10 US Cities to Invest in Short-Term Rentals Led by a Texas Hub
Higher borrowing costs and uneven home prices have changed how short-term rental investors think. Demand has stabilized, but it rewards cities that function well year-round rather than seasonal hotspots. Investors are prioritizing infrastructure, local travel flow, and pricing that still leaves room to earn. These ten US cities meet that test, offering workable home prices, consistent bookings, and returns that hold up into 2026.
Port Arthur
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Port Arthur leads the list as a Gulf Coast city driven by industry instead of tourism hype. Home prices average around $243,000, which keeps entry costs realistic. Short-term rentals perform well thanks to refinery work, port activity, and steady inflows of contractors tied to energy projects. The new LNG terminal adds pressure to local housing, while cruise departures and nearby state parks help keep occupancy steady without relying on seasonal travel.
Akron
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The city supports hospital systems, multiple universities, and corporate headquarters in the manufacturing and healthcare sectors. Proximity to Cuyahoga Valley National Park adds leisure bookings without dominating the calendar. With average home prices around $297,000 and occupancy above 60%, short-term rentals benefit from a steady demand. Guests often stay midweek, which helps smooth revenue across the year.
Abilene
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Abilene remains financially approachable, with average home prices around $336,000. Dyess Air Force Base drives consistent lodging demand from military travel and visiting families. Hospitals and universities bring in additional guests throughout the year. Large data infrastructure projects like Stargate add another boost, attracting engineers and support staff who often choose furnished rentals over hotels.
Lebanon
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Lebanon attracts guests who want lower lodging costs while visiting Central Pennsylvania or attending nearby events. Its location near Fort Indiantown Gap brings regular military-related stays that fill calendars outside peak travel months. With typical home prices around $265K, family-sized bookings provide steady demand that supports short-term rental performance.
Springfield
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Government business quietly carries Springfield’s short-term rental market. As Illinois’ capital, the city hosts lawmakers, staffers, and consultants throughout the year. History adds a second draw, with Abraham Lincoln sites translating to some tourism traffic. The Illinois State Fair, which drew over one million visitors in 2025, delivers predictable seasonal surges. With an average home price of approximately $262K, a short-term rental deal here seems well-incentivized.
Lake Charles
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In Lake Charles, short-term rentals thrive on extended business travel. Energy facilities, shipping operations, and aircraft maintenance work attract contractors who prefer furnished homes over hotels. Luckily for prospective investors, that demand remains consistent throughout the year. Property prices hover near $287K, while casinos and nearby wildlife refuges encourage weekend stays. Hosts benefit from longer bookings that reduce turnover and stabilize monthly revenue.
Downtown St. Paul
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Big-city demand meets manageable prices in Minnesota’s capital. Lawmakers, lobbyists, and government officials keep calendars full throughout legislative sessions. Several businesses attract travelers, while the medical sector generates tourism revenue. The Xcel Energy Center hosts concerts and NHL games while the Science Museum of Minnesota and Cathedral of Saint Paul draw weekend crowds. Average properties cost $331,000 and earn about $45,000 per year.
Charleston
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West Virginia’s largest city offers one of the lowest entry points at $228,000 per property, delivering a 14.1% yield. The Charleston Area Medical Center employs thousands and draws patients from across the region. Chemical plants and energy companies in the Kanawha Valley bring engineers and specialists who book extended stays. As the state capital, Charleston sees constant traffic from government workers, and the downtown civic center hosts events year-round.
Montgmery
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Alabama’s capital sits at the higher end of the price spectrum at $342,000 per property, but the 12.2% yield justifies the investment. Government travel, education institutions, and some regional tourism create a steady demand. State employees, medical professionals, and university visitors provide the backbone of reservations. The stability of government-driven demand makes Montgomery less vulnerable to economic swings that could hit vacation-focused areas.
Jackson
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Jackson ranks tenth and carries the highest average home price on the list at $366,000. Even so, gross yields hover near 11.9%. University of Mississippi Medical Center and Jackson State University generate steady bookings, while the Jackson Convention Complex draws regional events. The Mississippi Civil Rights Museum and the Mississippi Children’s Museum add weekend and school-break demand. Booked listings rose 11.6% in 2025, signaling growing investor interest.