Palm Springs, CA Airbnb Market Data, Statistics, and Occupancy Rates

Palm Springs Short-Term Rental Market Overview

Palm Springs stands out as a desert resort market where short-term rentals benefit from strong seasonal tourism, event-driven demand, and a lifestyle that attracts visitors year-round. With 1,876 active Airbnb listings generating an average annual revenue of $63,712 and occupancy running at 52% — well above the 43% California state average — the market demonstrates sustained guest interest. An average daily rate of $471 and above-average market growth trend further underscore the city's appeal to STR investors looking for a proven leisure destination.

Key Market Statistics

According to Rabbu market data, the Palm Springs 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 Palm Springs

Palm Springs attracts investor interest because its blend of resort-style leisure demand, strong seasonal peaks, and above-state-average occupancy creates a revenue profile that rewards well-positioned properties.

Expert Market Assessment

"Palm Springs represents an attractive opportunity for STR investors willing to navigate its pronounced seasonality. April is the undisputed revenue champion at $10,481 per listing, roughly three times the September low of $3,403 — meaning cash flow management through the summer months is essential. The market's ROI score of 62 out of 100 reflects average revenue-to-price and occupancy stability balanced by above-average growth, placing it firmly in the 'attractive opportunity' tier for investors with realistic return expectations. Larger homes tend to capture outsized revenue, and the deep amenity infrastructure (93% with pools, 82% with hot tubs) means guest expectations are high — entering this market without competitive amenities would be a disadvantage."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Palm Springs

Average revenue by month in Palm Springs

Palm Springs exhibits dramatic seasonality, with April peaking at $10,481 — nearly triple the September low of $3,403. The high season runs from February through April, while the summer trough (June–October) sees monthly revenues hovering between $3,400 and $4,400, making cash reserves or dynamic pricing critical for year-round profitability.

Active Airbnb listings by property size in Palm Springs

Three-bedroom homes dominate supply with 699 listings, accounting for more than a third of the market, followed by 1-bedrooms (364) and 4-bedrooms (339). Studios (33) and 6+ bedroom properties (29) are notably underrepresented, which could present opportunity for investors targeting either budget-conscious solo travelers or large group retreats.

Average daily rate (ADR) by property size in Palm Springs

ADR scales sharply with property size in Palm Springs, jumping from $218 for 1-bedrooms to $490 for 3-bedrooms and reaching $1,575 for 6+ bedroom homes. The steepest premium-per-bedroom gains appear between 4-bedrooms ($663) and 5-bedrooms ($1,107), suggesting luxury group properties capture outsized nightly rates relative to the incremental space.

Average RevPAN by property size in Palm Springs

RevPAN increases consistently with size, from $93 for studios up to $751 for 6+ bedroom properties, confirming that larger homes generate more revenue per available night even after accounting for occupancy. The jump from 4-bedroom ($314) to 5-bedroom ($525) is particularly notable, indicating that investors in premium-sized homes are well-rewarded on a per-night basis.

Average occupancy rates by property size in Palm Springs

Two-bedroom units lead occupancy at 59%, while 1- and 3-bedrooms each sit at 53%, suggesting mid-size properties maintain the most consistent booking activity. Larger 4- and 5-bedroom homes both hover around 47%, trading lower fill rates for significantly higher nightly rates — a trade-off that still works in their favor on a revenue basis.

Average monthly revenue by property size in Palm Springs

Monthly revenue ranges from $2,693 for studios to an impressive $22,531 for 6+ bedroom properties, with a clear inflection point at the 3-bedroom level ($5,874) where earnings begin to outpace the market average. For investors targeting the market's sweet spot, 4-bedroom properties averaging $8,016 per month offer a strong balance of revenue and manageable property complexity.

Average annual revenue by property size in Palm Springs

Annual revenue potential ranges widely, from approximately $32,000 for studios and 1-bedrooms to $270,374 for 6+ bedroom homes. Five-bedroom properties stand out as a particularly compelling tier at $164,821 annually, offering substantial earnings without the operational complexity and limited supply constraints of the largest homes.

Most common amenities for Airbnb listings in Palm Springs

Parking (96%), kitchens (94%), and pools (93%) are near-universal across Palm Springs listings, reflecting the market's identity as a drive-to desert retreat centered on outdoor living. Hot tubs (82%) and BBQ grills (77%) are also standard rather than differentiators — meaning investors who lack these amenities will be at a serious competitive disadvantage, while features like EV chargers (13%) represent potential upside for standing out.

Understanding Palm Springs's ROI Score: 62/100

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

Palm Springs earns a 62 out of 100 on Rabbu's ROI Score, placing it in the 'Attractive Opportunity' band — a market where revenue and demand fundamentals are solid but not exceptional relative to property prices. The score reflects average revenue-to-price and occupancy stability, balanced by an above-average market growth trend and average supply/demand dynamics, suggesting the market still has room to reward well-run listings. Investors should pair this data with a thorough review of local permit regulations and seasonal cash flow planning, given the significant revenue swings between peak and off-peak months.

Short-Term Rental Regulations in Palm Springs

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

Permit Requirements

The City of Palm Springs, California generally requires short-term rental operators to obtain a vacation rental permit or registration before listing a property. Investors should verify current permit requirements, fees, and application timelines directly with Palm Springs city offices, as rules can evolve.

Key Restrictions

Common restrictions in Palm Springs-area STR regulations include occupancy limits tied to property size, designated quiet hours to address noise concerns, parking requirements for guests, and potential caps on the total number of permits issued. HOA rules may impose additional limitations, so investors should review CC&Rs carefully before purchasing.

Tax Obligations

Short-term rental hosts in Palm Springs are typically subject to California's transient occupancy tax (TOT) and possibly additional local tourism levies. Many booking platforms collect and remit these taxes automatically, but hosts should confirm their full tax obligations with local and state authorities.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Palm Springs is expected to maintain its seasonal rhythm, with peak revenues concentrated in the cooler months of February through April and softer performance through the summer. The above-average market growth trend suggests continued momentum, and ADR could see modest increases in the range of 2–4% as the market's luxury positioning holds. Occupancy is likely to stay in the 50–55% range on a market-wide basis, with larger properties potentially outperforming during high season. Investors should note that summer months will remain the softest period, so pricing strategy and expense management will matter during those stretches."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Palm Springs, CA

What is the average Airbnb occupancy rate in Palm Springs?

The average Airbnb occupancy rate in Palm Springs is currently 52%, which is notably higher than the California state average of 43%. Occupancy varies by property size, with 2-bedroom units achieving the highest rate at 59%, while studios tend to run lower at 35%. Seasonal patterns also play a significant role — expect stronger occupancy during the cooler months from November through April and softer bookings through the summer.

How much do Airbnb hosts make in Palm Springs?

On average, Airbnb hosts in Palm Springs earn approximately $5,309 per month and $63,712 per year, based on trailing 12-month booking data from active comparable listings. Revenue varies significantly by property size: a 3-bedroom averages around $70,497 annually, while a 5-bedroom can reach approximately $164,821. Seasonal peaks in March and April can push monthly revenue well above $8,000, while summer months may dip below $4,000.

Is Palm Springs a good market for Airbnb investment?

Palm Springs scores 62 out of 100 on Rabbu's ROI Score, placing it in the 'Attractive Opportunity' category. The market benefits from above-average occupancy relative to California, a strong leisure tourism base, and an above-average market growth trend. Investors should be prepared for pronounced seasonality — peak season (February–April) delivers roughly 2–3x the revenue of summer months — and relatively high average home values around $1,257,389. Properties with pools, hot tubs, and outdoor living spaces tend to perform best.

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

The average daily rate for Airbnb listings in Palm Springs is $471, which is below the California state average of $551 but reflects the market's mix of property sizes. ADR scales significantly with size: 1-bedrooms average $218 per night, 3-bedrooms reach $490, and 5-bedroom properties command around $1,107 per night. Larger luxury homes with 6+ bedrooms can achieve ADRs of $1,575.

Are short-term rentals legal in Palm Springs?

Yes, short-term rentals are legal in Palm Springs, though they are subject to local regulations including permit or registration requirements, occupancy limits, noise restrictions, and parking rules. The city may also cap the total number of STR permits. Investors should consult the City of Palm Springs directly for the most current rules, as regulations can change, and should also review any HOA restrictions that may apply to specific properties.

When is peak season for Airbnb in Palm Springs?

Peak season in Palm Springs runs from approximately February through April, when the desert climate is most appealing and major events draw large crowds. April is the single strongest month with average revenue reaching $10,481 per listing, followed by March at $8,837 and February at $6,258. The summer months of June through October are the slowest period, with September averaging just $3,403 — making this a highly seasonal market where winter and spring performance carries the year.

How many Airbnbs are there in Palm Springs?

As of April 2026, there are 1,876 active Airbnb listings in Palm Springs. The supply is concentrated in mid-size properties: 3-bedroom homes make up the largest segment with 699 listings, followed by 1-bedrooms (364) and 4-bedrooms (339). Studios (33) and 6+ bedroom properties (29) represent much smaller shares of the market, which could signal either lower demand or potential niches with less competition.

How is Airbnb revenue calculated in Palm Springs?

The annual and monthly revenue figures shown for Palm Springs 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 data. Individual results can vary based on property quality, pricing strategy, location within the market, 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 Palm Springs market
• Average daily rate, occupancy, and RevPAN trends across property sizes and time periods
• Monthly and annual revenue benchmarks based on trailing 12-month booking performance
• Home value data sourced from the Zillow Home Value Index (ZHVI) for investment analysis
• Data aggregated from multiple providers including Rabbu proprietary analytics for consistency

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 historical averages and may not capture recent regulatory changes or market shifts. Local short-term rental regulations in Palm Springs are subject to change; investors should verify current rules before purchasing.