Townsend, Montana Short-Term Rental Market
Townsend, MT STRs averaged $158/night at 42.8% occupancy in April 2026 with revenue up 1.9% year-over-year.
Quick Answer: Townsend, Montana is an active short-term rental market. average occupancy in the Montana Area market area is 57%. average monthly revenue in the Montana Area market area is $3,539. average daily rate in the Montana Area market area is $218. the top operator in the Montana Area market area is Evolve with 166 listings. market score is 53/100 (grade D).
Market data reflects the Montana Area regional market, which includes Townsend. Regulations, taxes, and permit details below are specific to Townsend.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
The Townsend short-term rental market covers a broad south-central Montana footprint anchored by Canyon Ferry Lake in Broadwater County, with the operator landscape also reflecting activity in the Carbon County and Red Lodge area. Total listings across channels reach 4,398. Entire-place rentals dominate at 4,116 listings (93.6% of supply), with 282 private rooms. No shared rooms appear in the dataset.
The bedroom mix favors smaller to mid-size properties: 1-bedroom leads at 1,520 listings, followed by 2-bedroom at 1,253 and 3-bedroom at 956. Larger properties account for 420 4-bedroom and 235 5-bedroom listings.
In April 2026, the market posted a $158 average daily rate and 42.8% occupancy, generating $1,788 average monthly revenue. RevPAR was $68. Year-over-year in April, occupancy was essentially flat (up 0.03 percentage points), ADR rose 2.9%, and revenue grew 1.9%. The 2025 full-year average was $2,514 per month at 50.0% occupancy and $183 ADR.
Channel distribution: Airbnb lists 2,120 properties, VRBO 456, and 1,822 appear on both platforms. The overall market score is 52.71 out of 100, with investability at 71.24 and regulation at 70.15. The below-average composite score reflects a challenging regulatory environment and lower revenue growth trajectory.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 38% |
| Feb | 46% |
| Mar | 46% |
| Apr | 43% |
| May | 52% |
| Jun | 64% |
| Jul | 66% |
| Aug | 59% |
| Sep | 52% |
| Oct | 45% |
| Nov | 47% |
| Dec | 43% |
Month-by-month nightly rates and revenue figures for Townsend are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Montana Area market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Montana Area market as a whole, which includes Townsend, so these counts are not Townsend-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Evolve | 166 | 7,587 | ★ 4.84 |
| 2 | AAA Red Lodge Rentals | 46 | 3,535 | ★ 4.92 |
| 3 | Red Lodge Reservations | 32 | 1,813 | ★ 4.89 |
| 4 | Alpine Basin Homes | 30 | 881 | ★ 4.95 |
| 5 | Anaconda Pintler Property Services | 30 | 713 | ★ 4.95 |
What Kind of STR Should I Buy in Townsend?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Townsend 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 | 48.2% |
| vrbo | 10.4% |
| both | 41.4% |
Home Value Trends (Townsend)
Typical home values, median sale prices, and the 10-year price trend for Townsend 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 Townsend — 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
The regulatory environment in Townsend is in active transition and carries meaningful short-term uncertainty.
Townsend city ordinances classify STRs as tourist residences and require a permit issued by the building inspector. However, as of March 2026, the city had not developed a permit application or issuance process, meaning operators cannot obtain the required permit. Over 55 STRs were operating inside city limits without permits due to this gap. In March 2026, the Townsend Planning Commission recommended a six-month moratorium on new tourist residences to allow time to build out the enforcement framework. As of the profile update date, the moratorium had not been formally adopted by the full commission.
Zoning: STRs are permitted in R-1 and R-2 residential zones and prohibited in R-1E Low Density Residential Exclusive zones and in Commercial zones.
No permit fee has been publicly established. Owner-occupancy and primary-residence requirements do not apply. Broadwater County imposes no additional lodging tax beyond state obligations.
Tax obligations: Montana imposes an 8% combined state lodging tax on reservations of 29 days or fewer (4% Lodging Facility Use Tax plus 4% Lodging Sales Tax). Major platforms collect and remit these taxes automatically. All STR operators in Montana also need a Public Accommodation License from the Montana Department of Public Health and Human Services.
Enforcement is currently minimal, but the regulatory environment is moving toward greater structure. Investors should monitor ordinance developments in 2026 before committing to new acquisitions inside Townsend city limits.
Market Comparison
Against national STR benchmarks (median occupancy approximately 55%, median ADR approximately $220), Townsend’s April 2026 occupancy of 42.8% and ADR of $158 both fall below average. The 2025 full-year averages (50.0% occupancy, $183 ADR) are closer but still trail the national medians. The market’s overall score of 52.71 out of 100 is the lowest of the five markets in this analysis, reflecting moderate demand and the higher acquisition cost relative to revenue output.
The top operators in this market skew toward regional specialists. Evolve leads with 166 listings and 7,587 reviews at a 4.84 rating. AAA Red Lodge Rentals ranks second with 46 listings and 3,535 reviews at an excellent 4.92 rating. Red Lodge Reservations holds third with 32 listings and 4.89 rating. Alpine Basin Homes and Anaconda Pintler Property Services are both at 30 listings with ratings above 4.95, the highest of the top 5. The presence of Red Lodge-named operators in the top 5 reflects the broad geographic footprint of this area code.
The top 3 operators account for 244 listings out of 4,398 total. Independent hosts control approximately 94% of supply, consistent with the other markets in this batch. The strong ratings from the top regional specialists (4.92 to 4.95) suggest that local expertise drives measurable quality advantages over generic national management.
Frequently Asked Questions About Townsend, Montana
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