Exploring Profitable Short-Term Rental Markets in Asia
Investing in short-term rental properties can be a highly profitable venture, especially when selecting the right market. AirDNA, a prominent analytics platform for vacation rentals, has identified the leading Asian markets that promise investors significant returns. Here’s an overview of the top ten locations within Asia, ranked by their average annual revenue from short-term rentals.
1. Hakuba, Japan
- Average Annual Revenue: $61,813
- Average Daily Rate: $413.12
- Annual Occupancy Rate: 50.9%
Situated in the Japanese Alps, Hakuba is renowned for its winter sports, having hosted events during the 1998 Nagano Winter Olympics. Its appealing ski resorts and beautiful hot springs make it a sought-after destination.
2. Onna, Japan
- Average Annual Revenue: $44,737
- Average Daily Rate: $248.90
- Annual Occupancy Rate: 54%
Onna is located on Okinawa’s coastline, famous for its upscale resorts, inviting beaches, and vibrant coral reefs.
3. Kyoto, Japan
- Average Annual Revenue: $43,882
- Average Daily Rate: $181.28
- Annual Occupancy Rate: 69.7%
As one of Japan’s most beloved tourist destinations, Kyoto is celebrated for its rich history, beautiful temples, and cultural heritage, having served as the capital for over a millennium.
4. Ko Samui, Thailand
- Average Annual Revenue: $43,465
- Average Daily Rate: $311.44
- Annual Occupancy Rate: 58.9%
Ko Samui is a picturesque island in the Gulf of Thailand, known for its stunning beaches, luxury resorts, and various cultural attractions.
5. Tokyo, Japan
- Average Annual Revenue: $42,829
- Average Daily Rate: $160.09
- Annual Occupancy Rate: 78.2%
Tokyo, the capital of Japan and the world’s most populated city, is a major global tourist magnet, recognized for its historic sites, diverse cuisine, and expansive shopping venues.
6. Hakata-ku, Japan
- Average Annual Revenue: $35,842
- Average Daily Rate: $140.81
- Annual Occupancy Rate: 72.6%
A ward within Fukuoka, Hakata-ku is famous for its vibrant festivals, including the prominent Hakata Dontaku Festival, drawing large crowds annually, alongside its well-known ramen.
7. Chuo-ku, Japan
- Average Annual Revenue: $31,642
- Average Daily Rate: $153.18
- Annual Occupancy Rate: 61.1%
Chuo-ku, a bustling part of Tokyo, hosts the Tokyo Stock Exchange and offers a blend of premium shopping and nightlife.
8. Phuket, Thailand
- Average Annual Revenue: $28,381
- Average Daily Rate: $223.05
- Annual Occupancy Rate: 59.6%
Phuket, Thailand’s largest island, is acclaimed for its stunning beaches, luxurious resorts, and dynamic nightlife, attracting many visitors each year.
9. Dubai, UAE
- Average Annual Revenue: $27,798
- Average Daily Rate: $205.57
- Annual Occupancy Rate: 59.5%
Dubai, noted for its impressive skyline and landmarks such as the Burj Khalifa, is a growing hub for both tourists and digital nomads.
10. Assagao, India
- Average Annual Revenue: $26,696
- Average Daily Rate: $224.52
- Annual Occupancy Rate: 45.5%
Located in Goa, Assagao is cherished for its quaint shops, dining, and charming colonial-era villas, offering a unique ambiance to visitors.
Investors eager to explore the lucrative world of short-term rentals can benefit from understanding these high-performing markets. Whether you seek a snowy retreat or a tropical escape, these locations offer promising opportunities for maximizing rental income.