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Top Short-Term Rental Markets in the U.S.

Unlock Tax Savings with Short-Term Rentals

Turn your short-term rental (STR) into a long-term tax advantage.

Short-Term Rental Tax Savings Calculator

Enter your property value and tax bracket to see how depreciation could offset your costs.

Property Details

Enter your property purchase price and marginal tax rate

Example: Enter 0.42 for 42% tax rate

Understanding Short-Term Rental Taxes
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What's Considered a Short-Term Rental? Definition & Examples

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December 5, 2024

Deductions, Depreciation & Loopholes
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What the Big Beautiful Bill Means for Short-Term Rental Owners

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July 7, 2025

Taxes as a Wealth-Building Strategy
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6 Short-Term Rental Tax Benefits to Lock In Now

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October 3, 2025

Put Your Tax Savings to Work
and Find Your Next Profitable STR

Use AirDNA’s market insights to identify high-yield STR opportunities, justify new acquisitions, or optimize your current listings

The OBBB Act gives you more cash back, but the real opportunity is how you use it. Whether you’re reinvesting in your next property or improving performance on the one you already own, AirDNA gives you the data to make every move count.

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Find Profitable Markets: Identify top-performing cities and neighborhoods

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Project Returns: Use Rentalizer to forecast income before you buy

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Manage Performance: Track pacing, occupancy, and competitor benchmarks

Why Choose A Short-Term vs Long-Term Rental Investment

Short-term vs long-term rental income tax structures are different, and it all comes down to how your earnings are classified. The short-term rental tax loophole opens up a new world of deductions by classfying income as active.

Long-Term Rentals

Losses generally can’t offset W-2 income unless you qualify as a real estate professional.

Depreciation is taken over 27.5 years, spreading deductions evenly with no bonus acceleration.

Deduct standard operating expenses but not personal time, travel, or property setup costs.

Produces stable income but smaller first-year deductions and slower capital recovery

Short-Term rentals

Use bonus depreciation to deduct 100% of eligible assets in the year they’re placed in service.

Qualify as an active business through material participation, allowing losses to offset W-2 or other earned income.

Use cost segregation to accelerate depreciation on improvements and furnishings.

Reduce taxable income early and free up capital to reinvest faster.