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Investing and scaling16 min read

Where to Start an Airbnb: Coast, City, or Countryside

Where should you start an Airbnb? Compare coastal, city and rural markets by local demand, seasonality, costs and competition before choosing a property.

By Equipe Anfitrione

Balcony of a vacation rental apartment with an ocean view and a coffee table at sunset

Part of the guide: How Many Rentals to Live Off Airbnb? The Real Math

People looking to start a vacation rental often choose the property based on the photo: a beach with a view, a mountain cabin, a downtown apartment. However, the location of the property decides your bottom line long before the decor does. The same nightly rate yields opposite results on the coast, in the capital, and in the countryside.

The right question is not where the scenery is beautiful. Where it is worth starting an Airbnb depends on which market matches what you expect from your income: a high and seasonal peak, or a smaller, constant flow year-round. Each city profile behaves differently regarding occupancy, seasonality, nightly rate, competition, and entry cost. The market comes before the channel.

This guide compares four types of markets and provides a decision framework. There are no promises of easy money, possible demand patterns and the risks to investigate. The profiles are hypotheses to test, not market benchmarks: a large city can be seasonal, and a small town can be expensive.

Main points

  • There is no perfect market: coastal markets may rely on holiday peaks, while business districts may attract year-round demand.
  • Seasonality is the biggest risk: on the beach, the high season can generate four times the revenue of the low season.
  • Business demand may support steadier bookings, but compare the actual neighborhood data rather than assuming a city-wide average applies.
  • Some inland markets may offer steadier demand or lower entry costs: verify both locally.

Ultimately, where is it worth starting an Airbnb?

There is no single market that wins at everything. It is worth starting an Airbnb where the city profile matches your income goal. In one possible pattern, a coastal destination relies on holiday peaks, a business district attracts work trips, and an inland town serves regional visitors. These are hypotheses to check with local data, not fixed differences in revenue, costs or occupancy. Before looking at property prices, decide if you want a large, risky peak or a smaller, predictable flow.

The table below summarizes how each profile behaves across the first three criteria. These are illustrative profiles to investigate, not a worldwide ranking or predictions for a specific destination.

Market profileSeasonalityAnnual occupancyNightly rate
Coast / beachVery highMedium, drops in low seasonHigh in high season
CapitalLowHigh and stableMedium
Countryside / routeMediumStable year-roundLower
Tourist / natureVery highConcentrated in peaksHigh per booking

Notice that no row is entirely green. The coast has a high rate and irregular occupancy. The capital has solid occupancy and a median rate. The right choice is always a trade-off, not an absolute winner.

The five criteria that decide the location

Before comparing cities, it is worth establishing the vocabulary. Five criteria explain almost all the difference in results between one market and another, and you will encounter them in each section.

Occupancy rate is the fraction of nights sold out of the available nights in the month. Seasonality is the size of the difference between the busiest month and the emptiest month in your market. Average ticket is the average nightly rate the region sustains without scaring off guests. Entry cost is how much you spend to start, from the property to the furniture, before the first booking. Finally, competition is the number of similar listings fighting for the same guest.

The criterion that most deceives beginners is seasonality. Two properties can end the year with the same average occupancy and have completely different cash flow routines. One lives on peaks, the other lives on consistency. The chart below models a hypothetical contrast between a beach market and a capital over the twelve months.

Occupancy throughout the year: coast vs capital Illustrative example: the coast curve has high peaks in summer and deep valleys in winter, while the capital curve remains almost flat year-round. Occupancy throughout the year (typical example) J F M A M J J A S O N D Coast Capital Source: illustrative example

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In practice, operators realize that the annual average hides more than it reveals. A peak market requires cash reserves to cross the valley. A constant market allows you to plan fixed expenses with peace of mind. Keep this difference in mind, because it reappears in each profile below.

Coast: why is the ceiling high and the low season a risk?

The coast is the market with the highest ceiling and the greatest deviation. In the high season, a good beach apartment can multiply the revenue of a weak month by four, and the nightly rate rises along with demand. The problem appears in the low season: many hosts simply do not rent outside of summer and holidays. Those who make money year-round on the beach discover that the low season has a different audience. It is not the tourist, it is someone traveling for work, someone undergoing medical treatment in the city, or someone looking to buy property taking advantage of lower prices.

Serving this audience requires what the high season does not, such as a washing machine, good internet, and longer stays. And they do not always search in the same place as the summer tourist. It is worth keeping the listing on Booking.com as well and building independently acquired direct demand in the low season. Keep platform-originated bookings within the applicable channel rules, including Airbnb's restrictions on encouraging future or repeat bookings off-platform. The math for the coast works when you plan for the empty winter, not just the full summer.

The chart makes clear the size of the gap between high and low in each profile. This is why the beach scares those who have not saved cash.

Revenue in high vs low season, by market profile Illustrative example in thousands of units per month: on the coast and in the tourist town, the high season bar is much larger than the low season bar, while in the capital the two are almost equal. High vs Low Season (thousands of u. per month, example) 15 4 12 3 9 4 8 6 Coast Tourist Countryside Capital High Low Source: market ranges, illustrative example (Anfitrione)

There is another way to look at the same problem: where the year's money is concentrated. In a beach property, most of the revenue comes in a handful of summer months. The rest of the year pays less and often barely covers fixed costs.

Where the annual revenue of a beach property comes from Illustrative example: more than half of the year's revenue is concentrated in the high season, a smaller slice in the mid season, and a small part in the low season. Annual revenue of a beach property (example) 55% in summer High season (55%) Mid season (30%) Low season (15%) Source: illustrative example (Anfitrione)

That is why the beach rewards those who master demand-based pricing. Leaving the nightly rate fixed year-round wastes the peak and drives away guests in the low season. If you are heading to the coast, treat dynamic pricing as part of the project, not as a detail. The pricing tools in the Airbnb help center and our guide on how to price your nightly rate without guessing help you set the floor and ceiling before publishing the listing.

Capital: where is the most stable occupancy of the year?

The big city does not have the explosive summer of the beach, but some neighborhoods draw several sources of demand across the year. Business trips, conventions, concerts, medical appointments, and visiting relatives fill the calendar in any month. Use current local data with consistent definitions; Airbnb explains its occupancy and nightly-rate metrics. A national or foreign-city average cannot establish the demand for your neighborhood. The reality is that, in the capital, the challenge is rarely finding a guest. It is standing out amidst so much supply.

Because the counterpart to firm demand is heavy competition. The largest capitals concentrate tens of thousands of active listings, and the guest chooses among many similar options. The following chart preserves a Brazilian example reported by Hostnjoy in April 2026, using 2024–2025 data. Listing counts describe supply, not saturation on their own, and are not estimates for another country.

Competition: active listings by capital São Paulo and Rio de Janeiro concentrate a huge volume of listings, while Belo Horizonte has a fraction of that total, showing that saturation varies greatly between capitals. Active listings by capital (Example) São Paulo Rio de Janeiro Belo Horizonte 30,060 29,077 3,331 Source: market data example (hostnjoy, 2026)

Operating well in the capital means winning in customer service and quick responses, because the guest compares and disappears if you delay. Many big-city hosts manage the property from afar, without living nearby, and spend their time answering the same questions via message. This is where a tool like Anfitrione helps. It automates guest communication on WhatsApp, answers repetitive questions, and sends check-in instructions on its own, freeing you from your phone while retaining a process for exceptions and important platform messages.

Countryside and route: is it worth trading the peak for predictability?

The countryside and route cities trade height for consistency. The nightly rate is lower than the beach in the high season, but demand does not disappear the rest of the year. A medium-sized city along a highway axis receives people traveling for work, visiting family, or stopping in the middle of a long trip. Add to that the local weekend guest, the couple who wants a getaway close to home without hitting the road. It is a less glamorous and more loyal demand. Entry costs can be lower where land and property prices are lower, but compare actual purchase and setup budgets across your candidate locations. In exchange, you give up the month of December which, on the coast, pays for half the year.

The detail that few people calculate is the origin of mid-week demand. In the countryside, a good part of the bookings comes from people in the region itself, not from outside tourists. This drops the acquisition cost and cushions seasonality, because local life does not take vacations. The following table compares competition, entry cost, and typical audience for each profile.

Market profileCompetitionEntry costTypical audience
Coast / beachHigh in strong destinationsHighVacation tourist
CapitalHigh, varies by neighborhoodHighWork and events
Countryside / routeLow to mediumLowLocal and passing through
Tourist / natureMedium, seasonalMediumFamilies and couples

Less competition does not mean guaranteed money. It means your property needs to be one of the few good ones in the market, not just another one. It is worth pairing this choice with the right type of property. See which property to buy for Airbnb before closing a deal.

Tourist town and nature: who fills the weekend?

Mountains, countryside, historic towns, and rural estates form a separate profile: the calendar dictates everything. Demand is concentrated on long holidays, school vacations, and weekends, when families and couples flee the big city. In the middle of the week, the property almost always sleeps empty. The golden rule of this market is distance. Destinations within a weekend driving radius of a capital, within a practical travel time for the audience you are targeting, capture the audience that decides to travel on Friday and returns on Sunday.

The ticket per booking is usually high because the guest rents the entire house for a group and values extras like a pool, barbecue grill, and pet area. But frequency is the bottleneck. You live on filling prime dates, so losing a holiday hurts more than an empty week in the countryside. The table shows when each profile heats up and when it cools down.

Market profilePossible peak patternPossible slow period
Coast / beachLocal summer and holidaysLocal off-season
CapitalLocal work and event calendarHolidays or gaps in that demand
Countryside / routeHolidays and weekendsNo deep valley
Tourist / natureHolidays and vacationsMid-week

Mountain destinations like Gramado in Brazil show that a well-positioned mountain market sustains high occupancy on almost every holiday of the year. Regional tourism is on the rise, and smaller nature destinations have been gaining demand. Still, the logic is always the same: you bet on the calendar, not on consistency.

How to decide where to start your Airbnb?

The decision does not come from a city ranking, it comes from the intersection between the market profile and your goal. If the goal is maximum revenue in a few months and you can handle seasonality, the coast or the tourist town makes sense. If you want stable income to pay fixed bills, the capital is safer. If the budget is tight and you prefer to start small, the countryside requires less capital. The table below suggests market profiles to investigate, rather than investment recommendations.

If your goal is...Bet on...
Maximum revenue in high seasonCoast or tourist town
Stable income year-roundCapital
Lowest cost to startCountryside or route city
Use the property and still rentBeach or mountains near home

Once the profile is chosen, the work is not over. The market profile is the macro filter. You still need to test the specific city and property, because two streets on the same beach yield differently. Before buying or listing, run the vacation rental property viability test to measure real demand, competition, and seasonality in your market. It is the step that turns a profile bet into a decision with numbers. Once market demand is confirmed, the next step to multiply income could be turning one property into multiple units.

The best place is the one that sustains your bottom line

There is no single best city to start an Airbnb, there is the best city for your goal and your wallet. A coastal market may depend on holiday peaks, a business district on work trips, and a rural destination on weekend visitors. Compare local seasonality, purchase costs and net returns; none of these profiles guarantees steadier bookings or cheaper entry.

So, where is it worth starting an Airbnb? It is worth it where you enter knowing the trade-off you signed up for, with cash for the valley and a strategy for the peak. The wrong market cannot be fixed with a listing on Booking.com or with direct bookings. The right place is not the prettiest one in the photo. It is the one that balances your books all year round, and not just in the summer.

Frequently asked questions

Where is it better to start an Airbnb, on the coast or inland?

Compare the actual demand, seasonal cash flow, property costs and operating support in the specific area. A coastal market may have strong holiday peaks, while an inland business hub may have recurring work demand. Neither pattern is universal. The better location is the one that meets your goals after costs.

Which city has the best Airbnb occupancy rate?

There is no universal city ranking that decides your investment. Compare recent, methodologically consistent data for similar properties in the neighborhoods you are considering. Check booked nights, available nights, nightly revenue and seasonality together. A high occupancy rate alone can hide low rates, blocked nights or high costs.

Do beach Airbnbs make money year-round?

Some do, while others depend heavily on a few peak months. Check local demand and costs rather than assuming summer revenue will repeat. Work trips, medical visits or longer stays may support some destinations outside leisure peaks, but only where that demand actually exists.

Is it worth starting an Airbnb in a small or tourist town?

It is worth it when the town has a clear attraction, such as mountains, nature, or events, and is within a weekend driving radius of a capital. Earnings are concentrated on holidays and weekends, so the secret is to fully book those dates and not rely on mid-week stays.

Is an Airbnb in the capital worth it with so much competition?

It can work if local demand supports the property after its purchase and operating costs. Business travel and events may help some neighborhoods, but demand and supply vary. Compare the local guest profile and competitive listings rather than assuming that a large city guarantees steady bookings.

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