Palm Desert, California Short-Term Rental Market
The Palm Desert area STR market earned $403 ADR at 41% occupancy in June 2026.
Quick Answer: Palm Desert, California is an active short-term rental market. average occupancy in the Coachella Valley market area is 41%. average monthly revenue in the Coachella Valley market area is $4,764. average daily rate in the Coachella Valley market area is $403. the top operator in the Coachella Valley market area is Vacasa with 593 listings. market score is 44/100 (grade D).
Market data reflects the Coachella Valley regional market, which includes Palm Desert. Regulations, taxes, and permit details below are specific to Palm Desert.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Palm Desert is a core resort city in the Greater Palm Springs and Coachella Valley region, which as a whole drew a record 14.5 million visitors in 2024 and generated $9.1 billion in total economic impact, supporting roughly one in four local jobs (city-specific visitor counts for Palm Desert are not separately published). The city skews toward affluent leisure travelers, seasonal snowbird residents, golfers, and luxury shoppers, anchored by the upscale El Paseo shopping district and The Living Desert Zoo and Gardens. Peak season runs fall through spring, November through April, when the desert climate is mild; summers are very hot and notably slower.
Short-term rental performance data in this data set is tracked at a submarket level shared across a Coachella Valley resort-city cluster, so the figures below describe the wider Palm Desert area STR market rather than city-limits-only precision. In June 2026, the most recent month with complete data, the area’s average daily rate across all listings was $402.93 at 41.17% occupancy, generating average monthly revenue of $4,764.32 per listing. June sits in the market’s off-peak summer season; occupancy is up a modest 0.62% year over year, ADR is up 4.14%, and monthly revenue is essentially flat year over year (down 0.06%).
Bedroom mix, listing-type mix, channel mix, and market-score data in this data set are tracked at a shared regional level rather than measured uniquely for Palm Desert, so this profile omits those figures rather than present regional numbers as if they were city-specific. Booking data for the area shows an average lead time of 43.39 days and an average length of stay of 4.52 nights.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 56% |
| Feb | 70% |
| Mar | 72% |
| Apr | 57% |
| May | 39% |
| Jun | 45% |
| Jul | 47% |
| Aug | 44% |
| Sep | 40% |
| Oct | 46% |
| Nov | 55% |
| Dec | 49% |
Month-by-month nightly rates and revenue figures for Palm Desert are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Coachella Valley market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Coachella Valley market as a whole, which includes Palm Desert, so these counts are not Palm Desert-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Vacasa | 593 | 14,029 | ★ 4.49 |
| 2 | Evolve | 340 | 9,820 | ★ 4.71 |
| 3 | AvantStay | 252 | 5,366 | ★ 4.80 |
| 4 | Acme House | 188 | 6,138 | ★ 4.78 |
| 5 | Park Royal Indian Palms Intervals | 170 | 0 | ★ 0.00 |
What Kind of STR Should I Buy in Palm Desert?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Palm Desert 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 | 31.6% |
| vrbo | 12.3% |
| both | 56.1% |
Home Value Trends (Palm Desert)
Typical home values, median sale prices, and the 10-year price trend for Palm Desert 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 Palm Desert — 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, defined as stays of 27 consecutive nights or fewer, are legal in Palm Desert but require an annual Short-Term Rental Permit, costing $29.00 for a new application or renewal, filed at least 30 days before expiration. A 3-night minimum stay is required, though there is no annual cap on the number of nights a property may be rented.
Where an STR is allowed depends heavily on zoning. Standard R1 and R2 single-family and duplex zones prohibit short-term rentals unless the owner qualifies for an On-Site Owner permit, requiring the owner to live on the property. Off-site, non-owner-occupied STRs are permitted in RE (Residential Estate) zones, and in HPR (Hillside Planned Residential) and PR (Planned Residential) zones with an HOA approval letter or on-site owner status.
Operators must pay a combined 12.00% tax on gross rent: an 11% Transient Occupancy Tax plus a 1% Greater Palm Springs Tourism Business Improvement District assessment, in effect since July 1, 2021. Monthly tax returns are required even in months with no rental income. Property management companies handling three or more STRs must hold an active city business license.
Enforcement is rated moderate but active: the city monitors online listings and can impose administrative fines or deny or revoke permits for violations, including a specific and notable rule against misrepresenting bedroom counts, rooms without a code-compliant egress window or door cannot be advertised as bedrooms. Operators must also comply with the city’s noise ordinance and prevent nuisance behavior.
Market Comparison
The Palm Desert area’s 41.17% occupancy in June 2026, an off-peak summer month for this desert market, sits below the roughly 55% median occupancy typically seen across the broader U.S. short-term rental market, while its $402.93 average daily rate is well above the roughly $220 national median ADR. This combination reflects a strongly seasonal, high-end desert resort market where summer heat suppresses demand even as rates stay elevated.
Top property manager data in this data set is tracked at a shared regional level across a Coachella Valley resort-city cluster rather than uniquely for Palm Desert, so this profile does not present specific operator names, listing counts, or ratings as Palm Desert-specific. Palm Desert’s own zoning-based regulatory structure is a far more distinctive local factor: STRs are broadly restricted in standard R1 and R2 residential zones unless the owner lives on-site, while RE, HPR, and PR zones offer more flexibility for off-site owners, a genuinely useful distinction for buyers evaluating specific parcels in this market.
Frequently Asked Questions About Palm Desert, California
What is the average Airbnb occupancy rate in the Palm Desert area?
What is the average nightly rate for a short-term rental in the Palm Desert area?
Can I operate a short-term rental in a single-family neighborhood in Palm Desert, CA?
Which zones allow off-site, non-owner-occupied short-term rentals in Palm Desert?
What taxes apply to short-term rentals in Palm Desert?
Is there a minimum stay for short-term rentals in Palm Desert?
What is the best time of year to own a short-term rental in the Palm Desert area?
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