Source: BNBCalc market metadata · Reviewed by Parker Place, CTO of BNBCalc.com · Data updated July 10, 2026
Best Airbnb Markets in Alabama by Gross Yield
Mobile is the top Alabama short-term rental market across Airbnb and Vrbo by gross yield, with 27.0% gross yield, $62,987 in average annual revenue, and 16,412 active listings.
Top gross yield
27.0%
Mobile
Median gross yield
14.8%
8 markets with yield data
Median annual revenue
$33.0K
Average listing revenue
Tracked markets
8
Statewide market coverage
Filter market rankings
Default rankings show all bedrooms at the average performance tier.
Bedroom count
Performance tier
Top 10 Alabama Airbnb and Vrbo Markets
#1
Mobile
The Mobile, Alabama short-term rental market delivers a strong 25.0% gross yield and a solid annual revenue of $57,700 for active investors. However, with a massive pool of 16,031 active listings, buyers must implement smart pricing strategies to overcome a low 39% occupancy rate and capture the $314 average daily rate.
Yield
27.0%
Revenue
$63.0K
Listings
16,412
#2
Tuscaloosa
In Tuscaloosa, short-term rental investors can leverage an impressive average daily rate of $359 to achieve a 16.4% gross yield. However, the market's exceptionally low 22% occupancy rate across 249 active listings highlights a significant seasonal challenge for generating its $30,474 annual revenue.
Yield
20.1%
Revenue
$37.9K
Listings
252
#3
Cullman
In Cullman, short-term rental properties offer a 14.6% gross yield and a strong average daily rate of $286. However, a low occupancy rate of 25% across 497 active listings means that local investors must focus on premium guest experiences to capture the $32,367 in annual revenue.
Yield
16.3%
Revenue
$36.9K
Listings
506
#4
Gadsden
For investors targeting Gadsden, the market provides a 13.9% gross yield and a respectable average daily rate of $223. However, a low occupancy rate of 29% across 585 active listings indicates that operators must implement strong marketing strategies to capture consistent bookings and reach the $28,811 annual revenue.
Yield
15.1%
Revenue
$31.9K
Listings
592
#5
Demopolis
In Demopolis, a low-competition environment of just 88 active listings offers short-term rental investors a decent 12.8% gross yield. However, with a low occupancy rate of 29% and an average daily rate of $175, operators must carefully manage expenses to remain profitable on an annual revenue of $19,554.
Yield
14.4%
Revenue
$22.6K
Listings
97
#6
Birmingham
Birmingham, Alabama delivers a 12.0% gross yield and $30,974 in annual revenue, supported by a $193 average daily rate across 898 active listings. Despite these steady metrics, investors should prepare for a moderate 39% occupancy rate, requiring careful pricing strategies to maximize returns.
Yield
13.0%
Revenue
$34.0K
Listings
932
#7
Dothan
Dothan offers short-term rental investors a low-barrier entry point with 277 active listings and a solid 12.9% gross yield. While the average daily rate is modest at $152, maintaining a steady 35% occupancy rate is key to achieving the market's average annual revenue of $21,129.
Yield
12.5%
Revenue
$20.6K
Listings
299
#8
Huntsville
For investors looking at Huntsville, the short-term rental market offers a 10.5% gross yield and an average daily rate of $182. However, with 952 active listings competing for guests, operators must strategically market their properties to overcome a 35% occupancy rate and secure the $26,085 annual revenue.
Yield
11.7%
Revenue
$29.5K
Listings
981
All Alabama Short-Term Rental Markets
Every market below links to its full BNBCalc market page. Rankings use gross yield first, then annual revenue when yield is missing.
Active listings are Airbnb and Vrbo listings observed as active in the selected market metadata segment. The all-bedrooms view uses all active listings in that market; bedroom filters use the active listing count for the selected bedroom group.
For US markets, BNBCalc ranks state market pages by gross yield: annual Airbnb and Vrbo short-term rental revenue divided by estimated property value. Gross yield is a fast way to compare market-level opportunity before operating expenses, financing, taxes, insurance, seasonality, and local rules.
Annual revenue uses ADR, adjusted occupancy, and estimated cleaning revenue when cleaning and stay data exists.
ADR is nightly-only and excludes cleaning fees and other guest fees.
Occupancy is adjusted occupancy of bookable nights, excluding host-blocked nights.
Gross yield uses annual revenue divided by estimated property value; it does not include operating expenses, financing, taxes, or local regulation risk.
Compare Rental Demand in Alabama
For long-term rental context, compare statewide Section 8 Fair Market Rent data alongside short-term rental market performance.
Frequently Asked Questions About Alabama Airbnb and Vrbo Markets
The best short-term rental market in Alabama for Airbnb and Vrbo investors by gross yield is Mobile, with 27.0% gross yield, $62,987 in average annual revenue, and 16,412 active listings.
US markets are ranked by gross yield, which compares annual short-term rental revenue from demand sources like Airbnb and Vrbo with estimated property value. Gross yield is useful for comparing markets before expenses, financing, taxes, and local regulation are included.
Gross yield is usually better for market comparison because it accounts for both revenue potential and property value. Revenue alone can favor expensive markets where purchase prices may reduce investor returns.
Monthly revenue is calculated from the average yearly revenue per listing over the last twelve months (LTM), divided by 12. This figure represents gross booking revenue across short-term rental demand sources, including Airbnb and Vrbo, before expenses like cleaning fees, platform fees, and property management costs.
ADR is the average nightly price that guests pay to book a short-term rental in a given market. It's calculated by dividing the total revenue by the number of booked nights. Higher ADR markets typically have premium properties or are in high-demand tourist destinations.