Airbnb / Short-Term Rental Calculator
Enter your nightly rate, occupancy rate, platform fee, cleaning costs, stay length, and expenses to estimate your Airbnb or short-term rental revenue and cash flow. This calculator helps you evaluate whether an STR strategy is more profitable than traditional long-term renting.
Results are estimates for informational purposes only. Not financial advice. Full disclaimer.
What is Airbnb / Short-Term Rental?
Short-term rental (STR) revenue depends on three primary factors: nightly rate, occupancy rate, and the costs associated with each guest turnover. Unlike long-term rentals where income is predictable, STR income fluctuates with seasons, local events, competition, and platform algorithms. The platform fee is the percentage taken by Airbnb, VRBO, or other booking platforms. Airbnb's host-only fee is typically 3%, while the split-fee model charges hosts 3% and guests approximately 14%. VRBO typically charges hosts 5-8%. This calculator uses the host fee only — the amount deducted from your payout. Cleaning costs are a major STR expense that does not exist in long-term rentals. Each guest checkout requires professional cleaning — sheets, towels, deep clean of kitchen and bathrooms. The cost per turnover ranges from $50 for a studio to $200+ for a large home. With a 3-night average stay, you may have 6-10 turnovers per month, making cleaning one of your largest variable costs. Monthly expenses for an STR typically exceed those of a long-term rental. In addition to standard costs (taxes, insurance, maintenance), STR operators pay for: utilities (which are not passed to guests), internet, streaming services, consumable supplies (soap, paper goods, coffee), and furnishing replacement. Budget 30-50% more in operating expenses compared to a long-term rental. The effective nightly rate shows your actual net income per occupied night after platform fees and cleaning costs are deducted. This is the true number to compare against what you would earn from a long-term tenant — divide long-term monthly rent by 30.44 to get the LTR equivalent daily rate for comparison.
How to Calculate
- Enter your nightly rate (check comparable listings in your area for market rate)
- Enter your expected occupancy rate (65% is a reasonable first-year estimate for most markets)
- Enter the platform fee percentage (3% for Airbnb host-only, 5-8% for VRBO)
- Enter the cleaning cost per turnover (what you pay the cleaner after each guest)
- Enter the average stay length in nights (check your market — urban averages 2-3, vacation 4-7)
- Enter monthly expenses (utilities, insurance, supplies, maintenance — typically higher than LTR)
- Enter your monthly mortgage payment
- Review your cash flow and effective nightly rate
Formula
Occupied Nights per Month = 30.44 × (Occupancy Rate ÷ 100) Gross Monthly Revenue = Nightly Rate × Occupied Nights Platform Fees = Gross Revenue × Platform Fee % Turnovers per Month = Occupied Nights ÷ Average Stay Length Cleaning Costs = Turnovers × Cleaning Fee per Turnover Net Monthly Revenue = Gross Revenue − Platform Fees − Cleaning Costs Monthly Cash Flow = Net Revenue − Monthly Expenses − Mortgage Effective Nightly Rate = Net Monthly Revenue ÷ Occupied Nights The 30.44 constant is the average number of days per month (365.25 ÷ 12).
Example Calculation
For a property at $150/night, 65% occupancy, 3% platform fee, $100 cleaning per turnover, 3-night average stay, $800 monthly expenses, $1,000 mortgage: Occupied Nights = 30.44 × 0.65 = 19.79 nights Gross Revenue = $150 × 19.79 = $2,968.20 Platform Fees = $2,968.20 × 0.03 = $89.05 Turnovers = 19.79 ÷ 3 = 6.60 turnovers Cleaning = 6.60 × $100 = $659.67 Net Revenue = $2,968.20 − $89.05 − $659.67 = $2,219.48 Cash Flow = $2,219.48 − $800 − $1,000 = $419.48/month ($5,033.76/year) Effective Nightly Rate = $2,219.48 ÷ 19.79 = $112.16/night The effective rate of $112.16 is 25% lower than the listed $150 rate after platform fees and cleaning.
Frequently Asked Questions
What occupancy rate should I expect for a new Airbnb?
First-year occupancy typically ranges from 40-60% as you build reviews and optimize your listing. Established listings in good markets often achieve 60-80%. Vacation destinations may see 70-90% during peak season but 20-40% in off-season. Use 55-65% as a conservative estimate for year-round analysis.
How does STR income compare to long-term rental income?
STR gross revenue typically exceeds long-term rental income by 50-150% in tourist or urban markets. However, STR has significantly higher expenses (cleaning, supplies, utilities, furnishing, higher insurance, management). The net difference is usually smaller — often 20-60% above LTR after all costs. Some markets net less than LTR after factoring in the time and expense of managing turnovers.
What is the Airbnb host fee?
Airbnb offers two fee structures. The 'host-only' model charges hosts approximately 3% (guests pay a higher service fee). The 'split fee' model charges hosts 3% and guests about 14%. Most hosts prefer the host-only model because it allows them to display a lower total price to guests. VRBO typically charges hosts 5-8% with no separate guest fee.
Should I include cleaning fees charged to guests?
This calculator models the host's cleaning cost — what you pay the cleaner. Many hosts charge a cleaning fee to guests to offset this cost. If guests pay a cleaning fee, your net cleaning cost is reduced. For the most accurate analysis, enter only your out-of-pocket cleaning cost after any guest cleaning fees are received.
What expenses should I include in monthly expenses?
STR expenses typically include: utilities (electric, gas, water, internet, trash), property insurance (STR-specific insurance costs 2-3x more than standard landlord insurance), consumable supplies, lawn care, pest control, maintenance reserves, and potentially STR management software or channel manager fees. Do not include the mortgage (it has its own input) or cleaning (it has its own input).
How do I compare STR vs. long-term rental profitability?
Calculate the monthly cash flow for both scenarios using the same property and mortgage. For LTR, use the Cash Flow Calculator with long-term rent. For STR, use this calculator. Compare the monthly cash flow figures. Also consider: STR requires more active management (or a 20-25% management fee), has higher furnishing costs, and may have local regulatory restrictions.