Palisade, CO Airbnb Market Data, Statistics, and Occupancy Rates

Palisade Short-Term Rental Market Overview

Palisade, Colorado — known for its wine country charm and outdoor recreation along the Western Slope — presents an intriguing niche opportunity for short-term rental investors. With just 40 active Airbnb listings and an average annual revenue of $35,683, the market is small but has seen impressive 90% year-over-year listing growth, signaling rising investor interest. An ADR of $209 sits well below the Colorado state average of $529, reflecting the area's more affordable, boutique positioning rather than a resort-tier price point. The ROI score of 58 out of 100 marks this as an attractive opportunity worth a closer look, particularly for investors comfortable with seasonal demand patterns.

Key Market Statistics

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

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

Why Investors Consider Palisade

Palisade draws investor attention for its combination of agritourism-driven demand, low competition from a small listing base, and above-average market growth trends relative to property costs.

Expert Market Assessment

"Palisade earns an "Attractive Opportunity" designation with its 58/100 ROI score, driven by average revenue-to-price ratios and stable — if not spectacular — occupancy fundamentals. The market's clear seasonality is its defining feature: revenue nearly doubles from February's low of $1,837 to September's peak of $3,910, meaning cash-flow planning needs to account for lean winter months. The supply-demand balance currently rates below average, a signal that the rapid influx of new listings is outpacing demand growth in the near term. For investors who can weather the off-season and capitalize on the lucrative August-through-October corridor, Palisade offers a differentiated Colorado play outside the crowded ski and mountain resort markets."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Palisade

Average revenue by month in Palisade

Palisade's revenue cycle closely tracks its harvest and tourism season, peaking in September at $3,910 and bottoming out in February at just $1,837 — a spread of more than $2,000. The June-through-October window accounts for the bulk of annual earnings, making cash-flow management during the quieter winter months an important consideration for investors.

Active Airbnb listings by property size in Palisade

One-bedroom units dominate the supply with 17 of 40 total listings, followed by 10 three-bedroom and just 7 two-bedroom properties. The relatively thin two-bedroom inventory could represent an underserved niche for investors looking to differentiate while offering a mid-tier option between budget and family-sized stays.

Average daily rate (ADR) by property size in Palisade

ADR scales predictably with size: one-bedrooms average $146, two-bedrooms $167, and three-bedrooms command $240 per night. The jump from two to three bedrooms represents a 44% premium, suggesting that larger properties capture meaningfully higher nightly rates — likely driven by group and family travelers visiting wine country.

Average RevPAN by property size in Palisade

Three-bedroom properties deliver the strongest RevPAN at $60, while one-bedrooms follow at $47 and two-bedrooms lag at just $30. The two-bedroom segment's low RevPAN, despite a reasonable ADR, reflects its notably weak 18% occupancy, making it the least efficient size on a per-available-night basis.

Average occupancy rates by property size in Palisade

One-bedroom listings lead occupancy at 32%, with three-bedrooms at 25% and two-bedrooms trailing at just 18%. These rates are all below the state average of 45%, highlighting the seasonal nature of the market, though the relatively stronger fill rate for one-bedrooms suggests consistent demand for smaller, more affordable accommodations.

Average monthly revenue by property size in Palisade

Three-bedroom properties are the clear monthly revenue leaders at $3,806, nearly double the $1,844 earned by one-bedroom units. Two-bedroom listings fall in between at $2,919, though their lower occupancy means they require more careful pricing optimization to maintain competitive returns.

Average annual revenue by property size in Palisade

Annual revenue ranges from $22,131 for one-bedroom properties up to $45,681 for three-bedrooms, with two-bedrooms at $35,039. Three-bedroom configurations offer the strongest absolute return potential, though investors should weigh these figures against higher acquisition and operating costs to determine the best fit for their budget.

Most common amenities for Airbnb listings in Palisade

Every listing in Palisade offers parking (100%), reflecting the car-dependent nature of this rural wine country market. Kitchens and self check-in both appear in 88% of listings, while outdoor-oriented amenities like patios (73%), outdoor furniture (75%), backyards (63%), and BBQ grills (63%) signal that guests expect a relaxed, home-like experience suited to the area's agricultural setting.

Understanding Palisade's ROI Score: 58/100

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

What This Means for Investors

Palisade's ROI score of 58 out of 100 places it in the "Attractive Opportunity" band, indicating a market with genuine upside balanced by some headwinds. The revenue-to-price ratio and occupancy stability both rate as average, while the above-average market growth trend reflects rising traveler interest in the area — though the below-average supply/demand balance warns that listing growth is currently outpacing demand absorption. Pairing these metrics with thorough local regulatory research and a realistic seasonal cash-flow model will help investors determine whether Palisade fits their portfolio.

Short-Term Rental Regulations in Palisade

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

Permit Requirements

Short-term rental operators in Palisade, Colorado may need to obtain permits or register their property with the Town of Palisade and comply with any Mesa County requirements. Investors should verify current permit rules directly with local authorities before listing a property.

Key Restrictions

Common STR restrictions in Colorado communities include occupancy limits, noise ordinances, parking requirements, and potential caps on the number of permits issued. HOA rules may also apply and can be more restrictive than municipal regulations, so it's important to review covenants before purchasing.

Tax Obligations

Short-term rental hosts in Colorado are typically subject to state sales tax, local lodging or occupancy taxes, and potentially tourism-related assessments. Many booking platforms collect and remit some of these taxes automatically, but operators should confirm their full obligations with local tax authorities.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Palisade's STR market is expected to benefit from above-average market growth trends as tourism to Colorado's wine and peach country continues expanding. Revenue is likely to remain heavily weighted toward the late-summer and early-fall harvest season, with peak monthly earnings in the $3,500–$3,900 range and softer winter months closer to $1,800–$2,400. ADR may see modest increases of 1–3% as supply grows and operators refine pricing strategies, though occupancy — currently at 32% versus a 45% state average — will be the key metric to watch. Investors should anticipate that the rapid supply growth (90% YoY) could pressure occupancy further if demand doesn't keep pace."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Palisade, CO

What is the average Airbnb occupancy rate in Palisade?

The average occupancy rate for Airbnb listings in Palisade is currently 32%, which falls below the Colorado state average of 45%. This reflects the market's strong seasonal demand pattern — occupancy concentrates heavily in summer and fall harvest months while winter sees considerably less booking activity. One-bedroom units lead at 32% occupancy, while two-bedrooms trail at 18%.

How much do Airbnb hosts make in Palisade?

Airbnb hosts in Palisade earn an average of $2,973 per month and approximately $35,683 per year based on trailing 12-month performance data. Earnings vary significantly by property size: one-bedroom listings average $22,131 annually, two-bedrooms bring in around $35,039, and three-bedroom properties top the market at $45,681 per year. Peak months like September can push monthly revenue above $3,900.

Is Palisade a good market for Airbnb investment?

Palisade scores a 58 out of 100 on Rabbu's ROI Score, placing it in the "Attractive Opportunity" category. The market benefits from above-average growth trends and a unique agritourism niche, though the current supply-demand balance is below average due to rapid listing growth (90% year-over-year). It's best suited for investors who appreciate the seasonal nature of the market and can manage cash flow through quieter winter months.

What is the average daily rate (ADR) for Airbnb in Palisade?

The average daily rate in Palisade is $209, which is significantly lower than the Colorado state average of $529. Rates scale with property size: one-bedroom listings average $146 per night, two-bedrooms come in at $167, and three-bedroom properties command $240. The lower ADR reflects the market's boutique, rural character compared to Colorado's ski resort destinations.

Are short-term rentals legal in Palisade?

Short-term rentals operate in Palisade, as evidenced by the 40 active Airbnb listings in the market. However, specific permit requirements, zoning restrictions, and licensing rules can change, so prospective investors should verify current regulations with the Town of Palisade and Mesa County before purchasing a property or listing it on a booking platform.

When is peak season for Airbnb in Palisade?

Peak season in Palisade runs from June through October, coinciding with the area's famous peach harvest and wine festival season. September is the single strongest month, with average revenue reaching $3,910, followed closely by August at $3,871. The slowest period falls in the winter, with February bottoming out at $1,837 — roughly half of peak-month earnings.

How many Airbnbs are there in Palisade?

There are currently 40 active Airbnb listings in Palisade as of April 2026. The market has experienced substantial growth, with a 90% year-over-year increase in active listings. One-bedroom properties make up the largest share with 17 listings, followed by 10 three-bedroom and 7 two-bedroom properties.

How is Airbnb revenue calculated in Palisade?

The annual and monthly revenue figures for Palisade 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 results 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 how well the property is managed.

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 Palisade and surrounding markets
• Average daily rate, occupancy, and RevPAN trends across property sizes
• Monthly and annual revenue estimates based on trailing 12-month booking performance
• Property value benchmarks from the Zillow Home Value Index (ZHVI)
• Amenity prevalence data across active listings to inform investment decisions

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; actual conditions may shift as new listings enter the market. Local regulations, permit requirements, and tax obligations may change — always verify with municipal authorities before investing.