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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Mars Hill presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.
Mars Hill, NC is a small mountain market in western North Carolina with 157 active Airbnb listings and an average annual revenue of $27,852 per property. With an average daily rate of $237—slightly below the $262 state average—and occupancy sitting at 28% versus 34% statewide, the market rewards investors who target larger properties and lean into the area's outdoor recreation and seasonal tourism appeal. A 150% year-over-year growth in active listings signals rising investor interest, though tighter competition means deal sourcing and property differentiation matter more than ever.
According to Rabbu market data, the Mars Hill short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 157 |
| Average Daily Rate (ADR) | vs. $262 state avg. | $237 |
| Average Occupancy Rate | vs. 34% state avg. | 28% |
| RevPAN | ADR * Occupancy Rate | $66 |
| Average Monthly Revenue | Historical 12-month average | $2,321 |
| Average Annual Revenue | Historical 12-month average | $27,852 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026.
Mars Hill attracts investor attention because of its proximity to western North Carolina's mountain recreation scene and the potential for strong per-night rates on larger cabin-style properties, though rising competition demands careful property selection.
Key investment factors
"Mars Hill presents a competitive opportunity that favors investors willing to differentiate their properties and target larger configurations. Revenue peaks sharply in July ($3,192) and October ($3,013) thanks to summer tourism and fall foliage, while the winter months—particularly February at $1,246—represent a significant trough that investors need to plan around. Occupancy at 28% trails the North Carolina state average, and rapid supply growth has intensified competition, so pricing strategy and amenity offerings are key levers for outperformance. Larger homes with 5+ bedrooms demonstrate materially better RevPAN and occupancy, suggesting the best risk-adjusted returns come from premium, group-friendly properties rather than smaller units."
— Rabbu Market Analysis Team
Mars Hill shows pronounced seasonality, with July ($3,192) and October ($3,013) delivering peak revenue and February ($1,246) marking the low point—a spread of nearly $2,000 between the best and worst months. Investors should budget for lean winter earnings and capitalize on summer and fall foliage demand to drive annual returns.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$1,467 |
| February |
|
$1,246 |
| March |
|
$2,073 |
| April |
|
$2,027 |
| May |
|
$2,081 |
| June |
|
$2,379 |
| July |
|
$3,192 |
| August |
|
$2,787 |
| September |
|
$2,455 |
| October |
|
$3,013 |
| November |
|
$2,617 |
| December |
|
$2,509 |
Four-bedroom properties lead supply with 47 listings, while 1-bedroom and 3-bedroom units each account for 35. Notably, 5-bedroom (8 listings) and 6+ bedroom (5 listings) segments are significantly underserved despite delivering the highest per-unit revenue, suggesting a potential opportunity gap for investors willing to go bigger.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
35 |
| 2 bedrooms |
|
26 |
| 3 bedrooms |
|
35 |
| 4 bedrooms |
|
47 |
| 5 bedrooms |
|
8 |
| 6+ bedrooms |
|
5 |
ADR scales steadily from $155 for 1-bedroom units to $430 for 6+ bedroom homes, with a particularly meaningful jump between 3-bedroom ($220) and 4-bedroom ($293) properties. The premium commanded by larger homes reflects strong group and family demand in this mountain market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$155 |
| 2 bedrooms |
|
$206 |
| 3 bedrooms |
|
$220 |
| 4 bedrooms |
|
$293 |
| 5 bedrooms |
|
$338 |
| 6+ bedrooms |
|
$430 |
RevPAN climbs dramatically with size—6+ bedroom properties lead at $174 per available night, nearly four times the $42 earned by 1-bedroom units. Two-bedroom ($68) and 4-bedroom ($79) properties offer solid middle-ground performance, but the clearest efficiency gains come from the largest configurations.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$42 |
| 2 bedrooms |
|
$68 |
| 3 bedrooms |
|
$50 |
| 4 bedrooms |
|
$79 |
| 5 bedrooms |
|
$103 |
| 6+ bedrooms |
|
$174 |
Occupancy rates range from 23% for 3-bedroom units to 41% for 6+ bedroom properties, with 2-bedroom (33%) and 5-bedroom (31%) listings also performing above the market average of 28%. The stronger fill rates for the largest properties suggest consistent group demand and better cash-flow predictability at the top end of the size spectrum.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
27% |
| 2 bedrooms |
|
33% |
| 3 bedrooms |
|
23% |
| 4 bedrooms |
|
27% |
| 5 bedrooms |
|
31% |
| 6+ bedrooms |
|
41% |
Monthly revenue ranges from $1,578 for 1-bedroom units to $5,305 for 6+ bedroom homes, with a clear inflection point at 4 bedrooms ($2,980). Smaller properties may still work for investors with lower acquisition costs, but the revenue ceiling is notably limited below 4 bedrooms.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$1,578 |
| 2 bedrooms |
|
$2,328 |
| 3 bedrooms |
|
$1,755 |
| 4 bedrooms |
|
$2,980 |
| 5 bedrooms |
|
$4,270 |
| 6+ bedrooms |
|
$5,305 |
Annual revenue potential tops out at $63,668 for 6+ bedroom properties and $51,250 for 5-bedroom homes, while 1-bedroom units generate just $18,942. Given the $611,248 average home value in Mars Hill, larger properties with annual earnings above $35,000 offer a more compelling path to covering carrying costs.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$18,942 |
| 2 bedrooms |
|
$27,940 |
| 3 bedrooms |
|
$21,061 |
| 4 bedrooms |
|
$35,762 |
| 5 bedrooms |
|
$51,250 |
| 6+ bedrooms |
|
$63,668 |
Kitchen (98%) and parking (97%) are near-universal, reflecting the car-dependent, self-catering nature of mountain getaways. Outdoor amenities are heavily represented—83% offer outdoor furniture, 82% have a patio or balcony, and 78% include a BBQ grill—while hot tubs at 56% and pet-friendliness at 66% offer meaningful differentiation opportunities for listings that include them.
| Amenity | Trend | Value |
|---|---|---|
| Kitchen |
|
98% |
| Parking |
|
97% |
| Dryer |
|
85% |
| Washer |
|
85% |
| Self Check-in |
|
84% |
| Outdoor Furniture |
|
83% |
| Patio or Balcony |
|
82% |
| BBQ Grill |
|
78% |
| Workspace |
|
67% |
| Pets |
|
66% |
| Hot Tub |
|
56% |
| Backyard |
|
50% |
| Pool |
|
20% |
| EV Charger |
|
10% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Mars Hill Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Average | 40% |
| Occupancy Stability | Below average | 30% |
| Market Growth Trend | Below average | 15% |
| Supply/Demand Balance | Below average | 15% |
Mars Hill's ROI Score of 45 out of 100 places it in the Competitive Opportunity band, reflecting an average revenue-to-price ratio but below-average marks for occupancy stability, market growth trend, and supply/demand balance. The rapid influx of new listings has outpaced demand growth, making it harder for every property to achieve strong occupancy without deliberate pricing and amenity strategies. Investors should pair this data with thorough local regulatory research and focus on larger, well-differentiated properties to maximize their chances of outperforming the market average.
Understanding local STR regulations is essential before investing in Mars Hill. Here's the current regulatory landscape:
Short-term rental operators in Mars Hill, NC may need to obtain permits or register with local authorities in Madison County. Investors should verify current requirements directly with Mars Hill's town administration and the state of North Carolina before listing a property.
Common STR restrictions in North Carolina communities can include occupancy limits, minimum night stays, noise and parking regulations, and caps on the number of permits issued. HOA covenants in mountain communities may also impose additional limitations, so reviewing deed restrictions is essential before purchasing.
Short-term rental hosts in North Carolina are generally subject to state and local occupancy taxes as well as sales tax on rental income. Platforms like Airbnb often collect and remit a portion of these taxes automatically, but hosts should confirm their full obligations with the North Carolina Department of Revenue.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Mars Hill can provide current regulatory guidance.
Financing an Airbnb investment in Mars Hill requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Mars Hill's short-term rental market is likely to face continued supply growth given the 150% surge in new listings over the past year, which could put additional downward pressure on occupancy rates that already trail the state average. Seasonal demand should remain anchored by summer and fall peaks—July and October historically generate the strongest revenues—so investors targeting those corridors may see ADRs hold steady or inch up 1–3%. Occupancy stabilization will depend on whether listing growth moderates; we estimate market-wide rates could settle in the 26–30% range absent a significant demand catalyst. Investors entering this market should budget conservatively and plan for meaningful revenue dips during the January–February shoulder season."
— Rabbu Market Analysis Team
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.
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 is current as of April 2026 and may not reflect recent regulatory or market changes. Individual property results will vary based on location, condition, pricing strategy, and management quality.
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