STR Occupancy & ADR Break-Even Calculator
Calculate break-even occupancy and average daily rate (ADR) for short-term rentals. Optimize Airbnb pricing strategy.
How it works
Monthly Revenue = Nightly Rate × Occupancy % × 30.4 days. Break-even when revenue covers all expenses.
Example
$200/night × 60% occupancy × 30 days = $3,600/month revenue.
FAQ
What's a good occupancy rate for STR?
60-75% is typical for most markets, varying by location and seasonality. Beach and ski properties may have higher seasonal peaks but lower annual averages.
How is ADR different from nightly rate?
ADR (Average Daily Rate) is your actual average across all bookings, while nightly rate is your base rate. ADR considers discounts, premiums, and varying rates.
What expenses should I include?
Cleaning, linens, utilities, maintenance, property management, supplies, insurance, taxes, HOA fees, and platform fees. Don't forget mortgage payments if financed.
How do I improve occupancy rates?
Competitive pricing, professional photos, excellent reviews, fast response times, strategic calendar management, and marketing across multiple platforms.
Should I accept lower rates to increase occupancy?
Sometimes. Analyze whether lower rates with higher occupancy generate more revenue than higher rates with lower occupancy. Include the costs of vacancy periods.