Dallas Short-Term Rental
Investment Opportunities
Data-driven valuations on live MLS listings, market intelligence, and STR performance data.
Dallas Is a Strong STR Market — Here's Why
Market Grade
70/100
Surge Score™
Our data-driven market assessment — updated with the latest metrics
Assessment
Dallas's short-term rental market earns an overall Surge Score of 70/100, driven by an average monthly revenue of $4,113 across 20,596 active listings with 65.9% average occupancy and a $248 nightly rate.
Over the past year, revenue has declined 0.7% while occupancy is down 0.4%. The market is holding steady — operators should focus on differentiation and dynamic pricing to maintain margins.
Seasonality plays a moderate role — peak revenue in June is 46% higher than the February trough. The relatively flat seasonality curve means more predictable cash flow year-round.
The sweet spot for Dallas is 4-bedroom properties at $5,730/month. Larger properties command premium nightly rates and attract families and groups, though they require more investment in furnishing and upkeep.
The highest-performing neighborhoods are Roanoke, West Dallas, Flower Mound. These areas consistently outperform the market average — if you're choosing where to buy, these zip codes deserve first consideration.
This analysis is generated from proprietary market data, Census demographics, and economic indicators. Not financial advice — always perform your own due diligence before investing.
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Houston is one of the strongest short-term rental markets in the United States, driven by its position as the energy capital of the world, home to the Texas Medical Center (the largest medical complex globally), and a thriving tourism ecosystem anchored by NRG Stadium, the George R. Brown Convention Center, and Space Center Houston.
Unlike many major metros that have restricted or banned short-term rentals, Houston remains one of the most STR-friendly cities in the country. There is no citywide ban on Airbnb or VRBO properties, making it an attractive market for real estate investors looking for consistent rental income with minimal regulatory risk.
Why Investors Choose Houston
Houston's investment properties present opportunities across a range of neighborhoods and price points. The city's average annual STR revenue of $34,200 for a 3-bedroom property, combined with a median home price significantly below other major metros like Austin, Miami, or Los Angeles, creates favorable cap rates and cash-on-cash returns for investors.
Key demand drivers include the 65+ million annual visitors to the greater Houston area, over 10,000 conventions and events, and the steady flow of medical professionals and patients to the Texas Medical Center. Business travelers in the energy sector provide consistent midweek bookings, while leisure travelers fill weekends and holidays.
When Does Dallas Make Money?
Average monthly revenue & occupancy across 5 years of data
Peak Month
Jun
$3,759/mo · 67.8% occ
Trough Month
Feb
$2,582/mo · 58.9% occ
Revenue Swing
46%
Peak vs trough variance
Why This Matters for STR Investors
Seasonality is one of the most important factors in underwriting an STR investment. It tells you how much of your annual income is concentrated in a few peak months versus spread evenly throughout the year. In Dallas, Jun generates 46% more revenue than Feb — a moderate swing that gives you the best of both worlds. You'll see meaningful revenue bumps during high season without the stress of dramatic off-season dips. This makes cash flow planning more predictable than highly seasonal markets like ski towns or beach destinations. You can still benefit from dynamic pricing during peak months while maintaining solid baseline income year-round.
Revenue & Occupancy Trends
36-month performance trajectory — is this market growing or saturating?
Avg Revenue (Last 12mo)
$3,294
-0.7% YoY
Avg Occupancy (Last 12mo)
60.6%
Current Revenue
$4,113
Latest month
Market Signal
Stable
Mixed signals
Why This Matters for STR Investors
Revenue and occupancy trends over time reveal whether a market is gaining momentum or losing steam — and that directly impacts your investment thesis. Dallas's market is showing mixed signals — revenue is down 0.7% YoY while occupancy is down 0.4%. This is common in mature markets where growth has stabilized. The opportunity here is in operational excellence rather than market timing. Investors who optimize their pricing strategy, maintain high review scores, and target underserved niches (business travelers, families, extended stays) can outperform the market average even when top-line growth is flat.
Which Amenities Drive the Most Revenue?
How each amenity impacts revenue, rates, and occupancy in Dallas
Highest Revenue Lift
Hot Tub
+54.8% vs market avg
Highest ADR Lift
Hot Tub
+65.5% vs market avg
Best for Occupancy
Pets Allowed
+4.2% vs market avg
Why This Matters for STR Investors
In Dallas, listings with a hot tub earn 55% more revenue than the market average — the single biggest amenity driver. Pool access adds +40% to monthly revenue. These premiums compound with bedroom count: larger properties with premium amenities see the widest gap versus comparable listings without them. Use this data to prioritize renovation spending and amenity investments that directly lift your bottom line.
How Crowded Is Dallas?
STR density, competitive landscape, and market concentration
Saturation Level
Moderate Saturation
8.6 STRs per 1K households
Active Listings
20,596
Competing for guests
Market-Wide Occupancy
65.9%
Average across all STRs
Saturation Indicators
STR Density
8.6 per 1K
Above average density — market is well-supplied
Market Occupancy
65.9%
Healthy demand — guests are booking consistently
Annual Revenue per STR
$49,351.68
Strong revenue per listing — market supports good ADRs
Market Concentration
15%
Revenue is spread evenly — more neighborhoods can perform well
Why This Matters for STR Investors
Market saturation tells you how crowded the playing field is — and it's one of the biggest risks new investors overlook. Dallas has 20,596 active short-term rentals across approximately 2400K households, which works out to 8.6 STRs per 1,000 households. This is comparable to well-established STR destinations. In markets with this density, the difference between a top-performing listing and an average one is significant — often 40-60% more revenue. What separates them? Professional photography, optimized titles and descriptions, fast response times, thoughtful amenities, and consistent 4.8+ star reviews. If you're entering this market, invest upfront in getting your listing right before worrying about scaling. Revenue is relatively well-distributed across neighborhoods, which gives you more flexibility in where you invest without being locked into a small number of 'must-buy' zones.
Market News & STR Alerts
Dallas Airbnb Market Insights FAQ
Dallas's STR market has grown significantly but shows resilience against saturation due to its diversified demand base. With 65+ million annual visitors across business, medical, and leisure segments, the city absorbs new supply better than tourism-dependent markets. Our Saturation Score tracks the ratio of listing growth to demand growth — when supply outpaces demand, per-listing revenue declines. Check the Insights tab for Dallas's current saturation signal and whether the market is in a growth, stable, or saturating phase.
Key Dallas STR trends: supply has grown 15–20% annually as more investors enter the market, but revenue per listing has remained relatively stable due to strong demand growth. ADR has trended upward driven by inflation and property improvements. Seasonality shows peak booking periods in spring (March–May) and fall (October–November), with summer seeing higher ADR but slightly lower occupancy. Our Revenue & Occupancy Trends chart tracks these patterns month by month with historical data.
Dallas STR demand comes from four main segments: (1) Business travel — two dozen Fortune 500 headquarters, finance, and tech relocations drive strong midweek demand with high ADR. (2) Events — AT&T Stadium, American Airlines Center, Fair Park and the State Fair of Texas, and the Kay Bailey Hutchison Convention Center generate huge event-driven spikes. (3) Medical travel — UT Southwestern and Baylor University Medical Center bring year-round patient and family stays. (4) Leisure tourism — Deep Ellum, Bishop Arts, Uptown nightlife and dining attract weekend visitors.
Supply-demand balance directly impacts your returns. When new listings grow faster than demand, average occupancy and ADR decline — squeezing per-listing revenue. Dallas's advantage is demand diversification: even if leisure travel dips, business and medical demand provides a floor. Our Supply & Demand chart tracks active listings, available nights, and booked nights over time. If supply growth exceeds 20% while demand grows under 10%, it's a signal to be more selective about neighborhoods and property types.
Three trends to monitor: (1) Supply growth rate — if new listings in your target neighborhood exceed 15% annually, competition will intensify and you'll need stronger differentiation. (2) ADR compression — falling average daily rates signal oversupply or demand weakness; stable or rising ADR indicates a healthy market. (3) Regulatory changes — Dallas passed a single-family zoning ban on STRs in 2023, but a court injunction has blocked enforcement since December 2023 — STRs continue operating while the Texas Supreme Court case is pending. Factor this legal risk into underwriting. Our Insights tab tracks all three with live data and Surge's proprietary market signal analysis.
Before investing in any STR market, track five key trends: occupancy rate direction (declining = warning sign), ADR trajectory (rising = pricing power), supply-to-demand ratio (listings growing faster than bookings = saturation risk), seasonal patterns (determines cash flow consistency), and regulatory direction (tightening restrictions reduce property pool but benefit existing operators). Our Insights tab monitors all of these for Dallas with live data visualizations and trend analysis.
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Deep Market Analytics
Granular STR performance data, competitive landscape, and demand forecasts
Monthly Revenue Seasonality
19,468
Total Active STR Listings
14 days
Avg Booking Lead Time
3.2 nights
Avg Length of Stay
+12.3%
Supply Growth (YoY)
Revenue Distribution
Competitive Landscape
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