AirDNA top STR markets to invest 2025

[Travis Timmons]

AirDNA published their annual list, and the markets topping it are: 

1. Peoria, IL

2. Fairbanks, AK

3 Akron, OH

4. Columbus, GA

You can go look up the remaining 21 markets, but you get the idea. The industry is mature and margins have properly compressed. If you want real yield or cashflow, you have to buy in a non-vacation market that is not top of mind for an STR. It's the boring places that probably won't appreciate above the rate of inflation that will provide real month to month income.

I've said this before, but I would contend that we are in a "What can you do that is really hard?" market. You have to make a deal rather than buy a deal, be more appreciation focused, and be more patient. STR feels more like a strategy to break even or eek out a meager return on a great asset than a strategy to cashflow. Or you have to take a value add approach to make it worth the hassle. It kind of feels like the rest of the market - you kind of have to pick a lane between cash flow and appreciation.

Does that make sense?

[Collin Hays]

From a macro standpoint, cash flow is difficult when servicing debt, at least in the early years. 

As for published lists of the “newest and hottest” markets, I would take that with a grain of salt. It is purely clickbait.

Find yourself a market that you are interested in, learn as much as you can about that market, and find your deal.