Ann Arbor, Michigan Short-Term Rental Market
Ann Arbor STRs averaged $195/night at 62.7% occupancy in April 2026, with September football season driving $3,654 peak monthly revenue.
Quick Answer: Ann Arbor, Michigan is an active short-term rental market. average occupancy is 63%. average monthly revenue is $2,690. average daily rate is $195. the top operator is Goldilocks with 32 listings. market score is 57/100 (grade C).
Market Score Breakdown
Five dimensions Apivex evaluates per market.
Market Overview
Ann Arbor, Michigan is home to the University of Michigan and Michigan Stadium — the largest college football stadium in North America at 107,601 capacity — creating a uniquely event-driven STR market. Washtenaw County logged 3.9 million visitors in the most recent full-year count, with U-M football alone generating 100,496 out-of-county hotel room nights in 2024.
As of April 2026, the market posted a $195 average daily rate, 62.7% occupancy, and $122.25 RevPAR. Revenue averaged $2,690/month. Occupancy is up 7.13% year-over-year while ADR is effectively flat (+0.06%), resulting in revenue down 3.13% — suggesting more listings competing for similar demand. The market scored 56.75 overall, with rental demand (72.00) and regulation (71.75) as the top dimensions.
The Ann Arbor STR market is relatively small at approximately 1,284 active listings: 1,042 entire-place units (81%), 240 private rooms, and 2 shared rooms. This small supply base reflects the city’s restrictive zoning: non-owner-occupied whole-home STRs are banned from all residential zones since 2021. Channel distribution is heavily Airbnb-dominated: 823 Airbnb-only versus 54 VRBO-only, with 407 on both platforms.
Bedroom supply is weighted toward smaller units: 1-bedroom (483 listings), 2-bedroom (309), 3-bedroom (262), 4-bedroom (143), and 5-bedroom (80).
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 49% | $130 | $1,827 |
| Feb | 57% | $131 | $1,853 |
| Mar | 61% | $148 | $2,371 |
| Apr | 61% | $172 | $2,407 |
| May | 51% | $178 | $2,458 |
| Jun | 66% | $169 | $2,863 |
| Jul | 69% | $173 | $3,109 |
| Aug | 73% | $183 | $3,536 |
| Sep | 60% | $243 | $3,654 |
| Oct | 55% | $233 | $3,442 |
| Nov | 50% | $229 | $3,060 |
| Dec | 45% | $157 | $2,204 |
Top Short-Term Rental Operators in Ann Arbor
Ranked by total active listings. Useful for understanding the competitive landscape.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Goldilocks | 32 | 3,553 | ★ 4.81 |
| 2 | 4M Team | 27 | 6,060 | ★ 4.78 |
| 3 | StayArbor | 22 | 730 | ★ 4.64 |
| 4 | LiveSuites | 16 | 831 | ★ 4.78 |
| 5 | Evolve | 10 | 233 | ★ 4.66 |
What Kind of STR Should I Buy in Ann Arbor?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 483 |
| 2 bed | 309 |
| 3 bed | 262 |
| 4 bed | 143 |
| 5 bed | 80 |
ADR by Property Tier
| Entire Home | $223 |
| Luxury | $434 |
| Professionally Managed | $187 |
Revenue by Dwelling Type
| Apartment | $2,758 |
| Entire Place | $3,034 |
| House | $2,666 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 64.1% |
| vrbo | 4.2% |
| both | 31.7% |
Investment Analysis
Ann Arbor’s investment profile is fundamentally shaped by a strict zoning rule: non-owner-occupied whole-home STRs are prohibited in all residential zones since March 2021. This means traditional investor-owned single-family STRs in residential neighborhoods are not permitted. Permissible investor STR models include commercial/mixed-use zoned properties, owner-occupied whole-home rentals (while away), and homestays.
For permitted properties, the financial profile is solid. The typical home value is $531,674 with a median sale price of $469,333. Monthly revenue averages $2,690, implying approximately $32,285 in gross annual revenue and a gross yield of roughly 6.1% on the typical home value. Homes go pending in a median of 7 days in a competitive acquisition market.
Entire-place units lead revenue at $3,034/month, while apartments average $2,758/month and houses $2,666/month. The luxury tier commands $434/night ADR versus the all-listing average of $195. Notably, the professionally managed tier in Ann Arbor averages $187/night — slightly below the all-listing average — suggesting that the PM segment here leans toward volume-oriented management rather than premium positioning.
September is the highest-revenue month ($3,654 average) driven by U-M football season and the start of the academic year. Well-positioned properties near campus can command premium rates during 7-8 home game weekends per year.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
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Booking Insights
Ann Arbor guests book approximately 70 days in advance on average — one of the longer lead times in this batch — with an average stay of 3.92 nights. The 70-day lead time reflects forward-planning behavior typical of event-driven markets: football game-day stays, graduation weekends, and Art Fair weeks fill up months in advance, pulling the average well ahead of last-minute leisure bookings.
The 3.92-night average stay is slightly below the national STR average, consistent with an urban market where stays tend toward 2-4 nights rather than week-long vacations. Football weekend bookings (Friday-Sunday) anchor many short stays during September-November, which is consistent with this average.
For operators, the 70-day lead time creates a strong pricing opportunity: list game-day weekends and graduation weekend at premium rates well in advance (September calendar should be priced by June). Use dynamic pricing tools for off-event weeks inside 30 days. The Art Fair (mid-July) should also be priced early. Non-event weeks benefit from flexible minimums of 2-3 nights to attract weekend visitors year-round.
Short-Term Rental Regulations
Ann Arbor runs one of Michigan’s most detailed STR licensing regimes. Every STR requires an annual license ($500/year per unit, non-refundable even if denied) applied through the city’s STREAM portal with up to 21 business days for review.
The ordinance distinguishes three permitted types: (1) Homestays — renting rooms while the owner lives on-site, allowed in residential and mixed-use zones; (2) Owner-occupied whole-home rentals — renting your primary home while temporarily away, allowed in residential and mixed-use zones; (3) Investor/non-principal-residence rentals — permitted only in commercial and mixed-use zones, explicitly banned from all residential zones since March 1, 2021. ADUs may not be licensed as STRs under any circumstances.
Applications require proof of principal residency, floor and site plans, parking documentation, certificate of occupancy, a current fire inspection, and proof of at least $1 million in liability insurance. All listings must display the city license number and maximum occupancy. Third-party companies cannot hold or apply for licenses — only individual property owners may.
Tax obligations: 5% city accommodations tax (paid monthly to Ann Arbor) plus Michigan’s 6% state use tax on stays under 30 days. Airbnb auto-collects state use tax; other platforms require self-remittance. A January 2026 Green Rental Housing Ordinance now requires all rental units including STRs to meet minimum energy efficiency standards at inspection. Enforcement is rated strict.
Market Comparison
Nationally, STR markets average approximately 55% occupancy and $220 ADR. Ann Arbor’s 62.7% April occupancy exceeds the national median, but ADR at $195 is below average, reflecting both the small-unit mix and the supply of owner-occupied rooms and homestays at modest price points.
The market’s total score of 56.75 and its regulation score of 71.75 reflect a moderate overall profile constrained by strict zoning. Rental demand at 72.00 confirms strong guest appetite for the available inventory.
Goldilocks leads operator market share with 32 listings and 3,553 reviews at a 4.81 average rating. 4M Team manages 27 listings with 6,060 reviews at a 4.78 rating — notably more reviews per listing, suggesting high-volume, high-frequency operations. StayArbor holds 22 listings (4.64 rating, 730 reviews). Together the top 3 operators account for 81 listings, roughly 6% of estimated active supply. The highly fragmented market is dominated by individual owner-operators, consistent with the licensing requirement that only owners (not third-party companies) may hold licenses.
Frequently Asked Questions About Ann Arbor, Michigan
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