Airbnb Investing in Arkansas: Top Markets Explored

Simplify your search for the top-notch Airbnb markets in the United States with Awning's Top Airbnb Market tool. This comprehensive tool is regularly updated and offers insightful rankings along with direct links to the Airbnb data of each market, empowering you to make well-informed decisions with confidence.

Investing in Arkansas' Airbnb market is a profitable venture, especially in these top locations:

1. Royal, AR - Best for High ROI
2. Eureka Springs, AR - Best for Unique Properties
3. Harrison, AR - Best for Outdoor Tourism
4. Garfield, AR - Best for Steady Demand
5. Fayetteville, AR - Best for University-Related Rentals
6. Mena, AR - Best for Adventure Seekers
7. Jonesboro, AR - Best for Stability and Growth
8. Hot Springs National Park, AR - Best for High Tourist Attraction

1. Royal, AR

Royal, AR is a promising Airbnb market, thanks to its advantageous location near renowned tourist destinations such as the Hot Springs National Park. The town's quaint and welcoming atmosphere serves as a magnet for visitors throughout the year.

With a strong ROI of 11%, Royal offers an appealing investment opportunity for Airbnb hosts. The average Airbnb price of $283k and an occupancy rate of 48% contribute to a potential revenue of $33,000 annually.

Despite being a small market with only 41 available Airbnbs, Royal's unique location and small-town ambiance create a niche market that can be leveraged by investors. By offering personalized experiences and highlighting the local attractions, hosts can attract guests seeking an authentic and memorable stay in this enchanting destination.

To maximize the potential of this market, consider providing additional amenities or services that align with the interests of visitors to Hot Springs National Park. This could include giving local recommendations for exploring the park, offering relaxing amenities that embrace the town's laid-back atmosphere, or organizing activities such as guided nature walks can enhance the guest experience and attract more bookings.

2. Eureka Springs, AR

Eureka Springs is a captivating choice for investors exploring the Airbnb rental market, thanks to its distinctive Victorian architecture, picturesque surroundings, and status as a sought-after tourist destination. The city's charm is further accentuated by its hosting of events like the Ozark Folk Festival, drawing in visitors from far and wide. With a variety of unique properties available, from cozy cabins to historic homes, investors have the opportunity to offer visitors a one-of-a-kind experience.

With a promising ROI of 12%, Eureka Springs offers a potentially lucrative investment opportunity. The ADR of $149, coupled with an occupancy rate of 52%, translates to an estimated revenue of $25,000 per year.

Eureka Springs presents a medium-sized market with 884 active Airbnb listings, providing a reasonable inventory for interested investors. The average Airbnb price of $229,000 indicates a market that is accessible for potential buyers.

Investors drawn to Eureka Springs should focus on capitalizing on the city's unique appeal. The Victorian architecture and scenic surroundings create an ideal backdrop for creating memorable guest experiences.

The city's popularity as a wedding destination provides an opportunity for investors to cater to couples and their guests with larger properties that can accommodate groups. Consider enhancing your property with thoughtful amenities that align with the destination's natural beauty, such as outdoor seating areas, gardens, or even guided nature walks.

3. Harrison, AR

Harrison, AR is quickly becoming a hot spot for Airbnb investors due to its prime location near popular outdoor attractions, such as the Buffalo National River and the Ozark Mountains, making it an ideal destination for outdoor enthusiasts. Additionally, Harrison has seen a significant increase in tourism in recent years, with visitors flocking to the area for its natural beauty and charming small-town atmosphere.

With a modest market size of 108 active Airbnb listings, Harrison presents an opportunity for investors to establish themselves in a growing tourism industry. The average Airbnb price of $228,000 indicates a market that is relatively affordable compared to larger metropolitan areas.

In terms of financials, Harrison offers a positive return on investment (ROI) of 7%. With an average daily rate (ADR) of $127 and an occupancy rate of 50%, investors can expect annual revenue of around $17,000. While the occupancy rate may appear lower compared to other locations, it still provides a viable opportunity for investors to generate income from their properties.

Properties that offer easy access to outdoor activities like hiking, fishing, and kayaking are likely to be in high demand. Additionally, investors who are willing to invest in property upgrades and amenities like hot tubs, fire pits, and outdoor seating areas may be able to command higher rental rates and attract more guests.

4. Garfield, AR

Garfield, AR casts its spell on investors looking for a profitable short-term rental market, as it gracefully sits in close proximity to the alluring Beaver Lake and the enchanting Ozark National Forest. These natural treasures draw tourists throughout the year, creating a constant stream of potential guests for Airbnb hosts.

With an ROI of 8%, Garfield offers a solid financial prospect for Airbnb investors. The average Airbnb price of $492k and an occupancy rate of 50% contribute to an estimated annual revenue of $35,000.

While the market size may be small with 129 active Airbnbs, Garfield's proximity to natural attractions creates a unique advantage. The demand for accommodations in this area remains steady, presenting an opportunity for investors to establish themselves as preferred hosts.

To unlock the full potential of your investment, immerse yourself in the charms of Garfield and highlight its proximity to Beaver Lake and the Ozark National Forest in your property listings. Emphasize the myriad of outdoor activities that await guests, such as boating on the tranquil waters, exploring the verdant forest trails, and discovering the awe-inspiring natural wonders that surround them.

Additionally, offering thoughtful amenities and experiences that elevate the guest's stay, such as access to recreational equipment or insider tips on local hidden gems, can set your property apart and draw discerning travelers seeking an unforgettable getaway.

5. Fayetteville, AR

In the heart of Northwest Arkansas, immerse yourself in the captivating allure of Fayetteville – a city that effortlessly weaves together academic vibrancy, cultural richness, and an inviting atmosphere – an investment destination brimming with potential.

Home to the esteemed University of Arkansas, Fayetteville enjoys a constant influx of visitors, including parents visiting their college students and passionate sports fans flocking to Razorback games. The city's infectious energy is further amplified by its thriving arts and culture scene, with captivating events like the Fayetteville Roots Festival and the Walton Arts Center drawing in tourists from all over.

With a modest yet promising ROI of 5%, Fayetteville can be a decent foundation for your investment endeavors. The ADR of $140 and an occupancy rate of 55% contribute to an estimated revenue of $18,000. Moreover, with an average Airbnb price of $361,000, Fayetteville offers an accessible entry point for those looking to dip their toes into the world of Airbnb investments.

Highlight Fayetteville's unique advantages in your property listings, showcasing the allure of the nearby Ozark National Forest.

To make the most of Fayetteville's charm and appeal, leverage the city's unique attributes in your property listings. Highlight Fayetteville's close proximity to the University of Arkansas, emphasizing the convenience for visiting families and potential long-term renters. Showcase the wealth of outdoor activities – from scenic hikes to tranquil retreats, that await guests just a stone's throw away. Additionally, draw attention to the city's vibrant cultural scene, with its lively festivals and events that infuse the air with an electric energy throughout the year.

Creating a cozy and inviting atmosphere within your property can further enhance the charm of Fayetteville. Consider adding personal touches like comfortable seating areas or quaint outdoor spaces, inviting guests to relax and savor the delightful ambiance of the city. By blending the natural beauty of the Ozarks with the warmth of Fayetteville's hospitality, you can position your property as a charming haven for travelers seeking an unforgettable stay.

6. Mena, AR

Escape to the captivating charm of Mena, AR, a top destination that beckons Airbnb investors with its remarkable blend of natural beauty, burgeoning tourism, and affordable real estate. Situated in close proximity to renowned outdoor attractions like Petit Jean State Park and the Ozark National Forest, Mena offers a gateway to breathtaking adventures in the heart of nature.

With an impressive ROI of 8%, Mena sets the stage for a profitable investment venture. The ADR of $148, coupled with an occupancy rate of 43%, translates to an estimated annual revenue of $15,000. Moreover, Mena's average Airbnb price of $211,000 positions it as an accessible market, making it an attractive destination for investors seeking affordable yet promising real estate opportunities.

Investors keen on capitalizing on Mena's potential should consider incorporating unique experiences and amenities into their offerings. Emphasize the abundance of outdoor activities available to adventurous travelers. From guided hikes and nature tours to cozy cabins that provide a rustic escape, infusing your property with the essence of the local environment will enhance its desirability and attract guests seeking an authentic and memorable stay.

Unveil the hidden potential of Mena, AR, a top market for Airbnb investors seeking an enchanting blend of natural beauty, affordability, and growing tourism. Embark on a rewarding journey in this small-town gem and unlock the door to a lucrative investment venture amidst the awe-inspiring landscapes of western Arkansas.

7. Jonesboro, AR

Jonesboro's prime location near Arkansas State University positions it as an appealing destination for parents visiting their college-bound children, alumni returning for events, and prospective students exploring the campus. Additionally, the city's strong economy and diverse range of attractions, including museums, parks, and cultural events, attract a steady stream of visitors throughout the year.

With an ROI of +7%, Jonesboro presents a pathway to a steady and rewarding income stream. The average Airbnb price of $205k, combined with an occupancy rate of 62%, paints a picture of potential annual revenue amounting to $13,000. While the market size may be considered small, with 170 active Airbnbs, the demand for accommodations in Jonesboro is poised to rise alongside the city's continuous development.

Highlighting the city's proximity to the university and its various attractions can be a key selling point for your Airbnb listing. Consider catering to the needs of parents visiting their college students or offering a comfortable and convenient stay for visiting academics and researchers. Think of ways to offer convenient access to the campus, create inviting study spaces, or forge partnerships with local businesses to enhance the overall guest experience.

Jonesboro, AR beckons investors with a world of possibilities in the growing short-term rental market. This charming city, brimming with potential, boasts a growing population, a robust economy, and a prime location near the esteemed Arkansas State University.

8. Hot Springs, AR

Nestled amidst natural hot springs, historic bathhouses, and abundant outdoor activities such as hiking and boating, Hot Springs offers a rich tapestry of experiences for visitors to indulge in. Moreover, the city's vibrant calendar of festivals and events ensures a constant influx of tourists throughout the year.

With an impressive ROI of 16%, Hot Springs National Park presents a lucrative opportunity for investors seeking a rewarding venture. The average Airbnb price of $345k, coupled with a respectable occupancy rate of 60%, hints at an estimated annual revenue of $22,000. While the market size may be deemed small, with just 41 active Airbnbs, the demand for accommodations in Hot Springs National Park remains consistently strong.

Catering to the desires of nature enthusiasts, adventurers, and those seeking rejuvenation, focus on offering convenient access to the hot springs, comfortable accommodations, and insider knowledge of the area's hiking trails and boating opportunities. Providing guests with insider tips on the best hiking trails, arranging spa packages, or showcasing the local cuisine can create an unforgettable stay that distinguishes your property from the rest.

Additionally, investors should be prepared to participate in the city's numerous festivals and events throughout the year, as these attract a significant number of tourists.

Hot Springs National Park, AR casts a spell on investors in the Airbnb market, offering a blend of natural beauty, captivating history, and a vibrant tourism scene. With its impressive ROI, attractive average Airbnb price, and a wealth of outdoor activities, this alluring city invites you to embark on a truly rewarding investment journey.

Bottom Line

Investing in Airbnb properties in Arkansas presents a great opportunity for consistent returns. With a diverse range of markets from urban centers like Fayetteville to tourist hotspots like Eureka Springs, there is something for every investor. Understanding the specific dynamics of each market, from ROI to ADR and occupancy rates, is critical for success. Remember, the best market for you will align with your investment strategy, budget, and long-term goals.