Fairhope, Alabama Short-Term Rental Market
Zoning limits Fairhope nightly rentals, while Gulf Coast STRs earned $339 ADR, 56.4% occupancy, $5,092 monthly in September 2026.
Quick Answer: Fairhope, Alabama is an active short-term rental market. average occupancy in the Gulf Shores/Mobile market area is 56%. average monthly revenue in the Gulf Shores/Mobile market area is $5,092. average daily rate in the Gulf Shores/Mobile market area is $339. the top operator in the Gulf Shores/Mobile market area is Vacasa with 1,878 listings. market score is 82/100 (grade B).
Market data reflects the Gulf Shores/Mobile regional market, which includes Fairhope. Regulations, taxes, and permit details below are specific to Fairhope.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Fairhope sits on the Eastern Shore of Mobile Bay and has a population of 27,463. Short-term rental performance for the town is reported at the level of the Alabama Gulf Coast STR market, a region that also covers Foley, Orange Beach and Dauphin Island. Every performance number on this page describes that region, not Fairhope alone. As of September 2026, the Alabama Gulf Coast STR market averaged an ADR of $339 and occupancy of 56.4%, producing average monthly revenue of $5,092 per listing. Compared with September 2025, occupancy is up 12.5%, ADR is up 4.9% and revenue is up 11.0%, so growth is coming from both more booked nights and higher rates. The year to date picture is stronger still. Across the first nine months of 2026 the region averaged 63.5% occupancy, a $356 ADR and $6,229 in monthly revenue, compared with 56.3%, $327 and $5,304 for full-year 2025. Over the longer record, annual ADR rose from $211 in 2017 to $328 in 2024, while occupancy peaked at 62.9% in 2021 and has since settled in the mid 50s before this year’s rise. Bedroom, channel and listing-type counts, along with the largest operators, are tracked at a shared regional level rather than uniquely for Fairhope, so this profile omits them. The regional market score is 82.3 out of 100, led by investability at 95.0, rental demand at 87.3 and revenue growth at 85.5. Regulation scores lower at 59.9 and seasonality at 43.5, which fits a Gulf Coast market with strong summers and slow winters, and a town that restricts nightly rentals by zoning.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 39% |
| Feb | 64% |
| Mar | 69% |
| Apr | 49% |
| May | 64% |
| Jun | 80% |
| Jul | 80% |
| Aug | 54% |
| Sep | 52% |
| Oct | 53% |
| Nov | 34% |
| Dec | 30% |
Month-by-month nightly rates and revenue figures for Fairhope are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Gulf Shores/Mobile market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Gulf Shores/Mobile market as a whole, which includes Fairhope, so these counts are not Fairhope-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Vacasa | 1,878 | 81,402 | ★ 4.37 |
| 2 | Brett Robinson Vacation Rentals | 1,775 | 15,937 | ★ 4.53 |
| 3 | Liquid Life | 898 | 23,604 | ★ 4.59 |
| 4 | My Beach Getaways | 443 | 10,896 | ★ 4.58 |
| 5 | Beachball Properties | 420 | 13,232 | ★ 4.62 |
What Kind of STR Should I Buy in Fairhope?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Fairhope are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 14.9% |
| vrbo | 17.8% |
| both | 67.3% |
Home Value Trends (Fairhope)
Typical home values, median sale prices, and the 10-year price trend for Fairhope are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Booking Insights
Booking-window and length-of-stay analysis for Fairhope — how far ahead guests book and how to price around it — is available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Short-Term Rental Regulations
Fairhope permits short-term rentals, defined as renting a dwelling for fewer than 30 days, but restricts them by zoning. Nightly rentals are allowed only in higher-density and commercial or tourist zones: R-4, R-5, B-1, B-2, B-3a and B-3b. In the single-residence districts R-1, R-2 and R-3 the minimum rental period is 30 days, which effectively prohibits true nightly rentals there. Any owner offering a dwelling for rent must hold a City of Fairhope business license. Fees start at a minimum of $100 inside the city limits, with half that in the police jurisdiction, and the license renews annually. Stays are subject to a 6% city lodging tax on accommodations rented for fewer than 180 continuous days, in addition to Alabama state lodgings tax and any county lodgings tax, and the combined rate is well above 10%. There is no published owner-occupancy or primary-residence requirement, and no stated cap on nights per year. Enforcement severity is rated moderate. No major short-term rental ordinance overhaul was identified in the last 24 months, so the governing framework remains the city zoning ordinance plus business license and lodging tax rules. Owners should confirm parcel zoning with the Planning and Zoning Department and the exact license fee with the Business License Office before operating.
Market Comparison
The Alabama Gulf Coast STR market looks like a strongly seasonal market with solid performance. September 2026 occupancy was 56.4% with a $339 ADR. The year to date average of 63.5% occupancy and a $356 ADR is stronger still. Seasonality is the main drawback. Winter occupancy of 30.4% in December is the low point of the year, and the market depends on a summer peak of 80.4% in June. The market score of 82.3 out of 100 reflects strong investability (95.0), rental demand (87.3) and revenue growth (85.5), balanced against a regulation score of 59.9 and a seasonality score of 43.5. Fairhope itself carries a more restrictive zoning regime than a typical beach-front resort town, so the regional numbers are best read as an upper guide for properties that sit in eligible zones. Bedroom, channel and listing-type counts and the top operators are tracked at a shared regional level rather than uniquely for Fairhope, so this profile omits them. Buyers should pair the regional data with a local zoning check.
Frequently Asked Questions About Fairhope, Alabama
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What taxes apply to Fairhope Airbnb stays?
What is the average nightly rate for the Alabama Gulf Coast STR market that includes Fairhope?
When is the best season for Fairhope short-term rentals?
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