Athens, Alabama Short-Term Rental Market
Athens AL STRs averaged $198/night at 47.7% occupancy in April 2026, with a new licensing framework effective January 2025 and a 16% total lodging tax.
Quick Answer: Athens, Alabama is an active short-term rental market. average occupancy is 48%. average monthly revenue is $2,531. average daily rate is $198. the top operator is Evolve with 254 listings. market score is 77/100 (grade B).
Market Score Breakdown
Five dimensions Apivex evaluates per market.
Market Overview
Athens, Alabama is a fast-growing small city in Limestone County, adjacent to the Tennessee River and approximately 25 miles west of Huntsville’s aerospace and NASA-driven economy. The city was Alabama’s second-fastest growing in 2024, with a population of 32,587. The STR market draws visitors for Civil War heritage, the Tennessee Valley Old Time Fiddlers Convention (approximately 10,000 attendees each October at Athens State University), and outdoor recreation on Wheeler Lake and the Tennessee River.
The area’s STR data covers a broad North Alabama region encompassing approximately 7,599 active listings, with entire-place units comprising 7,252 (95% of supply). Athens’s own regulatory framework requires whole-unit rentals only — renting individual rooms within a shared home is explicitly prohibited. Bedroom distribution shows 3-bedroom units leading at 2,198, followed by 2-bedroom (2,004), 1-bedroom (1,883), 4-bedroom (959), and 5-bedroom (540).
As of April 2026, the market posted a $198 average daily rate, 47.7% occupancy, and $94.44 RevPAR. Revenue averaged $2,531/month. Year-over-year, occupancy is essentially flat (-0.95%), ADR up 0.88%, and revenue up 2.00%. The market scored 76.57 overall with investability (95.13) as the top dimension. Athens enacted its first formal STR ordinance in October 2024, effective January 2025, bringing structure to a previously unregulated local market.
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 36% | $146 | $1,611 |
| Feb | 46% | $147 | $1,646 |
| Mar | 53% | $167 | $2,310 |
| Apr | 49% | $172 | $2,260 |
| May | 50% | $198 | $2,600 |
| Jun | 59% | $222 | $3,442 |
| Jul | 59% | $227 | $3,703 |
| Aug | 46% | $200 | $2,582 |
| Sep | 45% | $211 | $2,504 |
| Oct | 46% | $193 | $2,529 |
| Nov | 45% | $201 | $2,417 |
| Dec | 39% | $170 | $2,055 |
Top Short-Term Rental Operators in Athens
Ranked by total active listings. Useful for understanding the competitive landscape.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Evolve | 254 | 8,558 | ★ 4.73 |
| 2 | Smith Lake | 65 | 556 | ★ 4.73 |
| 3 | Magnolia Linen Company | 53 | 4,687 | ★ 4.90 |
| 4 | Mentone Mountain Getaways | 45 | 3,537 | ★ 4.81 |
| 5 | 360 Destinations | 44 | 717 | ★ 4.73 |
What Kind of STR Should I Buy in Athens?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 1,883 |
| 2 bed | 2,004 |
| 3 bed | 2,198 |
| 4 bed | 959 |
| 5 bed | 540 |
ADR by Property Tier
| Entire Home | $201 |
| Luxury | $391 |
| Professionally Managed | $228 |
Revenue by Dwelling Type
| Apartment | $1,891 |
| Entire Place | $2,589 |
| House | $2,796 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 43.7% |
| vrbo | 10.3% |
| both | 46% |
Investment Analysis
Athens presents a strong yield case relative to its home values. At a typical home value of $309,946 and monthly revenue of $2,531, the gross annualized revenue of approximately $30,376 implies a gross yield of roughly 9.8% on the typical home value — one of the highest in this batch. The median sale price is $314,500, closely aligned with the typical value, and homes go pending in a median of 43 days. There are 542 homes currently listed for sale, providing meaningful acquisition optionality compared to constrained vacation markets.
Luxury-tier properties command $391/night ADR versus $198 for all listings, a 97% premium. Professionally managed properties average $228/night, 15% above the market average. House-type properties average $2,796/month and entire-place units $2,589/month.
Investors should factor in Athens’s 16% total lodging tax burden (9% city lodging tax + 2% city room fee + 5% Alabama state lodging tax), which is among the higher tax burdens in this batch and reduces net revenue relative to gross. No owner-occupancy requirement exists, so non-resident investor properties are permitted. The 150 annual certificate cap in residential zones and the 1,000-foot density rule (no more than 3 STRs within 1,000 feet) may constrain supply growth, which benefits existing certificate holders.
Revenue has been stable: annual averages ran $2,663 (2025), $2,653 (2024), and $2,596 (2023), with ADR rising from $195 to $203 over that period.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
Run a Free Address Analysis
Skip the market averages. Get revenue projections, comp analysis, and ROI for your specific property address. Free, instant, no signup required.
Analyze My Property →Home Value Trends (Athens)
Booking Insights
Athens area guests book approximately 48 days in advance on average, with an average stay of 3.67 nights. The 48-day lead time reflects a blend of forward-planning event visitors (Fiddlers Convention in October, heritage tourism) and shorter-horizon leisure guests from the Tennessee Valley metro area.
The 3.67-night average stay is typical for a smaller city and regional tourism market where most trips are long-weekend in character rather than week-long vacations. The whole-unit requirement under Athens’s ordinance means operators are hosting full-house guests, which tends to attract slightly longer stays than room-based rentals.
For operators, the 48-day lead time supports a tiered pricing strategy: set premium rates for the October Fiddlers Convention weekend well in advance, price the June-July peak window by April, and use dynamic pricing tools to fill remaining inventory inside 30 days. The growing Huntsville tech sector creates opportunities for mid-week business-adjacent demand that operators can capture with flexible weeknight minimums.
Short-Term Rental Regulations
Athens enacted Ordinance 2024-2348 on October 28, 2024 (effective January 1, 2025), creating the city’s first formal STR licensing framework. Operators must complete a three-step process: (1) obtain a Zoning Certificate from the Planning Department confirming eligibility and density compliance; (2) pass a Certificate of Occupancy Inspection from the Building Department; and (3) obtain a City Business License from the City Clerk (200 W. Hobbs St., or [email protected]). Specific permit fees are not publicly listed online.
Key operational rules: STRs must be entire dwellings only — renting individual bedrooms within a shared home is banned. Residential zones are subject to strict density limits: no more than 3 active STRs within a 1,000-foot radius of a new applicant’s property; no more than 2 contiguous properties may hold active certificates simultaneously; and a citywide annual cap of 150 STR zoning certificates applies to eligible residential zones. A 24/7 local contact person must be designated and posted inside the unit. Certificates are revocable after 2 or more substantiated complaints in a calendar year.
Tax obligations total approximately 16%: 9% Athens city lodging tax plus 2% Athens city room fee (both effective October 1, 2023, remitted through Neumo/formerly Avenu Insights) plus 5% Alabama state lodging tax. Operators must register with Neumo to file and remit the local taxes. No owner-occupancy or primary-residence requirement exists. A comprehensive Athens zoning ordinance update was anticipated for adoption in Spring 2026, which may further affect STR rules.
Market Comparison
Nationally, STR markets average approximately 55% occupancy and $220 ADR. Athens’s April 2026 metrics of 47.7% occupancy and $198 ADR are modestly below national medians, with April as a shoulder month. Annual average occupancy of 46.3% (2025) and ADR of $203 are close to national norms for a small city market.
The investability score of 95.13 ranks Athens in the top tier for overall yield attractiveness. The regulation score of 63.53 reflects the moderate regulatory complexity of the 2025 ordinance framework. Home values at $310,000 are significantly below larger metro markets, creating an accessible entry point for investors.
Evolve leads operator market share with 254 listings and 8,558 reviews at a 4.73 average rating. Magnolia Linen Company manages 53 listings with 4,687 reviews at a 4.90 average rating — the highest-rated in the top 5. Note: the operator data reflects the broader North Alabama data region; individual Athens city market share is proportionally smaller. Together the top 5 operators manage 461 listings, roughly 6% of estimated regional supply.
Frequently Asked Questions About Athens, Alabama
What is the average daily rate for Athens AL short-term rentals?
What occupancy rates do Athens AL STRs achieve?
Does Athens AL require a permit to operate a short-term rental?
Can I rent individual rooms in my Athens home as an STR?
What taxes apply to Athens AL short-term rentals?
What is the typical home value in Athens, AL?
How much can an Athens AL STR earn annually?
Analyze Athens Rentals
Use our free calculator to estimate Airbnb revenue for any property in Athens.
Free Athens STR Calculator →
