Waukegan, IL Airbnb Market Data, Statistics, and Occupancy Rates

Waukegan Short-Term Rental Market Overview

Waukegan, IL presents an appealing entry point for short-term rental investors, combining relatively affordable home values averaging $289,950 with an above-average revenue-to-price ratio. The market currently hosts 70 active Airbnb listings generating an average annual revenue of $28,353, and occupancy sits at 38% — notably above the Illinois state average of 33%. With strong summer seasonality and room to grow in a still-compact supply environment, Waukegan offers a compelling case for investors seeking Lake County exposure without Chicago-level acquisition costs.

Key Market Statistics

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

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

Why Investors Consider Waukegan

Waukegan attracts STR investors primarily because of its favorable revenue-to-price ratio and proximity to Chicago's northern suburbs, offering a lower barrier to entry than comparable lakefront markets.

Expert Market Assessment

"With an ROI score of 70 out of 100, Waukegan lands in the "Attractive Opportunity" tier — driven primarily by its above-average revenue-to-price ratio and solid occupancy performance. Seasonality is a defining feature here: July peaks at $3,789 in average monthly revenue while February bottoms out at $1,216, creating a roughly 3:1 spread that investors need to budget around. The market's compact size and average supply/demand balance suggest that well-managed properties with competitive amenities can outperform, particularly larger units that command significantly higher nightly rates."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Waukegan

Average revenue by month in Waukegan

Waukegan's revenue peaks sharply in July at $3,789 and August at $3,737, while February marks the low point at just $1,216 — a spread of over $2,500 that signals strong summer-driven seasonality. Investors should budget for roughly five months (November through March) where monthly revenue stays below $2,000.

Active Airbnb listings by property size in Waukegan

Two- and three-bedroom listings dominate the market with 23 and 21 active units respectively, making up the bulk of Waukegan's 70-listing supply. Four-bedroom properties are notably underrepresented at just 7 listings, which could signal a supply gap given their outsized revenue performance.

Average daily rate (ADR) by property size in Waukegan

ADR scales steadily from $96 for 1-bedroom units to $241 for 4-bedroom properties, with the biggest absolute jump occurring between 2-bedroom ($134) and 3-bedroom ($219) listings. The premium for moving from 3 to 4 bedrooms is more modest at $22, suggesting the sweet spot for rate efficiency may be in the 3-bedroom category.

Average RevPAN by property size in Waukegan

Four-bedroom properties deliver the highest RevPAN at $105 per night — nearly 2.5 times the $42 earned by 1-bedroom units — making them the most efficient revenue generators after accounting for occupancy. Three-bedroom listings follow at $69, while 2-bedrooms come in at $56, indicating that larger configurations disproportionately reward investors in this market.

Average occupancy rates by property size in Waukegan

Occupancy is fairly consistent across most property sizes, with 1-bedroom and 4-bedroom units both achieving 44% and 2-bedrooms close behind at 42%. Three-bedroom listings lag at 32% occupancy, which may reflect higher rate sensitivity or increased competition in that segment.

Average monthly revenue by property size in Waukegan

Four-bedroom properties lead monthly revenue at $4,027 — nearly double the $2,172 earned by 2-bedroom units and more than twice the $1,830 from 1-bedroom listings. Three-bedroom properties earn a solid $2,646 per month, positioning them as a balanced middle-ground option for investors.

Average annual revenue by property size in Waukegan

Annual revenue scales meaningfully with property size, from $21,962 for 1-bedroom units to $48,334 for 4-bedroom properties. Given Waukegan's average home value of $289,950, 4-bedroom listings offer the strongest gross yield potential, though investors should weigh higher acquisition and operating costs against that revenue premium.

Most common amenities for Airbnb listings in Waukegan

Kitchens and parking are universal at 100% of listings, while self check-in (97%) and a dedicated workspace (87%) are near-standard — signaling that guests in Waukegan expect a full-service, home-like experience. Outdoor amenities like backyards (51%) and BBQ grills (43%) are common differentiators, while pools (4%) and lake access (1%) remain rare and could offer a competitive edge for properties that have them.

Understanding Waukegan's ROI Score: 70/100

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

What This Means for Investors

Waukegan's ROI score of 70 out of 100 places it in the "Attractive Opportunity" band, anchored by an above-average revenue-to-price ratio that reflects the market's affordable home values relative to STR income potential. Occupancy stability and supply/demand balance both rate as average, while the market growth trend scores below average — likely influenced by the rapid 173% increase in active listings that could pressure per-listing performance. Investors should pair these data points with thorough local regulatory research and conservative revenue modeling to account for seasonal swings.

Short-Term Rental Regulations in Waukegan

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

Permit Requirements

Short-term rental operators in Waukegan, IL may be required to obtain a business license or STR-specific permit from the City of Waukegan before listing a property. Investors should verify current registration requirements directly with the city's planning or licensing department and check for any Illinois state-level obligations.

Key Restrictions

Common restrictions that may apply to STR properties in markets like Waukegan include occupancy limits, minimum stay requirements, noise and nuisance ordinances, and off-street parking mandates. HOA and condominium association rules can impose additional limitations, so investors should review any applicable covenants before purchasing a property intended for short-term rental use.

Tax Obligations

STR hosts in Illinois are generally subject to state and local occupancy taxes, and platforms like Airbnb often collect and remit these on the host's behalf. Investors should confirm whether Waukegan or Lake County imposes any additional hotel or tourism taxes that require separate filing.

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

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Waukegan's STR market is expected to maintain its seasonal rhythm, with peak revenues concentrated in June through August and softer winter months pulling averages down. The 173% year-over-year growth in active listings signals rising investor interest, which could moderate per-listing revenue if demand doesn't keep pace — we estimate occupancy may settle in the 35–40% range market-wide. ADR could see modest gains of 2–5% as hosts refine pricing strategies for the summer corridor, but investors should plan conservatively around the winter trough when monthly revenue dips below $1,400."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Waukegan, IL

What is the average Airbnb occupancy rate in Waukegan?

The average Airbnb occupancy rate in Waukegan is currently 38%, which is above the Illinois state average of 33%. Occupancy varies by property size, with 1-bedroom and 4-bedroom units leading at 44%, while 3-bedroom properties average around 32%. Seasonal fluctuations are significant, so investors should anticipate higher occupancy during summer months and plan for softer demand in winter.

How much do Airbnb hosts make in Waukegan?

On average, Airbnb hosts in Waukegan earn approximately $2,362 per month and $28,353 per year based on trailing 12-month booking data. Revenue varies considerably by property size — 4-bedroom listings lead with an average of $4,027 per month ($48,334 annually), while 1-bedroom units average $1,830 per month ($21,962 annually). Peak summer months can push monthly revenue above $3,700, while winter months may dip below $1,400.

Is Waukegan a good market for Airbnb investment?

Waukegan scores 70 out of 100 on Rabbu's ROI Score, placing it in the "Attractive Opportunity" category. The market benefits from an above-average revenue-to-price ratio, with average home values of $289,950 and average annual revenue of $28,353. Occupancy outperforms the state average, and the relatively small supply of 70 active listings suggests the market isn't oversaturated. Investors should account for pronounced seasonality and verify local regulations before committing.

What is the average daily rate (ADR) for Airbnb in Waukegan?

The average daily rate in Waukegan is $187, which is below the Illinois state average of $319. ADR scales with property size: 1-bedroom listings average $96 per night, 2-bedrooms average $134, 3-bedrooms come in at $219, and 4-bedroom properties command $241 per night. The lower ADR relative to the state reflects Waukegan's more affordable positioning, which also translates to lower acquisition costs for investors.

Are short-term rentals legal in Waukegan?

Short-term rentals may be subject to local permitting and licensing requirements in Waukegan, IL. Regulations can include registration with the city, compliance with safety codes, and adherence to any zoning restrictions. We recommend contacting the City of Waukegan's licensing or planning department directly, as rules can change and may vary by property type or neighborhood.

When is peak season for Airbnb in Waukegan?

Peak season in Waukegan runs from June through August, with July topping the charts at $3,789 in average monthly revenue and August close behind at $3,737. The shoulder months of May ($2,631) and September ($2,835) also perform well. Winter months represent the low season, with February averaging just $1,216 — making the summer-to-winter revenue spread roughly threefold.

How many Airbnbs are there in Waukegan?

As of April 2026, there are 70 active Airbnb listings in Waukegan. The supply breaks down primarily into 2-bedroom (23 listings) and 3-bedroom (21 listings) properties, with 1-bedroom (12 listings) and 4-bedroom (7 listings) rounding out the mix. Year-over-year listing growth has been substantial at 173%, indicating growing investor interest in the market.

How is Airbnb revenue calculated in Waukegan?

The annual and monthly revenue figures shown for Waukegan 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 roll the results up to a market-level historical average. This approach anchors the figures to what hosts have actually earned recently while naturally reflecting seasonal peaks and slower months, since 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 Waukegan and surrounding areas
• Average daily rate, occupancy, and RevPAN metrics across property sizes
• Monthly and annual revenue trends based on trailing 12-month booking data
• Home value benchmarks sourced from the Zillow Home Value Index (ZHVI)
• Supply distribution and popular amenity data for active listings

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 market conditions as of the dates noted; actual results may differ based on property-specific factors, pricing strategy, and local demand shifts. Regulatory requirements for short-term rentals vary by jurisdiction and are subject to change — investors should independently verify all local rules before purchasing.