Editor's Note: This story originally appeared on LawnStarter.
Vacation rentals have been white-hot during the coronavirus pandemic. Seen as cleaner than hotels and better for long-term stays while working remotely, these short-term accommodations have been thriving during our time of isolation.
Because of this popularity, vacation rentals can command some serious cash. The average owner of a second home pulls in over $33,000 a year. That’s nothing to sneeze at.
But when it comes to vacation rentals, location is everything. So, where can you find the most bang for your buck?
LawnStarter’s ranking of the best cities to own a vacation rental compared over 300 cities across 10 key metrics — from the median listing price per square foot to the rental vacancy rate to the prevalence of property crime.
Read on to find out which markets to invest your money in now.
1. Shelbyville, KY
Overall Score: 68.88
Competition and Cost Rank: 70
ROI Potential Rank: 23
Attractions Rank: 296
Safety Rank: 11
2. Brooksville, FL
Overall Score: 68.21
Competition and Cost Rank: 184
ROI Potential Rank: 2
Attractions Rank: 230
Safety Rank: 208
3. Buffalo, NY
Overall Score: 67.71
Competition and Cost Rank: 69
ROI Potential Rank: 15
Attractions Rank: 55
Safety Rank: 119
4. Kissimmee, FL
Overall Score: 66.94
Competition and Cost Rank: 11
ROI Potential Rank: 36
Attractions Rank: 134
Safety Rank: 116
5. Bardstown, KY
Overall Score: 66.73
Competition and Cost Rank: 123
ROI Potential Rank: 30
Attractions Rank: 239
Safety Rank: 10
6. Sevierville, TN
Overall Score: 66.43
Competition and Cost Rank: 12
ROI Potential Rank: 32
Attractions Rank: 99
Safety Rank: 154
7. Holland, MI
Overall Score: 66.12
Competition and Cost Rank: 229
ROI Potential Rank: 10
Attractions Rank: 152
Safety Rank: 28
8. Branson, MO
Overall Score: 65.58
Competition and Cost Rank: 6
ROI Potential Rank: 34
Attractions Rank: 58
Safety Rank: 209
9. Cleveland, OH
Overall Score: 65.3
Competition and Cost Rank: 170
ROI Potential Rank: 6
Attractions Rank: 44
Safety Rank: 231
10. Fayetteville, AR
Overall Score: 65.11
Competition and Cost Rank: 2
ROI Potential Rank: 152
Attractions Rank: 192
Safety Rank: 67
11. Hot Springs, AR
Overall Score: 65.08
Competition and Cost Rank: 56
ROI Potential Rank: 18
Attractions Rank: 139
Safety Rank: 214
12. Pagosa Springs, CO
Overall Score: 65
Competition and Cost Rank: 3
ROI Potential Rank: 120
Attractions Rank: 174
Safety Rank: 93
13. Las Vegas, NV
Overall Score: 64.88
Competition and Cost Rank: 48
ROI Potential Rank: 133
Attractions Rank: 8
Safety Rank: 48
14. Harrisburg, PA
Overall Score: 64.68
Competition and Cost Rank: 185
ROI Potential Rank: 7
Attractions Rank: 151
Safety Rank: 189
15. San Marcos, TX
Overall Score: 64.63
Competition and Cost Rank: 64
ROI Potential Rank: 37
Attractions Rank: 263
Safety Rank: 113
16. Jamestown, NY
Overall Score: 64.61
Competition and Cost Rank: 272
ROI Potential Rank: 3
Attractions Rank: 270
Safety Rank: 110
17. Gulfport, MS
Overall Score: 64.57
Competition and Cost Rank: 65
ROI Potential Rank: 22
Attractions Rank: 234
Safety Rank: 186
18. Knoxville, TN
Overall Score: 64.51
Competition and Cost Rank: 39
ROI Potential Rank: 49
Attractions Rank: 38
Safety Rank: 140
19. Bowling Green, KY
Overall Score: 64.39
Competition and Cost Rank: 10
ROI Potential Rank: 122
Attractions Rank: 177
Safety Rank: 72
20. Gunnison, CO
Overall Score: 64.29
Competition and Cost Rank: 1
ROI Potential Rank: 170
Attractions Rank: 218
Safety Rank: 85
Methodology
We ranked 318 U.S. cities in descending order — from best to worst — based on their individual score totals in the metrics list below. The city that scored the highest was ranked No. 1, or “best.”
- Size of the Rental Market
- Rental Vacancy Rate
- Median Annual Property Taxes
- Median Listing Price per Sq. Ft.
- Annual Rental Income (Capitalization Rate)
- Daily Rental Income
- Total Attractions
- Violent Crime Rate
- Property Crime Rate
- Natural Hazard Index Score
Sources: AllTheRooms, Federal Bureau of Investigation, National Center for Disaster Preparedness, TripAdvisor, U.S. Census Bureau and Zillow.
So there you have it: the best cities to own a vacation home. And when your new rental home needs landscaping, come back to LawnStarter. It’s kind of what we do.
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