Houston, TX, is one of the fastest-growing cities in the United States, and its short-term rental market has been steadily growing alongside the city. According to recent data from Chalet, there are currently 10,384 active short-term (Airbnb) rentals in Houston, and the supply has increased by 4.90% in recent years.
This blog post will provide a comprehensive overview of the Airbnb rental market in Houston, TX, including market statistics, regulatory environment, and other relevant information.
Market Statistics for Short-Term Rentals
Houston’s housing market has been appreciating steadily in recent years, with homes appreciating 1.00%, according to Zillow. The median home value in Houston is $264,626, and the average property tax is 2.13%, according to SmartAsset. These statistics suggest that investing in a Airbnb rental property in Houston could be a wise financial decision, given the city’s healthy real estate market.
According to Chalet, Houston currently has 10,384 active short-term rentals. The occupancy rate for these rentals is 49%, with an average daily rate of $196.80. The average gross yield for these properties is 11.07%, and the annual revenue for a short-term (Airbnb) rental in Houston is $29,300. These statistics suggest that investing in a short-term (Airbnb) rental property in Houston could be a lucrative financial decision, given the high demand for these types of properties in the city.
Short-Term Rental Regulation
One of the main factors contributing to the growth of the short-term (Airbnb) rental market in Houston, TX, is the investor-friendly regulatory environment. Houston, TX, is in Harris County, where Airbnb rentals are permitted with minimal regulation. This regulatory environment makes it easy for investors to purchase and operate short-term rental properties in Houston, contributing to the city’s growing supply of short-term rental properties.
Median Income & Climate
The median household income in Houston, TX, is $56,019, according to the U.S. Census Bureau.
Houston, TX has a humid subtropical climate with hot summers and mild winters. The city is prone to severe weather, including thunderstorms, hurricanes, and tornadoes. These weather patterns may impact the demand for short-term (Airbnb) rental properties in Houston, depending on the season.
Population Size
Houston, TX, is the largest city in the state of Texas and the fourth-largest city in the United States. According to the U.S. Census Bureau, the population size of Houston, TX, is estimated to be 2.3 million people. Houston is a diverse city with a large population of African-American, Hispanic, and Asian residents.
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Sports Teams
Houston, TX is home to several professional sports teams, including the Houston Texans (NFL), Houston Astros (MLB), Houston Rockets (NBA), and Houston Dynamo (MLS). These teams have a large and dedicated following in Houston, and attending their games is a popular pastime for many residents.
Colleges
Houston, TX, is home to several prestigious colleges and universities, including Rice University, the University of Houston, and Texas Southern University. These institutions attract students from all over the world and contribute to the city’s dynamic and intellectual atmosphere.
Crime Rate
Like many major cities, Houston, TX has experienced its fair share of crime. However, recent statistics from the FBI show that the city’s crime rate has been decreasing in recent years, making it a safer place to live and visit.
Tourism Statistics
Houston, TX, is a popular tourist destination, attracting millions of visitors each year. According to the Houston First Corporation, over 22 million visitors came to Houston in 2018, generating over $22 billion in economic impact for the city.
Major Attractions
Houston, TX, is home to several major tourist attractions, including the Space Center Houston, the Museum of Fine Arts, the Houston Zoo, and the Downtown Aquarium. Visitors can also enjoy the city’s extensive parks and green spaces, including Memorial Park, Hermann Park, and Buffalo Bayou Park.
Peak Season
The peak season for tourism in Houston, TX, is typically in the spring and fall when the weather is mild and pleasant. The city’s many festivals and events, including the Houston Livestock Show and Rodeo and the Texas Renaissance Festival, attract large crowds during these seasons.
Conclusion
In summary, the short-term rental market in Houston, TX, has been growing steadily in recent years, with an increase in supply and demand for these properties. With high occupancy rates, daily rates, and gross yields, short-term rental properties in Houston could be a wise investment decision for investors looking for passive income streams. The investor-friendly regulatory environment in Houston, TX, has contributed to the growth of the short-term rental market in the city, making it easy for investors to purchase and operate short-term rental properties.
