The Surprising Appalachian Hot Spots That Are ‘Very Profitable’ For Short-Term Rental Investors

Date:

July 2, 2024

When it comes to short-term rental investments, many people think of popular tourist destinations like Miami, Las Vegas, or San Francisco. However, savvy investors are now turning their attention to a lesser-known region that’s packed with hidden gems: Appalachia. This mountainous region stretching from Canada to Alabama offers a unique blend of natural beauty, rich history, and outdoor adventure, making it an attractive destination for travelers. In this article, we’ll explore the surprising Appalachian hot spots that are proving to be “very profitable” for short-term rental investors.

1. Asheville, North Carolina

Asheville, nestled in the Blue Ridge Mountains of western North Carolina, has become a hotspot for tourists and investors alike. This vibrant city boasts a thriving arts and cultural scene, surrounded by stunning natural beauty. With over 10 million visitors annually, Asheville’s short-term rental market is booming. According to data from Airbnb, the average daily rate for a short-term rental in Asheville is around $200, with an occupancy rate of over 70%. With its unique blend of mountain charm and urban sophistication, Asheville is an attractive destination for travelers, making it an ideal location for short-term rental investors.

2. Gatlinburg, Tennessee

Gatlinburg, a popular Smoky Mountains resort town, is another Appalachian hot spot that’s generating significant returns for short-term rental investors. With over 11 million visitors each year, Gatlinburg’s rental market is highly competitive, but also highly profitable. The average daily rate for a short-term rental in Gatlinburg is around $150, with an occupancy rate of over 80%. With its natural beauty, outdoor activities, and family-friendly atmosphere, Gatlinburg is a magnet for travelers, making it an attractive investment opportunity.

3. Boone, North Carolina

Boone, a charming college town in the High Country of North Carolina, is another Appalachian gem that’s gaining popularity among short-term rental investors. Home to Appalachian State University, Boone attracts a steady stream of visitors, including students, parents, and outdoor enthusiasts. With an average daily rate of around $120 and an occupancy rate of over 60%, Boone offers a lucrative opportunity for investors. The town’s natural beauty, outdoor recreation opportunities, and small-town charm make it an attractive destination for travelers.

4. Harrogate, Tennessee

Harrogate, a small town in eastern Tennessee, is a hidden gem that’s gaining attention from short-term rental investors. Located near the Cumberland Gap National Historical Park, Harrogate offers a unique blend of natural beauty, history, and outdoor adventure. With an average daily rate of around $100 and an occupancy rate of over 50%, Harrogate presents a profitable opportunity for investors. The town’s scenic beauty, outdoor recreation opportunities, and proximity to the national park make it an attractive destination for travelers.

5. Beckley, West Virginia

Beckley, a charming town in southern West Virginia, is another Appalachian hot spot that’s generating interest among short-term rental investors. Located near the New River Gorge National River, Beckley offers a unique blend of natural beauty, outdoor adventure, and small-town charm. With an average daily rate of around $90 and an occupancy rate of over 40%, Beckley presents a profitable opportunity for investors. The town’s scenic beauty, outdoor recreation opportunities, and proximity to the national river make it an attractive destination for travelers.

Why Appalachian Hot Spots Are Attractive to Investors

So, what makes these Appalachian hot spots so attractive to short-term rental investors? Here are a few key factors:

Natural Beauty: The Appalachian region is known for its stunning natural beauty, with mountains, forests, and rivers offering endless opportunities for outdoor recreation.
Affordability: Compared to other popular tourist destinations, the Appalachian region offers a relatively low cost of entry for investors, making it an attractive option for those looking to diversify their portfolios.
Growing Tourism: The Appalachian region is experiencing a surge in tourism, driven by its natural beauty, outdoor recreation opportunities, and rich history.
Limited Supply: In many Appalachian towns, there is a limited supply of short-term rentals, making it easier for investors to capitalize on the demand.

Conclusion

The Appalachian region is a hidden gem for short-term rental investors, offering a unique blend of natural beauty, outdoor adventure, and small-town charm. With its growing tourism industry, limited supply of rentals, and relatively low cost of entry, the region presents a lucrative opportunity for investors. Whether you’re a seasoned investor or just starting out, the Appalachian hot spots mentioned above are definitely worth considering. So, why not explore the possibilities of investing in Appalachia and capitalize on the region’s natural beauty and charm?