Gulf Shores, Alabama Short-Term Rental Market
Gulf Shores STRs averaged $338/night at 57.7% occupancy in April 2026, with an overall market score of 82 out of 100.
Quick Answer: Gulf Shores, Alabama is an active short-term rental market. average occupancy is 58%. average monthly revenue is $5,312. average daily rate is $338. the top operator is Vacasa with 2,094 listings. market score is 82/100 (grade B).
Market Score Breakdown
Five dimensions Apivex evaluates per market.
Market Overview
Gulf Shores, AL is one of the Gulf Coast’s most active short-term rental markets, with approximately 20,265 active listings tracked across platforms as of the latest snapshot. In April 2026, the market posted an average daily rate of $338 and occupancy of 57.7%, generating average monthly revenue of $5,312 per listing. RevPAR came in at $195.
Entire-place listings dominate the inventory at 20,012 out of 20,265 total (98.8%), with private-room units accounting for 252 listings and shared-room units representing just 1 listing. The bedroom mix skews toward mid-size units: 2-bedroom properties account for 6,832 listings and 3-bedroom units for 6,743, together making up roughly two-thirds of inventory. 1-bedroom units number 3,069, while 4-bedroom and 5-bedroom properties add 2,264 and 1,345 listings respectively.
On the channel side, 13,551 listings appear on both Airbnb and VRBO, while 3,701 are VRBO-exclusive and 3,013 are Airbnb-only, reflecting VRBO’s historically strong presence in coastal condo markets.
Year-over-year, occupancy rose 9.57 percentage points, and revenue climbed 7.81%. ADR dipped 2.43%, indicating that the occupancy rebound rather than rate growth is driving revenue recovery. The market’s overall score of 82.1 out of 100 reflects strong investability (94.9) and rental demand (87.2), offset by meaningful seasonality (43.5).
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 39% | $198 | $1,985 |
| Feb | 64% | $208 | $2,588 |
| Mar | 69% | $293 | $4,487 |
| Apr | 49% | $297 | $4,089 |
| May | 63% | $327 | $5,186 |
| Jun | 80% | $384 | $7,953 |
| Jul | 79% | $362 | $7,690 |
| Aug | 54% | $297 | $4,606 |
| Sep | 52% | $261 | $3,702 |
| Oct | 53% | $248 | $3,503 |
| Nov | 34% | $225 | $2,194 |
| Dec | 30% | $221 | $1,900 |
Top Short-Term Rental Operators in Gulf Shores
Ranked by total active listings. Useful for understanding the competitive landscape.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Vacasa | 2,094 | 83,995 | ★ 4.38 |
| 2 | Brett Robinson Vacation Rentals | 1,773 | 15,753 | ★ 4.53 |
| 3 | Liquid Life | 909 | 23,703 | ★ 4.60 |
| 4 | My Beach Getaways | 447 | 10,942 | ★ 4.59 |
| 5 | Beachball Properties | 422 | 13,341 | ★ 4.61 |
What Kind of STR Should I Buy in Gulf Shores?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 3,069 |
| 2 bed | 6,832 |
| 3 bed | 6,743 |
| 4 bed | 2,264 |
| 5 bed | 1,345 |
ADR by Property Tier
| Entire Home | $340 |
| Luxury | $468 |
| Professionally Managed | $373 |
Revenue by Dwelling Type
| Apartment | $5,133 |
| Entire Place | $5,347 |
| House | $5,883 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 14.9% |
| vrbo | 18.3% |
| both | 66.9% |
Investment Analysis
At a typical home value of $452,086, Gulf Shores presents an entry point within reach for coastal real estate investors. Using April 2026 average monthly revenue of $5,312, a full year at that pace would produce approximately $63,744 in gross annual revenue, implying a gross yield of roughly 14.1% on a typical acquisition. Investors should note that April captures a mid-shoulder month; actual annual performance is shaped heavily by the summer peak (see seasonal patterns).
The 2025 full-year average revenue was $5,297 per month across all listings, consistent with the April 2026 figure and suggesting the market has stabilized at this level. ADR for the 2025 annual average was $328, up from $271 in 2023 and $246 in 2019, a 33% gain over six years.
Tier differentiation is meaningful. The entire-home tier averaged $340/night in April 2026 versus $338 for all listings, a negligible difference that reflects how dominant entire-place inventory is (98.8% of all listings). Luxury properties commanded $468/night, a 39% premium over the market average. Professionally managed listings averaged $373/night, an 11% premium that partially offsets typical management fees for investors weighing self-management against hiring an operator.
Revenue growth scores 85.8 out of 100 and investability scores 94.9 out of 100 in the latest dimension snapshot. The regulation score of 59.5 reflects a permissive but structured licensing regime. No owner-occupancy requirement means remote investors can participate freely.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
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Booking Insights
Gulf Shores guests book an average of 55.4 days in advance, with an average length of stay of 4.3 nights. The 55-day lead time sits in the moderate range for a coastal beach destination, giving operators roughly an 8-week window to optimize pricing before arrival. Properties that update pricing dynamically within that 60-day window can capture demand shifts as the travel date approaches.
A 4.3-night average stay indicates guests are booking extended weekend-to-week-long stays rather than single-night arrivals, which reduces turnover frequency and associated cleaning costs. For a property with a 4-night minimum, this lead time and stay length combination means operators are typically filling inventory well in advance of peak summer weeks, making last-minute discounting less necessary for high-season dates. During the shoulder months (September through November), the same lead time and stay profile may require more active yield management to maintain occupancy above the 30 to 53% range observed historically.
Short-Term Rental Regulations
Gulf Shores permits STRs broadly in tourist overlay districts, commercial zones (BN, BG, BT), Intracoastal Waterway zones (ICW-N, ICW-S), and qualifying multi-family PUDs. STRs are prohibited in standard residential zones R-1 through R-5 and in agricultural (AG), educational (ED), industrial (IND), and open space (OS) zoning designations. Properties legally operating as STRs in 2009 or 2018 may continue as nonconforming uses with documentation.
All operators need two annual licenses: an Annual Rental License at $45 per unit per year and an Annual Business License with fees calculated on gross receipts (minimum approximately $180 at renewal). Both expire December 31 and must be renewed by January 31 to avoid penalties. A Fire Marshal safety inspection is required every three years, covering smoke and CO detectors, fire extinguishers, and egress routes.
The total lodging tax within Gulf Shores city limits is 16%, comprised of a 4% state levy, a 2% Baldwin County levy, and a 10% city levy, due by the 20th of the following month. Airbnb collects and remits the city lodging tax automatically on behalf of hosts. VRBO’s coverage of Gulf Shores city lodging tax has not been confirmed by the city.
There is no owner-occupancy or primary residence requirement and no cap on nights rented per year. Occupancy is capped at 2 persons per bedroom plus 2 additional guests, with 1 off-street parking space per bedroom required. Operators must designate a 24/7 local emergency contact and carry a minimum of $300,000 in liability insurance. Enforcement severity is rated moderate. Recent changes include Ordinance 2201 (February 2026), which added a planning department permit requirement for vacation rental signage, and the formalization of a triennial Fire Marshal inspection as a condition for license issuance beginning in 2025.
Market Comparison
Gulf Shores tracks above U.S. STR medians on key metrics. The U.S. national median STR occupancy is approximately 55%; Gulf Shores April 2026 occupancy of 57.7% sits modestly above that. At $338/night average ADR, Gulf Shores exceeds the U.S. national median of approximately $220, reflecting the premium that Gulf Coast beachfront and condo inventory commands over mixed national inventory.
Revenue growth scored 85.8 out of 100 and overall market score reached 82.1, placing Gulf Shores in the upper tier of coastal markets tracked.
The operator landscape is concentrated. Vacasa leads with 2,094 listings and 83,995 reviews (rating 4.38). Brett Robinson Vacation Rentals holds second with 1,773 listings and 15,753 reviews (rating 4.53). Liquid Life ranks third with 909 listings and 23,703 reviews (rating 4.60). My Beach Getaways manages 447 listings (rating 4.59) and Beachball Properties manages 422 listings (rating 4.61). Together, the top 5 operators account for 5,645 listings, representing approximately 27.9% of all tracked listings in the market. That level of professional management concentration is high by national standards and indicates an established, competitive operator ecosystem.
Frequently Asked Questions About Gulf Shores, Alabama
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