Introduce
Cape Coral, a city in Southwest Florida, has been gaining popularity as a tourist destination over the years. The city is known for its beautiful beaches, water sports, and fishing opportunities, making it an ideal location for vacationers.
Short-Term Rental Market Overview
According to Chalet, a leading provider of data and analytics for the short-term rental industry, there are currently 5,255 active short-term rentals in Cape Coral.
This means that on average, short-term (Airbnb) rental properties in Cape Coral are occupied for 55% of the year. Chalet also reports that the annual revenue for short-term (Airbnb) rentals in Cape Coral is $43,200, with an average gross yield of 11.13%.
Supply
The most popular homes are 3-bedroom homes, comprising 49.36% of inventory. This is followed by 4 and 2-bedroom homes at 25.67% and 13.13% of the total inventory, respectively.
Property Values and Taxes
According to Zillow, a real estate website that provides data on property values and trends, the median home value in Cape Coral is $388,303. Home values in the city depreciated by -1.50% in the past year.
The average property tax rate in Cape Coral is 1.03%, according to SmartAsset, a financial website that provides data on taxes and personal finance. This rate is relatively low compared to other cities in Florida, making Cape Coral an attractive location for real estate investors.
Average Daily Rate
The median ADR for the market is $295.40. The Average Daily Rate is the highest for 7-bedroom homes ($604) followed by 6-bedrooms and 5 bedrooms at $450 and $400 respectively.
Top 200 Airbnb Rental Markets
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Population & Demographics
Cape Coral is a city located in Lee County, Florida. The city’s population is approximately 200,000, making it one of the largest cities in the county. The city is known for its many waterways, which have earned it the nickname “Waterfront Wonderland.” Additionally, the city boasts a thriving tourism industry, making it a popular destination for travelers from all over the world.
According to the United States Census Bureau, the median household income in Cape Coral, FL is $62,664. This figure is higher than the median income for the state of Florida, which is $55,660.
Hosts
The market is dominated by property management firms. The largest host is Roelens with 4.81% of the total inventory and an average review of 4.67 ⭐️s .
Climate
Cape Coral has a tropical climate, with hot summers and mild winters. The city experiences high humidity throughout the year, with an average of 54 inches of rainfall annually.
Sports and Education
Cape Coral is home to a variety of sports teams, including the Florida Tarpons, a professional indoor football team, and the Fort Myers Miracle, a minor league baseball team.
While there are no colleges or universities located within the city limits of Cape Coral, several institutions are located nearby. These include Florida Gulf Coast University, Hodges University, and Edison State College.
Guests
The majority of the guests come from inside of Florida. 4.35% of all guests are from Miami followed by Cape Coral with 1.53%.
Crime Rates and Tourism
According to NeighborhoodScout, the crime rate in Cape Coral is lower than the national average. The city has a low crime rate, making it a safe destination for tourists.
Cape Coral attracts visitors from all over the world. The city’s biggest markets for tourism are Canada, Germany, and the United Kingdom. In total, Cape Coral sees approximately 1.3 million visitors each year.
Tourist Attractions and Peak Season
Cape Coral is home to several popular tourist attractions. These include the Sun Splash Family Waterpark, Cape Coral Historical Museum, and the Four Mile Cove Ecological Preserve.
The peak season for tourism in Cape Coral is from December to April. During this time, the city sees an influx of visitors seeking warm weather and sunny skies.
Conclusion
The short-term rental market in Cape Coral, FL, is a growing industry that presents a great opportunity for real estate investors. With a steady increase in short-term rental supply and high occupancy rates, investors can expect good returns on their investment. Moreover, the city’s low property tax rates and investor-friendly regulations make it an attractive location for property owners. As a result, it is no surprise that Cape Coral is becoming a popular destination for short-term rental investors.
