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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Somerville presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.
Somerville, MA sits just outside Boston and draws demand from a mix of university visitors, business travelers, and tourists exploring the greater metro area. With 186 active Airbnb listings, an average daily rate of $205, and trailing-twelve-month annual revenue of $47,834 per listing, the market offers meaningful income potential — though high home values averaging $1,299,106 mean investors need to be strategic about property selection. Occupancy sits at 36%, below the Massachusetts state average of 44%, but above-average occupancy stability suggests consistent baseline demand even during quieter months.
According to Rabbu market data, the Somerville short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 186 |
| Average Daily Rate (ADR) | vs. $582 state avg. | $205 |
| Average Occupancy Rate | vs. 44% state avg. | 36% |
| RevPAN | ADR * Occupancy Rate | $74 |
| Average Monthly Revenue | Historical 12-month average | $3,986 |
| Average Annual Revenue | Historical 12-month average | $47,834 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026.
Somerville attracts investor attention due to its proximity to Boston, steady baseline occupancy, and strong revenue potential from larger properties despite elevated acquisition costs.
Key investment factors
"Somerville presents a competitive opportunity where deal selection matters more than market-wide tailwinds. Revenue concentration in the May-through-October window is significant — August peaks near $5,507 while January bottoms out around $1,734, a roughly 3:1 spread that demands careful cash-flow planning. The above-average occupancy stability factor is encouraging, suggesting that while overall occupancy is moderate at 36%, it doesn't swing wildly between seasons. Investors willing to target multi-bedroom properties and manage through the winter lull can find worthwhile returns, but the combination of below-average market growth trends and rising supply means passive approaches are unlikely to outperform."
— Rabbu Market Analysis Team
Somerville shows strong seasonality, with revenue peaking in August at $5,507 and hitting its lowest point in January at $1,734 — a gap of more than $3,700. The high-earning corridor from May through October consistently exceeds $4,900/month, while winter months from December through February average under $2,000, making off-season cash reserves or pricing strategies critical.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$1,734 |
| February |
|
$1,745 |
| March |
|
$2,889 |
| April |
|
$3,852 |
| May |
|
$4,955 |
| June |
|
$5,179 |
| July |
|
$5,458 |
| August |
|
$5,507 |
| September |
|
$5,094 |
| October |
|
$5,477 |
| November |
|
$3,537 |
| December |
|
$2,401 |
One-bedroom listings dominate Somerville's supply at 87 of 186 total listings (47%), while 4-bedroom and 6+ bedroom properties are comparatively scarce at just 15 and 8 listings respectively. The limited supply of larger homes, combined with their substantially higher revenue potential, could represent an opportunity for investors targeting group and family travelers.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
87 |
| 2 bedrooms |
|
38 |
| 3 bedrooms |
|
32 |
| 4 bedrooms |
|
15 |
| 6+ bedrooms |
|
8 |
ADR scales sharply with size in Somerville: 1-bedroom units average $104/night while 6+ bedroom homes command $665, more than six times the rate. The jump from 3 bedrooms ($274) to 4 bedrooms ($331) is modest compared to the leap to 6+ bedrooms, suggesting the premium-per-additional-bedroom accelerates significantly at the top end of the market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$104 |
| 2 bedrooms |
|
$219 |
| 3 bedrooms |
|
$274 |
| 4 bedrooms |
|
$331 |
| 6+ bedrooms |
|
$665 |
Revenue per available night climbs steadily from $39 for 1-bedroom units to $248 for 6+ bedroom properties, reflecting both higher nightly rates and competitive occupancy at larger sizes. The 4-bedroom segment delivers $109 RevPAN — nearly triple the 1-bedroom figure — making it a strong middle-ground option for investors who want elevated returns without the complexity of managing very large homes.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$39 |
| 2 bedrooms |
|
$67 |
| 3 bedrooms |
|
$106 |
| 4 bedrooms |
|
$109 |
| 6+ bedrooms |
|
$248 |
Occupancy rates across property sizes in Somerville are relatively compressed, ranging from 31% for 2-bedroom units to 39% for 3-bedroom listings. This narrow spread suggests that guest demand is fairly evenly distributed, and no single property size faces dramatically higher vacancy risk than others — though the 2-bedroom segment's lower occupancy is worth watching given it's the second-largest supply category.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
38% |
| 2 bedrooms |
|
31% |
| 3 bedrooms |
|
39% |
| 4 bedrooms |
|
33% |
| 6+ bedrooms |
|
37% |
Monthly revenue differences across sizes are dramatic: 1-bedroom listings average $1,994/month while 6+ bedroom properties generate $25,728, a nearly 13x multiple. Even the step from 3-bedroom ($5,700) to 4-bedroom ($8,829) represents a meaningful 55% revenue increase, underscoring how each additional bedroom can translate to outsized income gains in this market.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$1,994 |
| 2 bedrooms |
|
$4,834 |
| 3 bedrooms |
|
$5,700 |
| 4 bedrooms |
|
$8,829 |
| 6+ bedrooms |
|
$25,728 |
Annual revenue ranges from $23,938 for 1-bedroom units to $308,747 for 6+ bedroom homes, with 4-bedroom properties at $105,959 representing a compelling sweet spot given their relative scarcity in the market. Investors evaluating returns against Somerville's average home value of $1,299,106 should focus on larger configurations where the revenue-to-price ratio is more favorable.
| Size | Trend | Value |
|---|---|---|
| 1 bedroom |
|
$23,938 |
| 2 bedrooms |
|
$58,019 |
| 3 bedrooms |
|
$68,407 |
| 4 bedrooms |
|
$105,959 |
| 6+ bedrooms |
|
$308,747 |
Kitchens (88%), parking (80%), and dedicated workspaces (79%) top Somerville's amenity list, reflecting a market geared toward self-sufficient, longer-staying guests — likely a mix of business travelers and visiting academics. Laundry access (washer and dryer at 70% each) and self check-in (69%) are also near-standard, signaling that any listing lacking these basics will face a competitive disadvantage.
| Amenity | Trend | Value |
|---|---|---|
| Kitchen |
|
88% |
| Parking |
|
80% |
| Workspace |
|
79% |
| Dryer |
|
70% |
| Washer |
|
70% |
| Self Check-in |
|
69% |
| Backyard |
|
36% |
| Patio or Balcony |
|
34% |
| Outdoor Furniture |
|
23% |
| Pets |
|
23% |
| BBQ Grill |
|
18% |
| Gym |
|
9% |
| EV Charger |
|
7% |
| Pool |
|
5% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Somerville Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Average | 40% |
| Occupancy Stability | Above average | 30% |
| Market Growth Trend | Below average | 15% |
| Supply/Demand Balance | Below average | 15% |
Somerville's ROI score of 49 out of 100 places it in the 'Competitive Opportunity' band, meaning the market has real demand but requires careful deal sourcing to pencil out. The average revenue-to-price ratio and above-average occupancy stability are balanced against below-average scores in market growth trend and supply/demand balance — the 211% year-over-year listing growth is a key factor putting pressure on the competitive landscape. Pairing this data with thorough local regulatory research and targeting higher-bedroom-count properties where revenue significantly outpaces the market average will be essential for investors looking to succeed here.
Understanding local STR regulations is essential before investing in Somerville. Here's the current regulatory landscape:
The City of Somerville and the Commonwealth of Massachusetts generally require short-term rental operators to register or obtain a permit before listing a property. Investors should verify current permit requirements directly with Somerville's Inspectional Services Department, as local rules can change and may involve annual renewals.
Common restrictions in markets like Somerville can include occupancy limits per bedroom, minimum stay requirements, noise and nuisance ordinances, parking stipulations, and caps on the number of permits issued. HOA and condo association rules may also prohibit or limit short-term rentals, so reviewing governing documents before purchasing is essential.
Massachusetts requires short-term rental operators to collect and remit state room occupancy taxes, and Somerville may impose a local excise tax on top of that. Platforms like Airbnb often handle tax collection on behalf of hosts, but operators should confirm compliance with both state and municipal requirements.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Somerville can provide current regulatory guidance.
Financing an Airbnb investment in Somerville requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Somerville's short-term rental market is likely to remain competitive rather than explosive. The 211% year-over-year growth in active listings signals rising investor interest, which could put downward pressure on occupancy and ADR if supply outpaces demand. Seasonal patterns suggest summer and early fall will continue to drive the bulk of revenue, with monthly earnings potentially reaching the $5,000–$5,500 range during peak periods. Investors should anticipate flat to modest ADR adjustments in the 1–3% range and plan around the pronounced winter dip when revenue drops below $2,000."
— 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 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 very recent market shifts or regulatory changes. Local regulations, HOA restrictions, and tax obligations vary and should be independently verified before making investment decisions.
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