Cabo San Lucas

As of May 2026, Cabo San Lucas, San José del Cabo, Todos Santos, La Paz have 7,089 active Airbnb and VRBO listings. This represents a 2% increase from the previous year.

The average Airbnb or VRBO in Cabo San Lucas generates $787K per year. High-performing properties earn $4.3M/year, while low-performing properties earn $243K/year. This massive disparity suggests that revenue outcomes are heavily bifurcated, where elite assets capture a disproportionate share of the market's total earnings capacity.

Airbnb and VRBO can be profitable in Cabo San Lucas. Average annual revenue is $787K with 25% occupancy. High-performing properties earn up to $4.3M/year. The 25% occupancy rate indicates significant seasonality or underutilization, highlighting that high earners likely leverage unique positioning to outperform the broader market baseline.

The average occupancy rate for Airbnbs and VRBOs in Cabo San Lucas is 25%. This occupancy level, combined with an average nightly rate of $9K, results in a RevPAR (revenue per available room) of $2K per day.

4+ bedroom properties demonstrate the strongest performance in Cabo San Lucas, with annual revenue of $2.5M. These properties balance operating costs and rental demand most effectively in the Cabo San Lucas market. Property performance varies significantly by location, amenities, and management quality.

Short-term rental regulations vary by jurisdiction in the Cabo San Lucas area. Cabo San Lucas: Lenient. Municipal license and federal tax registration required. No owner-occupancy rules or caps. Minimal enforcement; most hosts operate without proper permits. San José del Cabo: Lenient. Same requirements as Cabo - municipal license, tax ID. No occupancy restrictions. Light enforcement; compliance sporadic. Todos Santos: Lenient. Basic municipal permits required. No rental restrictions. Very limited enforcement in small town setting. La Paz: Lenient. Municipal license and tax registration needed. No caps or owner-occupancy rules. Minimal enforcement; informal rentals common. Always verify current regulations with local authorities and obtain necessary permits before operating a short-term rental.

The Cabo San Lucas Airbnb and VRBO market is currently showing balanced conditions. Supply has grown 2% year-over-year, while RevPAR has decreased 15%. This indicates balanced supply-demand dynamics. The contraction in revenue amidst stagnant supply growth signals a softening in consumer spending power that is currently outpacing inventory expansion.

Launch around December, 2-3 months before peak winter season (March peaks). This pre-peak timing lets you build reviews when competition is -110% lower than peak months. Avoid launching during peak season when established listings dominate, or slow months (October-September) when gaining traction is harder.

The most common amenities in Cabo San Lucas listings include: Air Conditioning (98%), Kitchen (93%), Pool (81%), Tv (80%), Balcony (73%). Amenities that boost revenue the most include Hot Tub, Washing Machine, Pool, with Hot Tub properties earning approximately 179% more ($2.5M/year vs $906K/year).

Monthly estimated revenue per listing in Cabo San Lucas over the last 12 months: May: $45K, June: $43K, July: $43K, August: $31K, September: $22K, October: $37K, November: $52K, December: $75K, January: $57K, February: $58K, March: $84K, April: $60K. These figures are based on RevPAR (revenue per available room) multiplied by the number of days in each month.

The overall average nightly rate in Cabo San Lucas is $9K, up 6% year-over-year. By property size: 1-bedroom properties average $3K/night, 2-bedroom properties average $5K/night, 3-bedroom properties average $9K/night, 4+ bedroom properties average $33K/night. Rates peak in March and are lowest in September.

Guests in Cabo San Lucas book an average of 39 days in advance, down 14% from last year. By property size: 1-bedroom: 29 days, 2-bedroom: 38 days, 3-bedroom: 41 days, 4+ bedroom: 60 days. Larger properties tend to have longer booking windows as guests plan group trips further ahead.

Over the past year, the Cabo San Lucas Airbnb and VRBO market has seen the following changes: supply grew 2%, revenue per listing decreased 15%, occupancy fell 11%, average nightly rates increased 6%, and lead time decreased 14%. These metrics show a market where higher pricing is failing to offset declining volume, reflecting increased consumer price sensitivity.

In Cabo San Lucas, Saturday sees the highest booking demand while Tuesday has the lowest. Nightly rates peak on Friday and are lowest on Tuesday. Weekends show 14% higher occupancy than weekdays.