Modesto, CA Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

50 / 100

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

Modesto Short-Term Rental Market Overview

Modesto's short-term rental market sits at a crossroads of growing investor interest and modest yield metrics, with 126 active Airbnb listings generating an average annual revenue of $19,047. While the market's ADR of $152 is well below California's $551 state average, the 80% year-over-year growth in active listings signals rising demand and operator confidence. Investors willing to target larger properties—particularly 4-bedroom units—can unlock meaningfully higher returns, though the market's 33% average occupancy rate calls for careful deal selection and pricing strategy.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 126
Average Daily Rate (ADR) vs. $551 state avg. $152
Average Occupancy Rate vs. 43% state avg. 33%
RevPAN ADR * Occupancy Rate $50
Average Monthly Revenue Historical 12-month average $1,587
Average Annual Revenue Historical 12-month average $19,047

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

Why Investors Consider Modesto

Modesto appeals to investors seeking California exposure at a more affordable entry point, though tighter competition and below-average occupancy require sharper deal sourcing.

Key investment factors

  • Average home values of $563,002 offer a lower California buy-in compared to coastal markets
  • 80% year-over-year listing growth reflects rising operator confidence and demand signals
  • Larger properties (4+ bedrooms) command ADRs above $261 and annual revenue approaching $38,557
  • Central Valley location provides proximity to Yosemite-bound travelers and Bay Area commuters
  • Dominant amenities like parking (94%) and kitchens (94%) suggest a guest base favoring extended or practical stays

Expert Market Assessment

"Modesto presents a moderate opportunity for STR investors—the market's ROI score of 50 out of 100 reflects a competitive landscape where strong deals are available but require selectivity. Revenue peaks in June at nearly $2,000 per month before tapering through fall and winter, creating a pronounced seasonal curve that favors active pricing management. The below-average revenue-to-price ratio and occupancy stability mean cash flow won't come on autopilot; however, the above-average growth trend and the clear outperformance of 4-bedroom properties suggest a viable path for investors who target the right property configuration."

— Rabbu Market Analysis Team

Understanding Modesto'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 Modesto Performance Weight
Revenue-to-Price Ratio Below average 40%
Occupancy Stability Below average 30%
Market Growth Trend Above average 15%
Supply/Demand Balance Below average 15%

What This Means for Investors

Modesto's ROI score of 50 out of 100 places it in the "Competitive Opportunity" band, meaning deals are available but not abundant—investors need to be selective. The score reflects below-average marks on revenue-to-price ratio, occupancy stability, and supply/demand balance, offset partially by an above-average market growth trend that signals expanding demand. Pairing this data with thorough local regulatory research and a focus on higher-performing property sizes (particularly 4-bedroom homes) will give investors the clearest picture of where returns can justify the entry price.

Short-Term Rental Regulations in Modesto

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

Permit Requirements

Short-term rental operators in Modesto, California may be required to obtain a business license or STR permit before listing their property. Investors should verify current registration and permitting requirements directly with the City of Modesto's planning or finance department.

Key Restrictions

Common restrictions for STR hosts in California cities include occupancy limits, minimum stay requirements, noise ordinances, and parking mandates. HOA rules may impose additional limitations, and some jurisdictions cap the total number of active STR permits, so confirming local rules before purchasing is essential.

Tax Obligations

Operators in California are generally subject to transient occupancy taxes and may also owe state and local sales taxes on short-term stays. Platforms like Airbnb often collect and remit these taxes on behalf of hosts, but investors should confirm their obligations with Modesto's tax authority.

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

Short-Term Rental Financing for Modesto

Financing an Airbnb investment in Modesto 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 Modesto Lender →

Future Outlook & Long-Term Forecast

"The rapid 80% listing growth over the past year suggests Modesto is attracting new STR supply, which may temper occupancy gains in the near term unless demand keeps pace. Seasonal patterns point to June as the revenue peak at $1,957 per month, with softer months like April dipping to $1,322—investors should anticipate occupancy hovering around 30–36% over the next 12–18 months. An above-average market growth trend could support a modest 2–4% ADR increase if new supply stabilizes, but returns will likely remain most competitive for operators who optimize pricing during the May-through-August corridor."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Modesto, CA

What is the average Airbnb occupancy rate in Modesto?
The average occupancy rate for Airbnb listings in Modesto is currently 33%, which sits below the California state average of 43%. Occupancy varies significantly by property size—5-bedroom listings achieve 57% occupancy, while studios trail at just 22%. Investors targeting larger properties can expect more consistent booking activity throughout the year.
How much do Airbnb hosts make in Modesto?
On average, Airbnb hosts in Modesto earn approximately $1,587 per month or $19,047 per year based on trailing 12-month performance data. Earnings vary widely by property size: 4-bedroom properties lead with an average of $3,213 per month ($38,557 annually), while 1-bedroom units average just $953 per month. Revenue also fluctuates seasonally, peaking in June at around $1,957 per month.
Is Modesto a good market for Airbnb investment?
Modesto scores 50 out of 100 on Rabbu's ROI Score, placing it in the "Competitive Opportunity" category. The market shows above-average growth trends and strong listing expansion (80% year-over-year), but below-average occupancy stability and revenue-to-price ratios mean investors need to be strategic about property selection. Larger properties, especially 4-bedroom homes, offer the strongest return potential, and operators who actively manage pricing around seasonal demand peaks can improve their outcomes.
What is the average daily rate (ADR) for Airbnb in Modesto?
The current average daily rate for Airbnb listings in Modesto is $152, compared to California's state average of $551. ADR scales significantly with property size: studios average $98 per night, while 5-bedroom properties command $333. This pricing structure means investors in larger homes can capture substantially higher nightly revenue, even in a market with relatively modest base rates.
Are short-term rentals legal in Modesto?
Short-term rentals are generally permitted in Modesto, California, though operators may need to secure a business license or STR permit. Local regulations can include occupancy limits, noise restrictions, and parking requirements, and HOA rules may add further constraints. Investors should consult the City of Modesto directly for the most current permitting and compliance requirements before purchasing a property.
When is peak season for Airbnb in Modesto?
Peak season for Airbnb hosts in Modesto runs from May through August, with June being the strongest month at an average revenue of $1,957. The summer months benefit from travel to nearby Central Valley attractions and Yosemite-bound tourism. The softest month is April at $1,322, representing roughly a $635 spread from peak to trough—a manageable seasonal swing for operators who plan their pricing calendar accordingly.
How many Airbnbs are there in Modesto?
As of April 2026, there are 126 active Airbnb listings in Modesto. The market has seen significant growth, with an 80% year-over-year increase in active listings. One-bedroom units dominate the supply at 60 listings, while 2- and 3-bedroom properties each account for 20 listings, and larger homes remain relatively scarce—suggesting potential opportunity in underserved size categories.
How is Airbnb revenue calculated in Modesto?
The annual and monthly revenue figures shown for Modesto are derived from the trailing 12 months of historical booking performance for active comparable Airbnb listings in the market—not a forward-looking projection. We average each comparable listing's actual revenue per available night (RevPAN) by month over the past year, remove regional outliers, and roll the remaining data 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 Modesto market
  • Average daily rate, occupancy, and RevPAN trends across property sizes
  • Monthly and annual revenue benchmarks based on trailing 12-month booking data
  • Home value estimates sourced from Zillow Home Value Index (ZHVI)
  • Supply growth and amenity prevalence data for competitive analysis

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 as of April 2026; actual market conditions may shift due to regulatory changes or economic factors. Individual property results will vary based on location, condition, management quality, and pricing strategy.

Next Steps

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