Driftwood, Texas Short-Term Rental Market
Driftwood, TX STRs averaged $231/night at 58.2% occupancy in April 2026, generating $3,832 average monthly revenue.
Quick Answer: Driftwood, Texas is an active short-term rental market. average occupancy is 62%. average monthly revenue is $3,874. average daily rate is $229. the top operator is AvantStay with 358 listings. market score is 57/100 (grade C).
Market data reflects the Austin regional market, which includes Driftwood. Regulations, taxes, and permit details below are specific to Driftwood.
Market Score Breakdown
Five dimensions Apivex evaluates per market.
Market Overview
Driftwood is an unincorporated community in northern Hays County, roughly 25 miles southwest of Austin in the Texas Hill Country. The area draws leisure visitors to a dense cluster of culinary and beverage destinations: The Salt Lick BBQ, Driftwood Estate Winery, Duchman Family Winery, Vista Brewing, Jester King Brewery, and Desert Door, the only sotol distillery in the U.S. The market also serves as a wedding and event-venue destination, generating concentrated weekend demand.
As of April 2026, the market posted an average daily rate of $231 and occupancy of 58.2%, producing a RevPAR of $134. Average monthly revenue was $3,832 across all listing types. Active listings total 24,662, confirmed by both the listing-type and channel breakdowns. Entire-place rentals dominate supply at 21,276 listings (86% of total), with private rooms at 3,296 and shared rooms at 90. By channel, 12,942 listings are Airbnb-only, 1,626 are VRBO-only, and 10,094 appear on both platforms.
The bedroom mix spans all sizes but skews toward 1-bedroom units (10,663), followed by 2-bedroom (5,182), 3-bedroom (4,406), 4-bedroom (2,665), and 5-bedroom-plus (1,687). Year-over-year through April 2026, occupancy grew 4.0 percentage points and revenue rose 3.4%, while ADR declined 5.7%. The seasonality score of 89.7 out of 100 is the highest of any market in this batch, reflecting sharp swings between peak weekends and quiet winter months.
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 50% | $160 | $2,254 |
| Feb | 59% | $180 | $2,581 |
| Mar | 63% | $232 | $3,867 |
| Apr | 57% | $220 | $3,451 |
| May | 58% | $224 | $3,467 |
| Jun | 60% | $225 | $3,572 |
| Jul | 60% | $216 | $3,525 |
| Aug | 57% | $202 | $3,127 |
| Sep | 56% | $206 | $2,974 |
| Oct | 59% | $231 | $3,560 |
| Nov | 53% | $201 | $3,000 |
| Dec | 51% | $180 | $2,630 |
Top Short-Term Rental Operators in Driftwood
Ranked by total active listings. Useful for understanding the competitive landscape.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | AvantStay | 358 | 1,955 | ★ 4.79 |
| 2 | Landing, Inc. | 311 | 528 | ★ 4.29 |
| 3 | Hill Country Premier Lodging | 287 | 23,955 | ★ 4.62 |
| 4 | Landing | 272 | 53 | ★ 3.67 |
| 5 | Vacasa | 250 | 17,032 | ★ 4.70 |
What Kind of STR Should I Buy in Driftwood?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 10,663 |
| 2 bed | 5,182 |
| 3 bed | 4,406 |
| 4 bed | 2,665 |
| 5 bed | 1,687 |
ADR by Property Tier
| Entire Home | $251 |
| Luxury | $532 |
| Professionally Managed | $261 |
Revenue by Dwelling Type
| Apartment | $2,464 |
| Entire Place | $4,206 |
| House | $4,580 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 52.5% |
| vrbo | 6.6% |
| both | 40.9% |
Investment Analysis
Driftwood’s investment profile is anchored in event-driven leisure demand rather than corporate or extended-stay bookings. The average monthly revenue of $3,832 across all listings in April 2026 translates to an annualized gross revenue of approximately $45,988 before expenses. Entire-place rentals outperform the all-listings average significantly, averaging $4,158 per month, while house-type listings lead all categories at $4,425 per month.
Rate segmentation shows substantial upside at the high end. All-listings ADR averaged $231, while entire-home ADR reached $253 and professionally managed listings averaged $269 per night. The luxury tier commands $540 per night, reflecting the market’s appetite for upscale event and retreat properties. For a listing at the professionally managed ADR of $269 at April’s 58.2% occupancy, monthly revenue would be approximately $4,703 on a 30-day month.
YoY ADR declined 5.7% through April 2026 while occupancy grew 4.0%, suggesting the market is absorbing additional supply by pulling rates down to fill calendars. Revenue still grew 3.4% in this period, meaning volume gains more than offset the rate compression. No housing price data was available for Driftwood in the current dataset; investors should pull Hays County rural comparable sales directly before modeling entry cost and yield. The investability score of 56.5 reflects meaningful competition for prime Hill Country properties and the market’s dependence on weekend leisure demand.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
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Booking Insights
Driftwood guests book an average of 40.5 days in advance — the longest lead time of the five markets in this batch. This reflects the event and retreat character of the market: wedding parties, corporate retreat planners, and Austin weekend groups typically coordinate 6 or more weeks ahead to secure availability on preferred dates.
Average length of stay is 4.39 nights. This is consistent with the market’s event weekend pattern: a Thursday-to-Monday booking around a wedding or festival is common, anchoring the average above a standard 2-night weekend stay. The combination of a 40-day booking window and a 4.4-night average stay means operators can build a fairly accurate forward-revenue picture at 6 weeks out and adjust pricing for remaining open dates.
For pricing strategy, calendar gaps visible 6-plus weeks out should trigger rate reductions, while close-in availability (under 2 weeks) often fills at leisure or last-minute rates from Austin-based guests. Setting 2-night minimums for standard weekends and 3-night minimums around holidays and SXSW weekend in March maximizes revenue without leaving too much capacity unbooked.
Short-Term Rental Regulations
Driftwood has no local STR ordinance and no permit requirement. As an unincorporated community in Hays County, Driftwood falls outside any city’s jurisdiction, and Texas counties generally lack the zoning authority to impose STR restrictions. There is no county STR registration, licensing, or permit requirement applicable to Driftwood properties as of mid-2026.
The operative property-level requirements are: a valid On-Site Sewage Facility (OSSF/septic) permit with capacity sized for the number of guests, plus compliance with county health, food-establishment, and noise/nuisance rules. Private HOA covenants and deed restrictions may independently prohibit or limit short-term rentals and should be reviewed at the parcel level before acquisition.
For lodging taxes, Texas imposes a 6% state Hotel Occupancy Tax on stays under 30 days, which Airbnb and VRBO typically collect and remit automatically. Additional Hays County HOT or venue taxes should be confirmed directly with the Hays County Tax Office, as no confirmed county-level rate specific to unincorporated lodging was available. Enforcement is minimal, consistent with the absence of a licensing framework. Investors should verify that the specific parcel is in unincorporated Hays County and not within the city limits or extraterritorial jurisdiction of neighboring Dripping Springs or other incorporated municipalities, which have their own STR rules.
Market Comparison
Driftwood’s $231 ADR is above the approximate U.S. STR median of roughly $220, reflecting the market’s event- and leisure-driven rate structure. Occupancy at 58.2% is near the U.S. median of approximately 55%, indicating the market draws well despite its rural and unregulated character.
The market’s rental demand score of 65.7 out of 100 is lower than might be expected given Austin’s growth, reflecting the weekend-concentrated demand that leaves weekday calendars softer. The total score of 56.7 reflects the combination of rate compression pressure and high seasonality. The seasonality score of 89.7 is the market’s defining metric and the most important risk factor for investors: revenue is heavily concentrated in March, October, and summer weekends.
On operator concentration, AvantStay leads with 358 listings and a 4.8-star average rating, followed by Landing, Inc. (311 listings, 4.3 stars), Hill Country Premier Lodging (287 listings, 4.6 stars), Landing (272 listings, 3.7 stars), and Vacasa (250 listings, 4.7 stars). The top 5 operators manage approximately 1,478 listings combined, about 6.0% of the 24,662-listing market. The large listing base relative to the tiny permanent population confirms that this market area encompasses the broader Hill Country Austin-adjacent STR zone rather than the 106-person CDP itself.
Frequently Asked Questions About Driftwood, Texas
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