Rapid City, South Dakota Short-Term Rental Market
Rapid City, SD short-term rentals averaged $279/night at 73.9% occupancy in June 2026, ahead of its first STR ordinance.
Quick Answer: Rapid City, South Dakota is an active short-term rental market. average occupancy in the Rapid City market area is 74%. average monthly revenue in the Rapid City market area is $5,549. average daily rate in the Rapid City market area is $279. the top operator in the Rapid City market area is Evolve with 72 listings. market score is 50/100 (grade D).
Market data reflects the wider Rapid City market, which covers 6 areas. Regulations, taxes, and permit details below are specific to Rapid City.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Rapid City’s short-term rental market posted a $279 average daily rate and 73.9% occupancy in June 2026, generating $5,549 in average monthly revenue per listing. By property type, houses averaged $6,137/month, entire-place listings $5,823/month, and apartments $3,907/month. Year over year, occupancy was roughly flat (up 0.53 percentage points) and average revenue rose 3.3%, even as ADR fell 9.0%, one of the steepest ADR declines in this batch alongside Sherrills Ford.
The market carries roughly 2,450-2,460 active listings. The bedroom mix skews small: 926 one-bedroom (38% of supply), 579 two-bedroom, 481 three-bedroom, 289 four-bedroom, and 177 five-bedroom. Entire-place listings account for 2,280 (about 93%), with 171 private rooms and 7 shared rooms. Channel data shows 1,080 listings on both Airbnb and Vrbo, 1,041 Airbnb-only, and 337 Vrbo-only.
Rapid City is the primary gateway to the Black Hills and Badlands, about 24 miles from Mount Rushmore, and welcomed roughly 3.93 million visitors in 2025 (up 1.4% from 2024), who spent $527.3 million and supported an estimated 9.6% of all local jobs. Its rental demand score of 80.54 (out of 100) and investability score of 78.48 point to a solid tourism-anchored market, though its total market score of 50.48 and seasonality score of 50.12 reflect a market with a pronounced summer peak rather than year-round demand.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 38% |
| Feb | 47% |
| Mar | 56% |
| Apr | 47% |
| May | 61% |
| Jun | 75% |
| Jul | 75% |
| Aug | 63% |
| Sep | 58% |
| Oct | 49% |
| Nov | 40% |
| Dec | 45% |
Month-by-month nightly rates and revenue figures for Rapid City are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Rapid City market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Rapid City market as a whole, which includes Rapid City, so these counts are not Rapid City-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Evolve | 72 | 4,999 | ★ 4.79 |
| 2 | Stay in the Black Hills | 60 | 4,536 | ★ 4.82 |
| 3 | Soujourn | 40 | 6,568 | ★ 4.67 |
| 4 | Velora Management Group | 28 | 807 | ★ 4.55 |
| 5 | Bear Property Management | 27 | 1,634 | ★ 4.86 |
What Kind of STR Should I Buy in Rapid City?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Rapid City 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 | 42.4% |
| vrbo | 13.7% |
| both | 43.9% |
Home Value Trends (Rapid City)
Typical home values, median sale prices, and the 10-year price trend for Rapid City 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 Rapid City — 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
Rapid City passed its first-ever vacation home rental ordinance in December 2025 (council vote December 2, 2025; final reading December 15, 2025). It applies to vacation homes, defined as any home rented in its entirety for stays of up to 28 consecutive days and more than 14 total days per year. Operators must hold a South Dakota state lodging license (with an annual state Department of Health inspection) and complete an annual city registration carrying a $70 fee.
Whole-home rentals are allowed in all zoning districts that permit residential use, so there is no owner-occupancy or primary-residence requirement. Each property must provide two off-street parking spaces, and occupancy is capped at two guests per bedroom plus two additional. Homes with more than five bedrooms need a conditional use permit. Partial-home rentals where the owner lives on-site are instead treated as bed-and-breakfasts under separate rules.
The city gave existing operators a six-month grace period to come into compliance and estimates 600 to 1,000 vacation homes operate at any time. Combined transaction taxes on short-term lodging run roughly 8.7%: a 4.2% South Dakota state sales tax, a 2% municipal sales tax, a 1% municipal gross receipts tax on lodging, and a 1.5% state tourism tax. Enforcement is rated moderate given how new the ordinance is. No maximum-nights-per-year cap applies beyond the 28-consecutive-day/14-total-day definition itself.
Market Comparison
At 73.9% occupancy and a $279 ADR, Rapid City runs well above the roughly 55% occupancy and roughly $220 ADR typical of the broader US short-term rental market, reflecting its role as the primary gateway to Mount Rushmore, Badlands National Park, and Custer State Park, a region that drew roughly 3.93 million visitors in 2025. Its rental demand score of 80.54 out of 100 supports that read, even as its total market score of 50.48 reflects a market with a pronounced, short summer peak.
Property management here is led by regional and boutique operators rather than the largest national platforms: Evolve tops the list with 72 listings (4,999 reviews, 4.79 rating), followed by Stay in the Black Hills (60 listings, 4.82 rating), Soujourn (40 listings, 6,568 reviews, the most reviews per listing of any top-5 operator in this market), Velora Management Group (28 listings), and Bear Property Management (27 listings). The top 5 combined control 227 of the market’s roughly 2,450-2,460 listings, about 9.2%, meaning most Rapid City STR supply remains independently operated, a dynamic likely to shift now that the city’s new vacation-home ordinance is in effect.
Frequently Asked Questions About Rapid City, South Dakota
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