Fredericksburg, Texas Short-Term Rental Market
Fredericksburg short-term rentals averaged $309 ADR, 36.0% occupancy and $3,083 monthly revenue in September 2026.
Quick Answer: Fredericksburg, Texas is an active short-term rental market. average occupancy in the Fredericksburg market area is 36%. average monthly revenue in the Fredericksburg market area is $3,083. average daily rate in the Fredericksburg market area is $309. the top operator in the Fredericksburg market area is Cozi Vacation Rentals with 295 listings. market score is 68/100 (grade C).
Market data reflects the wider Fredericksburg market, which covers 5 areas. Regulations, taxes, and permit details below are specific to Fredericksburg.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
The Fredericksburg area STR market averaged a $309 average daily rate, 36.0% occupancy and $3,083 in monthly revenue in September 2026. Entire homes earned a slightly higher $310 ADR. Year over year, occupancy rose 13.7% while ADR fell 6.2% and revenue slipped 2.0%, so more nights were booked at lower rates and the net result was marginally lower revenue. September is also a shoulder month for the town, so these figures sit below the annual picture. Across 2026 through September, the average month produced 40.0% occupancy, a $320 ADR and $3,689 in revenue, compared with 41.3% occupancy, a $337 ADR and $4,023 in revenue for full-year 2025.
The Fredericksburg area STR market tracks 3,298 listings. Entire places make up 3,193 of them (96.8%) and private rooms account for 105. By bedroom count, one-bedroom units lead with 1,562 listings, followed by 731 two-bedroom, 564 three-bedroom, 245 four-bedroom and 194 five-bedroom listings. On distribution, 2,212 listings appear on both Airbnb and Vrbo, 850 are Airbnb only and 236 are Vrbo only, so most hosts are cross-listing.
Demand is driven by leisure travel. The city has a population of 11,419 and draws roughly 1,000,000 visitors a year, mostly from Austin, San Antonio and Houston. The Texas Hill Country wine trail, with more than 100 wineries, the National Museum of the Pacific War, Enchanted Rock and the German heritage festivals on Main Street give the town several reasons to book that are not tied to a single season. Typical stays run 2.6 nights with a booking lead time of 44 days, which fits the weekend-getaway profile.
The market’s composite scores add context: seasonality scores 93.7, regulation 76.5, investability 70.2, rental demand 69.9 and revenue growth 40.4, for a total of 68.1.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 31% |
| Feb | 38% |
| Mar | 50% |
| Apr | 44% |
| May | 41% |
| Jun | 42% |
| Jul | 42% |
| Aug | 34% |
| Sep | 37% |
| Oct | 44% |
| Nov | 47% |
| Dec | 45% |
Month-by-month nightly rates and revenue figures for Fredericksburg are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Fredericksburg market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Fredericksburg market as a whole, which includes Fredericksburg, so these counts are not Fredericksburg-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Cozi Vacation Rentals | 295 | 16,484 | ★ 4.67 |
| 2 | Absolute Charm B&B and Vacation Rentals | 243 | 24,235 | ★ 4.78 |
| 3 | Gastehaus Schmidt Lodging Service | 225 | 22,294 | ★ 4.83 |
| 4 | Bach Bros Properties | 196 | 13,409 | ★ 4.92 |
| 5 | Heavenly Hosts | 106 | 13,456 | ★ 4.90 |
What Kind of STR Should I Buy in Fredericksburg?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Fredericksburg 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 | 25.8% |
| vrbo | 7.2% |
| both | 67.1% |
Home Value Trends (Fredericksburg)
Typical home values, median sale prices, and the 10-year price trend for Fredericksburg 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 Fredericksburg — 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
Short-term rentals are permitted in Fredericksburg, but a permit is required for any dwelling rented for fewer than 30 days within city limits. Properties in the extra-territorial jurisdiction are exempt from the permit but must still collect hotel occupancy tax. There are five permit types: Accessory (an ADU on the owner’s property), B&B (rooms in the owner’s primary residence), Facility (multiple units on one property), Unoccupied (a non-owner-occupied dwelling) and Nonconforming (grandfathered permits issued before April 1, 2022). Neither owner occupancy nor primary residence is required across the board, though zoning narrows the options.
The application fee is $150 per unit plus $100 per bedroom, and permits renew annually with an annual inspection. The City Council approved an updated fee schedule in December 2023, so exact amounts may differ slightly.
Zoning is the main constraint. New STRs are prohibited in R3 zoning. In R1 and R2 zones only owner-occupied Accessory and B&B types are allowed, and new Unoccupied and Facility permits are not issuable. No new STR-Condo permits are being issued. Commercial districts (C1, C1.5, C2 and CBD) allow most types by right. Maximum occupancy is 12 guests, counted as 2 per bedroom plus 2 additional.
Hosts owe 7% local hotel occupancy tax plus 6% Texas state tax, 13% combined, on gross receipts including cleaning and pet fees. Airbnb and Vrbo typically remit the state portion but not the local 7%, which hosts remit quarterly to the City. Failure to remit triggers an automatic 90-day permit suspension. Quiet hours run 10 PM to 7 AM with a 55 dB limit, and three major violations within 12 months trigger Council review and suspension of up to 90 days. Enforcement severity is rated moderate. The ordinance took effect January 1, 2024.
Market Comparison
Fredericksburg is a high-rate, low-occupancy market. September 2026 occupancy of 36.0% alongside a $309 ADR points to a destination that prices on experience and location, not on volume. Even in March, the strongest month, occupancy is 49.8%.
Revenue per listing is the better measure. At $3,083 a month, Fredericksburg’s September revenue comes from rate, not nights booked. A host here needs to hold rate discipline, since occupancy is not going to carry the property.
In the Fredericksburg area STR market, the largest operators are Cozi Vacation Rentals with 295 listings, Absolute Charm B&B and Vacation Rentals with 243, Gastehaus Schmidt Lodging Service with 225, Bach Bros Properties with 196 and Heavenly Hosts with 106. Together they manage 1,065 listings, about 32.3% of the 3,298 tracked. Their ratings range from 4.67 to 4.92, with Bach Bros Properties highest at 4.92. For a new owner, that concentration means professional competitors set guest expectations on quality and service, and local management options are plentiful if self-managing is not practical.
Frequently Asked Questions About Fredericksburg, Texas
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