Silver Bay, Minnesota Short-Term Rental Market
Silver Bay, MN STRs averaged $184/night at 43.9% occupancy in April 2026 with $2,119/month average revenue.
Quick Answer: Silver Bay, Minnesota is an active short-term rental market. average occupancy in the Minnesota Area market area is 63%. average monthly revenue in the Minnesota Area market area is $4,729. average daily rate in the Minnesota Area market area is $302. the top operator in the Minnesota Area market area is Evolve with 337 listings. market score is 71/100 (grade B).
Market data reflects the Minnesota Area regional market, which includes Silver Bay. Regulations, taxes, and permit details below are specific to Silver Bay.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Silver Bay sits on Minnesota’s North Shore of Lake Superior in Lake County, 54 miles northeast of Duluth. The STR market spans 10,408 total listings across channels, making it a substantial market for a city of approximately 1,800 residents. Entire-place rentals account for 9,675 listings (93.0% of supply), with 727 private rooms and 6 shared rooms rounding out the inventory.
The bedroom mix leans toward mid-size vacation properties: 2-bedroom leads at 3,013 listings, followed by 3-bedroom at 2,537 and 1-bedroom at 2,551. Larger properties hold notable share with 1,420 4-bedroom and 876 5-bedroom listings, reflecting the market’s appeal to groups visiting Tettegouche State Park and the Superior Hiking Trail.
In April 2026, the market posted a $184 average daily rate and 43.9% occupancy, generating $2,119 average monthly revenue. RevPAR was $81. Year-over-year in April, occupancy improved 2.7 percentage points and ADR rose 6.2%, though monthly revenue was down 3.3% compared to April 2025, likely reflecting a mix or supply composition shift. The 2025 full-year average was meaningfully stronger: occupancy 50.0%, ADR $241, and average monthly revenue $3,335.
Channel distribution: Airbnb lists 4,169 properties, VRBO 1,486, and 4,753 appear on both platforms. The overall market score is 71.29 out of 100, with investability at 88.58 and revenue growth at 80.57.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 40% |
| Feb | 45% |
| Mar | 46% |
| Apr | 47% |
| May | 54% |
| Jun | 66% |
| Jul | 71% |
| Aug | 66% |
| Sep | 50% |
| Oct | 50% |
| Nov | 41% |
| Dec | 47% |
Month-by-month nightly rates and revenue figures for Silver Bay are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Minnesota Area market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Minnesota Area market as a whole, which includes Silver Bay, so these counts are not Silver Bay-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Evolve | 337 | 13,110 | ★ 4.77 |
| 2 | Cascade Vacation Rentals | 182 | 3,861 | ★ 4.76 |
| 3 | Heirloom | 112 | 7,458 | ★ 4.82 |
| 4 | Sota Lake Home Rentals | 61 | 1,310 | ★ 4.50 |
| 5 | Woods To Water Vacation Homes | 48 | 939 | ★ 4.95 |
What Kind of STR Should I Buy in Silver Bay?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Silver Bay 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 | 40.1% |
| vrbo | 14.3% |
| both | 45.7% |
Home Value Trends (Silver Bay)
Typical home values, median sale prices, and the 10-year price trend for Silver Bay 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 Silver Bay — 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
Silver Bay adopted a formal STR ordinance (Chapter 12, Section 1239) in June 2023, amended April 2025 to add the Golf Course Residential zoning district. Operating legally in Silver Bay requires navigating specific zoning and permit rules.
STRs are permitted only in three zoning districts: Bayview Park (BP), Forest Reserve (FR), and Golf Course Residential (GCR). Standard R1/R2 residential zones do not permit STRs. A hard citywide cap of 6 STR permits applies to all districts except Bayview Park, which is uncapped. Forest Reserve STRs additionally require a Conditional Use Permit and cannot be within 300 feet of any R1/R2 zoned parcel.
An annual permit is required, expiring December 31. Renewal applications must be filed by November 1. Before permit issuance, operators must obtain a Certificate of Inspection from the Lake County Health Inspector (on behalf of the MN Dept of Health).
Key operational constraints: maximum 4 bedrooms per STR unit; maximum guests of 1 plus bedrooms times 2, capped at 10; minimum 2 off-street parking spaces; a 24/7 local agent must be designated; listings must display the city-issued permit number. Permits are non-transferable and auto-terminate upon property sale.
The permit fee is set by the city council fee schedule (specific amount not published in available sources). A local lodging tax applies under City Code Section 225 (administered by the MN Dept of Revenue), plus Minnesota’s 6.875% state sales tax on STRs. The specific local lodging tax rate was not available in public documents. Enforcement is rated moderate. Violations are misdemeanors; revocation triggers a mandatory 12-month ban on new permit applications.
Market Comparison
Against national STR benchmarks (median occupancy approximately 55%, median ADR approximately $220), Silver Bay’s April 2026 occupancy of 43.9% runs below average, which is expected for a shoulder-season April in a northern latitude market. The full-year 2025 occupancy of 50.0% is closer but still trails the national median. ADR of $184 in April is below the $220 national median, though the 2025 annual average ADR of $241 exceeded it.
The market’s standout characteristic is the extremely low acquisition cost ($165,940 typical home value) relative to revenue output. Few STR destinations nationally combine a sub-$170K entry price with $3,335 monthly average revenue at peak-year performance.
Top operators: Evolve leads with 337 listings and 13,110 reviews at a 4.77 rating. Cascade Vacation Rentals ranks second with 182 listings and 3,861 reviews at 4.76. Heirloom holds third with 112 listings and 7,458 reviews at a high 4.82 rating. Together the top 3 operators account for 631 listings out of 10,408 total, meaning independent hosts hold over 93% of supply. Woods To Water Vacation Homes (48 listings) carries the highest rating of the top 5 at 4.95, indicating strong guest satisfaction from a smaller specialist operator.
Frequently Asked Questions About Silver Bay, Minnesota
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