Sacred Valley

As of June 2026, Cusco, Machu Picchu, Sacred Valley have 3,760 active Airbnb and VRBO listings. This represents a 1% increase from the previous year.

The average Airbnb or VRBO in Cusco generates S/18K per year. High-performing properties earn S/67K/year, while low-performing properties earn S/6K/year. This massive disparity suggests that market revenue is heavily concentrated in a small segment of top-tier listings, highlighting a significant divide between professionalized inventory and the broader, underperforming market base.

Airbnb and VRBO can be profitable in Cusco. Average annual revenue is S/18K with 25% occupancy. High-performing properties earn up to S/67K/year. While the average occupancy remains modest, the ceiling for top earners demonstrates that significant yield potential exists for assets capable of capturing premium demand segments despite stagnant overall market growth.

The average occupancy rate for Airbnbs and VRBOs in Cusco is 25%. This occupancy level, combined with an average nightly rate of S/180, results in a RevPAR (revenue per available room) of S/39 per day.

4+ bedroom properties demonstrate the strongest performance in Cusco, with annual revenue of S/30K. These properties balance operating costs and rental demand most effectively in the Cusco market. Property performance varies significantly by location, amenities, and management quality.

Short-term rental regulations vary by jurisdiction in the Cusco area. Cusco: Moderate. Municipal registration and tax payment required. Tourism ministry oversight exists. Enforcement inconsistent - many operate informally in historic center despite rules. Machu Picchu (Aguas Calientes): Lenient. Basic business registration expected but minimal oversight. High tourist demand, light enforcement, many unregistered rentals operate freely. Sacred Valley: Lenient. Minimal formal requirements outside main towns. Registration sporadic, enforcement very light. Most hosts operate without significant regulatory oversight. Always verify current regulations with local authorities and obtain necessary permits before operating a short-term rental.

The Cusco Airbnb and VRBO market is currently showing balanced conditions. Supply has grown 1% year-over-year, while RevPAR has decreased 4%. This indicates balanced supply-demand dynamics. The slight decline in RevPAR alongside stable supply suggests that the market is absorbing new inventory without significant disruption, though pricing power remains pressured.

Launch around April, 2-3 months before peak fall season (July peaks). This pre-peak timing lets you build reviews when competition is 15% lower than peak months. Avoid launching during peak season when established listings dominate, or slow months (March-February) when gaining traction is harder.

The most common amenities in Cusco listings include: Kitchen (96%), Tv (88%), Parking (46%), Balcony (41%), Washing Machine (39%). Amenities that boost revenue the most include Bbq, Heating, Air Conditioning, with Bbq properties earning approximately 69% more (S/61K/year vs S/36K/year).

Monthly estimated revenue per listing in Cusco over the last 12 months: May: S/1K, June: S/1K, July: S/2K, August: S/1K, September: S/1K, October: S/1K, November: S/958, December: S/1K, January: S/1K, February: S/686, March: S/1K, April: S/1K. 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 Cusco is S/180, up 22% year-over-year. By property size: 1-bedroom properties average S/142/night, 2-bedroom properties average S/176/night, 3-bedroom properties average S/204/night, 4+ bedroom properties average S/432/night. Rates peak in April and are lowest in May.

Guests in Cusco book an average of 28 days in advance, down 16% from last year. By property size: 1-bedroom: 27 days, 2-bedroom: 28 days, 3-bedroom: 30 days, 4+ bedroom: 33 days. Larger properties tend to have longer booking windows as guests plan group trips further ahead.

Over the past year, the Cusco Airbnb and VRBO market has seen the following changes: supply grew 1%, revenue per listing decreased 4%, occupancy fell 12%, average nightly rates increased 22%, and lead time decreased 16%. These metrics suggest a shift toward short-notice bookings and higher pricing, forcing operators to adapt to a more volatile and compressed booking window.

In Cusco, Saturday sees the highest booking demand while Monday has the lowest. Nightly rates peak on Monday and are lowest on Thursday. Weekends show 6% higher occupancy than weekdays.