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Rental Arbitrage (Airbnb) Profitability Calculator

Estimate monthly profit from leasing a property and listing it as a short-term rental.

Calculate the upfront investment to launch a rental arbitrage property.

Formula

Monthly Profit = (Nightly Rate x 30 x Occupancy) - Platform Fees - Cleaning - Rent - Utilities - WiFi - Supplies - Insurance. Break-Even Occupancy = Fixed Costs / (Nightly Rate - Variable Cost Per Night) / 30.

Frequently Asked Questions

Is rental arbitrage legal?
Rental arbitrage legality depends on your lease terms, local laws, and HOA rules. You must get landlord permission to sublet, check local short-term rental regulations, obtain required permits/licenses, and comply with tax obligations. Many cities have restrictions on short-term rentals.
What occupancy rate is realistic for Airbnb?
Average Airbnb occupancy rates range from 48-65% nationally. Urban markets may see 65-80%, while seasonal vacation areas might average 40-60%. New listings typically take 2-3 months to build reviews and reach optimal occupancy.

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