{"id":7063111,"date":"2026-09-21T13:52:02","date_gmt":"2026-09-21T13:52:02","guid":{"rendered":"https:\/\/peraltafinancing.com\/uncategorized\/the-hidden-gem-short-term-rental-markets-of-2026-revealed\/"},"modified":"2026-09-21T13:52:02","modified_gmt":"2026-09-21T13:52:02","slug":"the-hidden-gem-short-term-rental-markets-of-2026-revealed","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=7063111","title":{"rendered":"The Hidden Gem Short-Term Rental Markets of 2026 Revealed"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">While popular <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/news\/trends\/most-affordable-beach-towns-for-homebuyers-2025\/\" type=\"link\" href=\"https:\/\/www.realtor.com\/news\/trends\/most-affordable-beach-towns-for-homebuyers-2025\/\">beach towns<\/a> and <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/news\/trends\/best-mountain-towns-short-term-rental-income-airdna-2026\/\" type=\"link\" href=\"https:\/\/www.realtor.com\/news\/trends\/best-mountain-towns-short-term-rental-income-airdna-2026\/\">mountain getaways<\/a> usually dominate <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/news\/trends\/best-places-to-invest-2026-port-arthur-texas-airdna-report\/\" type=\"link\" href=\"https:\/\/www.realtor.com\/news\/trends\/best-places-to-invest-2026-port-arthur-texas-airdna-report\/\">short-term rental rankings<\/a>, <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/news\/trends\/mortgage-rates-today-fed-rate-hike-september-17-2026\/\" type=\"link\" href=\"https:\/\/www.realtor.com\/news\/trends\/mortgage-rates-today-fed-rate-hike-september-17-2026\/\">elevated mortgage rates<\/a> are shifting the focus to smaller, under-the-radar destinations that offer budget-conscious investors a chance to break into the market without breaking the bank.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\"><a rel=\"noreferrer noopener\" target=\"_blank\" href=\"https:\/\/www.airdna.co\/?utm_source=google&amp;utm_medium=cpc&amp;utm_campaign=Brand_NAM&amp;utm_term=airdna&amp;utm_content=611451046471&amp;gclid=Cj0KCQiAvtzLBhCPARIsALwhxdrPOJyQz2f4tGLetjRtJUl6MHfNSkhUssvxQKad4JFfDiw5LuI2LikaArGiEALw_wcB&amp;hsa_acc=%7Baccountid%7D&amp;hsa_ad=%7Bad_id%7D&amp;hsa_grp=142138831187&amp;device=c&amp;hsa_mt=b&amp;hsa_src=g&amp;hsa_tgt=kwd-317352356571&amp;gad_source=1&amp;gad_campaignid=17800124565&amp;gbraid=0AAAAADgYT0kw-cwmVQNqXJD-GKjXYESNH\">AirDNA<\/a>, a firm that compiles and analyzes Vrbo and Airbnb data, on Monday releases its report on the <a rel=\"noreferrer noopener\" target=\"_blank\" id=\"https:\/\/www.airdna.co\/blog\/ranked-by-airdna-best-hidden-gem-airbnb-locations\" type=\"link\" href=\"https:\/\/www.airdna.co\/blog\/ranked-by-airdna-best-hidden-gem-airbnb-locations\">Best Hidden Gem Airbnb Locations in the U.S. of 2026<\/a>. The results shared exclusively with <a target=\"_blank\" href=\"http:\/\/realtor.com\">Realtor.com\u00ae<\/a> shine a spotlight on 17 locations\u2014nearly all clustered in the Midwest or the South\u2014that are relatively affordable, but offer a high profit potential.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Topping the list of lesser-known short-term rental (STR) hot spots is <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Rockford_IL\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Rockford_IL\">Rockford, IL<\/a>, a familiar name to Realtor.com readers after clinching the No. 1 spot in the <a target=\"_blank\" href=\"https:\/\/www.realtor.com\/research\/august-2026-hottest-housing-markets\">Realtor.com August 2026 Hottest Housing Markets ranking<\/a>, propelled by high buyer demand and fast market pace.<\/p>\n<p><iframe height=\"230px\" style=\"width:100%;border:0\" src=\"https:\/\/www.realtor.com\/creative\/rdc-ads\/local-listings-widget\/\" loading=\"lazy\" title=\"Embedded widget\"><\/iframe><\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Another Midwestern destination, <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Akron_OH\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Akron_OH\">Akron, OH<\/a>, took silver, while <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Warner-Robins_GA\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Warner-Robins_GA\">Warner Robins, GA<\/a>, secured bronze.\u00a0<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Other markets promising projected returns on investment over 10% are <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Utica_NY\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Utica_NY\">Utica, NY<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Otsego_MI\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Otsego_MI\">Otsego Lake, MI<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Lawton_OK\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Lawton_OK\">Lawton, OK<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Millersburg_OH\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Millersburg_OH\">Millersburg, OH<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Midland_TX\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Midland_TX\">Midland, TX<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Geneva_OH\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Geneva_OH\">Geneva, OH<\/a>; Castle Rock Lake, WI; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Houghton_MI\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Houghton_MI\">Houghton, MI<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Michigan-City_IN\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Michigan-City_IN\">Michigan City, IN<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Gary_IN\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Gary_IN\">Gary, IN<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Manhattan_KS\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Manhattan_KS\">Manhattan, KS<\/a>; <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Terlingua_TX\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Terlingua_TX\">Terlingua, TX<\/a>; Nolin River Lake, KY; and <a target=\"_blank\" id=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Dunnellon_FL\" type=\"link\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Dunnellon_FL\">Dunnellon, FL<\/a>.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;This is a great list. There are so many markets that have affordable home prices,&#8221; <strong>Linda Rollins<\/strong>, senior research analyst at AirDNA, tells Realtor.com. &#8220;With mortgage rates being so high, it&#8217;s so hard to justify investing. &#8230; But when you do have an area where home prices are still affordable, you could make a decent down payment and still be able to see those numbers work.&#8221;<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">To zero in on smaller vacation rental markets, AirDNA researchers limited their analysis to areas with 400 to 1,000 listings, positive year-over-year inventory growth, and rising annual revenue per available room (RevPAR), which is a key industry metric that measures a property&#8217;s ability to fill its rooms at a competitive average rate.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Markets were ranked by yield, calculated as average annual STR revenue relative to average home price, with the cities on the list delivering yields between 10% and 14%.  <\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Other common threads among the ranked cities include having 20% or fewer listings that are professionally managed, signaling that the market is not yet saturated with STR operators, and lacking any active regulatory bans or stringent restrictions on rentals.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Home values across the ranking are relatively budget-friendly, ranging from just $266,555 in Houghton to $482,304 in <a target=\"_blank\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Michigan\">Michigan<\/a> City. Correspondingly, potential average annual revenues span from $27,833 to $50,046.\u00a0<\/p>\n<h2 class=\"base__StyledType-rui__sc-18muj27-0 eAPYSB\">National parks and military bases <\/h2>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">AirDNA economist <strong>Bram Gallagher<\/strong> notes that each enclave on the list benefits from a reliable source of recurring demand, depending on the region. In the Midwest, many of the top markets draw steady traffic from nearby national parks, including Gary and Michigan City near <a target=\"_blank\" href=\"https:\/\/www.realtor.com\/realestateandhomes-search\/Indiana\">Indiana<\/a> Dunes, and Akron, sitting just a short drive from Cuyahoga Valley National Park.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">According to Gallagher, proximity to national parks and other outdoor destinations emerged as a major selling point during COVID-19, when people craved space to maintain social distance, and the appeal remained even after the pandemic receded.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;Travel is a really repeat business. People go out and visit national parks, they come back with their slideshows, and they show all their friends,&#8221; he says.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">However, what truly underpins the popularity of these smaller markets situated near national parks is housing affordability, which offers investors a lower entry barrier.  <\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;The affordability, combined with the unique demand generators, [is] regularly pulling people into some of these markets,&#8221; adds Gallagher. <\/p>\n<div class=\"Boxstyles__StyledBox-rui__sc-1p1qqov-0 cGIhfE sc-1d9c28t-0 dVWipe\">\n<figure><figcaption class=\"sc-1d9c28t-3 kUNXdc\"><span class=\"image-caption\">Located a short distance from Cuyahoga Valley National Park, Akron, OH, offers short-term rental investors an average yield of 13%. <\/span><span class=\"sc-1d9c28t-2 nMMWW image-credit\">Getty Images<\/span><\/figcaption><\/figure>\n<\/div>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Rollins put that research into practice a year ago, when she used AirDNA data to purchase a $400,000 four-bedroom STR in the Akron suburb of Stow, OH, just a 10-minute drive from the Cuyahoga Valley park.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;I can buy a house in that market, and I can make the numbers work because of the revenue that is coming in, because of these niche demand drivers,&#8221; says Rollins of her investment.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">The analyst and her husband launched their rental in December 2025 and expect to earn $70,000 annually, $5,000 ahead of Rollins&#8217; initial projections.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">In the South and West, military installations and major industrial sites anchor the local STR markets. Demand drivers range from family members attending basic training graduations at Fort Sill near Lawton to traveling contract workers looking for a place to stay for four to six months while on temporary assignments in Midland&#8217;s oil fields or in Abilene&#8217;s data centers.  <\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;If you&#8217;re an investor that has been questioning how do you make the numbers work when mortgage rates are so high and homes are becoming less affordable, come to this list, and it might be a bit more manageable,&#8221; says Rollins.<\/p>\n<h2 class=\"base__StyledType-rui__sc-18muj27-0 eAPYSB\">Midwestern champion <\/h2>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">While top-performing Rockford lacks a national park or a military base, Gallagher and Rollins note the area benefits from its close proximity to large, more expensive regional hubs, including Chicago and Madison, WI, ensuring a ready supply of visitors.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;It&#8217;s right outside of these major metros in the Midwest, so if you&#8217;re looking for a quick getaway, then you can go there for a weekend and hang out and see what&#8217;s local,&#8221; says Rollins. <\/p>\n<div class=\"Boxstyles__StyledBox-rui__sc-1p1qqov-0 cGIhfE sc-1d9c28t-0 dVWipe\">\n<figure><figcaption class=\"sc-1d9c28t-3 kUNXdc\"><span class=\"image-caption\">This three-bedroom home in Rockford, IL, is listed for just $305,000.<\/span><span class=\"sc-1d9c28t-2 nMMWW image-credit\">Realtor.com<\/span><\/figcaption><\/figure>\n<\/div>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">The average home value in Rockford sits at just over $300,000, paired with an average annual revenue potential of roughly $42,000, amounting to a robust 14% average yield in what Gallagher describes as a &#8220;great recipe for success.&#8221; <\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">Additionally, the market has seen a year-over-year listing growth of 13% and a RevPAR boost of 6%. \u00a0<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\"><strong>David Dale Johnson<\/strong>, real estate agent at Berkshire Hathaway HomeServices Crosby Starck Real Estate, says that another factor fueling Rockford&#8217;s STR strength is the area&#8217;s robust sports tourism.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;Youth and amateur tournaments at venues like Mercyhealth Sportscore One and Two, along with other local facilities, bring in teams and families for multinight stays,&#8221; Johnson tells Realtor.com. &#8220;That visitor flow supports not just hotels, but also Airbnb- and Vrbo-style short-term rentals.&#8221;<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">In addition, Rockford&#8217;s healthcare sector generates midterm demand from traveling medical professionals.<\/p>\n<p class=\"base__StyledType-rui__sc-18muj27-0 IEPPf sc-7dicpk-0 ccZqsH core-paragraph\">&#8220;Together, those dynamics help explain why Rockford may stand out in short-term rental data,&#8221; concludes Johnson. <\/p>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>While popular beach towns and mountain getaways usually dominate short-term rental rankings, elevated mortgage rates are shifting the focus to smaller, under-the-radar destinations that offer budget-conscious investors a chance to break into the market without breaking the bank. AirDNA, a firm that compiles and analyzes Vrbo and Airbnb data, on Monday releases its report on [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7063112,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[101708,174080,174081,99486,174088,113468,224902,224903,213958,190385,99386],"tags":[19396,174089,174090,2494,6320,101581,11715,174095,57758,224904,14543,19444,224905,213962,11561,174096,1236],"dealstore":[],"offerexpiration":[],"class_list":["post-7063111","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-airbnb","category-daily-email","category-data-journalism","category-investment-property","category-push-notification","category-real-estate-investing","category-real-estate-investor","category-rockford-il","category-short-term-rentals","category-slot-01","category-trends","tag-airbnb","tag-daily-email","tag-data-journalism","tag-gem","tag-hidden","tag-investment-property","tag-markets","tag-push-notification","tag-real-estate-investing","tag-real-estate-investor","tag-rental","tag-revealed","tag-rockford-il","tag-short-term-rentals","tag-shortterm","tag-slot-01","tag-video"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Hidden Gem Short-Term Rental Markets of 2026 Revealed - Som2ny Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fivemor.com\/?p=7063111\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Hidden Gem Short-Term Rental Markets of 2026 Revealed - Som2ny Network\" \/>\n<meta property=\"og:description\" content=\"While popular beach towns and mountain getaways usually dominate short-term rental rankings, elevated mortgage rates are shifting the focus to smaller, under-the-radar destinations that offer budget-conscious investors a chance to break into the market without breaking the bank. 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