Sacramento

As of May 2026, Sacramento, Davis, Folsom, Napa have 2,574 active Airbnb and VRBO listings. This represents a 18% decrease from the previous year.

The average Airbnb or VRBO in Sacramento generates $34K per year. High-performing properties earn $63K/year, while low-performing properties earn $10K/year. The wide performance gap suggests that market revenue is highly concentrated, as the 18% reduction in total supply has not prevented a decline in overall per-listing earnings.

Average home prices in Sacramento vary by property size: 1-bedroom properties cost approximately $339K, 2-bedroom homes average $421K, 3-bedroom properties are around $539K, and 4+ bedroom homes average $657K. These prices reflect median home values across the Sacramento, Davis, Folsom, Napa area.

Airbnb and VRBO can be profitable in Sacramento, with an average gross yield of 6% across all properties. High-performing properties achieve yields up to 10%, which is considered good for short-term rental investment. This yield spread highlights how top-tier listings capture significant market share despite a broader 12% revenue contraction.

The average occupancy rate for Airbnbs and VRBOs in Sacramento is 37%. This occupancy level, combined with an average nightly rate of $226, results in a RevPAR (revenue per available room) of $65 per day.

4+ bedroom properties demonstrate the strongest performance in Sacramento, with an average gross yield of 8% and annual revenue of $59K. These properties balance purchase price ($657K), operating costs, and rental demand most effectively in the Sacramento market.

Short-term rental regulations vary by jurisdiction in the Sacramento area. Sacramento: Moderate. Business license required, TOT collection, zoning restrictions in some areas. Moderate enforcement with complaint-driven action. Davis: Strict. Conditional use permit required, owner-occupancy mandatory, 30-day minimum rental period in residential zones. Active enforcement. Folsom: Moderate. Business license and TOT required, zoning compliance needed. Moderate enforcement, mostly complaint-based. Napa: Strict. Permit required, owner-occupancy rule, density caps by neighborhood, 30-night minimum in some zones. Active enforcement with violations tracked. Always verify current regulations with local authorities and obtain necessary permits before operating a short-term rental.

The Sacramento Airbnb and VRBO market is currently showing balanced conditions. Supply has declined 18% year-over-year, while RevPAR has decreased 12%. This indicates balanced supply-demand dynamics. The simultaneous drop in supply and revenue reflects a cooling environment where remaining inventory faces muted demand growth.

Launch around January, 2-3 months before peak fall season (April peaks). This pre-peak timing lets you build reviews when competition is 10% lower than peak months. Avoid launching during peak season when established listings dominate, or slow months (May-January) when gaining traction is harder.

The most common amenities in Sacramento listings include: Air Conditioning (99%), Kitchen (94%), Tv (92%), Washing Machine (84%), Heating (75%). Amenities that boost revenue the most include Hot Tub, Washing Machine, Pool, with Hot Tub properties earning approximately 48% more ($65K/year vs $44K/year).

Monthly estimated revenue per listing in Sacramento over the last 12 months: May: $2K, June: $2K, July: $2K, August: $2K, September: $2K, October: $2K, November: $2K, December: $2K, January: $2K, February: $1K, March: $2K, 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 Sacramento is $226, up 24% year-over-year. By property size: 1-bedroom properties average $126/night, 2-bedroom properties average $192/night, 3-bedroom properties average $266/night, 4+ bedroom properties average $391/night. Rates peak in October and are lowest in May.

Guests in Sacramento book an average of 27 days in advance, down 20% from last year. By property size: 1-bedroom: 24 days, 2-bedroom: 27 days, 3-bedroom: 28 days, 4+ bedroom: 30 days. Larger properties tend to have longer booking windows as guests plan group trips further ahead.

Over the past year, the Sacramento Airbnb and VRBO market has seen the following changes: supply declined 18%, revenue per listing decreased 12%, occupancy fell 12%, average nightly rates increased 24%, and lead time decreased 20%. These metrics indicate a pivot toward shorter booking windows and higher pricing strategies to offset lower occupancy levels.

In Sacramento, Saturday sees the highest booking demand while Monday has the lowest. Nightly rates peak on Friday and are lowest on Tuesday. Weekends show 41% higher occupancy than weekdays.