South Central3.0% avg cap rateLive · 40 active listings

South Padre Island, TX

Texas spring break capital - Rio Grande Valley STR market

South Padre Island is a 34-mile barrier island at the southern tip of Texas, best known as the premier spring break destination in the state and a growing family beach market. The island sees dramatic ADR spikes during spring break (March) and summer, with a more relaxed shoulder season. Low property prices relative to returns make it one of the higher cap rate coastal markets in the South.

3.0%
Avg Cap Rate
Net operating income / price
31%
Avg Occupancy
Annual average
$443
Avg Nightly Rate
All property types
$1.2M
Avg List Price
STR-viable properties

40 active listings in South Padre Island are analyzed and ranked right now

Scored 1-10 against real Airbnb comps. See which properties rank highest and why.

See the ranked listings

Estimated Annual Performance

Gross rental revenue
31% occ × $443/night
$49,317
Est. operating expenses
Mgmt, cleaning, supplies, insurance (~40%)
- $19,727
Est. net operating income
Before mortgage & depreciation
$29,590
At $1.2M avg price
Implied cap rate
2.5%

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

Why Investors Choose South Padre Island

Top spring break destination in Texas - massive March ADR spike
One of lowest barrier island entry prices on the Gulf Coast
Sea Turtle Inc. and birding tourism drive nature-minded visitors
Developing year-round market as snowbird infrastructure grows
Peak season: Mar (spring break), June - Aug (families)
Top property types: Condo, Beach House, Gulf-front Unit
Primary zip: 78597

South Padre Island STR investing, answered

Is South Padre Island, TX a good short-term rental market?

South Padre Island is a South Central STR market averaging a 3.0% cap rate, 31% annual occupancy, and $443/night across STR-viable listings, based on 40 active listings. South Padre Island is a 34-mile barrier island at the southern tip of Texas, best known as the premier spring break destination in the state and a growing family beach market. The island sees dramatic ADR spikes during spring break (March) and summer, with a more relaxed shoulder season. Low property prices relative to returns make it one of the higher cap rate coastal markets in the South.

What is the average Airbnb occupancy rate in South Padre Island?

STR-viable properties in South Padre Island average about 31% occupancy across the year. Peak season is Mar (spring break), June - Aug (families). Occupancy here reflects availability-adjusted booking performance, not raw calendar occupancy, so it represents what a full-time operated rental can realistically achieve.

How much do short-term rentals earn in South Padre Island?

At $443/night and 31% occupancy, a typical South Padre Island STR grosses roughly $49,317 per year before expenses, leaving an estimated $29,590 in net operating income against a $1.2M average price, an implied 2.5% cap rate. Individual results depend on property, amenities, and management.

What types of properties work best for STR in South Padre Island?

The strongest-performing STR property types in South Padre Island are Condo, Beach House, Gulf-front Unit. Top spring break destination in Texas - massive March ADR spike. Matching the local guest profile and the amenities that drive bookings in this market matters more than raw square footage.

What is the median STR-viable home price in South Padre Island?

STR-viable listings in South Padre Island average around $1.2M. Primary STR ZIP codes include 78597. Combined with the market's 3.0% average cap rate, that price level sets the return baseline you'd underwrite against.

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.Stats sourced from 40 active listings · last updated Sep 1, 2026

Run a live analysis in South Padre Island

Search active MLS listings in South Padre Island and instantly see cap rates, cash flow projections, and STR comp-backed nightly rates - all in one underwriting report.