before purchasing.

Tax Obligations

Texas imposes a state hotel occupancy tax on short-term rentals, and local jurisdictions may add their own occupancy taxes. Most major booking platforms collect and remit these taxes automatically, but hosts should confirm compliance with both state and local tax authorities.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Magnolia's STR market is likely to see continued supply growth as investor interest follows the area's rapid listing expansion. Occupancy rates may face downward pressure if new listings outpace demand, though summer months should continue to anchor revenue with estimates around $2,100–$2,400 per month during June through August. ADR could hold relatively steady in the $220–$240 range given the rural-suburban positioning, but investors should expect modest revenue-per-night performance until the market matures and supply stabilizes."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Magnolia, TX

What is the average Airbnb occupancy rate in Magnolia?

The average Airbnb occupancy rate in Magnolia is currently 25%, which falls below the Texas state average of 33%. Occupancy varies by property size, with 2- and 3-bedroom listings reaching 28%, while larger 5-bedroom properties average around 20%. These figures reflect market-wide performance and individual results can differ based on pricing strategy, amenities, and listing quality.

How much do Airbnb hosts make in Magnolia?

On average, Airbnb hosts in Magnolia earn approximately $1,797 per month or $21,571 annually based on trailing 12-month booking data. However, earnings vary significantly by property size — 1-bedroom units average about $863 per month, while 5-bedroom properties generate roughly $3,108 monthly. Strategic pricing, strong amenities, and targeting peak summer months can help hosts exceed these averages.

Is Magnolia a good market for Airbnb investment?

Magnolia scores a 41 out of 100 on Rabbu's ROI Score, categorized as a 'Competitive Opportunity.' The revenue-to-price ratio and occupancy stability are below average, meaning investors need to be selective with their acquisitions. Larger properties (4–5 bedrooms) show the strongest revenue potential, earning $34,000–$37,000 annually, but with average home values near $654,276, careful underwriting is essential to ensure positive cash flow.

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

The average daily rate for Airbnb listings in Magnolia is $228, which is below the Texas state average of $276. ADR scales significantly with property size: 1-bedroom listings average $93 per night, while 5-bedroom properties command $436. Three-bedroom listings also perform well at $348 per night, suggesting that mid-to-large properties can capture meaningful nightly premiums.

Are short-term rentals legal in Magnolia?

Short-term rentals are generally permitted in Texas, though local regulations in Magnolia and Montgomery County may impose specific permitting, zoning, or operational requirements. HOA restrictions can also apply and may limit or prohibit STR activity in certain communities. Investors should consult with local authorities and review any applicable HOA covenants before purchasing a property for short-term rental use.

When is peak season for Airbnb in Magnolia?

Peak season for Airbnb in Magnolia runs from June through August, with July being the strongest month at an average revenue of $2,442. June and August also perform well at $2,142 and $2,153 respectively. The slowest period is January, when average revenue drops to approximately $1,090. This summer-weighted seasonality is consistent with leisure-driven demand in the greater Houston area.

How many Airbnbs are there in Magnolia?

There are currently 55 active Airbnb listings in Magnolia as of April 2026. The market has experienced dramatic growth, with a 188% year-over-year increase in listings. One-bedroom units make up the largest share with 20 listings, followed by 2-bedrooms (11) and 4-bedrooms (10), while 5-bedroom properties are the scarcest at just 5 listings.

How is Airbnb revenue calculated in Magnolia?

The annual and monthly revenue figures for Magnolia 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, since 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 Magnolia, TX market
• Average daily rate, occupancy, and RevPAN trends by property size
• Monthly and annual revenue estimates based on trailing 12-month booking performance
• Home value data sourced from the Zillow Home Value Index (ZHVI)
• Amenity prevalence data across active listings to inform property setup decisions

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 performance as of the dates noted and may not capture recent regulatory or market shifts. Individual property results will vary based on location, quality, pricing, and management approach.