Question 1

How many Airbnb and VRBO listings are in Tofte?

Accepted Answer

Over the 12 months ending September 2026, the Tofte market averaged 1,087 active Airbnb and VRBO listings, up 4% from a year earlier and up 59% over two years.

Question 2

How much do Airbnbs and VRBOs make in Tofte?

Accepted Answer

An average Tofte listing earns $57K/year. High-performing listings earn $103K, while low-performing listings earn $28K.

Question 3

How much does it cost to buy an Airbnb or VRBO property in Tofte?

Accepted Answer

Median Tofte home prices by size are 1-bedroom $233K, 2-bedroom $194K, 3-bedroom $216K, and 4+ bedroom $323K.

Question 4

What is the occupancy rate for Airbnb and VRBO in Tofte?

Accepted Answer

Average occupancy in Tofte is 38%, producing RevPAR of $122 per available night.

Question 5

Are short-term rentals legal in Tofte?

Accepted Answer

Rules vary across Tofte. Duluth: Moderate. License required, zoning restrictions, owner-occupancy not required. Complaints-driven enforcement, some unlicensed operators exist.
Grand Marais: Lenient. Business license and sales tax permit required. No occupancy rules or density limits. Minimal enforcement, mostly tax compliance.
Two Harbors: Lenient. Business license needed, basic zoning compliance. No owner-occupancy requirements or caps. Light enforcement, complaint-based only. Verify requirements for the property's jurisdiction.

Question 6

Is the Tofte Airbnb and VRBO market oversaturated?

Accepted Answer

The Tofte Airbnb and VRBO market appears broadly balanced. Supply has grown 4% year-over-year, while RevPAR has increased 14%, showing no clear supply-demand imbalance.

Question 7

When is peak season for Airbnbs and VRBOs in Tofte?

Accepted Answer

RevPAR is highest in July and August; it is lowest in April and November.

Question 8

Which Airbnb and VRBO amenities matter most in Tofte?

Accepted Answer

The most common amenities are Kitchen (97%), Internet (95%), Heating (95%). The strongest positive revenue associations are Internet (+73%), Heating (+68%), TV (+53%).

Question 9

What is the average nightly rate for Airbnbs and VRBOs in Tofte?

Accepted Answer

Average daily rate in Tofte is $364, up 12% year-over-year. Rates peak in July and are lowest in April.

Question 10

How far in advance do guests book Airbnb and VRBO stays in Tofte?

Accepted Answer

Guests in Tofte book an average of 48 days in advance, up 2% from last year. Booking windows range from 40 days for 1-bedroom listings to 60 days for 4+ bedroom listings.

Question 11

Which days of the week perform best for Airbnbs and VRBOs in Tofte?

Accepted Answer

Booking demand is highest on Saturday and lowest on Tuesday. Nightly rates peak on Saturday and are lowest on Tuesday. Weekend occupancy is 60% higher than weekday occupancy.

Question 12

How is gross yield calculated?

Accepted Answer

For each eligible home, annual room-revenue potential is divided by a ZIP- and bedroom-matched home-value estimate. Groups show the median of those yields. Cleaning income is excluded. Gross yield is before expenses and financing.

Neighborhood	Revenue (potential)	Gross yield
1.Two Harbors Coast and Inland Country	$49.6K 50 listings	19.9% 50 listings
2.Two Harbors Town	$40.0K 54 listings	14.7% 54 listings
3.Burntside and Northern Ely Country	$41.0K 27 listings	14.5% 27 listings
4.Gunflint Trail Lake Country	$49.8K 32 listings	13.3% 32 listings
5.Grand Marais Outskirts and Devil Track	$45.9K 27 listings	13.1% 27 listings
6.Hovland and Northeastern Shore Country	$48.0K 23 listings	13.0% 23 listings
7.Grand Marais Town	$43.8K 57 listings	11.4% 57 listings
8.Tower, Soudan and Eastern Vermilion Country	$40.1K 29 listings	10.4% 29 listings
9.Ely Town	$25.5K 38 listings	8.0% 38 listings