West Coast5.7% avg cap rate

Napa Valley, CA

California wine country — luxury harvest season STR market

Napa Valley is the most recognized wine destination in North America, drawing over 3.5 million visitors annually from San Francisco (1 hour), Sacramento, and internationally. STR demand peaks during harvest season (August–October) when harvest dinners, balloon rides, and winery events drive ADR to extraordinary levels. The County of Napa enforces strict STR regulations with use permits required in the Agricultural Watershed zone.

5.7%
Avg Cap Rate
Net operating income / price
60%
Avg Occupancy
Annual average
$595
Avg Nightly Rate
All property types
$1.1M
Median Price
STR-viable properties

Estimated Annual Performance

Gross rental revenue
60% occ × $595/night
$130,305
Est. operating expenses
Mgmt, cleaning, supplies, insurance (~40%)
– $52,122
Est. net operating income
Before mortgage & depreciation
$78,183
At median price
Implied cap rate
6.8%

* Estimates based on market averages. Individual property performance varies. Always run a full underwriting analysis.

Why Investors Choose Napa Valley

3.5M+ annual wine country visitors — strongest demand density in CA
Harvest season (Aug–Oct) ADR rivals any market in the US
Farm-stay and vineyard property types command 3-4× standard comps
Napa County STR use permit required — agricultural zone restrictions apply
Peak season: Aug – Oct (harvest), spring
Top property types: Farmhouse, Vineyard Estate, Cottage, Luxury Home
Primary zip: 94558, 94562, 94574, 94599

Market averages, not guarantees. Cap rates, occupancy, and nightly rates are market-wide averages based on active STR listings and historical data. Individual property performance depends on location, amenities, management, and listing quality. Always run a full underwriting analysis before purchasing.

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