Montclair, NJ Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

44 / 100

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

Montclair Short-Term Rental Market Overview

Montclair, NJ is a compact but competitive short-term rental market situated just outside New York City, with 78 active Airbnb listings generating an average annual revenue of $32,575. While the market's average daily rate of $233 sits well below the New Jersey state average of $430, occupancy stability rates above average and larger properties command impressive nightly rates — signaling opportunity for investors who choose the right property type. The high average home value of $1,739,910 means deal sourcing needs to be deliberate, but the proximity to Manhattan and a vibrant local arts and dining scene sustain consistent guest demand.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 78
Average Daily Rate (ADR) vs. $430 state avg. $233
Average Occupancy Rate vs. 34% state avg. 33%
RevPAN ADR * Occupancy Rate $76
Average Monthly Revenue Historical 12-month average $2,714
Average Annual Revenue Historical 12-month average $32,575

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

Why Investors Consider Montclair

Investors are drawn to Montclair for its proximity to New York City, above-average occupancy stability, and the outsized revenue potential of larger properties in a market with relatively limited supply.

Key investment factors

  • NYC proximity drives a reliable base of weekend visitors, relocating families, and business travelers
  • Above-average occupancy stability reduces the risk of prolonged vacancies
  • 3- and 4-bedroom properties earn $59,749–$120,772 annually, far outpacing smaller units
  • Only 13 listings with 3+ bedrooms means limited competition at the top end of the market
  • A 111% year-over-year listing growth rate signals rising investor interest and market validation

Expert Market Assessment

"Montclair presents a competitive but nuanced opportunity for STR investors. The ROI score of 44 out of 100 reflects a below-average revenue-to-price ratio — unsurprising given average home values near $1.74 million — but above-average occupancy stability helps offset that concern for investors focused on cash-flow consistency. Seasonality is moderate: revenue peaks from June through September (with August topping out at $3,434) and dips to its lowest point in February at $1,494, creating roughly a 2.3x spread between the best and worst months. Investors willing to target larger properties or find below-market acquisitions stand the best chance of generating meaningful returns here."

— Rabbu Market Analysis Team

Understanding Montclair's ROI Score: 44/100

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

What This Means for Investors

Montclair's ROI score of 44 out of 100 places it in the "Competitive Opportunity" band, reflecting strong investor interest tempered by high acquisition costs. The below-average revenue-to-price ratio is the primary drag — average home values near $1.74 million make it challenging to generate outsized yields on a percentage basis — but above-average occupancy stability and average marks for growth and supply/demand balance suggest the fundamentals remain sound. Investors should pair this score with thorough local regulatory research and focus on property types (particularly 3–4 bedrooms) where revenue potential best offsets the higher entry price.

Short-Term Rental Regulations in Montclair

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

Permit Requirements

Montclair, New Jersey may require hosts to obtain a short-term rental permit or business registration before listing a property. Investors should verify current requirements directly with the Township of Montclair and the State of New Jersey, as local ordinances can change.

Key Restrictions

Common restrictions in markets like Montclair can include occupancy limits, minimum-stay requirements, noise ordinances, and parking mandates — the 97% parking prevalence among local listings suggests this is already a key guest expectation. HOA rules may also apply to condos and townhomes, and some municipalities impose caps on the number of active permits in a given area.

Tax Obligations

Short-term rental hosts in New Jersey are typically subject to state sales tax, occupancy taxes, and potentially local tourism assessments. Platforms like Airbnb often collect and remit some of these taxes automatically, but hosts should confirm their full obligations with a tax professional familiar with New Jersey regulations.

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

Short-Term Rental Financing for Montclair

Financing an Airbnb investment in Montclair 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 Montclair Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Montclair's STR market is expected to maintain steady demand driven by its appeal as a suburban alternative to pricier NYC accommodations. Seasonal patterns suggest revenue could range from roughly $1,500 in the slowest winter months to over $3,400 at summer peaks, and we estimate ADR may inch up 1–3% as the listing base matures. Active listing growth has been notable at 111% year-over-year, so new supply could moderate occupancy rates slightly — investors should monitor whether demand keeps pace. Overall, the market's growth trajectory and above-average occupancy stability point to resilient, if not explosive, performance ahead."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Montclair, NJ

What is the average Airbnb occupancy rate in Montclair?
The average Airbnb occupancy rate in Montclair is currently 33%, which is just below the New Jersey state average of 34%. Occupancy varies significantly by property size — 3-bedroom listings achieve the highest occupancy at 50%, while 2-bedroom units trail at 29%. The market's above-average occupancy stability suggests that while the overall rate is moderate, it remains consistent throughout the year without dramatic swings.
How much do Airbnb hosts make in Montclair?
Airbnb hosts in Montclair earn an average of $2,714 per month, which works out to roughly $32,575 annually based on the trailing 12 months of booking data. However, earnings vary dramatically by property size: 1-bedroom listings average $19,787 per year, while 4-bedroom properties can pull in approximately $120,772 annually. Revenue also fluctuates seasonally, with summer months generating up to $3,434 and winter months dipping to around $1,494.
Is Montclair a good market for Airbnb investment?
Montclair earns a Rabbu ROI Score of 44 out of 100, placing it in the 'Competitive Opportunity' category. The market benefits from above-average occupancy stability and steady demand fueled by its proximity to New York City, but high home prices (averaging $1,739,910) compress the revenue-to-price ratio. Investors who can source deals below market value or target larger properties — where RevPAN reaches $274 for 4-bedroom units — may find the most attractive returns.
What is the average daily rate (ADR) for Airbnb in Montclair?
The average daily rate across all Montclair Airbnb listings is $233, which is significantly below the New Jersey state average of $430. Rates scale sharply with property size: 1-bedroom units average $127 per night, 2-bedrooms reach $205, 3-bedrooms command $417, and 4-bedroom properties top the market at $648 per night. This steep premium for larger homes reflects strong demand from groups and families visiting the area.
Are short-term rentals legal in Montclair?
Short-term rentals operate in Montclair, NJ, with 78 active Airbnb listings currently on the platform. However, local regulations regarding permits, zoning, and operational requirements can evolve, so prospective hosts should check directly with the Township of Montclair and review any applicable New Jersey state-level requirements before purchasing or listing a property.
When is peak season for Airbnb in Montclair?
Peak season in Montclair runs from May through September, with August generating the highest average monthly revenue at $3,434. June through October all exceed $3,000 in average revenue. The slowest months are January and February, when revenue drops to $1,788 and $1,494 respectively. This roughly 2.3x seasonal spread is moderate, meaning income stays relatively stable even during off-peak months.
How many Airbnbs are there in Montclair?
There are currently 78 active Airbnb listings in Montclair as of April 2026. The market has seen significant growth, with active listings increasing 111% year-over-year. The supply is heavily weighted toward smaller properties, with 1-bedroom units making up 40 of the 78 listings, followed by 21 two-bedroom listings. Only 13 properties have 3 or more bedrooms, suggesting less competition at larger sizes.
How is Airbnb revenue calculated in Montclair?
The annual and monthly revenue figures shown for Montclair 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 aggregate the results into 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 Montclair, NJ market
  • Average daily rates, occupancy rates, and RevPAN metrics broken down by property size
  • Monthly and annual revenue averages based on trailing 12-month booking performance
  • Amenity prevalence data across active listings to inform property setup decisions
  • Home value benchmarks 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 Apr, 27 2026. Revenue projections are estimates based on comparable properties and do not guarantee future performance. Data reflects trailing 12-month averages and current snapshots as of April 2026; market conditions can shift due to regulatory changes, economic factors, or seasonal variation. Individual property results will vary based on location, condition, pricing strategy, and management approach.

Next Steps

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