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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Palmview presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.
Palmview, TX is a small but fast-growing short-term rental market in the Rio Grande Valley, with just 18 active Airbnb listings and a striking 250% year-over-year increase in supply. Average annual revenue sits at $28,353 against an average home value of $263,646, producing an above-average revenue-to-price ratio that catches the eye of yield-focused investors. With an ADR of $189 (below the $276 Texas state average) and occupancy at 35%, this market rewards operators who can target the right property size and manage seasonality carefully.
According to Rabbu market data, the Palmview short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 18 |
| Average Daily Rate (ADR) | vs. $276 state avg. | $189 |
| Average Occupancy Rate | vs. 33% state avg. | 35% |
| RevPAN | ADR * Occupancy Rate | $66 |
| Average Monthly Revenue | Historical 12-month average | $2,362 |
| Average Annual Revenue | Historical 12-month average | $28,353 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Apr, 27 2026.
Palmview appeals to investors seeking affordable entry points in South Texas with an above-average revenue-to-price ratio and room to grow in a still-emerging STR market.
Key investment factors
"Palmview represents a competitive opportunity where selective deal sourcing can make the difference between solid returns and underwhelming performance. The market's strength lies in its affordability and favorable revenue-to-price dynamics, but below-average occupancy stability means cash-flow consistency requires careful planning. Seasonality is pronounced: December ($3,521) and July ($2,998) stand out as peak revenue months, while January ($1,767) is the softest. Investors focused on four-bedroom properties—which account for the majority of meaningful revenue—are best positioned to capitalize on the market's current trajectory."
— Rabbu Market Analysis Team
Revenue in Palmview follows a clear seasonal pattern, peaking in December at $3,521 and bottoming out in January at $1,767—a spread of nearly $1,754. A secondary summer peak in July ($2,998) and a strong November ($2,791) suggest holiday and vacation-driven demand, while spring months remain relatively soft.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$1,767 |
| February |
|
$1,914 |
| March |
|
$2,672 |
| April |
|
$1,946 |
| May |
|
$1,882 |
| June |
|
$2,268 |
| July |
|
$2,998 |
| August |
|
$2,247 |
| September |
|
$2,051 |
| October |
|
$2,290 |
| November |
|
$2,791 |
| December |
|
$3,521 |
Palmview's supply is concentrated in just two property sizes: 7 four-bedroom listings and 5 one-bedroom units, with no two- or three-bedroom options currently active. This gap in mid-size inventory could represent an opportunity for investors willing to list two- or three-bedroom properties in an underserved segment.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
5 |
| 4 bedrooms |
|
7 |
ADR scales sharply with size in Palmview—four-bedroom homes command $239 per night compared to just $52 for one-bedroom units. The nearly 5x premium on larger properties reflects significantly stronger demand for group-friendly accommodations, making the bigger homes far more compelling on a per-night revenue basis.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$52 |
| 4 bedrooms |
|
$239 |
Four-bedroom properties deliver a RevPAN of $88, nearly ten times the $9 RevPAN of one-bedroom listings. This dramatic gap shows that larger homes not only charge higher rates but also maintain enough occupancy to generate meaningfully better revenue per available night.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$9 |
| 4 bedrooms |
|
$88 |
Four-bedroom homes maintain a 37% occupancy rate, roughly double the 19% seen by one-bedroom units. The higher occupancy for larger properties suggests more consistent demand from families or groups, while one-bedroom listings may struggle to attract steady bookings in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
19% |
| 4 bedrooms |
|
37% |
Monthly revenue diverges dramatically by size: four-bedroom properties average $3,363 per month versus just $405 for one-bedroom units. This eightfold difference underscores that in Palmview, larger properties are the primary revenue drivers and smaller units may not justify active STR management costs.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$405 |
| 4 bedrooms |
|
$3,363 |
Four-bedroom homes generate an average of $40,367 annually, compared to $4,860 for one-bedroom listings. Against average home values of $263,646, the four-bedroom revenue figure offers the more viable path to positive cash flow for STR investors in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$4,860 |
| 4 bedrooms |
|
$40,367 |
Parking is universal across Palmview listings (100%), followed by kitchens (89%), self check-in (83%), and outdoor features like backyards (78%) and BBQ grills (72%). The high prevalence of pools (56%) and pet-friendly policies (61%) signals that guests expect a home-away-from-home experience with outdoor entertainment, and investors should plan amenity packages accordingly.
| Amenity | Trend | Value |
|---|---|---|
| Parking |
|
100% |
| Kitchen |
|
89% |
| Self Check-in |
|
83% |
| Backyard |
|
78% |
| Workspace |
|
78% |
| BBQ Grill |
|
72% |
| Outdoor Furniture |
|
72% |
| Dryer |
|
67% |
| Washer |
|
67% |
| Patio or Balcony |
|
61% |
| Pets |
|
61% |
| Pool |
|
56% |
| Hot Tub |
|
22% |
| EV Charger |
|
6% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Palmview Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Above average | 40% |
| Occupancy Stability | Below average | 30% |
| Market Growth Trend | Above average | 15% |
| Supply/Demand Balance | Above average | 15% |
Palmview's ROI Score of 53 out of 100 places it in the Competitive Opportunity band, meaning there's real potential here but returns depend heavily on execution. The above-average revenue-to-price ratio and favorable supply/demand balance are offset by below-average occupancy stability, which signals that cash flow can be uneven across seasons. Investors should pair these metrics with thorough local regulatory research and focus on larger property configurations to maximize their probability of solid returns.
Understanding local STR regulations is essential before investing in Palmview. Here's the current regulatory landscape:
Short-term rental operators in Palmview, TX may be required to obtain a permit or register their property with the city or Hidalgo County. Investors should verify current permit and licensing requirements directly with the City of Palmview and the State of Texas before listing a property.
Common STR restrictions in Texas municipalities can include occupancy limits, noise ordinances, parking requirements, and minimum stay rules. HOA covenants may impose additional limitations, and some jurisdictions cap the number of STR permits issued in residential zones—investors should confirm which, if any, apply in Palmview.
Texas requires short-term rental operators to collect and remit state hotel occupancy tax, and Palmview or Hidalgo County may levy additional local lodging taxes. Many booking platforms handle tax collection automatically, but hosts should confirm compliance with all applicable state and local tax obligations.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Palmview can provide current regulatory guidance.
Financing an Airbnb investment in Palmview requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Palmview's rapid supply growth suggests rising investor confidence in the area, though occupancy stability will be the metric to watch. Seasonal data points to December and July as revenue peaks, with softer months like January and February potentially dragging annual averages—expect occupancy to hover in the 33–38% range market-wide. ADR could see modest increases of 2–5% as newer, better-appointed listings push rates upward, but investors should budget conservatively given the market's early-stage dynamics and smaller booking volume."
— Rabbu Market Analysis Team
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.
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 may not capture very recent market shifts or regulatory changes. Individual property results will vary based on location, condition, management quality, and pricing strategy.
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