Minneapolis, Minnesota Short-Term Rental Market
Minneapolis STRs averaged $197 per night at 74.8% occupancy in June 2026.
Quick Answer: Minneapolis, Minnesota is an active short-term rental market. average occupancy in the Minneapolis market area is 75%. average monthly revenue in the Minneapolis market area is $3,909. average daily rate in the Minneapolis market area is $197. the top operator in the Minneapolis market area is Minnestay with 124 listings. market score is 78/100 (grade B).
Market data reflects the wider Minneapolis market, which covers 5 areas. Regulations, taxes, and permit details below are specific to Minneapolis.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Minneapolis anchors Minnesota’s tourism economy, and statewide the state drew 81.6 million visitors and a record $14.7 billion in visitor spending in 2024. As of June 2026, the Minneapolis area STR market shows an average daily rate of $196.93 with occupancy at 74.81%, one of the higher occupancy readings in this data set, up 0.77% year over year even as ADR fell 5.58%. Revenue per listing was essentially flat year over year, up 0.79%, to $3,909.26 per month for the average active listing.
Listing count, bedroom mix, and channel split data for this area are tracked at a shared regional level rather than uniquely for Minneapolis, so this profile omits those specific breakdowns.
Entire home rentals average a higher $225.07 nightly rate than the area overall, while listings in the top luxury tier command $382.16 a night and professionally managed listings average $263.13, both above the $196.93 area wide ADR.
Minneapolis has a population of 435,233 and blends leisure travel around the Chain of Lakes, the Mississippi riverfront, and museums with heavy convention and business travel; the city’s hotels sold a record 2,072,664 room-nights in 2024. No precise city-specific short-term rental visitor count was published, so this reflects the broader tourism and hotel market context.
Seasonal Patterns
| Month | Occupancy | ADR | Revenue |
|---|---|---|---|
| Jan | 48% | $135 | $1,886 |
| Feb | 53% | $139 | $1,786 |
| Mar | 59% | $132 | $2,083 |
| Apr | 60% | $131 | $2,111 |
| May | 66% | $143 | $2,504 |
| Jun | 74% | $167 | $3,208 |
| Jul | 74% | $161 | $3,252 |
| Aug | 74% | $164 | $3,293 |
| Sep | 64% | $151 | $2,587 |
| Oct | 63% | $151 | $2,643 |
| Nov | 56% | $140 | $2,155 |
| Dec | 57% | $146 | $2,266 |
Top Short-Term Rental Operators in Minneapolis market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Minneapolis market as a whole, which includes Minneapolis, so these counts are not Minneapolis-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Minnestay | 124 | 4,439 | ★ 4.82 |
| 2 | CozySuites | 106 | 953 | ★ 4.04 |
| 3 | Evolve | 104 | 3,177 | ★ 4.67 |
| 4 | Raspberry Rentals | 32 | 753 | ★ 4.40 |
| 5 | Curtwood | 31 | 1,859 | ★ 4.67 |
What Kind of STR Should I Buy in Minneapolis?
Revenue and pricing by property type, tier, and bedroom count.
Revenue by Bedroom Count
| 1 bed | 2,188 |
| 2 bed | 1,317 |
| 3 bed | 842 |
| 4 bed | 588 |
| 5 bed | 370 |
ADR by Property Tier
| Entire Home | $225 |
| Luxury | $382 |
| Professionally Managed | $263 |
Revenue by Dwelling Type
| Apartment | $3,015 |
| Entire Place | $4,505 |
| House | $4,413 |
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 60.5% |
| vrbo | 4.6% |
| both | 34.9% |
Investment Analysis
Minneapolis’ average listing rents for $196.93 a night, with a meaningful premium for higher tier properties. Listings in the top luxury tier average $382.16 a night, about 94% above the area wide ADR, essentially double, while professionally managed listings average $263.13, about 34% above market. This spread points to real upside for owners who can position a property into professional management or the luxury tier.
Revenue per listing held essentially flat year over year (up 0.79%) even as ADR fell 5.58%, offset by higher occupancy (up 0.77%) and a longer average stay, suggesting the market absorbed a real rate decline through booking volume rather than losing revenue. The average active listing generated $3,909.26 in monthly revenue, or roughly $46,911 annualized.
Against a typical home value of $336,624.39 (Zillow, June 2026), that annualized revenue figure equals about 14% of the purchase price on a gross basis, though this excludes cleaning fees, management commissions, taxes, insurance, and vacancy, so actual net cash on cash returns will run below that gross figure. It is also important to note that Minneapolis limits an owner to one short-term rental in addition to their own homesteaded residence, which caps how much this model scales for a single investor compared to markets without that restriction.
Resale housing is competitive, with a median sale price of $344,966.67 against a median list price of $321,600.00, a sale to list ratio of 1.073, meaning homes are selling above asking price on average, and a fast median 17 days to pending. With 1,484 homes currently for sale, Minneapolis shows durable guest demand supported by a 0.79% year-over-year revenue gain, even though the market’s higher home values and the one-STR-per-owner cap keep the cost basis more middling than more affordable markets covered so far.
Revenue Trend (5 yr)
ADR & Occupancy Trends (5 yr)
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Booking Insights
Guests book Minneapolis stays an average of 56.45 days in advance, a moderate planning window consistent with a mix of leisure travelers and convention or business visitors booking around specific events or conference dates.
Average length of stay sits at 5.14 nights, one of the longer average stays in this data set, well above a typical weekend trip, reflecting the mix of extended business stays, convention attendees, and leisure travelers spending a full week exploring the Chain of Lakes, the riverfront, and downtown attractions.
This longer average stay reduces cleaning and turnover costs per night booked compared to markets built around one or two night stays, while the moderate lead time gives owners a reasonable window to adjust pricing ahead of major conventions or seasonal peaks.
Short-Term Rental Regulations
Short-term rentals are legal in Minneapolis but must be registered or licensed through the city. A homesteaded unit, meaning a condo or home the owner lives in, requires a short-term rental registration at $64 per year. A non-homesteaded, investor owned unit requires a short-term rental license instead, carrying the same fee and inspection cycle as a regular rental license. Hosts must also hold a separate short-term rental hosting license tied to the booking platform used, such as Airbnb or Vrbo.
Key operational rules: an owner may run only one short-term rental in addition to their own homestead. Occupancy is capped at 10 guests per unit regardless of size. Liability insurance of at least $300,000 is required, and a management plan covering noise, trash, and parking must be filed with the city. Neighbors must be notified, and a floor plan must be posted inside the unit. The registration or license number must appear in every online listing. In buildings of 20 or more units, short-term rentals are capped at 10% of total units.
Owner occupancy is not required for a license, so non-owner-occupied investor STRs are permitted. On taxes, the city’s 3% lodging tax applies only to establishments with 50 or more rooms, so most individual short-term rentals are exempt from that specific tax. STRs must still collect Minnesota state sales tax of 6.875% plus Hennepin County and Minneapolis local sales and transit taxes, bringing the total tax collected on bookings to roughly 13.5%.
Enforcement runs through the standard rental licensing inspection system and is rated moderate. The city has signaled tighter enforcement, including a proposed rule that would require properties with 40 or more violation points to seek City Council approval at license renewal.
Market Comparison
Minneapolis’ occupancy of 74.81% runs well above the broader US short-term rental median of roughly 55%, one of the strongest occupancy readings in this data set, while its $196.93 average daily rate sits below the roughly $220 national median, pointing to a high volume, moderately priced market rather than a premium destination.
Property manager data for this area is tracked at a shared regional level rather than uniquely for Minneapolis, so this profile omits naming specific operators here.
Frequently Asked Questions About Minneapolis, Minnesota
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