Sedona, AZ Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

61 / 100

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

Sedona Short-Term Rental Market Overview

Sedona's red-rock scenery and year-round tourism create a compelling backdrop for short-term rental investing, with 1,698 active Airbnb listings generating an average annual revenue of $56,758. While the market's $295 ADR sits well below Arizona's $434 state average, above-average occupancy stability and consistent seasonal demand help offset the gap. Property values averaging nearly $1.5 million mean investors should focus on revenue optimization and larger-unit configurations to strengthen returns.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 1,698
Average Daily Rate (ADR) vs. $434 state avg. $295
Average Occupancy Rate vs. 53% state avg. 44%
RevPAN ADR * Occupancy Rate $129
Average Monthly Revenue Historical 12-month average $4,729
Average Annual Revenue Historical 12-month average $56,758

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

Why Investors Consider Sedona

Sedona attracts investors because its iconic natural landscape drives consistent visitor demand across multiple seasons, offering occupancy stability that many resort markets can't match.

Key investment factors

  • Iconic destination with year-round tourism appeal driven by hiking, wellness retreats, and scenic beauty
  • Above-average occupancy stability reduces the risk of prolonged vacancy gaps
  • Larger properties (4+ bedrooms) command premium ADR, with 6+ bedroom units averaging $953/night
  • Outdoor amenity expectations are high — 83% of listings feature patios or balconies and 73% offer BBQ grills, signaling experiential guest preferences
  • Spring and summer peak months generate revenues nearly double that of the January–February trough, providing clear seasonality to plan around

Expert Market Assessment

"With an ROI score of 61 out of 100, Sedona rates as an attractive opportunity — not a guaranteed slam dunk, but a market with genuine upside when approached strategically. Revenue peaks arrive in March and July (around $5,650 and $5,883 respectively), while January and February dip below $3,200, creating a seasonal spread investors need to plan around. The below-average revenue-to-price ratio reflects Sedona's premium home values, meaning cash-flow success hinges on selecting the right property size and maintaining strong occupancy through shoulder months."

— Rabbu Market Analysis Team

Understanding Sedona's ROI Score: 61/100

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

What This Means for Investors

Sedona's ROI score of 61 out of 100 places it in the 'Attractive Opportunity' band, reflecting a market where above-average occupancy stability and balanced supply/demand dynamics partially offset a below-average revenue-to-price ratio driven by premium home values. Market growth trends register as average, suggesting steady but not explosive trajectory. Investors should pair this score with local regulatory research and a clear strategy around property size — larger units offer disproportionately higher RevPAN that can help overcome the acquisition cost challenge.

Short-Term Rental Regulations in Sedona

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

Permit Requirements

Short-term rental operators in Sedona, Arizona may need to obtain a transaction privilege tax license and register with the city. Investors should verify current permit and registration requirements directly with the City of Sedona and the Arizona Department of Revenue before listing a property.

Key Restrictions

Common STR restrictions in the area can include occupancy limits tied to property size, minimum-stay requirements, noise ordinances, parking regulations, and compliance with any applicable HOA covenants. Arizona state law generally limits municipalities' ability to ban STRs outright, but local rules around operational standards still apply and can change.

Tax Obligations

STR hosts in Arizona are typically subject to state and county transaction privilege taxes as well as local tourism or bed taxes. Many booking platforms collect and remit these taxes on behalf of hosts, though operators should confirm which obligations are handled automatically and which require direct filing.

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

Short-Term Rental Financing for Sedona

Financing an Airbnb investment in Sedona 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 Sedona Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Sedona's STR market is expected to maintain its seasonal rhythm, with peak revenues during summer months and spring break continuing to anchor annual performance. ADR growth of 1–3% is plausible given average market growth trends, while occupancy should hold in the 42–48% range thanks to the market's above-average stability. The 112% year-over-year growth in active listings signals increasing competition, so investors who differentiate through property quality and amenities will be best positioned. Revenue forecasts remain estimates, but the underlying demand drivers — outdoor recreation, wellness tourism, and destination weddings — show no signs of weakening."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Sedona, AZ

What is the average Airbnb occupancy rate in Sedona?
The average occupancy rate for Airbnb listings in Sedona is currently 44%, which falls below Arizona's 53% state average. Occupancy varies by property size, with 2- and 3-bedroom units performing best at 45% and 46%, respectively. Studios and 5-bedroom properties tend to see lower occupancy in the 38–39% range.
How much do Airbnb hosts make in Sedona?
Airbnb hosts in Sedona earn an average of $4,729 per month, which works out to roughly $56,758 per year based on the trailing 12 months of booking data. Earnings vary significantly by property size — studios and 1-bedrooms average around $2,800/month, while 5-bedroom homes bring in about $11,666/month and 6+ bedroom properties can reach $19,283/month.
Is Sedona a good market for Airbnb investment?
Sedona carries a Rabbu ROI score of 61 out of 100, placing it in the 'Attractive Opportunity' category. The market benefits from above-average occupancy stability and consistent seasonal tourism demand. However, average home values near $1.5 million mean the revenue-to-price ratio is below average, so investors should carefully evaluate property size and pricing strategy to ensure positive cash flow.
What is the average daily rate (ADR) for Airbnb in Sedona?
The average daily rate in Sedona is $295, which is lower than Arizona's statewide average of $434. ADR scales notably with property size — studios average $161/night, 3-bedrooms hit $332, and 6+ bedroom properties command $953/night. Larger homes offer significantly higher nightly rates, though they also come with higher acquisition and operating costs.
Are short-term rentals legal in Sedona?
Arizona state law generally prohibits municipalities from outright banning short-term rentals, so STRs are permitted in Sedona. However, hosts may need to register with local authorities and obtain a state transaction privilege tax license. Local regulations regarding noise, parking, occupancy limits, and other operational standards may also apply, so it's important to check with the City of Sedona for the latest requirements before listing.
When is peak season for Airbnb in Sedona?
Peak season in Sedona runs primarily from March through August, with July delivering the highest average monthly revenue at $5,883 and March close behind at $5,650. The slowest months are January and February, when revenue drops to around $3,100–$3,200. December also sees a modest bump to $4,836, likely driven by holiday travel.
How many Airbnbs are there in Sedona?
As of April 2026, there are 1,698 active Airbnb listings in Sedona. The supply is distributed across property sizes, with 3-bedroom (471 listings) and 1-bedroom (452 listings) units making up the largest share. Active listings have grown 112% year over year, indicating a rapidly expanding supply base.
How is Airbnb revenue calculated in Sedona?
The annual and monthly revenue figures for Sedona 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 aggregate the data to a market-level historical average. This approach anchors the figures to what hosts have actually earned recently, and because each month uses its own historical performance, seasonal peaks and slower periods are naturally reflected. 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 by market and property size
  • Occupancy, ADR, and RevPAN trends across bedroom configurations
  • Monthly and annual revenue metrics based on trailing 12-month booking performance
  • Home value estimates sourced from the Zillow Home Value Index (ZHVI)
  • Amenity prevalence data across active listings to identify guest expectations

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 may not capture the most recent market shifts or regulatory changes. Individual property results vary based on location, condition, amenities, pricing strategy, and management quality.

Next Steps

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

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