Mcallen, Texas Short-Term Rental Market
McAllen, TX STRs averaged $106/night at 52.9% occupancy in April 2026 across 2,243 active listings.
Quick Answer: Mcallen, Texas is an active short-term rental market. average occupancy is 55%. average monthly revenue is $1,643. average daily rate is $109. the top operator is Sleepy Valley Resort with 42 listings. market score is 71/100 (grade B).
Market Score Breakdown
Five dimensions Apivex evaluates per market.
Market Overview
McAllen is the largest city in the Rio Grande Valley of deep South Texas, with a population of 145,385. Its short-term rental market sits at the intersection of Winter Texan snowbird demand, eco-tourism, and cross-border medical and shopping travel from Mexico. The market recorded an average daily rate of $106 and occupancy of 52.9% in April 2026, producing a RevPAR of $56. With 2,243 active listings, entire-place units dominate at 2,088 (93.1% of total), private rooms at 153 (6.8%), and shared rooms at 2 (0.1%). By bedroom count, two-bedroom units lead at 730 listings (32.6% of the 2,240 bedroom-categorized units), followed by three-bedroom at 674 (30.1%), one-bedroom at 599 (26.7%), four-bedroom at 192 (8.6%), and five-bedroom at 45 (2.0%). Channel distribution shows 1,559 Airbnb-only listings, 63 VRBO-only, and 621 listed on both platforms simultaneously. Year-over-year as of April 2026, occupancy slipped 3.3 percentage points and revenue declined 1.2%, while ADR edged up 2.1%. The market’s total score is 70.5 out of 100, highlighted by an exceptionally high seasonality score of 97.1 reflecting clearly defined demand cycles, with moderate rental demand (69.9), investability (78.9), and regulation scores (53.6).
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 57% | $85 | $1,415 |
| Feb | 64% | $88 | $1,450 |
| Mar | 61% | $94 | $1,625 |
| Apr | 54% | $92 | $1,401 |
| May | 55% | $92 | $1,399 |
| Jun | 60% | $96 | $1,533 |
| Jul | 63% | $95 | $1,644 |
| Aug | 56% | $90 | $1,489 |
| Sep | 54% | $86 | $1,308 |
| Oct | 54% | $84 | $1,272 |
| Nov | 60% | $91 | $1,431 |
| Dec | 61% | $96 | $1,658 |
Top Short-Term Rental Operators in Mcallen
Ranked by total active listings. Useful for understanding the competitive landscape.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Sleepy Valley Resort | 42 | 77 | ★ 4.77 |
| 2 | Urbana | 35 | 2,233 | ★ 4.62 |
| 3 | Evolve | 24 | 343 | ★ 4.73 |
| 4 | Centrica Rental Co. | 20 | 977 | ★ 4.86 |
| 5 | Cavazos Asset Management LLC | 15 | 332 | ★ 4.43 |
What Kind of STR Should I Buy in Mcallen?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 599 |
| 2 bed | 730 |
| 3 bed | 674 |
| 4 bed | 192 |
| 5 bed | 45 |
ADR by Property Tier
| Entire Home | $111 |
| Luxury | $176 |
| Professionally Managed | $96 |
Revenue by Dwelling Type
| Apartment | $1,252 |
| Entire Place | $1,701 |
| House | $2,099 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 69.5% |
| vrbo | 2.8% |
| both | 27.7% |
Investment Analysis
At the current typical home value of $229,034 (April 2026 Zillow snapshot), average monthly STR revenue of $1,543 projects to approximately $18,521 annualized, implying a gross yield of approximately 8.1%. Median sale price in the market is $240,287, with a median list price of $290,917 and 765 active for-sale listings. A sale-to-list ratio of 0.826 and a median 93 days to pending signal a buyer’s market with meaningful negotiating room, potentially favorable for acquisition pricing. By property type, houses led at $1,831 average monthly revenue, entire-place listings averaged $1,590, and apartments averaged $1,245. Notably, the professionally managed tier in McAllen averaged $88 per night, below the market-wide average of $106, indicating that PM portfolios here skew toward standardized lower-priced units rather than premium or amenity-rich properties. Luxury-tier properties averaged $179 per night, 69% above the market-wide rate. Revenue declined 1.2% year-over-year in April 2026, but ADR rose from $90 in 2021 to $105 in 2025, reflecting steady rate appreciation even as occupancy normalized from a 74.0% peak in 2021 to the current 52.9% to 54.8% range in recent months.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
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Booking Insights
McAllen guests book an average of 17 days in advance, one of the shortest lead times among STR markets, and stay approximately 4.2 nights per visit. The very short booking window reflects a visitor mix of nearby regional travelers, cross-border guests, and snowbirds who may arrange longer stays outside the Airbnb and VRBO booking window entirely. Operators should weight dynamic pricing tools toward the 0 to 21 day window and respond quickly to near-term demand signals. A 4.2-night average stay suggests a blend of short leisure visits and multi-day extended stays, particularly during winter months when longer-stay guests seek weekly or monthly rentals.
Short-Term Rental Regulations
McAllen regulates short-term rentals under Article VII of its city code (Chapter 22), defining STRs as residential single-family dwelling units or accessory buildings rented for fewer than 30 consecutive days. Operators must obtain an annual registration from the Environmental Health & Code Enforcement Department at the McAllen Development Center (311 N. 15th St.) at a cost of $50 per year. Applicants must provide owner contact information and designate a local contact person available 24 hours a day, 7 days a week. Safety requirements include a functioning smoke detector in each sleeping room and a posted egress map. No owner-occupancy, primary-residence, or maximum-nights-per-year requirement appears in the ordinance text reviewed. The combined hotel occupancy tax burden is 15%: McAllen levies 7% city HOT plus an additional 2% city HOT (9% city total), added to the 6% Texas state HOT. Operators remit taxes monthly to the Finance Department. A registration can be suspended or revoked; operators whose registration is revoked may not reapply for the same property for 12 months. Overall the framework is registration-based and tax-focused rather than restrictive, making McAllen relatively permissive compared with Texas cities that impose density caps or owner-occupancy mandates.
Market Comparison
McAllen’s 52.9% occupancy in April 2026 is below the U.S. national STR median of approximately 55%, and its $106 ADR is well below the national median of approximately $220, reflecting the lower accommodation price points of the Rio Grande Valley. The 97.1 seasonality score indicates highly defined demand cycles. Among professional operators, Sleepy Valley Resort leads with 42 listings (77 reviews, 4.77 avg rating), followed by Urbana with 35 listings (2,233 reviews, 4.62 rating) and Evolve with 24 listings (343 reviews, 4.73 rating). Centrica Rental Co. holds 20 listings (977 reviews, 4.86 rating) and Cavazos Asset Management LLC holds 15 listings (332 reviews, 4.43 rating). The top five operators collectively manage 136 listings, approximately 6.1% of the 2,243 total, indicating a fragmented market with room for operators to build scale. Airbnb dominates channel distribution, with 1,559 Airbnb-dedicated listings compared to 63 VRBO-only. The 82.6% sale-to-list ratio and 93 median days to pending make this a buyer’s market, potentially advantageous for investors acquiring STR properties.
Frequently Asked Questions About Mcallen, Texas
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