Katy, Texas Short-Term Rental Market
Greater Houston area STR market averaged $145 ADR, 53.5% occupancy and $2,165 monthly revenue in September 2026.
Quick Answer: Katy, Texas is an active short-term rental market. average occupancy in the Houston market area is 53%. average monthly revenue in the Houston market area is $2,165. average daily rate in the Houston market area is $145. the top operator in the Houston market area is Phillip Houston Property Manager with 439 listings. market score is 56/100 (grade C).
Market data reflects the Houston regional market, which includes Katy. Regulations, taxes, and permit details below are specific to Katy.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Katy is a suburb roughly 30 miles west of downtown Houston with a population of 25,184. STR performance data is tracked at a shared submarket level, so every performance figure on this page describes the Greater Houston area STR market rather than Katy alone. In September 2026 the Greater Houston area STR market posted an average daily rate of $145, occupancy of 53.5% and average monthly revenue of $2,165. Compared with September 2025, ADR rose 8.8% and occupancy rose 1.0%, while revenue slipped 1.8%. By listing type, entire place listings averaged $2,423 a month, houses $2,334 and apartments $1,883. Lead time averaged 25 days and the average stay was 5.4 nights. Summing the twelve seasonal months gives annualized revenue of $25,351. Year to date through September 2026, ADR is $166, occupancy is 56.3% and monthly revenue is $2,604. That compares with full-year 2025 figures of $152, 57.6% and $2,473, so rate and revenue are ahead of last year while occupancy is behind. Bedroom, channel and listing-type counts and top operator names are tracked at a shared regional level rather than uniquely for Katy, so this profile omits them. Local demand draws on regional visitors, shoppers at Katy Mills (175+ stores), Typhoon Texas Waterpark, youth and amateur sports tournaments and the Historic Town Square and Boardwalk District. Much overnight demand is also tied to the broader Houston and Energy Corridor activity. The city has been building a tourism program, including a visitors center that opened in May 2025.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 53% |
| Feb | 60% |
| Mar | 64% |
| Apr | 57% |
| May | 60% |
| Jun | 64% |
| Jul | 64% |
| Aug | 58% |
| Sep | 57% |
| Oct | 58% |
| Nov | 56% |
| Dec | 55% |
Month-by-month nightly rates and revenue figures for Katy are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Houston market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Houston market as a whole, which includes Katy, so these counts are not Katy-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Phillip Houston Property Manager | 439 | 17,345 | ★ 4.51 |
| 2 | Evolve | 360 | 8,415 | ★ 4.49 |
| 3 | Landing, Inc. | 272 | 398 | ★ 3.84 |
| 4 | Landing | 245 | 158 | ★ 3.56 |
| 5 | Lodgeur | 142 | 2,171 | ★ 4.78 |
What Kind of STR Should I Buy in Katy?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Katy 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 | 60.3% |
| vrbo | 4.4% |
| both | 35.3% |
Home Value Trends (Katy)
Typical home values, median sale prices, and the 10-year price trend for Katy 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 Katy — 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 legal in Katy, but they are regulated. The City of Katy adopted a dedicated ordinance (Article 4.10) on March 27, 2023, by a 4 to 1 vote, after counting about 558 active rentals. Operators must obtain a Short-Term Rental Permit from the Permits and Building Department before operating. Reported costs are about $300 for a new permit, $200 to renew and a $50 inspection fee. Permits expire 12 months after issuance and must be renewed annually. Owners must pass initial and renewal code and fire inspections, carry general liability insurance, and register for and remit hotel occupancy tax. Applications require a site plan showing the parking layout, ingress and egress routes and fire extinguisher locations. Katy levies a 7% city hotel occupancy tax on top of the 6% Texas state tax, roughly 13% combined, on stays under 30 days. Use restrictions are specific. The property may not be used as an event venue, so no weddings, parties or gatherings. Only the dwelling itself may be rented, and tents, hammocks, RVs, campers and vehicles are not allowed as the rental unit. There is no owner-occupancy requirement, no primary residence requirement and no annual night cap in the ordinance. Operating without a valid permit or violating the ordinance is an offense with a fine up to $500, and repeated noncompliance can lead to permit revocation. Enforcement is rated moderate and involves the planning department, building official and fire marshal responding to complaints.
Market Comparison
The Greater Houston area STR market posted September 2026 occupancy of 53.5% and an all-listings ADR of $145. Entire place listings reached $166, professionally managed listings $172 and luxury listings $254, so the rate premiums come from property quality and management. Year over year, ADR grew 8.8% and occupancy grew 1.0%, which shows the market is gaining ground, though revenue is still 1.8% lower than a year earlier. Regulation is a consideration, since Katy requires a permit, inspections and insurance, but it has no night cap and no owner-occupancy rule. Operator concentration and top property manager names are tracked at a shared regional level rather than uniquely for Katy, so this profile omits them. Investors should weigh these rates against a typical home value of $331,839.
Frequently Asked Questions About Katy, Texas
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