Airbnb Orlando: Is It Worth Investing in 2022? (2022)

Airbnb Orlando is now witnessing record numbers of visitors, both from within the state and outside the state, compared to other areas in the US.

Despite the impact of COVID-19 on Florida’s tourism industry, it was able to recover quickly. Domestic tourism increased during the pandemic due to Governor DeSantis’ invitation for Floridians to travel within the state.

It is also reported that Walt Disney World will continue to increase its capacity. With Disney World in Orlando being open since summer 2020, visitors have rushed to the area searching for vacation rental houses. Disney World actually sold out numerous days for spring break 2021, and the STRs have been occupied since.

Florida Real Estate Market: What to Expect?

Except for Texas, Florida has attracted the newest residents of any state in the United States. The Sunshine State accepted more than 210,000 new people in one year, according to the US Census Bureau. The majority of this group came from the Northeastern states and California, looking for a better quality of life and lower taxes. The enormous influx of people has dramatically helped the Florida housing market, resulting in property appreciation, particularly in the cities of Miami, Orlando, and nearby cities.

The surge of new people has not slowed, and 2022 appears to be a bright year as well. Property prices are expected to remain under pressure due to low supply and considerable pent-up interest from international purchasers, known as “pent-up demand,” which emerged following the recent reopening of American borders to many nations. The new influx of immigration carries specific real estate market trends for Airbnb Orlando 2022.

Let’s see what Florida real estate market has in stake for the investors.

Related: 20 Best Places to Invest in Real Estate in Florida in 2022

Airbnb Orlando: Is It Worth Investing in 2022? (1)

Florida was one of the hottest real estate markets from 2020 to 2021.

Adaptable Way of Life

Interestingly, remote or hybrid work (partially in the office and partially at home) is here to stay. The pandemic has demonstrated that the new, more adaptable dynamic is entirely feasible and, in most situations, more effective. Not to mention the improved standard of living for coworkers.

(Video) Airbnb Orlando - Is It Worth Investing in 2022? | The Giff Group

During the pandemic era, hundreds of thousands of Americans hunted apartments and houses in Florida to spend extended periods. Many of them opted to stay permanently, which increased the numbers mentioned in the article’s beginning. Nevertheless, most of this audience who used the new movements of remote work did not quit their native homes and just made the best of the chance to spend a more extended amount of time in the Sunshine State.

The city of Orlando already has this trend, offering various vacation home condominiums near the amusement parks, located in districts with particular zoning for the activity of short-term renting, such as the well-known tourist spot of Kissimmee.

Nevertheless, when it comes to rental restrictions, the city of Miami has traditionally been tighter. Luckily, developers and municipal governments have established an agreement that allows them to offer this sort of product.

Branded Condominiums

Another Airbnb Orlando trend that is expected to grow in 2022 is so-called “Branded Condos,” which are condominiums affiliated with prominent businesses.

This business model is not new. Miami already has a variety of luxury condo choices. Sunny Isles Beach is well-known for being host to a few. The Porsche Design Tower, a 51-story oceanfront luxurious residential building, created in collaboration with the German company Porsche Design, is the most spoken about and has changed the worldwide real estate market.

Following in the footsteps of Porsche, the same building firm announced the debut of Bentley Residences, also on Sunny Isles Beach, in collaboration with the British automotive manufacturer Bentley Motors. The new property will also provide homeowners with a car lift.

The Aston Martin Tower in Brickell is also a noteworthy development. Several more, including Baccarat Residences, Residences by Armani Casa, and Waldorf Astoria Tower, were announced or completed in 2021.

Global investors and buyers perceive the branded-condo Airbnb business as having many benefits, ranging from exclusivity to safety in the purchase. A world-renowned company will use all of its influence on the development to keep the high standard.

Coworking Along With Other Shared Spaces

The “share” habit, which was primarily abandoned throughout pandemic periods, has now returned to the “new normal.” Architects have discovered that, after years of seclusion, people crave a little social contact—but with safety precautions—more than ever. In this environment, new developments provide office spaces as well as other common facilities such as wine salons, karaoke bars, and outdoor open fires, among others.

New Developments and Mixed-Use Projects

In this new setting, some communities stand out, such as fast-growing districts and mixed-use complexes that are actual mini-cities. The Miami Worldcenter is the most well-known of Miami’s huge mixed-use complexes. Miami will also get the Magic City Innovation District, which will cost more than a billion dollars to build.

Midtown Miami, an oasis between Wynwood and the Design District, is another area that has drawn residents and tourists. Aside from being a region that encourages walks and outside socialization, it also has excellent restaurants, stores, and cafes, among other facilities and entertainment alternatives.

Now that we have seen what Florida has to offer in 2022, let’s focus on Airbnb Orlando and discuss some of the best neighborhoods to invest in.

(Video) Are Airbnbs Still a Good Investment in 2022?

Orlando Real Estate Market: What You Need to Know

Should you invest in Orlando Airbnb vacation home rentals? Without a doubt! By far, one of the greatest places to buy an Airbnb investment home is the Orlando real estate market. While this can be stated for most Florida vacation rentals, it can be claimed that vacation property rentals in Orlando are among the best in the state.

Is Airbnb Legal in Orlando?

Let us begin with the most basic question: Is Airbnb legal in the Orlando housing market? Yes, absolutely. The city has been accessible to Airbnb investment for some time and has recently implemented Airbnb legislation that makes it easier to operate an Airbnb vacation rental property.

The city adopted an act in February 2018 that permits hosts to rent out their Airbnb in Orlando Floridafor less than 30 days. According to the Airbnb rules, the host must also reside on the rental property. Airbnb investing may be restricted in some locations due to zoning and homeowner groups despite these rules.

That is, though, the sole cause for concern with Airbnb Orlando, and it is readily solved if the host conducts research before investing in the home. Visit Airbnb’s Orlando regulations page to learn more about the regulatory obligations of Airbnb.

What Are the Benefits of Investing in Airbnb Orlando?

There are two key reasons for this: Florida’s beautiful weather and the world’s most popular mouse.

Orlando’s tourism is excellent, thanks in large part to the previous two factors: Florida’s beaches and Disney World. The incredible tourism stats in Orlando support this claim. Orlando was the first-ever city in the world to get 60 million visitors in 2015.

This figure was not reached in New York City until two years later. In addition, more than 32 million tourists visited Florida in the third quarter (July to September) of 2021, representing a more than 60% increase over the same period in 2020.

Overall, Florida had approximately 118 million domestic tourists in 2021, the greatest number in state history, as residents from other states rushed to Florida to escape lockdown policies.

Airbnb Orlando: Key Statistics

Orlando’s multifamily market is thriving, making it the hottest part of the market for real estate investors and perhaps one of the finest places to invest in Florida. Over the last year, occupancy has improved from 94% to 96%, and 16,571 more units are expected to be finished by June 2022. Orlando ranks 12th out of 98 countrywide markets in multifamily development work.

Related: The Best Way to Find Multi Unit Properties for Sale

Orlando’s rental market was relatively steady for several years, but it has seen substantial spikes in price and demand in recent months. Orlando currently ranks 23rd out of 53 significant metros in terms of the percentage of single-family homes. A new building in Orlando has also begun. Furthermore, new development permits have grown by 26% year on year. Permits for single-family homes have climbed by 25%, while permits for multifamily homes have increased by 29%.

Orlando is built for Airbnb long term rentals, and new construction sectors should continue to be a strong investment for real estate investors looking for prospects in the city.

(Video) Where Should I Buy an AIRBNB in Orlando Florida

Where to Invest in Airbnb Orlando Market

There is one unsolved question: where should you buy Airbnb in Orlando Florida rentals? Mashvisor has the solution yet again. The top neighborhoods in Orlando to acquire an Airbnb investment property, according to 2022 Mashvisor’s real estate market study, include the following:

Find Profitable Florida Investment Properties

Best Orlando Locations in 2022

So, what are the best Airbnb locations and neighborhoods in Orlando for you to invest in? Let’s see the exclusive Mashvisor’s list.

Rowena Gardens
  • Median Property Price: $798,700
  • Price per Square Foot: $293
  • Monthly Airbnb Rental Income: $5,411
  • Airbnb Cash on Cash Return: 4.33%
  • Airbnb Daily Rate: $135
  • Airbnb Occupancy Rate: 59%
  • Walk Score: 54
East Central Park
  • Median Property Price: $399,900
  • Price per Square Foot: $316
  • Monthly Airbnb Rental Income: $3,962
  • Airbnb Cash on Cash Return: 6.26%
  • Airbnb Daily Rate: $130
  • Airbnb Occupancy Rate: 65%
  • Walk Score: 79
Colonialtown North
  • Median Property Price: $676,250
  • Price per Square Foot: $321
  • Monthly Airbnb Rental Income: $5,686
  • Airbnb Cash on Cash Return: 5.25%
  • Airbnb Daily Rate: $138
  • Airbnb Occupancy Rate: 57%
  • Walk Score: 71
Lancaster Park
  • Median Property Price: $917,500
  • Price per Square Foot: $278
  • Monthly Airbnb Rental Income: $5,914
  • Airbnb Cash on Cash Return: 4.17%
  • Airbnb Daily Rate: $131
  • Airbnb Occupancy Rate: 56%
  • Walk Score: 40
Delaney Park
  • Median Property Price: $794,500
  • Price per Square Foot: $372
  • Monthly Airbnb Rental Income: $2,957
  • Airbnb Cash on Cash Return: 5.73%
  • Airbnb Daily Rate: $139
  • Airbnb Occupancy Rate: 55%
  • Walk Score: 21

Delaney Park is among the best Orlando Airbnb locations at the neighborhood level, with the highest median Airbnb rental income. It’s safe to conclude that Airbnb Orlando hosts experience high profits in this neighborhood.

How Can Mashvisor Help?

Once you’ve determined that Orlando is an excellent and profitable area for short-term rentals, it’s time to select the ideal Airbnb for sale. First, decide on the finest neighborhood for your short-term rental.

Related: How to Find the Best Area for Airbnb Investment

While purchasing a rental home near a specific tourist resort is desirable, it is preferable to consider investing in an area close to numerous attractions. Consider a location with a high Walk Score or one that is close to a variety of public transportation choices.

If you’re not certain where or how to invest in real estate, Mashvisor’s extensive real estate market analysis can help you identify which places are suitable for Airbnb Orlando rentals. Mashvisor’s database includes thousands of homes: using our Investment Property Search, simply enter a city or neighborhood of interest, and you will be presented with a list of homes and duplexes for sale in that area.

We’ll present you with a complete analysis of the monthly average rental revenue, Airbnb cap rate, cash flow, average daily rate, occupancy rate, median home value, and more when you pick a unit that attracts you. You can also utilize our Mashvisor tools to find comparable rental listings, analyze neighborhoods, and gain data insights. You will require this information and market data to make an educated investment decision and have better Airbnb management.

Airbnb Orlando: Is It Worth Investing in 2022? (2)

Found in every listing page on Mashvisor is the Property Valuation Analytics section, which estimates the property’s Airbnb rental income, expenses, cash flow, and more. This helps investors decide on whether the listed property is worth investing in.

(Video) BEST Airbnb Markets 2022 in the US

Conclusion

In 2022, Orlando will be a fantastic location for any Airbnb investment. And with our top 5 neighborhoods already mentioned, you’ve completed the first stage in your Orlando real estate investment. To truly make the most outstanding real estate decisions, you must undertake a thorough real estate investment analysis as well as an Airbnb study based on current and reliable data.

Real estate investing entails more than simply selecting an area that appears appealing—you must devote yourself to this business and analyze every part of it. Mashvisor is here to educate you and assist you in developing a good short-term rental plan using our tools. Click here to select the plan that best meets your needs.

Start Your Investment Property Search!

AirbnbAirbnb RegulationsFloridaLocationMarket AnalysisOrlando FL

(Video) 7 Tips to Owning an Airbnb in Orlando Fl; Moving or Relocating to Orlando Florida 2022

FAQs

Is Airbnb a good investment 2022? ›

The demand for short-term rental homes will be constant in these locations. The Rate of Occupancy will be high in these developing cities of the US. Making an Airbnb investment in a location with a high occupancy rate will result in high profits for most of the year.

Is Airbnb a good investment in Orlando Florida? ›

Not surprisingly, Orlando is a lucrative market for short-term rentals. Airbnbs have an average monthly revenue of $2,609, and an average daily rate of $200.

Is Orlando Florida a good place to invest in real estate? ›

Orlando is ranked as one of the best places to buy rental property in 2021, based on key investment criteria such as cash flow, affordable property prices, and a growing population and job market.

Is an Airbnb still a good investment? ›

But in high-demand areas, the nightly cost of an Airbnb can lead to higher profits. For instance, let's say you want to rent out a one-bedroom apartment in Los Angeles. As of March 2022, the average monthly cost of that apartment is $2,563, meaning you could make roughly $30,000 if your tenant signs a 12-month lease.

Is Airbnb still profitable in 2022? ›

You can read the details here. Airbnb Co-Founder and CEO Brian Chesky said: “The second quarter of 2022 demonstrates we have achieved growth and profitability at scale. Over the last year, we generated $2.9 billion in free cash flow and our Q2 revenue is up more than 70 percent since Q2-2019.

Is the Airbnb market saturated 2022? ›

Therefore, the market isn't oversaturated. There's room for overall growth on Airbnb: In 2022, demand is expected to be up +14.1% vs. 2021 (AirDNA)

How much do Airbnb hosts make in Orlando Florida? ›

Airbnb Host Salary in Orlando, FL
Annual SalaryHourly Wage
Top Earners$46,340$22
75th Percentile$35,328$17
Average$32,316$16
25th Percentile$27,987$13

Are Orlando vacation homes profitable? ›

As the vacation capital of the United States, Orlando is one of the country's most profitable places to invest in vacation rentals. However, Orlando's popularity with tourists isn't the only thing that makes it a good place to invest.

Is buying a holiday home in Orlando a good investment? ›

Buying a vacation home in Orlando can be a very rewarding experience. Not only can you and your loved ones enjoy unlimited vacations, but it's also a great long-term investment – a rental property enables you to earn fantastic returns when you're not using it.

Will home prices drop in 2022 in Florida? ›

Overall, the Florida housing market is still pretty hot and is expected to stay that way throughout 2022. This is great if you're a seller because it means home prices are going up and there isn't much selling competition—so you get the luxury of choosing from the best offers on your timeline.

Are property prices falling in Orlando? ›

According to the national real estate brokerage, Redfin, the Orlando housing market is very competitive. In April 2022, Orlando home prices were up 23.3% compared to last year, selling for a median price of $361K. On average, homes in Orlando sell after 8 days on the market compared to 13 days last year.

Will Florida real estate prices go down in 2023? ›

The company's analysts expect home prices to drop the lowest in these areas in 2023: The Villages, Florida (6.96 percent) Punta Gorda, Florida (6 percent) Reno (5.57 percent)

Will Airbnb stocks go up? ›

Certain institutional investors expect Airbnb to turn things around over the next four years. Specifically, this "smart money" believes Airbnb stock can surpass $288.64 per share, representing more than 180% upside from where it trades right now.

How hard is it to run an Airbnb? ›

Renting out a property on Airbnb requires a substantial time commitment if you want to be successful. Be prepared to devote some portion of each day to the task. One advantage that traditional hotels offer is time, because booking a hotel room only requires one interaction.

Is Airbnb still popular 2022? ›

Bookings in 2022 Q2 were up 27% year-over-year (YoY). Over 150 million worldwide users have booked over one (1) billion stays. The average Airbnb rental in the U.S. is booked 21 nights per month. 45% of bookings on Airbnb are for at least one (1) week.

How much do Airbnb hosts make on average per month? ›

On average, Airbnb hosts earn $924 per month. Of course, average earnings don't mean much with this gig economy company. Based on Airbnb's fees, a host can expect to gross 95% to 97% of the listed nightly rate. Below, we'll explore how much hosts make, common Airbnb host expenses, and some tax information.

Is it worth becoming an Airbnb host? ›

Becoming an Airbnb host can be extremely rewarding – and not just in a financial sense. Depending on how hands-on you decide to be as a short-term rental manager, you can meet lots of different people from around the world, contribute to their travel memories, and give them an amazing guest experience.

What type of property is best for Airbnb? ›

We recommend investing in locations where tourists and other visitors are present year-round. Such areas will have a consistent yet strong demand for Airbnb rental properties. Additionally, you want to make sure that the location has less supply in the form of hotels or other short-term rentals.

Is the Airbnb market too saturated? ›

The Airbnb business model is growing immensely and, without a doubt, it has been lucrative. That said, the market is fairly saturated, so you may wonder if there is still an opportunity in the marketplace for vacation rentals.

Is Airbnb a lucrative business? ›

The Bottom Line. Airbnb and other short-term rental platforms can be very lucrative, especially if you are patient and willing to do the work to attract renters and keep them happy.

Which area in Florida is best for Airbnb? ›

Top 10 Airbnb Markets in Florida
  1. Key West. The southernmost point in the continental United States, Key West is a small island. ...
  2. Santa Rosa Beach. ...
  3. Key Largo. ...
  4. Miramar Beach. ...
  5. Navarre. ...
  6. Marco Island. ...
  7. Clearwater Beach. ...
  8. Miami Beach.

Is Airbnb in Florida profitable? ›

Short-term rentals in Florida can definitely be a source of passive income because of the numerous tourists visiting annually. To cut the story short, Airbnb is definitely profitable in Florida! For instance, based on an Airbnb income calculator, you can earn a whopping $108,888 annually in Cape San Blas alone!

Is Airbnb illegal in Orlando? ›

Is Airbnb legal in Orlando? The answer is yes! Short-term rentals of Orlando homes became legal on July 1, allowing homeowners to rent out their homes. Airbnb rules in Orlando require A short-term rental property permit for anyone who wants to use a section of their home for a short-term rental.

How do I start an Airbnb company in Orlando? ›

You must first fill out an application to be approved for a short-term rental permit from the city of Orlando. The application can be found here. Anyone who would like to use a portion of their home for a short-term rental must have a short-term rental property permit.

Is buying a vacation home in Florida a good investment? ›

Florida's housing market has recovered dramatically from the market downturn in 2008. In some regions, prices have exceeded pre-recession peaks, proving once again that investing in vacation homes and even primary housing in the Sunshine State is a solid strategy to grow your asset portfolio.

Is buying rental property in Florida a good idea? ›

In fact, the Florida real estate market is one of the most profitable investment markets to date. There are many factors to suggest that purchasing Florida investment properties is a rewarding experience. For example, the state offers people with a lucrative return on investment on their properties.

Is Kissimmee good for investment property? ›

Kissimmee, Florida is a good investment opportunity, whether you plan to reside and buy a single-family home for yourself or invest in a condo or apartment to start a rental business.

How many days can I rent out my vacation home? ›

If you rent out your house for 14 days or fewer during the year, you don't have to report the rental income on your tax return. And there's no limit to how much you can charge. The house is considered a personal residence so you deduct mortgage interest and property taxes just as you do for your primary home.

Will Airbnb stocks rise? ›

Analysts expect Airbnb's revenue to rise 38% to $8.3 billion this year and to grow 15% to $9.5 billion in 2023. They expect its adjusted EBITDA to increase 67% to $2.7 billion this year then climb 17% to $3.1 billion in 2023.

Is it smart to do Airbnb? ›

The Bottom Line. Airbnb and other short-term rental platforms can be very lucrative, especially if you are patient and willing to do the work to attract renters and keep them happy.

Is Airbnb Stock profitable? ›

Airbnb Inc Cl A (ABNB)

2, the San Francisco-based company reported a bounty of profits. Earnings of 56 cents a share mark a huge swing from a net loss of 11 cents in the year-ago quarter. Sales jumped 58% to $2.1 billion, its second highest sales for any quarter.

What type of property is best for Airbnb? ›

We recommend investing in locations where tourists and other visitors are present year-round. Such areas will have a consistent yet strong demand for Airbnb rental properties. Additionally, you want to make sure that the location has less supply in the form of hotels or other short-term rentals.

Why is Airbnb stock not doing well? ›

Additionally, while many of its peers are recovering from the pandemic, Airbnb is in high-growth mode. Data by YCharts. The primary reason for the stock's decline, though, is that it was too expensive after its late 2020 debut as a publicly traded company.

Is Airbnb stock overpriced? ›

Airbnb is currently valued at a forward price-to-sales multiple of just over 12, so it would be fair to say that the company is not cheaply valued in the market.
...
Thoughts on Airbnb's valuation.
Fiscal yearProjected revenueImplied revenue growth
2023$9.1 billion15.2%
2024$10.9 billion19.8%
2025$12.8 billion17.4%
2 more rows
21 Mar 2022

Why has Airbnb stock dropped? ›

Shares of Airbnb (NASDAQ: ABNB) fell this morning after the latest inflation data showed that consumer prices rose higher than expected in September. Airbnb shares bounced back slightly and were down 1.3% as of 11:19 a.m. ET.

How much do Airbnb make in Florida? ›

Average Annual Host Revenue By State (United States): 2021/2020
STATEAVERAGE ANNUAL HOST EARNINGS 2021AVERAGE ANNUAL HOST EARNINGS 2020
Florida$53,209$28,012
South Carolina$49,641$28,547
Utah$48,568$36,206
Oregon$42,964$25,688
6 more rows

How much money do you need to start an Airbnb? ›

Then your Airbnb startup cost can be about $3,000. But if you want to rent out your house or apartment, you'll need to consider upfront costs of redecorating and furnishing your home to make it perfect for your potential guests.

Why did Airbnb stock price go up? ›

A lot of the gains this week for Airbnb likely came from broad market movements. The Nasdaq 100 Index is up 7.23% in the last five trading days. A rising tide lifts all boats, and the inflows from investors helped raise the price of Airbnb's shares.

Is Airbnb saturated? ›

The Airbnb business model is growing immensely and, without a doubt, it has been lucrative. That said, the market is fairly saturated, so you may wonder if there is still an opportunity in the marketplace for vacation rentals.

How do I start an Airbnb business with no money? ›

5 Ways to Start an Airbnb With No Money
  1. Using Your Own Vacant Property. Do you have a vacant property that you want to rent out on Airbnb? ...
  2. Take Initiative on Open Rentals in your Area. ...
  3. Become an Affiliate. ...
  4. Offer Airbnb Experiences.

Where is Airbnb most popular? ›

The most popular cities on Airbnb in the world are Tokyo, New York City, and Paris. Airbnb has listings in more than 220 countries and regions. People stay an average of 2.4 times longer in Airbnbs than at hotel stays. The United States alone has 660,000 listings, the highest number of any country in the world.

Videos

1. Where to Buy An Air BNB Near Disney; Orlando Florida 2022
(Orlando & Central Fl. Vacation Homes)
2. Vacation Rental Investment in 2022: Top 10 Places
(Mashvisor)
3. WHERE TO BUY AN AIRBNB IN ORLANDO FL; ORLANDO 7 CENTRAL FL. VACATION HOMES
(Orlando & Central Fl. Vacation Homes)
4. Top 5 Airbnb locations to invest in 2022
(Kyle Olson)
5. Best Income-Producing Disney Vacation Rental Homes Orlando
(Orlando Property Advisor)
6. Are Airbnb Properties Getting Saturated in Orlando Fl. 2022
(Orlando & Central Fl. Vacation Homes)

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