Cape Charles, Virginia Short-Term Rental Market
Cape Charles non-owner-occupied STRs need a CUP; September 2026 ADR was $312, occupancy 45.6%, monthly revenue $3,868.
Quick Answer: Cape Charles, Virginia is an active short-term rental market. average occupancy in the Cambridge/Salisbury market area is 46%. average monthly revenue in the Cambridge/Salisbury market area is $3,868. average daily rate in the Cambridge/Salisbury market area is $312. the top operator in the Cambridge/Salisbury market area is Seaside vacation rentals with 210 listings. market score is 65/100 (grade C).
Market data reflects the Cambridge/Salisbury regional market, which includes Cape Charles. Regulations, taxes, and permit details below are specific to Cape Charles.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Cape Charles is a Chesapeake Bay town of 1,265 residents on Virginia’s Eastern Shore, and its short-term rental market draws far more people than the town houses. The latest data month is September 2026. In the Cape Charles area STR market, listings averaged an ADR of $312, occupancy of 45.6%, and monthly revenue of $3,868 per listing that month. Entire home listings earned a higher ADR of $320. Year over year, occupancy rose 8.1%, ADR rose 6.3%, and revenue rose 10.2%.
Demand is tied to visitation. Cape Charles drew about 343,000 visitors in 2025, and June through August accounted for roughly 196,000 of those visits, or 56% of the annual total. Average length of stay for visitors was 3.3 days, and about 75% of visitors stayed overnight. Most arrive from Hampton Roads, Richmond, and Northern Virginia.
The Cape Charles area STR market tracks 2,258 listings by type. Entire places make up 2,130 of them, private rooms 127, and shared rooms 1. By bedroom count, 3 bedroom homes are the largest group at 812 listings, followed by 2 bedroom at 495, 1 bedroom at 397, 4 bedroom at 352, and 5 bedroom at 198. By channel, 1,250 listings appear on both Airbnb and Vrbo, 747 on Airbnb only, and 261 on Vrbo only, so most operators manage pricing across both platforms.
The area’s market scores show investability at 93.5 and revenue growth at 81.9, with regulation at 67.9, rental demand at 56.8, and seasonality at 46.8, for a total score of 65.4. Strong growth and a weak seasonal profile define the opportunity.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 30% |
| Feb | 38% |
| Mar | 44% |
| Apr | 47% |
| May | 51% |
| Jun | 65% |
| Jul | 73% |
| Aug | 69% |
| Sep | 48% |
| Oct | 37% |
| Nov | 33% |
| Dec | 33% |
Month-by-month nightly rates and revenue figures for Cape Charles are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Cambridge/Salisbury market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Cambridge/Salisbury market as a whole, which includes Cape Charles, so these counts are not Cape Charles-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | Seaside vacation rentals | 210 | 6,216 | ★ 4.73 |
| 2 | Coastal Shore Vacations | 201 | 2,198 | ★ 4.60 |
| 3 | Island Getaways | 123 | 3,120 | ★ 4.80 |
| 4 | Harbour Rentals | 84 | 1,761 | ★ 4.52 |
| 5 | Evolve | 71 | 2,067 | ★ 4.77 |
What Kind of STR Should I Buy in Cape Charles?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Cape Charles 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 | 33.1% |
| vrbo | 11.6% |
| both | 55.4% |
Home Value Trends (Cape Charles)
Typical home values, median sale prices, and the 10-year price trend for Cape Charles 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 Cape Charles — 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 Cape Charles, but non-owner-occupied rentals need a Conditional Use Permit. The Town Council issues the CUP through a public hearing with neighbor notification. On November 21, 2024, the town adopted a Short-Term Rental Zoning Ordinance that converted STRs from a by-right use to a CUP process. Owner-occupied primary residences are exempt from the CUP requirement under Virginia Code 15.2-983, as amended effective January 1, 2024, which preempts the town ordinance for primary-residence operators. The town does not require owner occupancy or a primary residence for permit holders in general.
All operators must register with the Commissioner of the Revenue. The permit renews annually. Initial and annual inspections are required for CUP holders, and a CUP denial triggers a one-year suspension before reapplication.
Zoning allows STRs in specific residential, commercial, mixed-use, and historic districts, subject to CUP approval. Non-dwelling structures are prohibited as STRs. Properties accommodating 10 or more guests require a separate additional CUP. Operators with valid licenses and tax compliance were grandfathered under the 2024 ordinance. Accessory dwelling units may be rented as STRs under Ordinance 2026115B, effective January 2026.
Northampton County levies a 2% transient occupancy tax inside town limits. The town levies an additional local transient tax, and its current rate was not confirmed. Taxes are remitted quarterly, and electronic filing through the customer portal launched April 1, 2026. Enforcement severity is rated moderate. The profile also notes Northampton County Ordinance 2026-002 advancing with a proposed July 1, 2026 effective date, which applies outside town limits. Confirm current rules with the town before buying.
Market Comparison
Cape Charles runs a rate-led profile. September 2026 occupancy was 45.6% with a $312 ADR, and the market earns much of its revenue from rate in the peak months rather than from volume year round.
That pattern holds across the year. Annual occupancy has been between 45.7% and 46.6% in 2024 and 2025, rising to 49.4% in 2026 through September. Only July, August, and June, at 72.8%, 69.0%, and 65.0%, run well above those annual levels, and ADR reaches $290 in June.
The operator landscape is concentrated at the top. The leading managers in the Cape Charles area are Seaside vacation rentals with 210 listings and a 4.7 rating, Coastal Shore Vacations with 201 listings and a 4.6 rating, Island Getaways with 123 listings and a 4.8 rating, Harbour Rentals with 84 listings, and Evolve with 71 listings. Together they hold 689 listings, about 30.5% of the 2,258 tracked. Investors can hire professional management, and professionally managed listings averaged an ADR of $324.
Frequently Asked Questions About Cape Charles, Virginia
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