South Hero, VT Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

71 / 100

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

South Hero Short-Term Rental Market Overview

South Hero, VT is a small Lake Champlain island community with just 13 active Airbnb listings, creating a tight supply environment that benefits hosts during the high-demand summer months. With an average annual revenue of $70,663 and a pronounced seasonal peak — July listings averaging $15,463 in revenue — the market rewards investors who can capitalize on warm-weather tourism. The ROI score of 71 out of 100 reflects above-average occupancy stability and a favorable supply/demand balance, though the overall 15% occupancy rate signals that earnings are heavily concentrated in a few peak months.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 13
Average Daily Rate (ADR) vs. $452 state avg. $386
Average Occupancy Rate vs. 51% state avg. 15%
RevPAN ADR * Occupancy Rate $59
Average Monthly Revenue Historical 12-month average $5,888
Average Annual Revenue Historical 12-month average $70,663

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

Why Investors Consider South Hero

Investors are drawn to South Hero for its extremely limited supply of vacation rentals on a scenic Lake Champlain island, creating pricing power during a concentrated but lucrative summer season.

Key investment factors

  • Only 13 active listings create minimal direct competition and strong pricing leverage during peak months
  • Lake Champlain waterfront and beach access drive premium summer tourism demand
  • July and August generate over $15,000 per month in average revenue, anchoring annual returns
  • Above-average occupancy stability and supply/demand balance support consistent seasonal bookings
  • 125% year-over-year listing growth signals rising investor interest but supply remains very tight

Expert Market Assessment

"South Hero presents a genuinely seasonal but high-upside opportunity for STR investors comfortable with a concentrated earning window. The summer months from June through September account for the vast majority of annual revenue, with July alone delivering roughly 22% of total earnings. Outside of peak season, occupancy and revenue drop significantly — the current market-wide occupancy rate of 15% reflects this off-season lull. Still, the combination of limited supply, lakefront appeal, and strong summer pricing makes this an attractive niche market for investors with realistic cash-flow expectations."

— Rabbu Market Analysis Team

Understanding South Hero's ROI Score: 71/100

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

What This Means for Investors

South Hero's ROI score of 71 out of 100 places it in the 'Attractive Opportunity' band, reflecting a market where above-average occupancy stability and supply/demand balance offset an average revenue-to-price ratio. The limited listing count and strong summer demand create favorable conditions, though the average market growth trend suggests investors should not expect rapid appreciation in performance metrics. Pairing this data with thorough research into local permitting requirements and seasonal cash-flow planning will help investors make well-informed decisions.

Short-Term Rental Regulations in South Hero

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

Permit Requirements

South Hero, Vermont may require short-term rental operators to register or obtain a permit before listing a property. Investors should verify current requirements directly with the Town of South Hero and the Vermont Department of Taxes before operating.

Key Restrictions

Common restrictions in Vermont communities can include occupancy limits, minimum-stay requirements, noise ordinances, and parking regulations. HOA covenants may impose additional limitations, particularly in lakefront developments, so it's important to review all applicable rules before purchasing.

Tax Obligations

Vermont imposes a rooms and meals tax on short-term rentals, and hosts may also owe local option taxes depending on the municipality. Platforms like Airbnb often collect and remit state-level taxes automatically, but operators should confirm all obligations with the Vermont Department of Taxes.

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

Short-Term Rental Financing for South Hero

Financing an Airbnb investment in South Hero 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 South Hero Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, South Hero's STR market is expected to maintain its sharp seasonal pattern, with the bulk of revenue arriving between May and September. Given above-average supply/demand balance and 125% year-over-year listing growth, modest competition is entering the market, but with only 13 total listings the island remains undersupplied relative to summer demand. ADR may see incremental increases of 2–5% during peak season as Lake Champlain's appeal continues to attract vacationers, though winter months will likely remain quiet with monthly revenue estimates in the $1,500–$2,500 range."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in South Hero, VT

What is the average Airbnb occupancy rate in South Hero?
The current average Airbnb occupancy rate in South Hero is 15%, which is well below the Vermont state average of 51%. This reflects the market's strong seasonality — occupancy surges during summer months when Lake Champlain draws vacationers but drops considerably during the colder months. Investors should plan for a concentrated booking window rather than year-round income.
How much do Airbnb hosts make in South Hero?
Airbnb hosts in South Hero earn an average of $5,888 per month and approximately $70,663 per year based on trailing 12-month booking data. However, revenue is heavily seasonal — hosts can expect peak monthly earnings above $15,000 in July and August, while winter months may generate closer to $1,500–$2,100. Effective pricing strategies during the summer are essential to maximizing annual returns.
Is South Hero a good market for Airbnb investment?
South Hero scores 71 out of 100 on Rabbu's ROI Score, placing it in the 'Attractive Opportunity' tier. The market benefits from above-average occupancy stability and a favorable supply/demand balance, with only 13 active listings serving a popular Lake Champlain island destination. The main consideration is sharp seasonality — most revenue is earned between May and September — so investors should ensure their financial model accounts for quieter off-peak months.
What is the average daily rate (ADR) for Airbnb in South Hero?
The average daily rate for Airbnb listings in South Hero is $386, which sits below the Vermont state average of $452. Despite the lower ADR, the lakefront setting and limited competition allow hosts to command strong nightly rates during peak summer demand, contributing to robust seasonal revenue.
Are short-term rentals legal in South Hero?
Short-term rentals operate in South Hero, VT, but hosts should verify local permitting and registration requirements with the Town of South Hero. Vermont requires STR operators to collect and remit state rooms and meals tax. Regulations can change, so checking with local authorities and the Vermont Department of Taxes before listing is always recommended.
When is peak season for Airbnb in South Hero?
Peak season in South Hero runs from June through September, with July and August standing out as the top-earning months at approximately $15,463 and $15,314 in average revenue respectively. The shoulder months of May and October also show meaningful activity, with revenue around $5,879 and $5,993. Winter months are the quietest, with January revenue averaging just $1,573.
How many Airbnbs are there in South Hero?
As of April 2026, there are 13 active Airbnb listings in South Hero. This represents a 125% increase year over year, but the total supply remains very limited for a Lake Champlain island destination, which helps support pricing power for existing hosts during peak months.
How is Airbnb revenue calculated in South Hero?
The annual and monthly revenue figures for South Hero are derived from the trailing 12 months of historical booking performance for active comparable Airbnb listings in the market — not a forward-looking projection. We average each comparable listing's actual revenue per available night (RevPAN) by month over the past year, drop regional outliers, and roll the remainder up to a market-level historical average. This anchors the figures to what hosts have actually earned recently rather than to forecasts, while still naturally reflecting seasonal peaks and slower months because each month uses 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 for the South Hero market
  • Occupancy rates, average daily rates, and RevPAN trends over the trailing 12 months
  • Revenue and yield metrics based on historical booking performance of comparable listings
  • Amenity prevalence data across active listings to benchmark guest expectations
  • Home value estimates sourced from the Zillow Home Value Index (ZHVI)

Sources and disclaimers

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 regulatory or market changes. Individual property results will vary based on location, condition, pricing strategy, and management quality.

Next Steps

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