Waterloo Airbnb Market Analysis 2026: Short Term Rental Data & Vacation Rental Statistics in New South Wales, Australia

Source: AirROI
Last updated: 2026-02-01

Is Airbnb profitable in Waterloo in 2026? Explore comprehensive Airbnb analytics for Waterloo, New South Wales, Australia to uncover income potential. This 2026 STR market report for Waterloo, based on AirROI data from February 2025 to January 2026, reveals key trends in the niche market of 22 active listings.

Whether you're considering an Airbnb investment in Waterloo, optimizing your existing vacation rental, or exploring rental arbitrage opportunities, understanding the Waterloo Airbnb data is crucial. Navigating the high regulation landscape is key to maximizing your short term rental income potential. Let's dive into the specifics.

Key Waterloo Airbnb Performance Metrics Overview

Avg. Daily Rate (ADR)(?)
$205
The average rental revenue earned for an occupied room per day in Waterloo.
Occupancy Rate(?)
34.6%
Moderate demand with booking opportunities.
Median Annual Revenue(?)
$14,632
Typical annual income for an Airbnb listing in Waterloo. Factors like property type, size, and location influence actual earnings.
Revenue Growth YoY(?)
N/A
No year-over-year data available.
Peak Revenue Month(?)
December
The month with the highest average earnings, indicating peak season in Waterloo.
Lowest Revenue Month(?)
May
The month with the lowest average earnings, indicating the low season in Waterloo.
STR Regulation Level(?)
High
Strict regulations. Compliance is crucial (licensing, taxes, stay limits may apply).
Active Airbnb Listings(?)
22
Total number of active short-term rentals listed.

Monthly Airbnb Revenue Variations & Income Potential in Waterloo (2026)

Understanding the monthly revenue variations for Airbnb listings in Waterloo is key to maximizing your short term rental income potential. Seasonality significantly impacts earnings. Our analysis, based on data from the past 12 months, shows that the peak revenue month for STRs in Waterloo is typically December, while May often presents the lowest earnings, highlighting opportunities for strategic pricing adjustments during shoulder and low seasons. Explore the typical Airbnb income in Waterloo across different performance tiers:

  • Best-in-class properties (Top 10%) achieve $4,546+ monthly, often utilizing dynamic pricing and superior guest experiences.
  • Strong performing properties (Top 25%) earn $3,227 or more, indicating effective management and desirable locations/amenities.
  • Typical properties (Median) generate around $2,053 per month, representing the average market performance.
  • Entry-level properties (Bottom 25%) see earnings around $1,241, often with potential for optimization.

Average Monthly Airbnb Earnings Trend in Waterloo

Waterloo Airbnb Occupancy Rate Trends (2026)

Maximize your bookings by understanding the Waterloo STR occupancy trends. Seasonal demand shifts significantly influence how often properties are booked. Typically, Junesees the highest demand (peak season occupancy), while May experiences the lowest (low season). Effective strategies, like adjusting minimum stays or offering promotions, can boost occupancy during slower periods. Here's how different property tiers perform in Waterloo:

  • Best-in-class properties (Top 10%) achieve 69%+ occupancy, indicating high desirability and potentially optimized availability.
  • Strong performing properties (Top 25%) maintain 55% or higher occupancy, suggesting good market fit and guest satisfaction.
  • Typical properties (Median) have an occupancy rate around 36%.
  • Entry-level properties (Bottom 25%) average 19% occupancy, potentially facing higher vacancy.

Average Monthly Occupancy Rate Trend in Waterloo

Average Daily Rate (ADR) Airbnb Trends in Waterloo (2026)

Effective short term rental pricing strategy in Waterloo involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Waterloo typically peaks in December and dips lowest during August. Leveraging Airbnb dynamic pricing tools or strategies based on this seasonality can significantly boost revenue. Here's a look at the typical nightly rates achieved:

  • Best-in-class properties (Top 10%) command rates of $294+ per night, often due to premium features or locations.
  • Strong performing properties (Top 25%) achieve nightly rates of $251 or more.
  • Typical properties (Median) charge around $191 per night.
  • Entry-level properties (Bottom 25%) earn around $143 per night.

Average Daily Rate (ADR) Trend by Month in Waterloo

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Airbnb Seasonality Analysis & Trends in Waterloo (2026)

Peak Season (December, June, October)
  • Revenue averages $3,307 per month
  • Occupancy rates average 49.3%
  • Daily rates average $212
Shoulder Season
  • Revenue averages $1,970 per month
  • Occupancy maintains around 34.2%
  • Daily rates hold near $199
Low Season (February, March, April)
  • Revenue drops to average $0 per month
  • Occupancy decreases to average 0.0%
  • Daily rates adjust to average $191

Seasonality Insights for Waterloo

  • The Airbnb seasonality in Waterloo shows highly seasonal trends requiring careful strategy. While the sections above show seasonal averages, it's also insightful to look at the extremes:
  • During the high season, the absolute peak month showcases Waterloo's highest earning potential, with monthly revenues capable of climbing to $3,721, occupancy reaching a high of 52.4%, and ADRs peaking at $235.
  • Conversely, the slowest single month of the year, typically falling within the low season, marks the market's lowest point. In this month, revenue might dip to $0, occupancy could drop to 0.0%, and ADRs may adjust down to $180.
  • Understanding both the seasonal averages and these monthly peaks and troughs in revenue, occupancy, and ADR is crucial for maximizing your Airbnb profit potential in Waterloo.

Seasonal Strategies for Maximizing Profit

  • Peak Season: Maximize revenue through premium pricing and potentially longer minimum stays. Ensure high availability.
  • Low Season: Offer competitive pricing, special promotions (e.g., extended stay discounts), and flexible cancellation policies. Target off-season travelers like remote workers or budget-conscious guests.
  • Shoulder Seasons: Implement dynamic pricing that balances peak and low rates. Target weekend travelers or specific events. Offer slightly more flexible terms than peak season.
  • Regularly analyze your own performance against these Waterloo seasonality benchmarks and adjust your pricing and availability strategy accordingly.

Best Areas for Airbnb Investment in Waterloo (2026)

Exploring the top neighborhoods for short-term rentals in Waterloo? This section highlights key areas, outlining why they are attractive for hosts and guests, along with notable local attractions. Consider these locations based on your target guest profile and investment strategy.

Neighborhood / AreaWhy Host Here? (Target Guests & Appeal)Key Attractions & Landmarks
Waterloo
A vibrant suburb of Sydney known for its diverse community and proximity to the city. Ideal for both short-term and long-term stays, popular with young professionals and families due to its parks and amenities.
East Village Shopping Centre, Booraga Park, Waterloo Oval, Columbia Park, Green Square Library
Danks Street
An emerging cultural hub within Waterloo featuring art galleries, trendy cafes, and boutiques. Attracts tourists and locals alike looking for a lively atmosphere and excellent dining options.
Danks Street Depot, The Bread & Butter Project, Ettaro Deli, Café Vino, Platforms Garden
Zetland
Located close to the Green Square precinct with modern developments and great access to shopping and public transport. Popular with business travelers and visitors wanting quick access to the CBD.
East Village Shopping Centre, Gunyama Park Aquatic and Recreation Centre, Green Square Station, Victoria Park, Zetland's own cafes
Alexandria
Known for its industrial heritage and transformation into a trendy neighborhood. Great food scene and only a short distance to the CBD. Popular for both tourists seeking unique experiences and locals.
The Grounds of Alexandria, Alexandria Homestead, Sydney Park, Airbnb-friendly cafes, Famous local eateries
Kingsford
A bustling suburb that is home to the University of New South Wales. Draws in students and academic travelers, providing a youthful energy and a diverse range of dining options.
UNSW Sydney, Kingsford Smith Airport, Kingsford Marketplace, Heffron Park, Cafes and pubs frequented by students
Rosebery
A rapidly growing suburb known for its upscale apartments and proximity to trendy cafes and boutique shops. Attracts professionals looking for a stylish place to stay close to the city.
Rosebery Park, The Cannery, Eateries and coffee shops, Emerge Gallery, Olsens Street
Surry Hills
A vibrant, bohemian neighborhood known for its creative communities and nightlife. Offers a variety of trendy restaurants and is popular with tourists seeking an urban experience.
Crown Street dining precinct, Surry Hills Markets, Sydney Tower Eye, Hyde Park, Local pubs and bars
Redfern
A suburb rich in history and culture, known for its Indigenous heritage. Offers a unique experience and is a walking distance to the CBD, making it appealing to visitors.
Redfern Park, Carriageworks, Australian Technology Park, Local markets, Cafes in a historical setting

Understanding Airbnb License Requirements & STR Laws in Waterloo (2026)

Yes, Waterloo, New South Wales, Australia enforces high STR regulations. Obtaining a license and ensuring compliance is almost certainly required according to current 2026 STR laws. Always verify the latest short term rental regulations and Airbnb license requirements directly with local government authorities for Waterloo to ensure full compliance before hosting.

(Source: AirROI data, 2026, based on 77% licensed listings)

Top Performing Airbnb Properties in Waterloo (2026)

Benchmark your potential! Explore examples of top-performing Airbnb properties in Waterloobased on Trailing Twelve Month (TTM) revenue. Analyze their characteristics, revenue, occupancy rate, and ADR to understand what drives success in this market.

SYD Waterloo 2BR 03 Apt Close to CBD & Airport

SYD Waterloo 2BR 03 Apt Close to CBD & Airport

Entire Place • 2 bedrooms

$40,937
Revenue
54.6%
Occupancy
$253.35
Daily Rate
Urban Oasis in Waterloo With Private Balcony

Urban Oasis in Waterloo With Private Balcony

Entire Place • N/A

$33,229
Revenue
65.6%
Occupancy
$173.82
Daily Rate
Welcome to Waterloo—A Well-connected Parkside Stay

Welcome to Waterloo—A Well-connected Parkside Stay

Entire Place • 3 bedrooms

$29,000
Revenue
26.1%
Occupancy
$244.70
Daily Rate
A-SYD Waterloo 2BR 50 Apt Close to CBD & Airport

A-SYD Waterloo 2BR 50 Apt Close to CBD & Airport

Entire Place • 2 bedrooms

$27,133
Revenue
37.7%
Occupancy
$258.03
Daily Rate
Modern City-Fringe Townhouse

Modern City-Fringe Townhouse

Entire Place • 3 bedrooms

$24,749
Revenue
41.8%
Occupancy
$266.44
Daily Rate
Central loction in the heart of Waterloo 2Bedroom

Central loction in the heart of Waterloo 2Bedroom

Entire Place • 2 bedrooms

$21,195
Revenue
49.0%
Occupancy
$158.25
Daily Rate

Note: Performance varies based on location, size, amenities, seasonality, and management quality. Data reflects the past 12 months.

Top Performing Airbnb Hosts in Waterloo (2026)

Learn from the best! This table showcases top-performing Airbnb hosts in Waterloo based on the number of properties managed and estimated total revenue over the past year. Analyze their scale and performance metrics.

Host NamePropertiesGrossing RevenueStay ReviewsAvg Rating
Vb4$83,382674.62/5.0
HL&JS Corporation Gallery4$60,461314.25/5.0
James1$33,229434.91/5.0
Hometime1$29,000104.20/5.0
Alexander1$24,749174.41/5.0
Reina1$21,195114.00/5.0
Denise1$12,294105.00/5.0
Glenn1$11,828345.00/5.0
Evan1$10,55854.40/5.0
Dinda1$9,267204.35/5.0

Analyzing the strategies of top hosts, such as their property selection, pricing, and guest communication, can offer valuable lessons for optimizing your own Airbnb operations in Waterloo.

Dive Deeper: Advanced Waterloo STR Market Data (2026)

Ready to unlock more insights? AirROI provides access to advanced metrics and comprehensive Airbnb data for Waterloo. Explore detailed analytics beyond this report to refine your investment strategy, optimize pricing, and maximize your vacation rental profits.

Explore Advanced Metrics

Waterloo Short-Term Rental Market Composition (2026): Property & Room Types

Room Type Distribution

Property Type Distribution

Market Composition Insights for Waterloo

  • The Waterloo Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 90.9% of the 22 active rentals. This indicates strong guest preference for privacy and space.
  • Looking at the property type distribution in Waterloo, Apartment/Condo properties are the most common (90.9%), reflecting the local real estate landscape.

Waterloo Airbnb Room Capacity Analysis (2026): Bedroom Distribution

Distribution of Listings by Number of Bedrooms

Room Capacity Insights for Waterloo

  • The dominant room capacity in Waterloo is 2 bedrooms listings, making up 45.5% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
  • Together, 2 bedrooms and 1 bedroom properties represent 72.8% of the active Airbnb listings in Waterloo, indicating a high concentration in these sizes.

Waterloo Vacation Rental Guest Capacity Trends (2026)

Distribution of Listings by Guest Capacity

Guest Capacity Insights for Waterloo

  • The most common guest capacity trend in Waterloo vacation rentals is listings accommodating 2 guests (31.8%). This suggests the primary traveler segment is likely couples or solo travelers.
  • Properties designed for 2 guests and 5 guests dominate the Waterloo STR market, accounting for 54.5% of listings.
  • 22.7% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Waterloo.
  • On average, properties in Waterloo are equipped to host 3.8 guests.

Waterloo Airbnb Booking Patterns (2026): Available vs. Booked Days

Available Days Distribution

Booked Days Distribution

Booking Pattern Insights for Waterloo

  • The most common availability pattern in Waterloo falls within the 271-366 days range, representing 59.1% of listings. This suggests many properties have significant open periods on their calendars.
  • Approximately 100.0% of listings show high availability (181+ days open annually), indicating potential for increased bookings or specific owner usage patterns.
  • For booked days, the 91-180 days range is most frequent in Waterloo (36.4%), reflecting common guest stay durations or potential owner blocking patterns.
  • A notable 4.5% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.

Waterloo Airbnb Minimum Stay Requirements Analysis

Distribution of Listings by Minimum Night Requirement

1 Night (45.5%)

1 Night

10 listings

45.5% of total

2 Nights (13.6%)

2 Nights

3 listings

13.6% of total

3 Nights (9.1%)

3 Nights

2 listings

9.1% of total

7-29 Nights (18.2%)

7-29 Nights

4 listings

18.2% of total

30+ Nights (13.6%)

30+ Nights

3 listings

13.6% of total

Key Insights

  • The most prevalent minimum stay requirement in Waterloo is 1 Night, adopted by 45.5% of listings. This highlights the market's preference for shorter, flexible bookings.
  • A significant segment (13.6%) caters to monthly stays (30+ nights) in Waterloo, pointing to opportunities in the extended-stay market.

Recommendations

  • Align with the market by considering a 1 Night minimum stay, as 45.5% of Waterloo hosts use this setting.
  • Explore offering discounts for stays of 30+ nights to attract the 13.6% of the market seeking extended stays.
  • Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Waterloo.

Waterloo Airbnb Cancellation Policy Trends Analysis (2026)

Flexible (18.2%)

Flexible

4 listings

18.2% of total

Moderate (27.3%)

Moderate

6 listings

27.3% of total

Firm (13.6%)

Firm

3 listings

13.6% of total

Strict (40.9%)

Strict

9 listings

40.9% of total

Cancellation Policy Insights for Waterloo

  • The prevailing Airbnb cancellation policy trend in Waterloo is Strict, used by 40.9% of listings.
  • A majority (54.5%) of hosts in Waterloo utilize Firm or Strict policies, indicating a market where hosts prioritize booking security.

Recommendations for Hosts

  • Consider adopting a Strict policy to align with the 40.9% market standard in Waterloo.
  • With 40.9% using Strict terms, this is a viable option in Waterloo, particularly for high-value properties or during peak demand periods.
  • Regularly review your cancellation policy against competitors and market demand shifts in Waterloo.

Waterloo STR Booking Lead Time Analysis (2026)

Average Booking Lead Time by Month

Booking Lead Time Insights for Waterloo

  • The overall average booking lead time for vacation rentals in Waterloo is 31 days.
  • Guests book furthest in advance for stays during December (average 46 days), likely coinciding with peak travel demand or local events.
  • The shortest booking windows occur for stays in April (average 0 days), indicating more last-minute travel plans during this time.
  • Seasonally, Winter (29 days avg.) sees the longest lead times, while Spring (0 days avg.) has the shortest, reflecting typical travel planning cycles.

Recommendations for Hosts

  • Use the overall average lead time (31 days) as a baseline for your pricing and availability strategy in Waterloo.
  • For December stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 46 days out to capitalize on advance planning.
  • During April, focus on last-minute booking availability and promotions, as guests book with very short notice (0 days avg.).
  • Target marketing efforts for the Winter season well in advance (at least 29 days) to capture early planners.
  • Monitor your own booking lead times against these Waterloo averages to identify opportunities for dynamic pricing adjustments.

Popular & Essential Airbnb Amenities in Waterloo (2026)

Amenity Prevalence

Amenity Insights for Waterloo

  • Essential amenities in Waterloo that guests expect include: Kitchen. Lacking these (this) could significantly impact bookings.
  • Popular amenities like Smoke alarm, Washer, Hair dryer are common but not universal. Offering these can provide a competitive edge.

Recommendations for Hosts

  • Ensure your listing includes all essential amenities for Waterloo: Kitchen.
  • Consider adding popular differentiators like Smoke alarm or Washer to increase appeal.
  • Highlight unique or less common amenities you offer (e.g., hot tub, dedicated workspace, EV charger) in your listing description and photos.
  • Regularly check competitor amenities in Waterloo to stay competitive.

Waterloo Airbnb Guest Demographics & Profile Analysis (2026)

Guest Origin: Domestic vs. International
Top 5 Cities of Origin
Top 5 Countries of Origin
Top 5 Languages Spoken
Guest Age Distribution (Birth Decade)

Guest Profile Summary for Waterloo

  • The typical guest profile for Airbnb in Waterloo consists of a mix of domestic (57%) and international guests, often arriving from nearby Sydney, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or German.
  • Domestic travelers account for 57.0% of guests.
  • Key international markets include Australia (57%) and United Kingdom (7.5%).
  • Top languages spoken are English (60.6%) followed by German (6.1%).
  • A significant demographic segment is the Post-2000s (Gen Z/Alpha) group, representing 50% of guests.

Recommendations for Hosts

  • Balance marketing efforts between domestic and international channels based on the guest mix.
  • Tailor amenities and listing descriptions to appeal to the dominant Post-2000s (Gen Z/Alpha) demographic (e.g., highlight fast WiFi, smart home features, local guides).
  • Highlight unique local experiences or amenities relevant to the primary guest profile.
  • Consider seasonal promotions aligned with peak travel times for key origin markets.

Nearby Short-Term Rental Market Comparison

How does the Waterloo Airbnb market stack up against its neighbors? Compare key performance metrics like average monthly revenue, ADR, and occupancy rates in surrounding areas to understand the broader regional STR landscape.

MarketActive PropertiesMonthly RevenueDaily RateAvg. Occupancy
Berry118$5,709$559.7640%
Dawes Point10$5,632$415.4562%
Millers Point16$5,345$388.1362%
Burrawang12$5,242$557.6138%
Penrose13$5,227$681.3640%
Nulkaba41$4,609$574.2431%
Exeter34$4,551$515.9841%
Jaspers Brush15$4,452$445.3634%
The Council of the Municipality of Kiama109$4,372$437.9942%
Robertson46$4,320$396.0439%

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