Laredo, Texas Short-Term Rental Market
Laredo, TX STRs averaged $203/night at 42.8% occupancy in April 2026, with an 89/100 investability score.
Quick Answer: Laredo, Texas is an active short-term rental market. average occupancy is 53%. average monthly revenue is $3,860. average daily rate is $271. the top operator is Evolve with 774 listings. market score is 63/100 (grade C).
Market data reflects the Texas East Area regional market, which includes Laredo. Regulations, taxes, and permit details below are specific to Laredo.
Market Score Breakdown
Five dimensions Apivex evaluates per market.
Market Overview
Laredo is a Texas-Mexico border city of 262,022 residents and a major international trade hub on the Rio Grande. The STR market recorded a $203.35 ADR and 42.8% occupancy in April 2026, generating $2,435 in average monthly revenue. Year-over-year, occupancy grew 1.08% and revenue changed by a nominal -0.17%, while ADR declined 3.36%, reflecting modest rate softening in the comparison period.
Entire-place listings account for approximately 94.2% of all inventory, with private rooms at 5.7% and shared rooms under 0.1%. One-bedroom configurations are the most common at 32.2% of inventory, followed by three-bedroom (25.5%), two-bedroom (24.3%), four-bedroom (11.1%), and five-bedroom-plus (6.9%). The channel breakdown shows 10,311 Airbnb-exclusive listings and 9,670 cross-listed on both Airbnb and VRBO; VRBO-exclusive listings total 2,244, with Airbnb holding the dominant single-platform share.
Laredo’s STR demand is driven by a mix of business and government travel tied to the largest land-port-of-entry complex on the US-Mexico border, occasional cross-border retail visitors, regional event tourism including the Washington’s Birthday Celebration (one of the oldest and largest such celebrations in the U.S., held each February), and proximity to Lake Casa Blanca International State Park. These demand sources produce moderate but relatively consistent occupancy outside of seasonal lows.
The market’s investability score of 89.01 out of 100 is notably high relative to its current occupancy level, indicating favorable underlying economics for established properties. The total market score is 62.99, regulation scores 59.99, and revenue growth scores 60.71. The 2025 full-year average of 44.60% occupancy at $210 ADR represents the market’s baseline performance, with occupancy recovering from the 2022-2023 softening period.
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 33% | $161 | $1,617 |
| Feb | 41% | $161 | $1,627 |
| Mar | 50% | $211 | $2,695 |
| Apr | 41% | $206 | $2,332 |
| May | 44% | $231 | $2,694 |
| Jun | 53% | $271 | $3,778 |
| Jul | 53% | $275 | $4,009 |
| Aug | 42% | $236 | $2,765 |
| Sep | 39% | $215 | $2,247 |
| Oct | 42% | $205 | $2,398 |
| Nov | 41% | $201 | $2,222 |
| Dec | 37% | $190 | $2,096 |
Top Short-Term Rental Operators in Laredo
Ranked by total active listings. Useful for understanding the competitive landscape.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Evolve | 774 | 27,617 | ★ 4.71 |
| 2 | Vacasa | 238 | 8,722 | ★ 4.67 |
| 3 | FCR Partners, LP | 103 | 172 | ★ 4.68 |
| 4 | Neal’s Lodges | 97 | 170 | ★ 4.79 |
| 5 | 979 Vacation Property Services | 96 | 3,231 | ★ 4.62 |
What Kind of STR Should I Buy in Laredo?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 7,144 |
| 2 bed | 5,376 |
| 3 bed | 5,660 |
| 4 bed | 2,451 |
| 5 bed | 1,530 |
ADR by Property Tier
| Entire Home | $281 |
| Luxury | $538 |
| Professionally Managed | $442 |
Revenue by Dwelling Type
| Apartment | $2,174 |
| Entire Place | $4,002 |
| House | $4,276 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 46.4% |
| vrbo | 10.1% |
| both | 43.5% |
Investment Analysis
At the April 2026 snapshot, Laredo STRs generate an average of $2,435/month across all listing types. Using the 2025 full-year average of $2,652/month as a more reliable baseline, annualized gross revenue per listing projects to approximately $31,824. Housing market data for Laredo is not available in the current dataset, so a gross yield calculation cannot be computed.
Tier analysis reveals meaningful premium potential above the market average. The luxury tier averages $443/night versus $203 for all listings, a 2.18x multiple. The professionally managed tier averages $315/night, 55% above the market mean. Entire homes average $211/night, modestly above the all-listings average. The sharp differential between the PM tier and the all-listings average suggests that well-capitalized, professionally positioned properties command substantially higher rates in a market where the average listing is priced modestly.
Revenue trend shows a post-2021 decline and partial recovery: 2021 averaged $3,006/month, fell to $2,544 in 2023, and has recovered to $2,652 in 2025. The occupancy trend has stabilized near 42-44% since 2022, suggesting the market found a new equilibrium after the 2020-2021 pandemic surge. ADR has softened from $220 in 2022 to $210 in 2025, with additional softening to the $203 April 2026 figure.
The investability score of 89.01 reflects favorable entry economics relative to the market’s demand profile, consistent with a border-city market where real estate values and competitive operator density are lower than in major Texas leisure destinations.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
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Booking Insights
Laredo STRs show an average booking lead time of 38.7 days (approximately 5-6 weeks) and an average length of stay of 3.81 nights as of April 2026.
The 39-day lead window reflects the market’s mix of business travel (which typically books 2-6 weeks ahead) and leisure visitors. This is shorter than most resort markets but consistent with a primarily business and commerce-driven demand base. Operators can hold rates through the 14-21 day window without significant last-minute abandonment risk, given the business travel component that books to confirmed travel dates.
The 3.81-night average stay suggests a blend of extended-weekend leisure visits and short business stays. At 3.81 nights per stay, turnovers run approximately 8 times per month (30 days divided by 3.81 nights), which is typical for a mixed business-leisure market. Cleaning and restocking costs should be factored for this frequency, but are less operationally intensive than the shorter-stay Hocking Hills cabin market.
For revenue management, the June-July peak window warrants pricing discipline from April onward. The winter trough (January-February) is deep enough that operators may consider applying minimum stay requirements of 2 nights to improve per-stay economics during low-demand periods rather than accepting single-night bookings at compressed rates.
Short-Term Rental Regulations
Short-term rentals in Laredo require registration or permitting with the City of Laredo under a city STR ordinance. Operators must also collect and remit hotel occupancy tax: the combined rate is approximately 14%, comprising 6% Texas state hotel occupancy tax, 7% City of Laredo hotel tax, and 1% Webb County hotel tax. The combined 14% rate is among the highest of any Texas STR market.
STRs are permitted in certain zoning districts; some residential zones may restrict or prohibit operation. Safety requirements including smoke and carbon monoxide detectors are expected, and third-party sources cite occupancy limits of approximately two persons per bedroom plus two additional, along with off-street parking requirements. Enforcement is classified as moderate.
Note on data limitations: specific permit fees, renewal terms, any owner-occupancy or primary-residence requirements, and the precise list of permitted zoning districts could not be confirmed against the official City of Laredo Code of Ordinances during profile compilation. Investors and operators must confirm current permit requirements, fee schedules, zoning eligibility, and any occupancy restrictions directly with the City of Laredo Building Development Services and Planning and Zoning Department before launching a property. The regulatory environment is generally described as more accommodating than stricter Texas markets, but the details matter for individual property assessment.
No recent ordinance changes were identified in the profile data.
Market Comparison
Laredo’s April 2026 metrics of 42.8% occupancy and $203 ADR both fall below national STR benchmarks. The U.S. STR market median occupancy is approximately 55%; Laredo runs 12 percentage points below this, a meaningful gap that is partially explained by the market’s business-travel character (lower weekend occupancy relative to weekday patterns). The national median ADR is approximately $220; Laredo’s $203 in April 2026 is slightly below this.
The management landscape is led by national operators. Evolve dominates with 774 listings and 27,617 reviews at a 4.71 average rating. Vacasa operates 238 listings with 8,722 reviews and a 4.67 rating. FCR Partners, LP manages 103 listings (4.68 rating, 172 reviews). Neal’s Lodges holds 97 listings (4.79 rating, 170 reviews). 979 Vacation Property Services operates 96 listings (4.62 rating, 3,231 reviews).
Evolve’s 774 listings and 27,617 reviews represent significant market penetration for a Texas border city, suggesting that professional listing optimization has become important in a market where differentiation at the ADR level is meaningful. The sharp gap between the professionally managed tier ($315 ADR) and the all-listings average ($203) reinforces this.
The investability score of 89.01 is the standout market signal, placing Laredo in the high-investability tier despite below-average occupancy and ADR. This score reflects favorable entry economics and demand consistency for a mid-size border economy market, consistent with a market where supply has not outpaced the commercial and government lodging base.
Frequently Asked Questions About Laredo, Texas
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