Middletown, RI Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

66 / 100

Middletown offers attractive short-term rental potential, with a balance of healthy demand and revenue relative to property values.

Middletown Short-Term Rental Market Overview

Middletown, RI presents an attractive short-term rental opportunity driven by strong summer coastal demand and above-average occupancy stability. With 135 active Airbnb listings generating an average annual revenue of $86,986, the market rewards investors who can capitalize on a pronounced seasonal peak — July and August alone account for nearly 40% of total annual income. Property values average $1,166,161, placing this firmly in premium coastal territory, but larger homes command impressive nightly rates that can offset higher acquisition costs.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 135
Average Daily Rate (ADR) vs. $547 state avg. $423
Average Occupancy Rate vs. 50% state avg. 25%
RevPAN ADR * Occupancy Rate $104
Average Monthly Revenue Historical 12-month average $7,248
Average Annual Revenue Historical 12-month average $86,986

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

Why Investors Consider Middletown

Middletown attracts STR investors because of its strong summer coastal tourism, above-average occupancy stability, and the ability of larger properties to generate outsized seasonal revenue.

Key investment factors

  • Coastal New England location near Newport drives robust summer vacation rental demand
  • Above-average occupancy stability provides more predictable cash flow relative to comparable markets
  • Larger properties (5+ bedrooms) can generate over $120,000 annually, helping justify premium home prices
  • Outdoor amenities like backyards, patios, and BBQ grills are widespread, signaling a guest base seeking leisure stays
  • Growing listing count (132% YoY) reflects rising investor confidence in the market's trajectory

Expert Market Assessment

"Middletown earns an ROI score of 66 out of 100 — an "Attractive Opportunity" rating — thanks to its solid occupancy stability and a revenue-to-price ratio that, while average, still makes the numbers work for well-positioned properties. Seasonality is the defining characteristic here: peak months of July and August deliver average revenues above $16,000, while January and February drop below $2,300, creating a wide spread that investors must plan around. The market skews toward mid-size and larger homes, and investors targeting 3-bedroom or larger properties stand to capture the strongest returns. Overall, this is a market where disciplined seasonal pricing and careful property selection can unlock meaningful income, even as new supply enters."

— Rabbu Market Analysis Team

Understanding Middletown's ROI Score: 66/100

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 Middletown Performance Weight
Revenue-to-Price Ratio Average 40%
Occupancy Stability Above average 30%
Market Growth Trend Average 15%
Supply/Demand Balance Average 15%

What This Means for Investors

Middletown's ROI score of 66 out of 100 places it in the "Attractive Opportunity" band, reflecting a market where above-average occupancy stability helps balance an average revenue-to-price ratio. Market growth trend and supply/demand balance both register as average, meaning the opportunity is real but not without competitive pressure — particularly given the 132% year-over-year increase in active listings. Investors should pair this score with local regulatory research and a clear seasonal pricing strategy to maximize returns.

Short-Term Rental Regulations in Middletown

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

Permit Requirements

Middletown, Rhode Island may require short-term rental operators to obtain a permit or register with the town before listing a property. Investors should verify current requirements directly with the Town of Middletown and the State of Rhode Island, as local STR regulations can evolve.

Key Restrictions

Common restrictions in coastal Rhode Island communities can include occupancy limits, minimum stay requirements during certain seasons, noise ordinances, and parking regulations. HOA or condo association rules may add additional layers of restriction, so it's important to review governing documents before purchasing a property intended for short-term rental use.

Tax Obligations

Short-term rental hosts in Rhode Island are typically subject to state sales tax and local hotel or room taxes on stays of fewer than 30 days. Many booking platforms collect and remit these taxes on behalf of hosts, but operators should confirm compliance with Rhode Island's Division of Taxation.

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

Short-Term Rental Financing for Middletown

Financing an Airbnb investment in Middletown 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 Middletown Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Middletown's STR market is expected to maintain its seasonal rhythm, with summer months continuing to drive the bulk of revenue. ADR could see modest increases in the 2–4% range as coastal Rhode Island demand remains resilient, while occupancy rates are likely to hold steady around 24–28% on an annualized basis given the market's heavy summer weighting. The 132% year-over-year growth in active listings signals growing investor interest, which may temper per-listing revenue gains if supply outpaces demand. Investors entering now should plan conservatively around off-season months and budget for the reality that winter revenue will dip below $2,500 per month."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Middletown, RI

What is the average Airbnb occupancy rate in Middletown?
The average occupancy rate for Airbnb listings in Middletown is currently 25%, which is below the Rhode Island state average of 50%. This reflects the market's strong seasonal pattern — occupancy spikes during the summer months and drops significantly in winter. Properties with 6+ bedrooms tend to perform best at 37% average occupancy, while 2-bedroom and 4-bedroom units average around 21%.
How much do Airbnb hosts make in Middletown?
On average, Airbnb hosts in Middletown earn approximately $7,248 per month or $86,986 per year based on trailing 12-month booking data. Earnings vary significantly by property size: 1-bedroom listings average about $46,587 annually, while 6+ bedroom properties can bring in around $180,767 per year. Summer months are by far the highest-earning period, with August averaging $17,447 in revenue.
Is Middletown a good market for Airbnb investment?
Middletown scores 66 out of 100 on Rabbu's ROI Score, placing it in the "Attractive Opportunity" category. The market benefits from above-average occupancy stability and solid summer demand driven by its coastal Rhode Island location. However, property values average $1,166,161, so investors need to carefully evaluate whether projected revenue justifies acquisition costs. Larger properties tend to offer the best return potential, and investors should plan for significantly lower revenue during the off-season months of November through March.
What is the average daily rate (ADR) for Airbnb in Middletown?
The average daily rate across all Middletown Airbnb listings is $423, which is below the Rhode Island state average of $547. ADR scales substantially with property size — 1-bedroom units average $225 per night, while 6+ bedroom homes command $740 per night. This pricing structure reflects the premium that guests are willing to pay for larger group accommodations in this coastal market.
Are short-term rentals legal in Middletown?
Short-term rentals operate in Middletown, RI, with 135 active Airbnb listings currently on the market. However, local regulations regarding permits, zoning, and operational requirements can change. Investors should check directly with the Town of Middletown and consult Rhode Island state guidelines to ensure full compliance before listing a property.
When is peak season for Airbnb in Middletown?
Peak season in Middletown runs from June through September, with July and August being the strongest months. August leads with an average revenue of $17,447 per listing, followed closely by July at $16,987. The shoulder months of May ($8,136) and October ($6,621) also perform well. The off-season spans November through March, when monthly revenue typically drops below $3,300.
How many Airbnbs are there in Middletown?
As of April 2026, there are 135 active Airbnb listings in Middletown. The market has seen significant growth, with a 132% year-over-year increase in active listings. Three-bedroom properties make up the largest share of supply at 36 listings, followed by 4-bedroom homes at 33 listings. Larger properties with 5 or 6+ bedrooms are less common, totaling just 20 listings combined.
How is Airbnb revenue calculated in Middletown?
The annual and monthly revenue figures for Middletown 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 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 for the Middletown, RI market
  • Average daily rate, occupancy, and RevPAN metrics based on current and trailing 12-month data
  • Revenue estimates by property size derived from historical booking performance of comparable listings
  • 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 averages and current snapshots; market conditions, regulations, and individual property performance may vary. Local STR regulations in Middletown, RI are subject to change — investors should verify current permit and tax requirements with local authorities before purchasing.

Next Steps

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