best places to airbnb near san jose
Key Takeaways
- San Jose’s job market attracts many young professionals and entrepreneurs to the city. Aside from this, many travelers visit this city annually, which has helped Airbnb hosts to earn a good passive income with their rental properties.
- Find out why investing in an Airbnb property in San Jose and nearby cities is a good idea.
- The 10 best neighborhoods and nearby cities in San Jose are revealed – along with their recommended property types and Airbnb data.
Introduction
San Jose is considered the capital of Silicon Valley since it is the financial, technological, and political center. This city welcomes everyone to enjoy its modern environment, lively streets and friendly locals. Thus, it’s understandable why many people love this place!
If you are looking for one of the best places to invest in Airbnb in California, then you should consider San Jose. This city is home to several major companies that open the doors to great job opportunities. It also owns a bustling tourist market that investors who are looking to cater to tourism accommodations will surely love!
Are you wondering what places near San Jose are the best for Airbnb investment? In this article, we’ll feature the most profitable places for Airbnb in San Jose, California. We also added some of the expectations for rental properties in this city. Continue reading to learn more!
Why invest in a rental property in San Jose, California?
It’s a given fact that San Jose is a great sunny destination with breathtaking landscapes and a financial & tech hub! Yet, the housing market may make real estate investors interested in California take a step back. This is because the average property value is $1,242,406, which is higher than the national average.
But don’t worry too much because there are also good reasons why investing in San Jose, California real estate is still a profitable idea:
Great tourist market
Aside from its business environment, San Jose has plenty of places to visit and enjoy. This includes museums, water parks, great restaurants, and bars. Thanks to that, it attracts around 2.8M visitors annually and the number of people who come to the city continues to increase!
Thus, the tourism industry and business traveler revenue contribute significantly to San Jose’s economy. This also means that the demand for tourist accommodations is consistent.
Booming job market
San Jose is widely known as the home to major tech and financial companies that offer great job opportunities to young professionals. To name a few, the main headquarters of big companies like PayPal, Netflix, and Adobe are located here. Hence, it’s understandable that this city owns a bustling job market. In fact, the unemployment rate in San Jose is 2.1%, which is lower than the US average.
Prime location
San Jose’s location in California is great since it’s close to major cities such as Santa Clara, San Francisco and Sacramento. In addition to this, we can find Silicon Valley’s airport and San Jose International Airport which are just 3.9 miles away from downtown.
Is Airbnb Profitable in San Jose, CA?
Wondering whether your real estate investment in San Jose would be lucrative or not? Airbtics confirms that investing in an Airbnb property in San Jose is profitable. Still, it should be noted that the level of profitability depends on the property type and location.
According to Airbtics’ data, there are currently 1,428 Airbnb listings in San Jose. An Airbnb host can expect an average annual revenue of $82,806 for operating a 3-bedroom property in this city.
10 Best Places to Invest in Airbnb near San Jose, California
San Jose is one of the largest cities in the state of California and its exciting neighborhoods offer much more than what first meets the eye. So it’s understandable if you’re having a hard time choosing the best place to set up your Airbnb listing in San Jose.
Check out the best areas and nearby cities in San Jose that are highly recommended for starting an Airbnb business:
1. South San Jose
- Total Number of Airbnb Listings: 187
- Best bedroom size: 4 bedrooms
- Median property price (4 bedrooms): $1,188,000
- Airbnb Annual revenue: $181,006
- Gross rental yield: 15.24%
2. Central San Jose
- Total Number of Airbnb Listings: 672
- Best bedroom size: 4 bedrooms
- Median property price (4 bedrooms): $1,100,000
- Airbnb Annual revenue: $93,154
- Gross rental yield: 8.47%
3. North San Jose
- Total Number of Airbnb Listings: 188
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $1,079,999
- Airbnb Annual revenue: $79,826
- Gross rental yield: 7.39%
4. East San Jose
- Total Number of Airbnb Listings: 207
- Best bedroom size: 2 bedrooms
- Median property price (2 bedrooms): $580,000
- Airbnb Annual revenue: $42,426
- Gross rental yield: 7.31%
5. West San Jose
- Total Number of Airbnb Listings: 315
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $1,175,000
- Airbnb Annual revenue: $83,309
- Gross rental yield: 7,09%
6. Mountain View, CA
- Distance from San Jose: 11 miles
- Total Number of Airbnb Listings: 308
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): $650,000
- Airbnb Annual revenue: $57,323
- Gross rental yield: 8.82%
7. Santa Clara, CA
- Distance from San Jose: 12 miles
- Total Number of Airbnb Listings: 381
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): $568,000
- Airbnb Annual revenue: $47,796
- Gross rental yield: 8.41%
8. Santa Cruz, CA
- Distance from San Jose: 23 miles
- Total Number of Airbnb Listings: 275
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $1,350,000
- Airbnb Annual revenue: $137,365
- Gross rental yield: 10.17%
9. San Mateo, CA
- Distance from San Jose: 27 miles
- Total Number of Airbnb Listings: 194
- Best bedroom size: 1 bedroom
- Median property price (1 bedroom): $649,000
- Airbnb Annual revenue: $69,181
- Gross rental yield: 10.65%
10. Sacramento, CA
- Distance from San Jose: 82 miles
- Total Number of Airbnb Listings: 753
- Best bedroom size: 3 bedrooms
- Median property price (3 bedrooms): $469,900
- Airbnb Annual revenue: $55,146
- Gross rental yield: 11.73%
Conclusion
In summary, San Jose has great & profitable areas that offer an attractive cash-on-cash return to real estate investors interested in California’s market. While there are plenty of neighborhoods and nearby cities in San Jose with high rental yields and annual revenue, it is still worth analyzing different options thoroughly.
After discovering the best places to Airbnb near San Jose, California, take advantage of the digital era and go further in your venture. Check Airbtics’ Airbnb income calculator to stand out among your competitors while maximizing your profitability!
