Palermo Airbnb Market Analysis 2025: Short Term Rental Data & Vacation Rental Statistics in Huila, Colombia

Source: AirROI
Last updated: 2025-03-31

Is Airbnb profitable in Palermo in 2025? Explore comprehensive Airbnb analytics for Palermo, Huila, Colombia to uncover income potential. This 2025 STR market report for Palermo, based on AirROI data from April 2024 to March 2025, reveals key trends in the niche market of 17 active listings.

Whether you're considering an Airbnb investment in Palermo, optimizing your existing vacation rental, or exploring rental arbitrage opportunities, understanding the Palermo 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 Palermo Airbnb Performance Metrics Overview

Avg. Daily Rate (ADR)(?)
$94
The average rental revenue earned for an occupied room per day in Palermo.
Occupancy Rate(?)
30.6%
Moderate demand with booking opportunities.
Median Annual Revenue(?)
$4,001
Typical annual income for an Airbnb listing in Palermo. Factors like property type, size, and location influence actual earnings.
Revenue Growth YoY(?)
-35.1%
Significant decrease (-35.1%) vs. last year.
Peak Revenue Month(?)
June
The month with the highest average earnings, indicating peak season in Palermo.
Lowest Revenue Month(?)
November
The month with the lowest average earnings, indicating the low season in Palermo.
STR Regulation Level(?)
High
Strict regulations. Compliance is crucial (licensing, taxes, stay limits may apply).
Active Airbnb Listings(?)
17
Total number of active short-term rentals listed.

Monthly Airbnb Revenue Variations & Income Potential in Palermo (2025)

Understanding the monthly revenue variations for Airbnb listings in Palermo 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 Palermo is typically June, while November often presents the lowest earnings, highlighting opportunities for strategic pricing adjustments during shoulder and low seasons. Explore the typical Airbnb income in Palermo across different performance tiers:

  • Best-in-class properties (Top 10%) achieve $1,459+ monthly, often utilizing dynamic pricing and superior guest experiences.
  • Strong performing properties (Top 25%) earn $874 or more, indicating effective management and desirable locations/amenities.
  • Typical properties (Median) generate around $521 per month, representing the average market performance.
  • Entry-level properties (Bottom 25%) see earnings around $260, often with potential for optimization.

Average Monthly Airbnb Earnings Trend in Palermo

Palermo Airbnb Occupancy Rate Trends (2025)

Maximize your bookings by understanding the Palermo STR occupancy trends. Seasonal demand shifts significantly influence how often properties are booked. Typically, Maysees the highest demand (peak season occupancy), while November 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 Palermo:

  • Best-in-class properties (Top 10%) achieve 50%+ occupancy, indicating high desirability and potentially optimized availability.
  • Strong performing properties (Top 25%) maintain 29% or higher occupancy, suggesting good market fit and guest satisfaction.
  • Typical properties (Median) have an occupancy rate around 14%.
  • Entry-level properties (Bottom 25%) average 7% occupancy, potentially facing higher vacancy.

Average Monthly Occupancy Rate Trend in Palermo

Average Daily Rate (ADR) Airbnb Trends in Palermo (2025)

Effective short term rental pricing strategy in Palermo involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Palermo typically peaks in November and dips lowest during April. 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 $192+ per night, often due to premium features or locations.
  • Strong performing properties (Top 25%) achieve nightly rates of $130 or more.
  • Typical properties (Median) charge around $46 per night.
  • Entry-level properties (Bottom 25%) earn around $26 per night.

Average Daily Rate (ADR) Trend by Month in Palermo

Get Live Palermo Market Intelligence 👇

Discover Palermo Airbnb Analytics
🏠
🏠
🏠

Explore Real-time Analytics

Airbnb Seasonality Analysis & Trends in Palermo (2025)

Peak Season (June, December, May)
  • Revenue averages $1,157 per month
  • Occupancy rates average 32.0%
  • Daily rates average $90
Shoulder Season
  • Revenue averages $622 per month
  • Occupancy maintains around 22.6%
  • Daily rates hold near $88
Low Season (February, October, November)
  • Revenue drops to average $274 per month
  • Occupancy decreases to average 8.8%
  • Daily rates adjust to average $89

Seasonality Insights for Palermo

  • The Airbnb seasonality in Palermo 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 Palermo's highest earning potential, with monthly revenues capable of climbing to $1,284, occupancy reaching a high of 42.7%, and ADRs peaking at $95.
  • 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 $263, occupancy could drop to 5.8%, and ADRs may adjust down to $85.
  • 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 Palermo.

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 Palermo seasonality benchmarks and adjust your pricing and availability strategy accordingly.

Best Areas for Airbnb Investment in Palermo (2025)

Exploring the top neighborhoods for short-term rentals in Palermo? 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
Historic Center
Palermo's Historic Center is rich in cultural heritage and architecture. It attracts visitors interested in history, culture, and tourism, making it an ideal location for Airbnb hosting.
Plaza de Palermo, Palacio Municipal, Museo del Oro, Cathedral of Palermo, Parque Principal
Calle Real
Known for its vibrant local market and traditional shops, this area offers an authentic Colombian experience. It's favored by tourists seeking local cuisine and crafts.
Mercado Municipal, Handicraft shops, Restaurants, Local cafes, Plaza de Mercado
Parque de los Fundadores
A beautiful park that serves as a central gathering spot. It attracts both locals and tourists, making it a great location for short-term rentals.
Park activities, Family events, Cafes around the park, Open-air markets, Cultural events
Reserva Natural El Danubio
This nature reserve offers eco-tourism opportunities, attracting nature lovers and eco-conscious travelers. It's ideal for hosting guests looking for tranquility and nature.
Hiking trails, Bird watching, Natural swimming areas, Campgrounds, Flora and fauna diversity
La Playa
A beautiful area known for its river views and recreational activities. It’s perfect for vacationers looking for relaxation and water sports.
River activities, Picnic areas, Nearby eateries, Walking trails, Water sports
Estadio Independiente
Home to soccer matches and events, this area attracts sports fans and event-goers. It's a lively location for hosting guests during major events.
Stadium tours, Local eateries, Fan merchandise shops, Match days, Community events
Cafeteria District
This area is known for its cafes and social atmosphere. It draws in a young crowd and digital nomads seeking a lively environment to work and socialize.
Coworking spaces, Cafe culture, Live music venues, Art galleries, Community workshops
Shopping District
A bustling area with various shops and boutiques. Great for guests interested in shopping and experiencing local lifestyle.
Shopping malls, Boutique stores, Local artisans, Restaurants, Street performances

Understanding Airbnb License Requirements & STR Laws in Palermo (2025)

Yes, Palermo, Huila, Colombia enforces high STR regulations. Obtaining a license and ensuring compliance is almost certainly required according to current 2025 STR laws. Always verify the latest short term rental regulations and Airbnb license requirements directly with local government authorities for Palermo to ensure full compliance before hosting.

(Source: AirROI data, 2025, based on 59% licensed listings)

Top Performing Airbnb Properties in Palermo (2025)

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

Luxury Home, Private Pool, A/C

Luxury Home, Private Pool, A/C

Entire Place • 4 bedrooms

$15,116
Revenue
18.3%
Occupancy
$250.77
Daily Rate
HERMOSA CASAQUINTA

HERMOSA CASAQUINTA

Entire Place • 4 bedrooms

$9,869
Revenue
7.9%
Occupancy
$328.29
Daily Rate
Cheerful Casa Campestre with pool Neiva-Huila

Cheerful Casa Campestre with pool Neiva-Huila

Entire Place • 4 bedrooms

$8,985
Revenue
15.0%
Occupancy
$164.45
Daily Rate
Cabaña en la montaña con mirador hacia Neiva.

Cabaña en la montaña con mirador hacia Neiva.

Entire Place • 1 bedroom

$6,348
Revenue
33.9%
Occupancy
$121.50
Daily Rate
CASA CAMPESTRE WITH PRIVATE POOL

CASA CAMPESTRE WITH PRIVATE POOL

Entire Place • 5 bedrooms

$5,204
Revenue
18.3%
Occupancy
$182.00
Daily Rate
Beautiful Neiva House

Beautiful Neiva House

Entire Place • 3 bedrooms

$3,790
Revenue
36.7%
Occupancy
$23.98
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 Palermo (2025)

Learn from the best! This table showcases top-performing Airbnb hosts in Palermo 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
María1$15,116254.88/5.0
Victor Hugo1$9,869164.50/5.0
Ivonne1$8,985114.82/5.0
Sergio Felipe3$6,549123.17/5.0
Host #3913890401$6,34884.88/5.0
Angelica Vega1$5,204304.60/5.0
Julián1$3,71043.50/5.0
Pedro Jose1$3,338834.90/5.0
Luis1$2,823364.58/5.0
Host #4945251111$2,30920.00/5.0

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 Palermo.

Dive Deeper: Advanced Palermo STR Market Data (2025)

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

Explore Advanced Metrics

Palermo Short-Term Rental Market Composition (2025): Property & Room Types

Room Type Distribution

Property Type Distribution

Market Composition Insights for Palermo

  • The Palermo Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 88.2% of the 17 active rentals. This indicates strong guest preference for privacy and space.
  • Looking at the property type distribution in Palermo, House properties are the most common (70.6%), reflecting the local real estate landscape.
  • Houses represent a significant 70.6% portion, catering likely to families or larger groups.
  • The presence of 5.9% Hotel/Boutique listings indicates integration with traditional hospitality.

Palermo Airbnb Room Capacity Analysis (2025): Bedroom Distribution

Distribution of Listings by Number of Bedrooms

Room Capacity Insights for Palermo

  • The dominant room capacity in Palermo is 3 bedrooms listings, making up 52.9% of the market. This suggests a strong demand for properties suitable for families or small groups.
  • Together, 3 bedrooms and 4 bedrooms properties represent 70.5% of the active Airbnb listings in Palermo, indicating a high concentration in these sizes.
  • A significant 82.3% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Palermo.

Palermo Vacation Rental Guest Capacity Trends (2025)

Distribution of Listings by Guest Capacity

Guest Capacity Insights for Palermo

  • The most common guest capacity trend in Palermo vacation rentals is listings accommodating 8+ guests (58.8%). This suggests the primary traveler segment is likely larger groups.
  • Properties designed for 8+ guests and 5 guests dominate the Palermo STR market, accounting for 70.6% of listings.
  • 70.6% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Palermo.
  • On average, properties in Palermo are equipped to host 6.5 guests.

Palermo Airbnb Booking Patterns (2025): Available vs. Booked Days

Available Days Distribution

Booked Days Distribution

Booking Pattern Insights for Palermo

  • The most common availability pattern in Palermo falls within the 271-366 days range, representing 76.5% 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 1-30 days range is most frequent in Palermo (47.1%), reflecting common guest stay durations or potential owner blocking patterns.

Palermo Airbnb Minimum Stay Requirements Analysis

Distribution of Listings by Minimum Night Requirement

1 Night (85.7%)

1 Night

12 listings

85.7% of total

3 Nights (7.1%)

3 Nights

1 listings

7.1% of total

30+ Nights (7.1%)

30+ Nights

1 listings

7.1% of total

Key Insights

  • The most prevalent minimum stay requirement in Palermo is 1 Night, adopted by 85.7% of listings. This highlights the market's preference for shorter, flexible bookings.
  • A strong majority (85.7%) of the Palermo Airbnb data shows acceptance of very short stays (1-2 nights), indicating a dynamic, high-turnover market.

Recommendations

  • Align with the market by considering a 1 Night minimum stay, as 85.7% of Palermo hosts use this setting.
  • Explore offering discounts for stays of 30+ nights to attract the 7.1% of the market seeking extended stays.
  • Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Palermo.

Palermo Airbnb Cancellation Policy Trends Analysis (2025)

Flexible (30%)

Flexible

3 listings

30% of total

Moderate (30%)

Moderate

3 listings

30% of total

Firm (10%)

Firm

1 listings

10% of total

Strict (30%)

Strict

3 listings

30% of total

Cancellation Policy Insights for Palermo

  • The prevailing Airbnb cancellation policy trend in Palermo is Flexible, used by 30% of listings.
  • There's a relatively balanced mix between guest-friendly (60.0%) and stricter (40.0%) policies, offering choices for different guest needs.

Recommendations for Hosts

  • Consider adopting a Flexible policy to align with the 30% market standard in Palermo.
  • Regularly review your cancellation policy against competitors and market demand shifts in Palermo.

Palermo STR Booking Lead Time Analysis (2025)

Average Booking Lead Time by Month

Booking Lead Time Insights for Palermo

  • The overall average booking lead time for vacation rentals in Palermo is 48 days.
  • Guests book furthest in advance for stays during May (average 106 days), likely coinciding with peak travel demand or local events.
  • The shortest booking windows occur for stays in September (average 2 days), indicating more last-minute travel plans during this time.
  • Seasonally, Summer (62 days avg.) sees the longest lead times, while Fall (15 days avg.) has the shortest, reflecting typical travel planning cycles.

Recommendations for Hosts

  • Use the overall average lead time (48 days) as a baseline for your pricing and availability strategy in Palermo.
  • For May stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 106 days out to capitalize on advance planning.
  • During September, focus on last-minute booking availability and promotions, as guests book with very short notice (2 days avg.).
  • Target marketing efforts for the Summer season well in advance (at least 62 days) to capture early planners.
  • Monitor your own booking lead times against these Palermo averages to identify opportunities for dynamic pricing adjustments.

Popular & Essential Airbnb Amenities in Palermo (2025)

Amenity Prevalence

Amenity Insights for Palermo

  • Essential amenities in Palermo that guests expect include: Kitchen, TV, Wifi. Lacking these (any) could significantly impact bookings.
  • Popular amenities like Free parking on premises, Air conditioning, Essentials are common but not universal. Offering these can provide a competitive edge.

Recommendations for Hosts

  • Ensure your listing includes all essential amenities for Palermo: Kitchen, TV, Wifi.
  • Consider adding popular differentiators like Free parking on premises or Air conditioning 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 Palermo to stay competitive.

Palermo Airbnb Guest Demographics & Profile Analysis (2025)

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 Palermo

  • The typical guest profile for Airbnb in Palermo consists of primarily domestic travelers (84%), often arriving from nearby Bogotá, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking Spanish or English.
  • Domestic travelers account for 84.4% of guests.
  • Key international markets include Colombia (84.4%) and United States (6.3%).
  • Top languages spoken are Spanish (65.5%) followed by English (31%).
  • A significant demographic segment is the Post-2000s (Gen Z/Alpha) group, representing 50% of guests.

Recommendations for Hosts

  • Target domestic marketing efforts towards travelers from Bogotá and Medellín.
  • 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 Palermo 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
Ginebra10$1,042$116.8520%
Calima Lake14$1,021$202.6221%
Calima171$994$178.6121%
La Buitrera21$950$126.1724%
Restrepo16$929$165.3822%
Pance30$795$94.4131%
Dagua24$698$141.4921%
Prado36$659$229.2418%
El Cerrito53$568$110.8321%
Yumbo62$552$80.6135%

Maximize Your Airbnb Income in Palermo

Access granular Airbnb data and short term rental analytics. Understand Airbnb occupancy rates, ADR trends, and revenue potential. Optimize your pricing strategy!

Discover Market Insights