Huntsville, Alabama Short-Term Rental Market
Huntsville bars STRs in most residential zones; September 2026 shows $127 ADR, 65.1% occupancy, $2,232 monthly revenue.
Quick Answer: Huntsville, Alabama is an active short-term rental market. average occupancy in the Huntsville market area is 65%. average monthly revenue in the Huntsville market area is $2,232. average daily rate in the Huntsville market area is $127. the top operator in the Huntsville market area is Landing, Inc. with 126 listings. market score is 60/100 (grade C).
Market data reflects the wider Huntsville market, which covers 4 areas. Regulations, taxes, and permit details below are specific to Huntsville.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Huntsville, Alabama is a regulated but active short-term rental market. The city treats STRs as motels under its zoning code, so most standard residential districts are closed to them, and operators need a City of Huntsville Business License before hosting. Within those limits, the Huntsville area STR market tracks about 1,664 listings. Entire places make up 1,486 of them (89.3%), while 178 are private rooms. By bedroom count, 768 listings are one bedroom, 357 are two bedrooms, 358 are three bedrooms, 130 are four bedrooms, and 50 are five bedrooms. On channels, 884 listings appear only on Airbnb, 171 only on Vrbo, and 609 on both. As of September 2026, the average daily rate (ADR) across all listings is $127 and occupancy is 65.1%. Average monthly revenue per listing is $2,232. Compared with September 2025, occupancy is up 31.1%, ADR is down 1.8%, and revenue is up 12.9%. That pattern shows growth driven by more booked nights rather than higher rates. The demand base is broad. Huntsville draws roughly 4 million visitors a year to Madison County, with about $2.4 billion in economic impact in 2024. The U.S. Space and Rocket Center alone draws over 650,000 visitors annually, and Space Camp has graduated more than 750,000 participants. Redstone Arsenal and NASA’s Marshall Space Flight Center bring government contractors and researchers year round. Monte Sano State Park, the Huntsville Botanical Garden, and Lowe Mill Arts and Entertainment add leisure demand. The city has about 235,204 residents. StaySTRA’s market score for Huntsville is 59.7 overall, with seasonality scoring 97.4, investability 71.2, rental demand 70.4, regulation 59.0, and revenue growth 40.3.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 55% |
| Feb | 64% |
| Mar | 70% |
| Apr | 65% |
| May | 68% |
| Jun | 73% |
| Jul | 70% |
| Aug | 65% |
| Sep | 62% |
| Oct | 63% |
| Nov | 61% |
| Dec | 59% |
Month-by-month nightly rates and revenue figures for Huntsville are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Huntsville market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Huntsville market as a whole, which includes Huntsville, so these counts are not Huntsville-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Landing, Inc. | 126 | 227 | ★ 4.25 |
| 2 | Landing | 77 | 13 | ★ 2.84 |
| 3 | Comfy Homes | 49 | 68 | ★ 4.72 |
| 4 | Bones Vacances | 40 | 3 | ★ 5.00 |
| 5 | Keans Way | 26 | 1,221 | ★ 4.72 |
What Kind of STR Should I Buy in Huntsville?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Huntsville 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 | 53.1% |
| vrbo | 10.3% |
| both | 36.6% |
Home Value Trends (Huntsville)
Typical home values, median sale prices, and the 10-year price trend for Huntsville 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 Huntsville — 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
Short-term rentals are permitted in Huntsville, but only in limited zoning districts. The city treats STRs as motels under its zoning code, and they are prohibited in most standard residential districts. They are permitted as a primary use in R-2B, C-3 (General Business), C-4 (Highway Business), C-5 (Commercial Recreation), Light Industry, Heavy Industry, Airport Industrial Park, and Research Park Commercial. They are allowed by special exception in C-2 (Neighborhood Business), C-6 (Village Business), and select Research Park zones. Operators should verify zoning with the Zoning Administration at 256-564-8008 before applying. A City of Huntsville Business License (STR category) is required and renews annually. The renewal fee is $259 per year for a principal residence and $518 per year for a secondary residence. Licenses expire December 31 and are not transferable. There is no statewide Alabama STR permit program, so regulation is local. The city charges 9% occupancy tax on the room charge for stays under 180 consecutive days, plus a $2 per room per night surcharge. Madison County lodging tax is 5% at the state level, filed through the Alabama Department of Revenue OneSpot portal. Occupancy is limited to two adults per bedroom, and quiet hours run from 10 PM to 6 AM, with fines starting at $100. Fire code violations carry fines up to $500. Neither owner occupancy nor primary residence is required. Enforcement is rated moderate, and the city has sent notices to more than 50 owners operating without a license. No major overhaul was identified in 2024 and 2025.
Market Comparison
Huntsville shows the profile of a volume market rather than a premium rate market. Occupancy of 65.1% in September 2026 comes with an ADR of $127, and revenue of $2,232 a month comes from keeping nights filled. A typical home value of $292,728 sits well within reach of many investors, and the 7.6% gross yield reflects that balance. Growth is a bright spot, with revenue up 12.9% year over year. The weaker area is regulation. Zoning limits mean supply is constrained, which supports occupancy for licensed hosts but narrows where an investor can buy. Among the top operators in the Huntsville area STR market, Landing, Inc. leads with 126 listings, followed by Landing with 77, Comfy Homes with 49, and Keans Way with 26. Keans Way has the deepest review base, at 1,221 reviews and a 4.7 rating.
Frequently Asked Questions About Huntsville, Alabama
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Are short-term rentals legal in Huntsville?
How much does a Huntsville STR license cost?
What taxes apply to Huntsville short-term rentals?
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