Open Air Homes

Market Headwinds—and Why We Still Outperform

Oversupply and regulatory friction

Three-bed homes are everywhere: 2,134 active listings vs. just 416 five-beds. Add a 36-contract annual cap and you have downward pressure on nightly rates. Even so, our homes never dipped below 29% occupancy in the hottest months and peaked at 91% in February festival season.

We attribute the 11-point gap to strategies tuned for Palm Springs’ realities, not wishful pricing.

Exterior of a white house with palm trees and a mountain in the background in a luxury vacation rental managed by Open Air Homes.
Airbnb Co-hosting benefits at Open Air Homes

Owner Revenue in a Down Market

Extra nights, real dollars

A three-bed pool home at $525/night with 300 nights available books about 111 nights at the valley’s 37% rate, grossing $58,275.

At our 41% Palm Springs Airbnb occupancy rate, the same calendar books 123 nights—12 extra stays worth $63,525. Even after management fees, owners net roughly $4,200 more per year, proof that modest occupancy gains matter when supply is high.

Palm Springs Airbnb Occupancy Rate Screenshot from Airbnb
Palm Springs Airbnb Occupancy Rate Metrics per month from Airbnb

Transparency in Practice

Publishing numbers keeps us accountable

We update the Palm Springs Airbnb occupancy rate every quarter—good month or bad—and pair it with ADR, RevPAR, and LOS on our Trust-Metrics page. Owners can verify performance, and prospects can judge whether our strategy fits their goals.

For granular forecasts, including Month-Plus rental scenarios for neighborhoods at the 20% STR cap, visit our Palm Springs Rental Market Outlook 2025 page or book a 15-minute call with our CEO directly from that resource.

Outdoor dining area with a table and chairs, pool, and view of the house in a luxury vacation rental managed by Open Air Homes.
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