Palm Springs, California Short-Term Rental Market
Contract caps apply as Coachella Valley STRs hit $379 ADR, 37.7% occupancy, $3,643 monthly revenue in September 2026.
Quick Answer: Palm Springs, California is an active short-term rental market. average occupancy in the Coachella Valley market area is 38%. average monthly revenue in the Coachella Valley market area is $3,643. average daily rate in the Coachella Valley market area is $379. 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 Springs. Regulations, taxes, and permit details below are specific to Palm Springs.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Palm Springs is one of California’s most tightly managed short-term rental cities, with annual registration, a per-neighborhood density cap, and a limit on the number of rental contracts each certificate can book per year. Those rules shape every number below. Performance figures on this page describe the Coachella Valley STR market, a shared regional dataset rather than Palm Springs alone. The city is the tourism anchor for the valley, with a population of 45,218.
In September 2026 the Coachella Valley STR market averaged an average daily rate (ADR) of $379 and occupancy of 37.7%, producing average monthly revenue of $3,643 per listing. Entire-home listings averaged $390 per night. Compared with September 2025, occupancy rose 11.2% and ADR rose 5.3%, while monthly revenue was essentially flat at -0.2%. In other words, more nights were booked at higher rates, but the gain was not enough to lift revenue in this off-peak month.
Over the longer view, the valley averaged 50.1% occupancy, a $440 ADR, and $5,937 in monthly revenue across the first nine months of 2026, up from 49.9% occupancy, a $417 ADR, and $5,550 in monthly revenue for full-year 2025. Revenue per listing peaked in 2022 at $5,678 per month before easing in 2023 and recovering since.
The Coachella Valley STR market is tracked at a shared regional level rather than uniquely for Palm Springs, so this profile omits bedroom, channel, and listing-type counts. The region draws about 14.5 million visitors a year, and the city reports that roughly 30% of its overnight visitors stay in short-term rentals.
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 Springs 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 Springs, so these counts are not Palm Springs-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 Springs?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Palm Springs 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 Springs)
Typical home values, median sale prices, and the 10-year price trend for Palm Springs 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 Springs — 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
Palm Springs permits short-term rentals, but under a strict regime, and enforcement severity is rated strict. Operators need a Vacation Rental or Homeshare Registration Certificate plus a Transient Occupancy Tax permit. The standard annual certificate fee is $1,046 as of December 1, 2025, and a Junior certificate costs $523 but allows only 6 rental contracts per year. Certificates renew annually. Requirements include liability insurance with a $500,000 minimum limit, a passing safety inspection at initial application and each renewal, and an annual city education program and test.
Rentals are capped by number of contracts, not nights. One booking counts as one contract regardless of length. Certificates issued after November 2022 are limited to 26 contracts per year. Legacy permits issued before November 2022 keep a 36-contract cap. On October 22, 2025 the City Council voted to keep that 36-contract cap indefinitely, canceling a scheduled reduction to 26. Newer permits remain at 26.
Zoning limits vacation rentals and homeshares to single-unit detached homes in residential neighborhoods, and apartments are prohibited. A 20% neighborhood density cap, approved in November 2022, blocks new certificates in any neighborhood where 20% or more of dwelling units already hold one.
Owner occupancy and primary residence are not required for a standard vacation rental. The occupancy tax is 11.5%, plus a 1% Tourism Business Improvement District assessment on stays under 28 days. Operating without a certificate carries a $5,000 fine. Confirm current rules with the city before buying.
Market Comparison
The Coachella Valley STR market is a resort market with high rates and a pronounced seasonal swing. September 2026 occupancy of 37.7% is a seasonal low, and the 2026 year to date occupancy is 50.1% at a $440 year to date ADR.
That pattern is typical of a resort destination with strong peak months and a soft summer. March occupancy reaches 72.2%, while May falls to 38.8%. Monthly revenue per listing of $3,643 in September and $5,937 on a 2026 year to date basis reflects the higher rates rather than higher occupancy.
Palm Springs also differs from many markets on regulation. Contract caps of 26 or 36 per certificate, a 20% neighborhood density cap, and a single-unit home requirement limit supply, which helps protect rates for existing certificate holders but makes new entry harder.
The Coachella Valley STR market is tracked at a shared regional level rather than uniquely for Palm Springs, so this profile omits top operator data.
Frequently Asked Questions About Palm Springs, California
What is the average Airbnb rate in Palm Springs?
What is the occupancy rate for short-term rentals in Palm Springs?
How many nights a year can I rent a home in Palm Springs?
Do I need a permit to run a short-term rental in Palm Springs?
What is the best month for Palm Springs vacation rentals?
What taxes apply to Palm Springs short-term rentals?
What does a home cost in Palm Springs?
Analyze Palm Springs Rentals
Use our free calculator to estimate Airbnb revenue for any property in Palm Springs.
Free Palm Springs STR Calculator →
