Washington, DC Airbnb Market Data, Statistics, and Occupancy Rates

As of Apr, 27 2026

Rabbu ROI Score

54 / 100

Washington presents a competitive opportunity: investor interest and demand are strong, but higher prices or tighter competition may require more selective deal sourcing.

Washington Short-Term Rental Market Overview

Washington, DC draws steady short-term rental demand thanks to its status as the nation's capital — a magnet for government travel, tourism, conferences, and events year-round. With 2,425 active Airbnb listings generating an average annual revenue of $31,241 and an ADR of $179, the market offers solid fundamentals, though high home values averaging $1,116,443 compress the revenue-to-price ratio. Occupancy stability is a standout strength, and investors willing to source deals selectively can still find compelling opportunities, especially in larger property configurations.

Key Market Statistics

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

Key Airbnb and short-term rental market statistics.
Metric Context Value
Active Airbnb Listings As of Apr, 27 2026 2,425
Average Daily Rate (ADR) vs. $436 state avg. $179
Average Occupancy Rate vs. 34% state avg. 33%
RevPAN ADR * Occupancy Rate $59
Average Monthly Revenue Historical 12-month average $2,603
Average Annual Revenue Historical 12-month average $31,241

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

Why Investors Consider Washington

Washington's appeal to STR investors rests on its diversified demand base — government, tourism, and business travel — paired with above-average occupancy stability, though elevated property prices demand careful deal selection.

Key investment factors

  • Year-round government and political travel sustains baseline weekday and off-season demand
  • Spring cherry blossom season and major events drive significant seasonal revenue spikes
  • Above-average occupancy stability reduces cash-flow volatility compared to leisure-only markets
  • Larger properties (4–6+ bedrooms) command outsized RevPAN and annual revenue, offering premium return potential
  • Workspace amenities in 71% of listings reflect strong remote-work and extended-stay demand

Expert Market Assessment

"Washington represents a competitive but rewarding market for short-term rental investors who can navigate its high entry costs. Revenue seasonality is noticeable — monthly averages swing from roughly $1,285 in January to $3,528 in May — but the off-season floor remains meaningful thanks to the city's diverse demand drivers. The ROI score of 54 out of 100 reflects a below-average revenue-to-price ratio offset by above-average occupancy stability and average growth and supply-demand dynamics. Investors targeting larger properties (3+ bedrooms) stand to capture significantly higher per-night revenue and annual returns, making property size a key strategic lever in this market."

— Rabbu Market Analysis Team

Understanding Washington's ROI Score: 54/100

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 Washington 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

Washington's ROI Score of 54 out of 100 places it in the "Competitive Opportunity" band, meaning demand and fundamentals are strong but elevated property prices require disciplined deal sourcing. The below-average revenue-to-price ratio is the primary drag, while above-average occupancy stability provides a meaningful counterbalance by reducing income volatility. Investors should pair this data with thorough local regulatory research and focus on property types — particularly larger homes — where the revenue math can overcome the market's high entry costs.

Short-Term Rental Regulations in Washington

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

Permit Requirements

Washington, DC requires short-term rental operators to obtain a basic business license and register their property through the city's STR licensing process. Investors should verify current permit requirements directly with DC's Department of Consumer and Regulatory Affairs before listing.

Key Restrictions

Common restrictions in the District include occupancy limits, potential caps on the number of nights a non-primary residence can be rented, and rules around noise and parking. HOA and condo association bylaws may impose additional limitations, so reviewing governing documents is essential before acquiring a property for short-term rental use.

Tax Obligations

Short-term rental hosts in Washington, DC are typically required to collect and remit occupancy taxes and sales tax on rental income. Many booking platforms handle tax collection automatically, but operators should confirm compliance with DC's Office of Tax and Revenue to avoid penalties.

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

Short-Term Rental Financing for Washington

Financing an Airbnb investment in Washington 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 Washington Lender →

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Washington's short-term rental market is expected to maintain stable demand, supported by consistent government, tourism, and convention activity. Monthly revenue data suggests a pronounced spring-to-early-summer peak (May hitting $3,528) with a winter trough, so investors should plan for seasonal cash-flow swings of roughly 60–65% between highs and lows. ADR is estimated to hold steady or see modest gains of 1–3%, while occupancy rates are likely to hover in the 30–36% range market-wide. Supply growth of 118% year-over-year signals strong investor interest, which could increase competition and put downward pressure on occupancy for less differentiated listings."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Washington, DC

What is the average Airbnb occupancy rate in Washington?
The average occupancy rate for Airbnb listings in Washington, DC is currently 33%, which is just below the 34% state average. Occupancy varies by property size, with studios leading at 39% and 2-bedroom units at the lower end around 29%. Factors like location within the District, listing quality, and pricing strategy can influence an individual property's occupancy significantly.
How much do Airbnb hosts make in Washington?
On average, Washington, DC Airbnb hosts earn approximately $2,603 per month or $31,241 per year based on trailing 12-month performance data. Revenue varies considerably by property size — studios and 1-bedrooms average around $24,585–$25,216 annually, while 5-bedroom properties average $103,461 and 6+ bedroom homes can reach $161,655 per year. Individual results depend on property quality, location, amenities, and management approach.
Is Washington a good market for Airbnb investment?
Washington, DC earns a Rabbu ROI Score of 54 out of 100, categorized as a 'Competitive Opportunity.' The market benefits from above-average occupancy stability driven by year-round government, tourism, and business travel. However, the high average home value of $1,116,443 compresses the revenue-to-price ratio, meaning investors need to be selective about acquisition price and property type. Larger homes tend to deliver significantly better returns on a per-night and annual basis.
What is the average daily rate (ADR) for Airbnb in Washington?
The current average daily rate for Airbnb listings in Washington, DC is $179, well below the $436 state average — likely because DC's market is dominated by smaller units (1- and 2-bedrooms) that pull the overall ADR down. ADR scales meaningfully with property size: studios average $115, while 4-bedroom properties hit $406 and 6+ bedroom homes command $734 per night.
Are short-term rentals legal in Washington?
Yes, short-term rentals are legal in Washington, DC, but operators must comply with the city's licensing and registration requirements. DC has specific regulations governing STRs, including licensing through the Department of Consumer and Regulatory Affairs. Investors should review the latest local rules — including any restrictions on non-owner-occupied rentals, occupancy limits, and tax obligations — before purchasing or listing a property.
When is peak season for Airbnb in Washington?
Peak season for Airbnb in Washington, DC runs from March through June, with May topping the charts at $3,528 in average monthly revenue. April ($3,325) and June ($3,443) are also strong months, coinciding with cherry blossom season, school trips, and spring conferences. October ($3,118) sees a secondary surge. The slowest months are January ($1,285) and February ($1,303), creating a meaningful seasonal swing that investors should factor into their cash-flow planning.
How many Airbnbs are there in Washington?
Washington, DC currently has 2,425 active Airbnb listings. The market has experienced significant year-over-year growth of 118% in active listings, indicating robust investor interest. The majority of supply is concentrated in 1-bedroom units (1,320 listings), followed by 2-bedrooms (540) and 3-bedrooms (229), with larger configurations representing a much smaller share of inventory.
How is Airbnb revenue calculated in Washington?
The annual and monthly revenue figures for Washington, DC 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, remove regional outliers, and roll the remainder up to a market-level historical average. This approach 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 by market and property size
  • Occupancy, average daily rate, and RevPAN trends across property configurations
  • Monthly and annual revenue metrics based on trailing 12-month booking performance
  • Home value benchmarks sourced from Zillow Home Value Index (ZHVI)
  • Data aggregated from multiple providers and Rabbu proprietary analytics for consistency

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 historical averages and may not capture very recent market shifts. Local regulations, HOA rules, and tax obligations vary — investors should verify current requirements with Washington, DC authorities before acquiring or listing a property.

Next Steps

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

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