Pismo Beach

As of May 2026, Pismo Beach, San Luis Obispo, Morro Bay have 1,558 active Airbnb and VRBO listings. This represents a 16% decrease from the previous year.

The average Airbnb or VRBO in Pismo Beach generates $65K per year. High-performing properties earn $139K/year, while low-performing properties earn $23K/year. This wide revenue spread suggests that market success is heavily bifurcated, where top-tier assets capture a disproportionate share of total demand despite a recent contraction in overall supply.

Average home prices in Pismo Beach vary by property size: 1-bedroom properties cost approximately $611K, 2-bedroom homes average $776K, 3-bedroom properties are around $1.0M, and 4+ bedroom homes average $1.3M. These prices reflect median home values across the Pismo Beach, San Luis Obispo, Morro Bay area.

Airbnb and VRBO can be profitable in Pismo Beach, with an average gross yield of 7% across all properties. High-performing properties achieve yields up to 14%, which is considered top for short-term rental investment. Such a variance indicates that while the broader market faces revenue headwinds, elite assets maintain strong relative profitability.

The average occupancy rate for Airbnbs and VRBOs in Pismo Beach is 36%. This occupancy level, combined with an average nightly rate of $433, results in a RevPAR (revenue per available room) of $122 per day.

4+ bedroom properties demonstrate the strongest performance in Pismo Beach, with an average gross yield of 11% and annual revenue of $137K. These properties balance purchase price ($1.3M), operating costs, and rental demand most effectively in the Pismo Beach market.

Short-term rental regulations vary by jurisdiction in the Pismo Beach area. Pismo Beach: Strict. Permits required, owner-occupancy mandatory, 14-day annual rental cap for non-owner-occupied. Active enforcement with compliance checks and fines. San Luis Obispo: Strict. Conditional use permit required, owner-occupancy mandatory, 28-day annual cap, limited permits citywide. Active enforcement, few approved STRs. Morro Bay: Moderate. Business license and TOT certificate required, zoning restrictions apply, no citywide ban. Moderate enforcement, some unpermitted operations exist. Always verify current regulations with local authorities and obtain necessary permits before operating a short-term rental.

The Pismo Beach Airbnb and VRBO market is currently showing balanced conditions. Supply has declined 16% year-over-year, while RevPAR has decreased 14%. This indicates balanced supply-demand dynamics, suggesting that the market is adjusting to lower demand levels by shedding excess inventory to stabilize performance metrics.

Launch around April, 2-3 months before peak summer season (July peaks). This pre-peak timing lets you build reviews when competition is 4% lower than peak months. Avoid launching during peak season when established listings dominate, or slow months (September-January) when gaining traction is harder.

The most common amenities in Pismo Beach listings include: Kitchen (94%), Washing Machine (78%), Tv (77%), Balcony (67%), Heating (61%). Amenities that boost revenue the most include Hot Tub, Washing Machine, Gym, with Hot Tub properties earning approximately 63% more ($130K/year vs $80K/year).

Monthly estimated revenue per listing in Pismo Beach over the last 12 months: May: $3K, June: $4K, July: $5K, August: $4K, September: $3K, October: $3K, November: $4K, December: $4K, January: $2K, February: $3K, March: $4K, April: $5K. 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 Pismo Beach is $433, up 22% year-over-year. By property size: 1-bedroom properties average $227/night, 2-bedroom properties average $373/night, 3-bedroom properties average $494/night, 4+ bedroom properties average $952/night. Rates peak in July and are lowest in February.

Guests in Pismo Beach book an average of 37 days in advance, down 21% from last year. By property size: 1-bedroom: 31 days, 2-bedroom: 37 days, 3-bedroom: 38 days, 4+ bedroom: 47 days. Larger properties tend to have longer booking windows as guests plan group trips further ahead.

Over the past year, the Pismo Beach Airbnb and VRBO market has seen the following changes: supply declined 16%, revenue per listing decreased 14%, occupancy fell 12%, average nightly rates increased 22%, and lead time decreased 21%. These shifts reflect a transition toward shorter booking windows and higher pricing reliance to offset lower occupancy.

In Pismo Beach, Saturday sees the highest booking demand while Tuesday has the lowest. Nightly rates peak on Saturday and are lowest on Tuesday. Weekends show 66% higher occupancy than weekdays.