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View PropertiesAs of Apr, 27 2026
Rabbu ROI Score
Watervliet shows standout short-term rental potential based on its current revenue, occupancy, and pricing trends.
Watervliet, MI, earns an ROI score of 81 out of 100, flagging it as a standout opportunity for short-term rental investors. With an average annual revenue of $47,920, an ADR of $287, and average home values around $406,148, this small southwest Michigan market delivers an above-average revenue-to-price ratio. Dramatic summer peaks—July revenue tops $10,254—point to a lake- and beach-driven leisure market with strong seasonal earning power, even as only 9 active listings keep competition thin.
According to Rabbu market data, the Watervliet short-term rental market shows:
| Metric | Context | Value |
|---|---|---|
| Active Airbnb Listings | As of Apr, 27 2026 | 9 |
| Average Daily Rate (ADR) | vs. $350 state avg. | $287 |
| Average Occupancy Rate | vs. 42% state avg. | 21% |
| RevPAN | ADR * Occupancy Rate | $59 |
| Average Monthly Revenue | Historical 12-month average | $3,993 |
| Average Annual Revenue | Historical 12-month average | $47,920 |
Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Apr, 27 2026.
Investors are drawn to Watervliet for its favorable revenue-to-price dynamics, limited competition, and proximity to Michigan's popular lakefront and beach destinations.
Key investment factors
"Watervliet presents a compelling, if seasonal, investment profile. The market's 81-point ROI score reflects strong revenue relative to home prices and a favorable supply/demand balance, though occupancy at 21% sits well below Michigan's 42% state average—a clear sign that income is concentrated in the warmer months. Peak season from June through September accounts for the vast majority of annual earnings, with July alone delivering more than five times the revenue of a typical winter month. Investors who price aggressively during shoulder seasons and optimize for summer demand can position themselves well in this tightly supplied lakeside market."
— Rabbu Market Analysis Team
Watervliet's revenue cycle is extremely seasonal: July leads at $10,254 per month—roughly seven times the February low of $1,468. The May-through-September window generates the vast majority of annual income, making cash-flow planning around this warm-weather peak essential for investors.
| Month | Trend | Revenue |
|---|---|---|
| January |
|
$1,519 |
| February |
|
$1,468 |
| March |
|
$1,990 |
| April |
|
$1,946 |
| May |
|
$3,775 |
| June |
|
$5,563 |
| July |
|
$10,254 |
| August |
|
$8,852 |
| September |
|
$4,809 |
| October |
|
$3,396 |
| November |
|
$2,356 |
| December |
|
$1,987 |
Property-size breakdowns are not currently available for this market. With only 9 total active listings, the supply base is too small to segment meaningfully by bedroom count at this time.
| Size | Trend | Value |
|---|
ADR data by property size is not available for Watervliet at this time. The overall market ADR of $287 provides the best current benchmark for evaluating nightly pricing potential.
| Size | Trend | Value |
|---|
RevPAN breakdowns by bedroom count are not currently available. The market-wide RevPAN of $59 reflects the combined impact of a $287 ADR and 21% occupancy rate, with summer months driving the bulk of that figure.
| Size | Trend | Value |
|---|
Occupancy data segmented by property size is not available for this market. The overall 21% occupancy rate underscores the seasonal nature of demand, with significantly higher fill rates likely during the June–August peak.
| Size | Trend | Value |
|---|
Monthly revenue by property size is not currently broken out for Watervliet. The market-wide average of $3,993 per month serves as the primary reference point, though individual properties near waterfront or lake access amenities may outperform.
| Size | Trend | Value |
|---|
Annual revenue by bedroom count is unavailable for this small market. The overall average of $47,920 per year provides a useful baseline, particularly when weighed against the $406,148 average home value for return calculations.
| Size | Trend | Value |
|---|
Every listing in Watervliet offers a kitchen and self check-in, while 89% include a BBQ grill, dryer, parking, and washer—signaling that guests expect a fully equipped vacation-home experience. Lake access (33%) and waterfront positioning (33%) appear on a meaningful share of listings, reinforcing the market's identity as a lakeside leisure destination and suggesting that properties with water-related amenities may command a premium.
| Amenity | Trend | Value |
|---|---|---|
| Kitchen |
|
100% |
| Self Check-in |
|
100% |
| BBQ Grill |
|
89% |
| Dryer |
|
89% |
| Parking |
|
89% |
| Washer |
|
89% |
| Backyard |
|
56% |
| Outdoor Furniture |
|
56% |
| Patio or Balcony |
|
56% |
| Pets |
|
44% |
| Workspace |
|
44% |
| Lake Access |
|
33% |
| Waterfront |
|
33% |
| Beach Access |
|
11% |
Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.
| Factor | Watervliet Performance | Weight |
|---|---|---|
| Revenue-to-Price Ratio | Above average | 40% |
| Occupancy Stability | Average | 30% |
| Market Growth Trend | Average | 15% |
| Supply/Demand Balance | Above average | 15% |
An ROI score of 81 out of 100 places Watervliet firmly in the Standout Opportunity tier, driven primarily by its above-average revenue-to-price ratio and a favorable supply/demand balance that keeps competition low. Occupancy stability and market growth trend score at average levels, reflecting the pronounced seasonality and the market's still-developing listing base. Investors should pair these metrics with local regulatory research and a realistic seasonal cash-flow model to build a complete picture before committing.
Understanding local STR regulations is essential before investing in Watervliet. Here's the current regulatory landscape:
Short-term rental operators in Watervliet, MI, should verify whether a local permit, registration, or zoning approval is required before listing. Michigan does not impose a statewide STR permit, so requirements are set at the city or township level—investors should check directly with Watervliet's local government offices.
Common restrictions in small Michigan communities may include occupancy limits, minimum-stay requirements, noise and nuisance ordinances, parking mandates, and rules set by homeowners associations. Because regulations can vary significantly even within a county, it's important to confirm the specific rules that apply to your property before operating.
Short-term rental hosts in Michigan are generally required to collect state sales tax and any applicable local lodging or excise taxes. Major booking platforms often remit some of these taxes on behalf of hosts, but operators should confirm their full tax obligations with the Michigan Department of Treasury and local authorities.
Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Watervliet can provide current regulatory guidance.
Financing an Airbnb investment in Watervliet requires lenders who understand STR income. Rabbu partner lenders offer:
"Over the next 12–18 months, Watervliet's short-term rental market is likely to sustain its pronounced summer-driven revenue cycle, with July and August continuing to generate the lion's share of annual income. The 125% year-over-year growth in active listings signals rising investor interest, though the supply base remains so small that the market can likely absorb new entrants without significant rate compression. Investors should plan for occupancy in the range of 20–25% on an annualized basis, with ADRs potentially nudging up 2–4% as the area's lakeside appeal continues to attract weekend and vacation travelers from nearby metro areas."
— 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 Apr, 27 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 date shown; actual results may differ due to changing demand, regulations, or property-specific factors. Local short-term rental regulations may change without notice. Investors should independently verify all permit, zoning, and tax requirements before purchasing or operating a property.
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