New Buffalo, MI Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

46 / 100

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

New Buffalo Short-Term Rental Market Overview

New Buffalo, MI, is a highly seasonal Lake Michigan beach market where summer demand drives outsized nightly rates — the current ADR of $396 sits well above Michigan's $350 state average. However, the market's 18% average occupancy rate reflects the concentrated nature of that demand, and with average home values around $1.3 million, the revenue-to-price ratio demands careful deal sourcing. With 150 active listings and year-over-year listing growth holding steady at 103%, competition is real but manageable for investors who can capture peak-season revenue effectively.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 150
Average Daily Rate (ADR) vs. $350 state avg. $396
Average Occupancy Rate vs. 42% state avg. 18%
RevPAN ADR * Occupancy Rate $69
Average Monthly Revenue Historical 12-month average $4,391
Average Annual Revenue Historical 12-month average $52,696

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

Why Investors Consider New Buffalo

Investors are drawn to New Buffalo for its premium nightly rates and proximity to the Chicago metro area as a weekend and summer getaway destination, though the seasonal revenue concentration and elevated home prices require disciplined underwriting.

Key investment factors

  • Strong summer demand from Chicago-area vacationers pushes ADR significantly above the Michigan state average
  • Larger properties (6+ bedrooms) generate outsized revenue, with annual averages reaching $173,333
  • Outdoor-oriented amenities like BBQ grills, backyards, and lake access align with guest expectations and support premium pricing
  • Shoulder-season months (May, September, October) provide meaningful supplemental revenue beyond the core summer peak
  • Limited year-round competition — only 150 active listings — keeps the supply landscape manageable for well-positioned properties

Expert Market Assessment

"New Buffalo presents a competitive but nuanced opportunity. The market's strength is concentrated in June through August — July alone averages $11,276 in revenue per listing — while winter months dip below $1,700, creating a wide seasonal spread that investors must plan around. With a below-average revenue-to-price ratio and average occupancy stability, profitability hinges on selecting the right property size and maximizing peak-season capture. Larger homes with premium amenities are best positioned to justify the market's elevated entry costs."

— Rabbu Market Analysis Team

Understanding New Buffalo's ROI Score: 46/100

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

What This Means for Investors

New Buffalo's ROI Score of 46 out of 100 places it in the 'Competitive Opportunity' band, reflecting a market where strong demand and premium pricing are offset by high property costs and seasonal occupancy patterns. The below-average revenue-to-price ratio is the most significant headwind — with average home values near $1.3 million, deal selection becomes critical to achieving acceptable returns. Investors should pair this data with thorough local regulatory research and focus on property sizes and amenity packages that maximize peak-season capture.

Short-Term Rental Regulations in New Buffalo

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

Permit Requirements

Short-term rental operators in New Buffalo, Michigan, should verify whether a local STR permit or registration is required before listing a property. The City of New Buffalo and surrounding Berrien County may each have their own requirements, so investors are encouraged to confirm directly with local planning and zoning offices.

Key Restrictions

Common restrictions in Michigan beach communities can include occupancy limits tied to bedroom count, minimum-night stay requirements during certain periods, noise ordinances, parking capacity mandates, and potential HOA restrictions in resort or planned communities. Investors should review any applicable zoning overlays and homeowner association covenants before purchasing.

Tax Obligations

Michigan imposes a state use tax and local jurisdictions may require collection of an accommodations or excise tax on short-term rentals. Platforms like Airbnb often collect and remit state-level taxes on behalf of hosts, but operators should confirm their obligations for any additional local levies.

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

Short-Term Rental Financing for New Buffalo

Financing an Airbnb investment in New Buffalo 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 New Buffalo Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, New Buffalo's deeply seasonal pattern is unlikely to shift materially — July and August will continue to anchor the majority of annual income. Investors can anticipate ADR holding in the $390–$410 range given the market's premium positioning, though occupancy gains may be modest at best as new supply enters. The shoulder months of May, September, and October offer the most realistic upside if hosts invest in pricing strategy and amenity differentiation. Expect annual revenues to remain in the $50,000–$55,000 range for the average listing, with larger properties capable of meaningfully exceeding that figure."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in New Buffalo, MI

What is the average Airbnb occupancy rate in New Buffalo?
The average Airbnb occupancy rate in New Buffalo is currently 18%, which sits well below the Michigan state average of 42%. This reflects the market's highly seasonal nature — demand is concentrated in the summer months, with significantly lower occupancy during the fall and winter. Larger properties, particularly those with 6+ bedrooms, achieve notably higher occupancy at 33%.
How much do Airbnb hosts make in New Buffalo?
On average, Airbnb hosts in New Buffalo earn approximately $4,391 per month and $52,696 per year based on trailing 12-month performance data. However, revenue varies dramatically by property size: 1-bedroom units average around $34,416 annually, while 6+ bedroom homes can generate approximately $173,333 per year. Peak summer months like July can bring in over $11,000 for a single listing.
Is New Buffalo a good market for Airbnb investment?
New Buffalo scores a 46 out of 100 on Rabbu's ROI Score, categorized as a 'Competitive Opportunity.' The market features strong summer demand and premium nightly rates ($396 ADR), but elevated home values averaging $1.3 million and a below-average revenue-to-price ratio mean investors need to be selective. Larger properties tend to deliver the strongest returns, and success depends on maximizing revenue during the peak summer season while managing costs through slower months.
What is the average daily rate (ADR) for Airbnb in New Buffalo?
The average daily rate for Airbnb listings in New Buffalo is $396, which is about 13% above the Michigan state average of $350. ADR scales significantly with property size — 1-bedroom listings average $158 per night, while 6+ bedroom properties command an impressive $1,017 per night. This premium pricing reflects the market's appeal as a lakefront vacation destination.
Are short-term rentals legal in New Buffalo?
Short-term rentals do operate in New Buffalo, MI, with approximately 150 active Airbnb listings currently in the market. However, local regulations may require permits, registration, or compliance with zoning rules. Investors should verify current requirements directly with the City of New Buffalo and Berrien County authorities, as STR rules can evolve. Consulting a local real estate attorney familiar with Michigan vacation rental law is also advisable.
When is peak season for Airbnb in New Buffalo?
Peak season in New Buffalo runs from June through August, with July being the strongest month by a wide margin — average revenue per listing reaches $11,276 in July and $9,735 in August. June also performs well at $6,114. The shoulder months of May ($4,155) and September ($5,290) offer secondary peaks. Winter months from December through February are the slowest, averaging between $1,612 and $2,183.
How many Airbnbs are there in New Buffalo?
As of April 2026, there are 150 active Airbnb listings in New Buffalo. The supply is distributed across property sizes, with 3-bedroom (35 listings) and 4-bedroom (36 listings) homes making up the largest share. Year-over-year listing growth is at 103%, indicating a relatively stable supply environment with modest expansion.
How is Airbnb revenue calculated in New Buffalo?
The annual and monthly revenue figures shown for New Buffalo 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. Rabbu averages each comparable listing's actual revenue per available night (RevPAN) by month over the past year, removes regional outliers, and rolls 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 New Buffalo market
  • Average daily rate, occupancy, and RevPAN metrics across property sizes
  • Monthly and annual revenue trends based on trailing 12-month booking data
  • Home value benchmarks sourced from the Zillow Home Value Index (ZHVI)
  • Supply distribution and popular amenity data for active listings

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 the dates noted and may not capture very recent market shifts. Local regulations and tax obligations are subject to change; investors should verify current rules with municipal authorities before purchasing.

Next Steps

Ready to invest in New Buffalo's short-term rental market? Take action with these resources:

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