Homepage / Top Airbnb Cities / North America / The United States

Best Airbnb Markets in Alabama (2026)

Based on Airbtics data from September 2025 to August 2026, this page ranks the best Airbnb markets in Alabama by Market Grade. The grade compares short-term rental yield, year-over-year revenue growth, and occupancy (demand), then adjusts for local regulation. The table also shows listing count, average daily rate, and annual revenue for every market.

Markets on this page are ranked by the Airbtics Market Grade, not by the number of listings. The grade compares each market with the other markets in this ranking on three measures, then adjusts for local short-term rental regulation.

  1. Yield: Annual short-term rental revenue divided by property price. A higher yield ranks higher.
  2. Growth: Year-over-year change in revenue. Faster revenue growth ranks higher.
  3. Demand: Average occupancy rate over the last 12 months. Higher occupancy ranks higher.

Stricter short-term rental regulation lowers the letter grade. Occupancy, average daily rate, and annual revenue are shown for every market. Exact yield and revenue growth are published for the three highest-graded markets. For every other market those two figures are in Market Explorer. The rankboard plots the same markets by occupancy and average daily rate, and the table under the chart lists those values in text.

Learn more about how we collect the data and accuracy

Last updated: 16th October, 2026

Alabama Short-Term Rental Market Overview (September 2025 to August 2026)

National averages across all Alabama markets
Average Occupancy Rate i
64.60%
Average Annual Revenue i
$79,567
Average Daily Rate (ADR) i
$316
YoY Supply Growth i
31.17%
YoY Revenue Change i
9.25%

Top 5 Alabama Cities for Airbnb in 2026

Tick the markets you like to track their revenue, occupancy, and ADR in your Airbtics watchlist. Free to start, up to 10 markets.

Position Market Grade Market Name Regulation No of Listings Avg. Occupancy Rate Avg. Daily Rate Revenue Short-term Rental Yield Revenue Growth
1BPerdido Key
Lenient
1,36969% 🚀$338$89,12018.9%+13.5%
2B+East Beach
Lenient
1,11267%$328$84,17223.0%+11.5%
3C+Birmingham
Lenient
1,13356%$157$34,16120.9%+10.0%
4C+West Beach Blvd
Lenient
66063%$395$95,070Unlock in Market ExplorerUnlock in Market Explorer
5D+Orange Beach
Lenient
4,18968% 🚀$366$95,312Unlock in Market ExplorerUnlock in Market Explorer

Data Seen By

BiggerPockets
Trustpilot

Market Explorer

Filter markets by occupancy, price, and yield

Filter Alabama by occupancy, ADR, yield, rent gap, and property price, then compare markets side by side.

Open Explorer

Find the Best Airbnb Markets with Our Interactive Tool

Use our interactive Market Explorer to find the best places to start an Airbnb in Alabama. Compare multiple markets side by side, apply filters like regulations, budget (property or rent prices), and market size, and even export the results to Excel.

Explore Interactive Tool

Why Invest in Airbnb Alabama in 2026?

The highest-graded short-term rental markets in Alabama are Perdido Key, East Beach and Birmingham. The table ranks every tracked market by Airbtics Market Grade. Occupancy, average daily rate, annual revenue, yield, and revenue growth are the figures behind that grade.

Top 3 Airbnb markets in Alabama by Market Grade

These are the three highest-graded Airbnb markets in Alabama. Market Grade compares yield, revenue growth, and occupancy (demand) with the other markets on this page, then adjusts for short-term rental regulation. The chart repeats those three percentiles in text so the ranking is readable without the graphic.

Rank 1 — Perdido Key (Grade B)

Perdido Key is rank 1 of 5 markets in this Alabama ranking by Airbtics Market Grade B, with 18.9% short-term rental yield, 69.0% occupancy, and +13.5% year-over-year revenue growth.

Compared with the other markets on this page, Perdido Key ranks lowest 40% for yield, top 10% for growth, and top 10% for demand. The market shows an average daily rate of $338, annual revenue of $89,120, a rent gap of 3769.2%, 1,369 active listings, lenient short-term rental regulation, and a typical 2-bedroom property price of $450,000.

  • Market gradeB
  • Yield18.9%
  • Revenue growth+13.5%
  • Occupancy69.0%
  • Average daily rate$338
  • Annual revenue$89,120
  • Rent gap3769.2%
  • Active listings1,369
  • 2-bedroom price$450,000
  • RegulationLenient
lowest 40%Yieldtop 10%Growthtop 10%Demand

Percentile versus other Alabama markets on this page. Farther from the center is stronger.

  • Yield: lowest 40%
  • Growth: top 10%
  • Demand: top 10%

Rank 2 — East Beach (Grade B+)

East Beach is rank 2 of 5 markets in this Alabama ranking by Airbtics Market Grade B+, with 23.0% short-term rental yield, 67.0% occupancy, and +11.5% year-over-year revenue growth.

Compared with the other markets on this page, East Beach ranks top 10% for yield, top 50% for growth, and top 50% for demand. The market shows an average daily rate of $328, annual revenue of $84,172, a rent gap of 4367.6%, 1,112 active listings, lenient short-term rental regulation, and a typical 2-bedroom property price of $350,000.

  • Market gradeB+
  • Yield23.0%
  • Revenue growth+11.5%
  • Occupancy67.0%
  • Average daily rate$328
  • Annual revenue$84,172
  • Rent gap4367.6%
  • Active listings1,112
  • 2-bedroom price$350,000
  • RegulationLenient
top 10%Yieldtop 50%Growthtop 50%Demand

Percentile versus other Alabama markets on this page. Farther from the center is stronger.

  • Yield: top 10%
  • Growth: top 50%
  • Demand: top 50%

Rank 3 — Birmingham (Grade C+)

Birmingham is rank 3 of 5 markets in this Alabama ranking by Airbtics Market Grade C+, with 20.9% short-term rental yield, 56.0% occupancy, and +10.0% year-over-year revenue growth.

Compared with the other markets on this page, Birmingham ranks top 30% for yield, lowest 30% for growth, and lowest 10% for demand. The market shows an average daily rate of $157, annual revenue of $34,161, a rent gap of 2793.6%, 1,133 active listings, lenient short-term rental regulation, and a typical 2-bedroom property price of $180,000.

  • Market gradeC+
  • Yield20.9%
  • Revenue growth+10.0%
  • Occupancy56.0%
  • Average daily rate$157
  • Annual revenue$34,161
  • Rent gap2793.6%
  • Active listings1,133
  • 2-bedroom price$180,000
  • RegulationLenient
top 30%Yieldlowest 30%Growthlowest 10%Demand

Percentile versus other Alabama markets on this page. Farther from the center is stronger.

  • Yield: top 30%
  • Growth: lowest 30%
  • Demand: lowest 10%

Market Rankboard: Alabama

Each dot is a vacation rental market in Alabama, plotted by occupancy rate (x-axis) and average daily rate (ADR) (y-axis). Dashed lines mark the national median.

Alabama Airbnb markets rankboard scatter chart showing occupancy rate versus average daily rate (ADR)
Occupancy rate and average daily rate for each Alabama market plotted in the chart above, in Market Grade order.
MarketOccupancy rateAverage daily rate
Perdido Key69.0%$338
East Beach67.0%$328
Birmingham56.0%$157
West Beach Blvd63.0%$395
Orange Beach68.0%$366

Compare property prices, short-term rental yield, rent gap, annual revenue, and supply growth in the Airbtics Market Explorer watchlist.

See all Airbnb markets in Alabama

Browse all 5 markets we track in Alabama. Each link opens the market's Airbnb revenue and performance data page.

Alabama Airbnb market FAQs

  • What are the best Airbnb markets in Alabama?

    Airbtics ranks short-term rental markets in Alabama by Market Grade. The grade compares yield (annual revenue divided by property price), year-over-year revenue growth, and occupancy, then adjusts for regulation. The highest-graded market in this dataset is Perdido Key. The main table lists markets in that order; use the Market Explorer to filter by budget, regulations, and more.

  • How many Airbnb markets does Airbtics track in Alabama?

    We currently analyze 5 active short-term rental markets in Alabama with listing supply, median occupancy, ADR, and revenue estimates.

  • What is the average Airbnb occupancy rate in Alabama?

    The national average occupancy rate across tracked markets is 64.60% (LTM). Rates differ by city. Use the rankboard on this page, or open a market page for that city's numbers.

  • How do I compare Airbnb markets in Alabama?

    Use the occupancy vs ADR rankboard on this page for a quick view, or open the Market Explorer to compare markets side by side, change chart axes, export to Excel, and save markets to a watchlist.

  • How can I estimate Airbnb income in Alabama?

    Use our Airbnb income calculator to estimate revenue for a specific address, or open any market link below for median revenue and occupancy benchmarks.




Estimate Your Airbnb Income in Alabama



Ready to start looking for the most profitable short-term rental investment opportunities in Alabama?

Use our Airbnb calculator to quickly and accurately estimate the earning and profitability potential of any city, neighborhood, and area.

Try Our Airbnb Calculator

For trends, supply, and year-over-year changes, see the 2025 short-term rental report for Alabama.