Allentown

As of May 2026, Allentown, Bethlehem, Reading, Philadelphia have 629 active Airbnb and VRBO listings. This represents a 15% decrease from the previous year.

The average Airbnb or VRBO in Allentown generates $31K per year. High-performing properties earn $67K/year, while low-performing properties earn $12K/year. This wide earnings gap suggests a market bifurcation where a segment of listings captures significantly more demand, while the broader market faces revenue contraction despite a reduction in total supply.

Average home prices in Allentown vary by property size: 1-bedroom properties cost approximately $221K, 2-bedroom homes average $310K, 3-bedroom properties are around $389K, and 4+ bedroom homes average $569K. These prices reflect median home values across the Allentown, Bethlehem, Reading, Philadelphia area.

Airbnb and VRBO can be profitable in Allentown, with an average gross yield of 8% across all properties. High-performing properties achieve yields up to 16%, which is considered top for short-term rental investment. The disparity between average and high yields highlights how specific assets manage to outperform current downward revenue trends.

The average occupancy rate for Airbnbs and VRBOs in Allentown is 33%. This occupancy level, combined with an average nightly rate of $248, results in a RevPAR (revenue per available room) of $57 per day.

3-bedroom properties demonstrate the strongest performance in Allentown, with an average gross yield of 10% and annual revenue of $39K. These properties balance purchase price ($389K), operating costs, and rental demand most effectively in the Allentown market.

Short-term rental regulations vary by jurisdiction in the Allentown area. Allentown: Lenient. No specific STR regulations. General business privilege license may apply. Minimal enforcement, hosts operate freely. Bethlehem: Lenient. No dedicated STR rules. Zoning and general business requirements exist but rarely enforced for STRs. Reading: Lenient. No formal STR ordinance. Some business licensing requirements. Light enforcement, market operates openly. Philadelphia: Moderate. Business license and tax registration required. No owner-occupancy rule. Moderate enforcement through tax compliance. Always verify current regulations with local authorities and obtain necessary permits before operating a short-term rental.

The Allentown Airbnb and VRBO market is currently showing balanced conditions. Supply has declined 15% year-over-year, while RevPAR has decreased 24%. This indicates balanced supply-demand dynamics, suggesting that the recent reduction in listings is aligning with softer demand rather than tightening market competition.

Launch around September, 2-3 months before peak summer season (December peaks). This pre-peak timing lets you build reviews when competition is -19% lower than peak months. Avoid launching during peak season when established listings dominate, or slow months (January-February) when gaining traction is harder.

The most common amenities in Allentown listings include: Air Conditioning (98%), Kitchen (97%), Tv (88%), Heating (77%), Washing Machine (69%). Amenities that boost revenue the most include Hot Tub, Washing Machine, Pool, with Hot Tub properties earning approximately 47% more ($67K/year vs $46K/year).

Monthly estimated revenue per listing in Allentown over the last 12 months: May: $2K, June: $2K, July: $2K, August: $2K, September: $1K, October: $2K, November: $2K, December: $2K, January: $1K, February: $1K, March: $1K, April: $2K. 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 Allentown is $248, up 25% year-over-year. By property size: 1-bedroom properties average $160/night, 2-bedroom properties average $211/night, 3-bedroom properties average $264/night, 4+ bedroom properties average $482/night. Rates peak in July and are lowest in May.

Guests in Allentown book an average of 29 days in advance, down 20% from last year. By property size: 1-bedroom: 28 days, 2-bedroom: 26 days, 3-bedroom: 32 days, 4+ bedroom: 34 days. Larger properties tend to have longer booking windows as guests plan group trips further ahead.

Over the past year, the Allentown Airbnb and VRBO market has seen the following changes: supply declined 15%, revenue per listing decreased 24%, occupancy fell 16%, average nightly rates increased 25%, and lead time decreased 20%. These metrics point to a tightening environment where higher pricing strategy struggles to offset declining occupancy and shorter booking windows.

In Allentown, Saturday sees the highest booking demand while Tuesday has the lowest. Nightly rates peak on Saturday and are lowest on Tuesday. Weekends show 54% higher occupancy than weekdays.