Why National Park Markets Are Great for Short-Term Rentals
Providing a place for Americans to visit historical sites, enjoy outdoor activities, and relax since 1872, the US National Park System (NPS) offers visitors a chance to experience the everchanging landscapes of America. With visits to national parks increasing each year, investing in short-term vacation rentals near national parks can be lucrative. We’ll discuss the growing popularity of national parks and the short-term rental industry, the challenges to consider when entering the market, and more in this blog.
What Makes National Park Markets Attractive for Short-Term Rentals
In 2023, NPS saw more than 325,000,000 visitors who contributed an estimated $26 billion in local gateway regions while visiting National Park Service lands nationwide. $9.9 billion of that was spent on lodging in the area. With limited accommodation options within park boundaries and millions of visitors flocking to parks each year, investing in a short-term rental near a national park can be a great idea if executed correctly. The appeal extends to diverse traveler demographics, including families, solo adventurers, and groups, all seeking comfortable and convenient places to stay during their visits.
Additionally, the rise of eco-friendly and sustainable tourism and unique stays align perfectly with the customer persona of national park travelers. These markets also benefit from year-round tourism, as many parks offer seasonal activities like hiking in the summer, leaf-peeping in the fall, and snowshoeing in the winter. For investors, national park markets represent a blend of reliable demand, diverse guest profiles, and opportunities to offer distinctive, memorable stays.
What to Look for When Investing Near a National Park
Investing in a short-term rental near a national park requires careful consideration to maximize profitability and guest appeal. Here’s what to look for:
- Research parks with limited lodging options to reduce competition and increase the demand for your rental.
- Identify the peak and off-season of our market and find activities and attractions to draw in visitors year-round to keep bookings steady.
- Research zoning laws and short-term rental regulations. Local ordinances and regulations are an essential factor to consider, as restrictions can impact your ability to operate legally.
- Evaluate the property’s proximity to the park entrance. Guests seek quick access to the park entrance and major activities and attractions.
- Find properties that align with the expectations of national park visitors. Homes with highly sought-after amenities like scenic views, private pools or hot tubs, and pet-friendly amenities will attract more guests to your property listing.
- Research local attractions and amenities beyond the park itself to enhance the overall guest experience and broaden your rental’s appeal.
Top National Park Markets for Short-Term Rental Investors
Great Smoky Mountains National Park (Tennessee/North Carolina)
Located on the border of Tennessee and North Carolina, the Great Smoky Mountains National Park has stunning vistas, diverse plant and animal life, and rich history. As the most visited national park in the country, the park sees an average of 11.5 million visitors each year and has seen an increase in visitation by 42% over the last decade. With consistent annual visitation growth and record spending by tourists and locals in the gateway regions surrounding the park ($2.2 billion in 2023), the park’s year-round appeal ensures steady demand for short-term rentals.
Gatlinburg is the closest city to the Smokies, with Pigeon Forge and Sevierville not far behind. Gatlinburg, located 7.6 miles from the Smokies, is an extremely popular year-round destination. It has abundant activities and attractions, and the affordable real estate compared to other markets makes it a strong contender. Short-term rentals in Gatlinburg see an average of 240 days booked, an average daily rate (ADR) of $328.3, an occupancy rate of 58%, and an annual revenue of $47.3K. The average home value in Gatlinburg in 2024 was $470,163. Homeowners in Gatlinburg also experience low property tax costs, which means you’ll be able to retain more of your earnings.
Pigeon Forge and Sevierville are other cities to consider if you’re planning to manage a short-term rental near the Great Smoky Mountains. A short-term rental in Pigeon Forge is typically booked for 234 nights of the year with an average daily rate of $319.9. The occupancy rate is around 57%, and the average home value is $444,405. In Sevierville, a typical home is booked for 230 nights of the year with an ADR of $373.6 and an occupancy rate of 59%. Annual revenue averages out at about $56.4K.
Joshua Tree National Park (California)
Joshua Tree National Park offers a one-of-a-kind national park experience. This desert oasis is known for its Joshua trees, rock formations, and dozens of trails, perfect for hiking, mountain biking, and climbing. Providing unique stays and a convenient weekend getaway for those from the Los Angeles area, Joshua Tree sees an average of over three million visitors annually. The national park brings an estimated $186 million to the gateway regions, and lodging made up 36.49% of the total in 2023 at $67.8 million.
Short-term rentals in Joshua Tree see an average of 201 days booked, an average daily rate (ADR) of $317.6, an occupancy rate of 51%, and an annual revenue of $42.8K. The average home value in Joshua Tree in 2024 was $336,928. With big-name music festivals like Coachella and Stagecoach held in the neighboring town of Indio and a vibrant art and outdoor scene that attracts a range of travelers, Joshua Tree shows a promising future for those investing in short-term rentals.
Acadia National Park (Maine)
Known for its rugged coastline, granite peaks, and lush forests, Acadia National Park in Maine attracts over 4 million visitors annually, making it one of the most-visited national parks in the United States. Tourists flock to Acadia to hike its scenic trails in the summer and fall, drive the iconic Park Loop Road, and watch stunning sunrises from Cadillac Mountain, the first place sunlight touches in the U.S. during certain seasons. The park’s busiest months are in July, August, and September. In 2023 alone, visitors at Acadia spent an estimated $475 million in gateway regions, with 45.76% ($217M) of the total spent on lodging.
The nearest town to Acadia National Park is Bar Harbor, which is also on Mount Desert Island. The ADR of a short-term rental in Bar Harbor averages about $409.8, with an estimated annual revenue of $49K. The occupancy rate is 78%, and a short-term rental in the area is typically booked for 303 nights of the year. The average home value in Bar Harbor is $639,553. The natural beauty of Bar Harbor, combined with its rich history and endless outdoor activities, makes it an ideal vacation destination for many.
Zion National Park (Utah)
Zion National Park, located in southern Utah, attracts over 4 million visitors annually. Renowned for its towering sandstone cliffs, narrow slot canyons, and remarkable desert landscapes, Zion offers unforgettable experiences like hiking the Narrows and Angels Landing. Its accessibility from major cities like Las Vegas and Salt Lake City makes it a popular destination for adventurers, families, and international travelers.
Short-term rentals in Springdale, UT (the closest city to Zion National Park) see an average daily rate (ADR) of $447.3, an occupancy rate of 63%, and an annual revenue of $85.4K. The average home value in Springdale in 2024 was $553,829. Tourism driven by Zion fuels the local economy ($676 million in 2023) and supports a range of businesses, including lodging ($293 million in 2023), restaurants, and the recreation industry.
Market Considerations for Hosts
Starting and managing a short-term rental in a national park market comes with unique challenges that require careful planning.
Zoning Laws and Local Regulations
One of the primary considerations is zoning laws and local regulations, as many areas near national parks have strict, short-term rental rules to preserve the environment. For example, in Teton County, Wyoming, where the Grand Tetons National Park is located, hosts must inform neighboring parcels within 300 feet that a short-term rental permit has been issued. The host must also include a permit number on any print advertising and a link to the Town of Jackson’s short-term rental laws if the home is digitally advertised, and hosts are responsible for collecting and remitting all applicable taxes, specifically the sales and lodging taxes. Research your state and local ordinances regarding short-term rentals to ensure you follow all regulations.
Seasonality
Seasonal fluctuations in tourism can also present challenges, with peak seasons driving high demand but slower off-seasons potentially impacting consistent income. Finding ways to advertise your property during the offseason will be very important—partner with local businesses to offer discounts or provide one-time specials during the offseason to attract more visitors.
Property Maintenance and Turnover Services
The remote nature of many national park markets can complicate property management, as finding reliable cleaners, maintenance staff, and suppliers may be difficult. Turno helps hosts find qualified cleaners in local markets and put their cleaning on autopilot by scheduling Airbnb cleanings with automatic assignments, delegation, and acceptance. Competition can be tight in these high-demand markets. It’s essential to investigate how many other rentals are in the area and understand the local service and maintenance marketplace to realistically assess whether a specific location is a worthwhile investment.
Balancing these factors while keeping guest satisfaction and regulatory compliance in mind is critical to successfully managing a short-term rental near a national park.
Tips for Success in National Park Rental Markets
Successfully managing a short-term rental near a national park requires a strategic approach tailored to the unique characteristics of these markets.
- Research your area’s zoning laws, short-term rental restrictions, and permit requirements. Staying compliant is crucial to avoid fines and disruptions to your business.
- Offering clear directions and tips for navigating the area can enhance the guest experience.
- Invest in amenities that align with national parks’ outdoor-centric appeal, such as fire pits, outdoor seating areas, or gear storage for bikes and kayaks. These features add value and attract nature enthusiasts.
- Maximize bookings by promoting off-season activities like snowshoeing, fall foliage tours, or local events. Adjust pricing and marketing to reflect the seasonal appeal of your location.
- Use property management software to streamline bookings, automate guest communication, and coordinate cleaning schedules. Remote management tools such as smart locks and thermostats are especially useful in remote locations.
- Differentiate your rental by offering curated experiences, such as guides to hidden trails, wildlife-watching tips, or partnerships with local tour companies. Thoughtful touches like park maps, trail snacks, or welcome baskets can leave lasting impressions.
- National park visitors often return muddy, dusty, or wet from their adventures. Ensure your property has durable furnishings and easy-to-clean surfaces, and provide amenities like laundry facilities and gear-drying areas.
A Lucrative Adventure: Investing in Short-Term Rentals Near National Parks
Investing in short-term rentals near national parks offers an opportunity to tap into high-demand markets fueled by year-round tourism and the United States’ natural beauty. From the mountains of the Smokies to the jaw-dropping canyons of Zion, each park presents its own set of advantages and considerations for investors.
By understanding the local market, catering to a diverse group of travelers, and offering memorable stays, you can create a successful rental that stands out amongst the competition. Whether you’re a seasoned investor or just starting out, national park markets offer a rewarding blend of profitability and purpose for those passionate about outdoor travel and hospitality.
