By Murat Gocmen, Broker, Real Estate Tahoe | Firm: CA DRE #02235314 · NV B.1003327.LLC | September 2026
Real Estate Tahoe's short answer: across the North Shore and Nevada East Shore markets we track, a typical (median) Lake Tahoe Airbnb grosses roughly $70,000 to $105,000 a year for a 3- or 4-bedroom home and $50,000 to $70,000 for a 1- or 2-bedroom, based on PriceLabs market benchmarks Real Estate Tahoe pulled on August 17, 2026. Market occupancy runs between 37 percent (Northstar) and 61 percent (West Shore), and median nightly rates run from about $230 to $660 depending on size and market. A top-quartile operator adds 25 to 40 percent to those gross figures, and after the roughly 60 percent expense load on a professionally managed home, the owner nets about 40 percent of gross.
Those are gross booking revenues before any expense. Cap rates and cash-on-cash are at Lake Tahoe vacation rental returns.
Where these numbers come from
Real Estate Tahoe pulled these benchmarks from PriceLabs on August 17, 2026 for the eight markets where our broker operates 45 short-term rentals through MG Vacation Rentals: six in Placer County, California (Carnelian Bay, Kings Beach, Northstar, Tahoe City, Tahoe Vista, and the West Shore of Homewood and Tahoma) and two in Washoe County, Nevada (Incline Village and Crystal Bay).
ADR is the average nightly rate across active listings; p25, p50 (median), p75 and p90 are percentiles, so a p75 listing out-earns three quarters of its market on rate. Occupancy is the market-wide share of available nights booked. Estimated gross is median ADR times occupancy times 365, rounded to the nearest $1,000. The "All sizes" rows are a capped sample of 350 listings per market, so compare listing counts only on the bedroom rows.
Gross revenue by market: 3- and 4-bedroom homes
Three- and four-bedroom homes are the bulk of what sells and rents around the lake. Crystal Bay has no 4-bed sample, so its 3-bed row stands alone.
| Market | Bedrooms | Median ADR | Occupancy | Est. gross at median ADR | Est. gross at p75 ADR |
|---|---|---|---|---|---|
| Carnelian Bay (Placer, CA) | 3-bed | $357 | 56.4% | $73,000 | $96,000 |
| Carnelian Bay (Placer, CA) | 4-bed | $510 | 56.4% | $105,000 | $135,000 |
| Crystal Bay (Washoe, NV) | 3-bed | $422 | 59.1% | $91,000 | $124,000 |
| Incline Village (Washoe, NV) | 3-bed | $331 | 52.3% | $63,000 | $79,000 |
| Incline Village (Washoe, NV) | 4-bed | $531 | 52.3% | $101,000 | $134,000 |
| Kings Beach (Placer, CA) | 3-bed | $409 | 59.4% | $89,000 | $117,000 |
| Kings Beach (Placer, CA) | 4-bed | $626 | 59.4% | $136,000 | $164,000 |
| Northstar (Placer, CA) | 3-bed | $478 | 37.2% | $65,000 | $85,000 |
| Northstar (Placer, CA) | 4-bed | $663 | 37.2% | $90,000 | $121,000 |
| Tahoe City (Placer, CA) | 3-bed | $351 | 52.4% | $67,000 | $96,000 |
| Tahoe City (Placer, CA) | 4-bed | $519 | 52.4% | $99,000 | $129,000 |
| Tahoe Vista (Placer, CA) | 3-bed | $383 | 51.9% | $73,000 | $86,000 |
| Tahoe Vista (Placer, CA) | 4-bed | $479 | 51.9% | $91,000 | $117,000 |
| West Shore, Homewood and Tahoma (Placer, CA) | 3-bed | $392 | 61.1% | $87,000 | $113,000 |
| West Shore, Homewood and Tahoma (Placer, CA) | 4-bed | $573 | 61.1% | $128,000 | $201,000 |
The spread between markets is wider than the spread between a 3- and a 4-bedroom inside one market: a Kings Beach 4-bed at $136,000 and a Northstar 4-bed at $90,000 are both "North Shore four-bedrooms". The p75 column sits 25 to 40 percent above the median in every row. We compare the markets against our own portfolio numbers at best places to buy a short-term rental in Lake Tahoe.
Every market and bedroom count
The full benchmark set follows, all rows and columns as pulled. Sizes with too few active listings were not returned, so some markets skip a bedroom count.
| Market | Bedrooms | Listings | ADR p25 | Median ADR | ADR p75 | ADR p90 | Occupancy | Est. gross at median ADR | At p75 ADR |
|---|---|---|---|---|---|---|---|---|---|
| Carnelian Bay | All sizes | 350 | $333 | $455 | $636 | $863 | 56.4% | $94,000 | $131,000 |
| Carnelian Bay | 1-bed | 47 | $187 | $234 | $314 | $435 | 56.4% | $48,000 | $65,000 |
| Carnelian Bay | 2-bed | 97 | $272 | $328 | $421 | $566 | 56.4% | $68,000 | $87,000 |
| Carnelian Bay | 3-bed | 202 | $302 | $357 | $468 | $633 | 56.4% | $73,000 | $96,000 |
| Carnelian Bay | 4-bed | 151 | $385 | $510 | $656 | $832 | 56.4% | $105,000 | $135,000 |
| Carnelian Bay | 5-bed | 37 | $637 | $873 | $1,249 | $1,913 | 56.4% | $180,000 | $257,000 |
| Crystal Bay (NV) | 1-bed | 47 | $195 | $229 | $278 | $324 | 59.1% | $49,000 | $60,000 |
| Crystal Bay (NV) | 2-bed | 145 | $251 | $316 | $369 | $450 | 59.1% | $68,000 | $80,000 |
| Crystal Bay (NV) | 3-bed | 150 | $317 | $422 | $575 | $669 | 59.1% | $91,000 | $124,000 |
| Incline Village (NV) | All sizes | 350 | $444 | $604 | $843 | $1,244 | 52.3% | $115,000 | $161,000 |
| Incline Village (NV) | 1-bed | 25 | $145 | $195 | $239 | $320 | 52.3% | $37,000 | $46,000 |
| Incline Village (NV) | 2-bed | 133 | $212 | $258 | $360 | $579 | 52.3% | $49,000 | $69,000 |
| Incline Village (NV) | 3-bed | 190 | $254 | $331 | $413 | $524 | 52.3% | $63,000 | $79,000 |
| Incline Village (NV) | 4-bed | 265 | $386 | $531 | $702 | $994 | 52.3% | $101,000 | $134,000 |
| Incline Village (NV) | 5-bed | 68 | $676 | $867 | $1,163 | $1,383 | 52.3% | $166,000 | $222,000 |
| Incline Village (NV) | 6-bed | 17 | $825 | $1,140 | $1,600 | $1,898 | 52.3% | $218,000 | $305,000 |
| Kings Beach | All sizes | 350 | $310 | $387 | $531 | $696 | 59.4% | $84,000 | $115,000 |
| Kings Beach | 2-bed | 113 | $260 | $331 | $376 | $460 | 59.4% | $72,000 | $82,000 |
| Kings Beach | 3-bed | 177 | $324 | $409 | $540 | $651 | 59.4% | $89,000 | $117,000 |
| Kings Beach | 4-bed | 60 | $466 | $626 | $758 | $1,091 | 59.4% | $136,000 | $164,000 |
| Northstar | All sizes | 350 | $343 | $474 | $694 | $1,115 | 37.2% | $64,000 | $94,000 |
| Northstar | 2-bed | 120 | $284 | $355 | $569 | $1,168 | 37.2% | $48,000 | $77,000 |
| Northstar | 3-bed | 145 | $378 | $478 | $626 | $886 | 37.2% | $65,000 | $85,000 |
| Northstar | 4-bed | 85 | $495 | $663 | $892 | $1,188 | 37.2% | $90,000 | $121,000 |
| Tahoe City | All sizes | 350 | $303 | $393 | $566 | $733 | 52.4% | $75,000 | $108,000 |
| Tahoe City | 2-bed | 47 | $249 | $299 | $357 | $410 | 52.4% | $57,000 | $68,000 |
| Tahoe City | 3-bed | 164 | $281 | $351 | $503 | $655 | 52.4% | $67,000 | $96,000 |
| Tahoe City | 4-bed | 139 | $394 | $519 | $677 | $872 | 52.4% | $99,000 | $129,000 |
| Tahoe Vista | All sizes | 350 | $341 | $431 | $595 | $901 | 51.9% | $82,000 | $113,000 |
| Tahoe Vista | 3-bed | 167 | $317 | $383 | $455 | $599 | 51.9% | $73,000 | $86,000 |
| Tahoe Vista | 4-bed | 149 | $360 | $479 | $616 | $869 | 51.9% | $91,000 | $117,000 |
| Tahoe Vista | 5-bed | 34 | $659 | $815 | $976 | $1,332 | 51.9% | $154,000 | $185,000 |
| West Shore (Homewood, Tahoma) | All sizes | 350 | $318 | $416 | $578 | $888 | 61.1% | $93,000 | $129,000 |
| West Shore (Homewood, Tahoma) | 2-bed | 69 | $248 | $307 | $372 | $439 | 61.1% | $68,000 | $83,000 |
| West Shore (Homewood, Tahoma) | 3-bed | 170 | $318 | $392 | $507 | $678 | 61.1% | $87,000 | $113,000 |
| West Shore (Homewood, Tahoma) | 4-bed | 111 | $450 | $573 | $901 | $1,125 | 61.1% | $128,000 | $201,000 |
Markets not in this table, meaning South Lake Tahoe and Meyers in El Dorado County, Truckee in Nevada County, and Stateline and Zephyr Cove in Douglas County, Nevada, follow the same method; Real Estate Tahoe runs those from comparable listings inside its projection tool rather than a market table, so none is published here. How the answer shifts by condo, cabin or lakefront is at vacation rental income by property type.
What moves a home from median to top quartile
The median and p75 columns describe the same houses in the same market; the gap is mostly the operator. Running 45 homes across these jurisdictions, Real Estate Tahoe sees the same levers decide which column a listing lands in.
- Photos. Guests choose on the first five images. A winter set, a summer set and a lead image that shows the reason to book move the rate ceiling.
- Dynamic pricing. A flat rate underprices peak weeks and leaves shoulder weeks empty; daily repricing fixes both.
- Guest Favorite and Superhost status. Both lift placement and conversion; see Guest Favorite badge and Lake Tahoe rental revenue.
- Minimum stays that fit the calendar. Ski markets book long weekends; summer books by the week. A rule that ignores the season leaves orphan nights.
- A clean permit and inspection file. A permitted home that respects the county's occupancy and parking limits stays live all year; one that does not gets taken down in peak season.
- Response time and turnover. Same-hour replies and a sub-24-hour cleaning crew keep reviews high enough to hold the top of the rate band.
Occupancy is the market's number, not yours
Buyers fixate on nightly rate and treat occupancy as something they can manage. It is set by how many nights the market has demand for, and it varies more between markets than rate does.
Northstar is the clearest case. Its 4-bed median rate of $663 is the highest in the table, but its 37.2 percent occupancy is the lowest, because demand concentrates in ski season. The West Shore runs the opposite way: a lower 4-bed median of $573 with 61.1 percent occupancy, from summer lake demand on top of winter.
Run both through the formula. Northstar: $663 times 37.2 percent times 365 is about $90,000 gross. West Shore: $573 times 61.1 percent times 365 is about $128,000 gross. The cheaper-per-night home out-earns the pricier one by roughly $38,000 a year on nights booked alone. That is why we never accept a seller's or a platform's occupancy claim for one home; we use the market's number.
From gross to net
Gross is not the number that pays a mortgage. Real Estate Tahoe's underwriting default for a professionally managed Tahoe short-term rental is a 60 percent all-in expense ratio, so net operating income is about 40 percent of gross. That ratio covers these lines:
- Lodging tax, 10 to 14 percent of gross depending on jurisdiction; each county's rate is on the Lake Tahoe STR rules hub and its county sub-pages.
- Platform fees charged by Airbnb and Vrbo on each booking.
- Cleaning and linen turnover after every stay.
- Professional management, if you are not running it yourself.
- Utilities, internet and streaming.
- Snow removal, defensible space and bear-box upkeep.
- Insurance written for short-term rental use.
- Permit fees, renewals and required inspections.
- Supplies, repairs and the furniture and hot-tub replacement cycle.
A worked example: a 4-bedroom in Incline Village
Take the Incline Village 4-bed row, Washoe County, Nevada. Median ADR of $531 times 52.3 percent occupancy times 365 nights gives about $101,000 gross. At the 40 percent net default, that is about $40,000 of net operating income before debt service. A p75 operator at a $702 ADR and the same occupancy reaches about $134,000 gross, or roughly $54,000 net. That upside is earned, so we underwrite the purchase at the median. What Incline's HOAs do to the picture, with 61 of 144 associations prohibiting short-term rentals, is at STR investment in Incline Village.
Real Estate Tahoe underwrites at median ADR and market occupancy, never at a listing's best month or a seller's best year; a full twelve months with one strong February and a wet summer is more honest than the February alone. The full method is at how I underwrite a Lake Tahoe STR. Real Estate Tahoe does not give tax or legal advice; depreciation and entity questions belong with your CPA and attorney.
The permit gate
None of this revenue exists without a permit, and STR permits never transfer to a buyer in any Lake Tahoe jurisdiction. The buyer applies fresh, which in Placer County means a spot under the cap: Real Estate Tahoe's permit availability tracker showed 3,393 active permits against the 3,900 cap as of September 16, 2026, and the county's rules are at Placer County STR rules. See which Lake Tahoe properties can be an Airbnb and the risks of buying a Lake Tahoe Airbnb. Real Estate Tahoe verifies eligibility parcel by parcel before a buyer writes an offer, including the TRPA rules inside the Basin. Sellers holding an active permit should read selling a Lake Tahoe home with an STR permit.
Getting a projection for a specific address
Market tables answer the question in general, not for one address. The Real Estate Tahoe home search shows a short-term rental projection on each listing, built from these benchmarks and comparable listings near the address, alongside an STR-eligibility verdict and an "STR Permit on File" badge where the address matches an active Placer County permit (the badge means a permit exists today, not that the buyer inherits it). A broker then refines it from real booking data, our portfolio's performance in that market, and the HOA, parking and occupancy limits on the parcel. Because our broker manages rentals as well as selling them, the projection is the one we would use ourselves; see a Tahoe agent who manages and sells STRs and the 2026 investment guide.
Watch: why the advertised gross revenue is not gross revenue
What MLS short-term rental revenue claims quietly include, and what to ask for instead.
Frequently asked questions
How much can an Airbnb make in Lake Tahoe?
Using PriceLabs benchmarks Real Estate Tahoe pulled on August 17, 2026, a median 3- or 4-bedroom home on the North Shore or Nevada East Shore grosses roughly $70,000 to $105,000 a year, and a 1- or 2-bedroom $50,000 to $70,000. Kings Beach 4-beds run higher, about $136,000, and Northstar lower, about $90,000. After a 60 percent expense load, net is about 40 percent of gross.
Which Lake Tahoe market has the highest Airbnb revenue?
Among the markets in this table, Kings Beach in Placer County posts the highest 4-bedroom gross at about $136,000 on a $626 median rate and 59.4 percent occupancy, with the West Shore close behind at about $128,000 on the highest occupancy of any market, 61.1 percent. Incline Village leads on the largest homes: a 6-bedroom median gross of about $218,000.
Why is Northstar's Airbnb revenue lower when its nightly rates are higher?
Northstar's 4-bed median rate of $663 is the highest in the table, but its 37.2 percent occupancy is the lowest because demand concentrates in ski season. A Northstar 4-bed grosses about $90,000, while a West Shore 4-bed at $573 and 61.1 percent grosses about $128,000. Real Estate Tahoe underwrites with the market's occupancy, not a hoped-for one.
What does a Lake Tahoe Airbnb net after expenses?
Real Estate Tahoe's underwriting default for a professionally managed Tahoe short-term rental is a 60 percent all-in expense ratio, covering lodging tax of 10 to 14 percent, platform fees, cleaning, management, utilities, snow, insurance and permits. About 40 percent of gross is left as net operating income before debt service, so a median Incline Village 4-bed grossing $101,000 nets roughly $40,000.
Does the STR permit come with the house when I buy?
No. STR permits never transfer to a buyer in any Lake Tahoe jurisdiction. The seller's permit ends with the sale and the buyer applies fresh under the rules and caps in force at closing; in Placer County that means a spot under the 3,900 cap, with 3,393 active as of September 16, 2026. Real Estate Tahoe checks eligibility parcel by parcel before an offer.
How accurate is a market benchmark for one specific home?
A benchmark says what the market pays a typical home of that size; it does not know your view, hot tub or HOA. Treat the median row as the base case and the p75 row as earned upside. For a specific address, the projection on each listing in the Real Estate Tahoe search adds nearby comparables, and a broker refines it with real booking history.
Sources
- Real Estate Tahoe market benchmarks, PriceLabs neighborhood data pulled August 17, 2026 (median and percentile nightly rates, market occupancy and listing counts for the eight markets in the tables above)
- Real Estate Tahoe underwriting model (60 percent expense ratio default) (the all-in expense ratio and 40 percent net operating income assumption used in the worked example)
Search Lake Tahoe homes with the STR-eligibility filter and a revenue projection on every listing at Real Estate Tahoe's home search. Before you underwrite any of them, read the county-by-county rules on the Lake Tahoe STR rules hub.
