Short-term rental investing in Southeast Florida has never been more competitive—or more rewarding. With year-round tourism, beautiful weather, and strong rental demand, the region continues to attract both seasoned investors and first-time hosts.
But here’s the thing: not all markets are created equal.
In 2025, the smartest investors are paying attention to data-backed trends—like average daily rate (ADR), occupancy rates, and local STR regulations—before making a purchase. Whether you're looking for a coastal cottage that brings in weekend beachgoers or a luxury pool home with high-season potential, these five cities offer a blend of profit potential and lifestyle appeal.
Below, I’m breaking down the Top 5 cities in Southeast Florida to buy a short-term rental this year—based on actual performance metrics, guest demand, and boots-on-the-ground insights from someone who lives and invests here.
🥇 1. West Palm Beach
Why it stands out: West Palm offers the perfect mix of coastal charm, culture, and consistent visitor traffic. With beaches, The Square, Clematis Street nightlife, and easy access to PBI Airport, guests flock here year-round.
STR Performance:
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🏡 Average annual Airbnb revenue: ~$45,000
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📈 Occupancy rate: ~67%
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💵 ADR: ~$189
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📊 Over 1,150 active listings (as of 2024)
Sources:
Investor Tip: Look for homes east of I-95 near Flamingo Park, Grandview Heights, or SoSo for the best blend of charm and STR demand.
🥈 2. Delray Beach
Why it stands out: Atlantic Avenue draws tourists in droves—lined with restaurants, boutiques, and nightlife, all walking distance to the beach. Delray offers a high-end vacation experience that translates to high nightly rates.
Investor Insight:
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Homes within walking distance to downtown or the beach command premium pricing.
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Local laws are STR-friendly in most areas—but always double-check zoning per parcel.
Source:
Pro Tip: Invest in properties with outdoor space or guest suites—ideal for families or multi-generational travel.
🥉 3. Deerfield Beach / Pompano Beach
Why they stand out: Just south of Boca Raton, these two cities offer a more relaxed beach experience—still popular with tourists but with lower buy-in prices than more saturated areas.
STR Performance – Deerfield Beach:
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💰 Average revenue: ~$67,700/year
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📉 Occupancy: ~44%
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🔁 Yield: ~13.5%
Source:
Investor Tip: Properties near the fishing pier or beach walk tend to book faster and at higher rates.
🏖️ 4. Fort Lauderdale
Why it stands out: Known for its Venice-style canals and boat culture, Fort Lauderdale offers massive tourism appeal, an international airport, and strong global guest traffic.
Investor Insight:
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The city remains a top performer for both domestic and international guests.
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STR regulations vary by neighborhood—some require special licenses.
Source:
Pro Tip: Look for duplexes or multi-units near Las Olas or the beach zone for strong ROI and potential to scale.
🌴 5. Palm City (Martin County)
Why it’s on the rise: While not as well-known as others on this list, Palm City offers excellent growth potential. It’s affordable, safe, and attracts long-stay families and traveling professionals.
STR Performance:
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📈 Average annual revenue: ~$31,500
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⏳ Occupancy: ~43.5%
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💵 ADR: ~$252
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⚡ Year-over-year growth: 17%
Source:
Investor Tip: Look for 3–4 bedroom homes with space for a pool or detached guest unit. These tend to perform best in suburban STR markets.
📊 Quick Comparison Table – STR Performance (2025)
| City | Avg Annual Revenue | Occupancy Rate | ADR (Average Daily Rate) | Why It’s Hot |
|---|---|---|---|---|
| West Palm Beach | ~$45,000 | ~67% | ~$189 | Urban walkability, beaches, strong STR demand |
| Delray Beach | ~$52,000 (est.) | ~61% (est.) | ~$210 (est.) | Lively downtown, premium bookings, beach access |
| Deerfield Beach | ~$67,700 | ~44% | ~$190 (est.) | High returns, pier location, family-friendly |
| Pompano Beach | ~$55,000 (est.) | ~57% (est.) | ~$200 (est.) | Up-and-coming arts district, less saturation |
| Fort Lauderdale | ~$62,000 (est.) | ~60% (est.) | ~$225 (est.) | International appeal, luxury stays, boating hub |
| Palm City | ~$31,500 | ~43.5% | ~$252 | Lower competition, longer average stays |
📌 Note: Estimated figures based on AirDNA, Airbtics, and AirROI reporting from 2024–2025.
🧭 Final Thoughts
If you’re looking to break into the short-term rental market in 2025, Southeast Florida offers multiple high-performing cities depending on your budget and strategy.
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Want walkability and strong returns? ➤ Delray or West Palm
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Looking for upside and lower competition? ➤ Palm City
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Want beach access and family appeal? ➤ Deerfield or Pompano
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Want luxury rental traffic? ➤ Fort Lauderdale
As an investor, the key is choosing a location that supports strong guest demand, has favorable zoning, and offers room for long-term growth. That’s what I help my clients identify every day.
📩 Want a list of current STR-friendly properties in any of these cities?
Let’s connect! I’ll send you handpicked listings with projected income, local laws, and my honest opinion on what’s worth pursuing.
💬 Ready to Invest in One of These Cities?
Whether you're a first-time STR buyer or looking to expand your portfolio in Florida, I'm here to help you make smart, profitable moves.
As a local investor, Airbnb host, and real estate agent, I understand both the numbers and the neighborhood vibes. From running income projections to spotting zoning red flags, I treat your investment like my own.
📲 Let’s connect and chat about your goals. I’ll send over a curated list of STR-friendly properties in the cities that match your budget and strategy.
👉 Learn more about how I help investors:
🔗 Investor Services – SoFlo Coastal Group
Melissa Naman | REALTOR®
The SoFlo Coastal Group
📞 732-754-9323
📧 [email protected]
📸 @melissa.buy.sell.invest
