A new study has found Scottsdale, Arizona, to be the most profitable city for Airbnb hosts. The research, carried out by personal finance experts Wealth of Geeks, calculated how much extra homeowners could earn by renting out properties per night, using the average cost of an Airbnb in each location. The cost was then compared to the average weekly wage using statewide data from the US Bureau of Labor Statistics to determine the final ranking.
|
Location |
Airbnb income as % of average weekly wage |
|
Scottsdale, Arizona |
55.90% |
|
Tempe, Arizona & Charlestown, South Carolina |
50.00% |
|
Phoenix, Arizona |
47.90% |
|
Las Vegas, Nevada |
43.10% |
|
Glendale, Arizona |
42.80% |
|
Gilbert, Arizona |
40.90% |
|
Chandler, Arizona |
40.00% |
|
Virginia Beach, Virginia |
38.70% |
|
North Charleston, South Carolina |
36.70% |
|
Mesa, Arizona |
36.30% |
Figures reveal that Scottsdale, Arizona, is the best city for Airbnb hosts, with one night’s stay at a property costing $449 on average, which is 55.9% of the median weekly salary in the city. While Scottsdale has one of the highest weekly incomes of any location at $804, the cost of renting an Airbnb is the highest on the list by $47.
Another Arizonan city places next, with Tempe sharing second place alongside Charleston, South Carolina. The cost of a single night stay in both locations adds up to 50% of the average weekly wage; the former at $402 per night and the latter at $345.
Phoenix follows closely in third with an average cost per night of $385, equaling 47.9% of the weekly $804 average wage. The city in Arizona boasts many tourist attractions, including the impressive Chase Stadium, Mystery Castle, and Papago Park, all of which help to entice huge numbers, with 19.5 million people visiting in 2022.
Las Vegas proceeds in fourth, costing $312 per night on average, adding up to 43.1% of Nevada’s median weekly wage of $724. The internationally renowned resort city has approximately 2.9 million visitors per year and is the sixth most visited city in the country.
Glendale, Arizona rounds out the top five, costing $344 on average per night, equating to 42.8% of the state’s average weekly salary. The city lies just nine miles away from Phoenix and houses State Farm Stadium, where NFL franchise, the Arizona Cardinals, host scheduled fixtures.
Neighboring town Gilbert, Arizona follows next, with a solitary night’s stay at an Airbnb costing $329 on average, equating to 40.9% of residents’ average income per week. Attractions to visitors include Gilbert Regional Park and Desert Sky Park, both of which underwent multi-million-dollar renovations in 2019.
Chandler, Arizona is very close behind, with the cost of an Airbnb just $7 less than Gilbert, which means it adds up to 40% of the $804 weekly wage. Numerous buildings in the city are either in the National Register of Historic Places or listed as such by the Chandler Historical Society, as well as being home to the Arizona Railway Museum.
Ranking in eighth place is Virginia Beach. The city in Virginia has the highest average weekly salary of any other in the top ten at $857, and a $332 average Airbnb cost per night, equating to 38.7% of earnings. The city is listed in the Guinness Book of Records as having the longest pleasure beach in the world and attracted a huge 13.6 million visitors in 2022.
North Charleston places ninth and is the second city in South Carolina to make the top ten. It also has the lowest cost per night compared to the other ranking cities at an average of $254, which equates to 36.7% of its $690 average weekly salary – the second lowest of any city analyzed in the research.
Mesa completed the top ten and is the seventh city in Arizona to rank in the list’s upper echelons. It also has the second-lowest average Airbnb cost at $292 per night, which works out at 36.3% of median weekly earnings.
Commenting on the research findings, Michael Dinich, founder of Wealth of Geeks said: “It’s clear to see by the numbers that Arizona is a hub for vacationers, reflected in the fact the prices appear to be in the higher bracket compared to cities in other states.
“The ability for residents to earn over half their weekly salary from renting out a property for a single night is impressive, not to mention, an extremely convenient way to earn extra income – it’s much easier than time-consuming second jobs or side hustles.”