Rockford, IL Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

69 / 100

Rockford offers attractive short-term rental potential, with a balance of healthy demand and revenue relative to property values.

Rockford Short-Term Rental Market Overview

Rockford, IL stands out as an affordable Midwest market where property prices averaging $257,323 pair with above-average revenue-to-price ratios, giving investors a lower barrier to entry than many Illinois peers. With an average daily rate of $179 — well below the $319 state average — and occupancy running at 38% versus 33% statewide, the market delivers competitive yield without requiring premium pricing. The 130 active listings suggest a manageable competitive landscape, though rapid year-over-year listing growth of 136% signals rising investor interest that warrants monitoring.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 130
Average Daily Rate (ADR) vs. $319 state avg. $179
Average Occupancy Rate vs. 33% state avg. 38%
RevPAN ADR * Occupancy Rate $69
Average Monthly Revenue Historical 12-month average $1,526
Average Annual Revenue Historical 12-month average $18,318

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

Why Investors Consider Rockford

Rockford attracts STR investors because its low acquisition costs and above-average revenue-to-price ratio create favorable yield math that's hard to find in pricier Illinois markets.

Key investment factors

  • Average home values of $257,323 keep entry costs well below many competing markets, improving cash-on-cash return potential
  • Occupancy of 38% outperforms the Illinois state average of 33%, signaling reliable local and regional demand
  • Above-average revenue-to-price ratio means each dollar of property investment generates stronger relative income
  • Amenity data shows 69% of listings offer a workspace, suggesting a meaningful business and remote-work traveler segment
  • Larger properties (4–5 bedrooms) command significantly higher nightly rates and annual revenue, offering scalable upside

Expert Market Assessment

"Rockford presents an attractive opportunity for investors seeking yield-driven STR plays in a lower-cost Midwestern market. Revenue peaks sharply in June at $2,007 per month before tapering through winter, with February marking the softest period at $936 — a roughly 2:1 seasonal swing that investors should factor into cash reserves. The above-average revenue-to-price ratio and occupancy stability provide a solid foundation, though the below-average supply/demand balance and surging listing growth mean the competitive landscape is tightening. Investors who move decisively, price strategically during shoulder months, and target underserved property sizes will be best positioned to capture consistent returns."

— Rabbu Market Analysis Team

Understanding Rockford's ROI Score: 69/100

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

What This Means for Investors

Rockford's ROI Score of 69 out of 100 places it in the 'Attractive Opportunity' tier, driven primarily by an above-average revenue-to-price ratio and above-average occupancy stability — two factors that together account for 70% of the score's weighting. Market growth trend scores as average while supply/demand balance sits below average, reflecting the 136% year-over-year surge in new listings that could intensify competition. Investors should pair these data-driven insights with thorough local regulatory research and conservative cash-flow modeling to validate the opportunity for their specific property type.

Short-Term Rental Regulations in Rockford

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

Permit Requirements

Rockford, Illinois may require short-term rental operators to obtain a permit or business registration before listing a property. Investors should verify current requirements directly with the City of Rockford's planning or licensing department, as rules can evolve quickly in growing STR markets.

Key Restrictions

Common restrictions in Illinois STR markets can include occupancy limits per bedroom, minimum stay requirements, noise and nuisance ordinances, and designated parking standards. HOA covenants may impose additional limitations — sometimes prohibiting short-term rentals entirely — so reviewing any applicable association rules before purchasing is essential.

Tax Obligations

Short-term rental hosts in Illinois are generally subject to state and local occupancy taxes, and in some cases sales tax or municipal tourism fees. Platforms like Airbnb often collect and remit certain taxes on behalf of hosts, but operators should confirm their full obligation with a local tax professional to avoid surprises.

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

Short-Term Rental Financing for Rockford

Financing an Airbnb investment in Rockford 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 Rockford Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Rockford's STR market is likely to see continued supply expansion given the 136% year-over-year listing growth, which could put modest downward pressure on occupancy if demand doesn't keep pace. Seasonal patterns suggest summer months will remain the revenue engine, with ADR potentially edging up 1–3% as hosts optimize pricing during peak periods. Occupancy rates may stabilize in the 35–40% range market-wide, with smaller units maintaining an edge. Investors entering now should build conservative underwriting around off-season softness while capitalizing on the market's strong revenue-to-price fundamentals."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Rockford, IL

What is the average Airbnb occupancy rate in Rockford?
The average Airbnb occupancy rate in Rockford is currently 38%, which outperforms the Illinois state average of 33%. Occupancy varies by property size — 1- and 2-bedroom units lead at 45%, while larger 4-bedroom properties see around 25%. These figures reflect current active listing performance and can shift with seasonality, pricing strategy, and property quality.
How much do Airbnb hosts make in Rockford?
Airbnb hosts in Rockford earn an average of $1,526 per month or approximately $18,318 per year based on trailing 12-month booking data. Earnings vary significantly by property size: 1-bedroom listings average around $781/month, while 5-bedroom properties can pull in roughly $4,589/month. Peak summer months like June push average revenues above $2,000, whereas winter months like February may dip below $1,000.
Is Rockford a good market for Airbnb investment?
Rockford scores a 69 out of 100 on Rabbu's ROI Score, categorized as an 'Attractive Opportunity.' The market benefits from above-average revenue-to-price ratios and occupancy stability relative to property values averaging $257,323. However, listing supply has grown 136% year-over-year, so investors should watch competitive dynamics closely. The combination of affordable entry points and solid occupancy makes it appealing for yield-focused investors who plan carefully around seasonal dips.
What is the average daily rate (ADR) for Airbnb in Rockford?
The average daily rate for Airbnb listings in Rockford is $179, which is significantly lower than the Illinois state average of $319. ADR scales steeply with property size — from $62 for 1-bedroom units to $552 for 5-bedroom properties. This pricing structure means larger homes command substantial premiums, particularly for group stays and events.
Are short-term rentals legal in Rockford?
Short-term rentals operate in Rockford, IL, with 130 active Airbnb listings currently in the market. However, local regulations including permits, zoning restrictions, and tax obligations may apply. Investors should consult the City of Rockford's licensing department and review any applicable HOA rules before purchasing a property for STR use.
When is peak season for Airbnb in Rockford?
Peak season for Airbnb in Rockford runs from June through August, with June being the highest-earning month at an average of $2,007 in revenue. The summer months benefit from warmer weather and increased regional travel. The slowest months are January and February, when average revenues drop to around $1,011 and $936 respectively. This seasonal pattern creates roughly a 2:1 revenue swing from peak to trough.
How many Airbnbs are there in Rockford?
There are currently 130 active Airbnb listings in Rockford as of April 2026. The supply is concentrated in smaller units, with 49 one-bedroom listings making up the largest share, followed by 31 three-bedroom and 26 two-bedroom properties. Larger 4- and 5-bedroom homes each account for just 9 listings, suggesting potential opportunity in the larger property segment.
How is Airbnb revenue calculated in Rockford?
The annual and monthly revenue figures for Rockford 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 draws on 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, occupancy rates, and pricing metrics for the Rockford market
  • Average daily rate, RevPAN, and revenue trends broken down by property size and month
  • Historical 12-month booking performance data used to calculate revenue averages
  • Home value benchmarks sourced from the Zillow Home Value Index (ZHVI)
  • Amenity prevalence data across active listings to identify guest expectations and competitive gaps

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 performance and market conditions as of the dates indicated; actual results may differ as the market evolves. Local regulations, tax obligations, and permit requirements are subject to change — always verify current rules with municipal authorities before investing.

Next Steps

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