Tórshavn Airbnb Market Analysis 2025: Short Term Rental Data & Vacation Rental Statistics in Streymoy region, Faroe Islands
Is Airbnb profitable in Tórshavn in 2025? Explore comprehensive Airbnb analytics for Tórshavn, Streymoy region, Faroe Islands to uncover income potential. This 2025 STR market report for Tórshavn, based on AirROI data from April 2024 to March 2025, reveals key trends in the market of 248 active listings.
Whether you're considering an Airbnb investment in Tórshavn, optimizing your existing vacation rental, or exploring rental arbitrage opportunities, understanding the Tórshavn Airbnb data is crucial. Leveraging the low regulation environment is key to maximizing your short term rental income potential. Let's dive into the specifics.
Key Tórshavn Airbnb Performance Metrics Overview
Monthly Airbnb Revenue Variations & Income Potential in Tórshavn (2025)
Understanding the monthly revenue variations for Airbnb listings in Tórshavn 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 Tórshavn is typically July, while January often presents the lowest earnings, highlighting opportunities for strategic pricing adjustments during shoulder and low seasons. Explore the typical Airbnb income in Tórshavn across different performance tiers:
- Best-in-class properties (Top 10%) achieve $5,015+ monthly, often utilizing dynamic pricing and superior guest experiences.
- Strong performing properties (Top 25%) earn $3,174 or more, indicating effective management and desirable locations/amenities.
- Typical properties (Median) generate around $1,952 per month, representing the average market performance.
- Entry-level properties (Bottom 25%) see earnings around $965, often with potential for optimization.
Average Monthly Airbnb Earnings Trend in Tórshavn
Tórshavn Airbnb Occupancy Rate Trends (2025)
Maximize your bookings by understanding the Tórshavn STR occupancy trends. Seasonal demand shifts significantly influence how often properties are booked. Typically, Julysees the highest demand (peak season occupancy), while January 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 Tórshavn:
- Best-in-class properties (Top 10%) achieve 71%+ occupancy, indicating high desirability and potentially optimized availability.
- Strong performing properties (Top 25%) maintain 59% or higher occupancy, suggesting good market fit and guest satisfaction.
- Typical properties (Median) have an occupancy rate around 43%.
- Entry-level properties (Bottom 25%) average 22% occupancy, potentially facing higher vacancy.
Average Monthly Occupancy Rate Trend in Tórshavn
Average Daily Rate (ADR) Airbnb Trends in Tórshavn (2025)
Effective short term rental pricing strategy in Tórshavn involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Tórshavn typically peaks in July and dips lowest during February. 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 $296+ per night, often due to premium features or locations.
- Strong performing properties (Top 25%) achieve nightly rates of $212 or more.
- Typical properties (Median) charge around $141 per night.
- Entry-level properties (Bottom 25%) earn around $108 per night.
Average Daily Rate (ADR) Trend by Month in Tórshavn
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Airbnb Seasonality Analysis & Trends in Tórshavn (2025)
Peak Season (July, August, June)
- Revenue averages $3,974 per month
- Occupancy rates average 64.3%
- Daily rates average $188
Shoulder Season
- Revenue averages $2,163 per month
- Occupancy maintains around 39.1%
- Daily rates hold near $169
Low Season (January, March, November)
- Revenue drops to average $1,256 per month
- Occupancy decreases to average 23.4%
- Daily rates adjust to average $163
Seasonality Insights for Tórshavn
- The Airbnb seasonality in Tórshavn 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 Tórshavn's highest earning potential, with monthly revenues capable of climbing to $4,234, occupancy reaching a high of 69.1%, and ADRs peaking at $190.
- 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 $1,181, occupancy could drop to 21.5%, and ADRs may adjust down to $160.
- 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 Tórshavn.
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 Tórshavn seasonality benchmarks and adjust your pricing and availability strategy accordingly.
Best Areas for Airbnb Investment in Tórshavn (2025)
Exploring the top neighborhoods for short-term rentals in Tórshavn? 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 / Area | Why Host Here? (Target Guests & Appeal) | Key Attractions & Landmarks |
|---|---|---|
| Tórshavn City Center | The bustling heart of the capital, ideal for visitors looking to explore local shops, restaurants, and cultural sites. Close to major attractions and offers vibrant nightlife. | Historical Museum, Nordic House, National Gallery of the Faroe Islands, Harbour Views, Local Restaurants and Cafes |
| Viðarlundin Park | A scenic park area offering beautiful walking paths and a peaceful retreat. Popular with families and nature lovers, making it a great spot for those looking to escape the city hustle. | Beautiful Nature Trails, Picnic Areas, Playground, Garden Areas |
| Bøur | A picturesque village with stunning views of the surrounding mountains and ocean. Perfect for travelers seeking tranquility and natural beauty, close to hiking opportunities. | Historic Church, Spectacular Views of Tindholmur, Hiking Trails, Nearby Sea Cliffs |
| Kirkjubøur | Rich in history and one of the oldest inhabited places on the islands. Offers cultural experiences and historical attractions, ideal for history enthusiasts and cultural travelers. | Roykstovan (the oldest wooden house in the world), Magnus Cathedral, Historical Sites, Scenic Coastal Views |
| Vestmanna | Known for its bird cliffs and dramatic coastal scenery. A great base for adventurous travelers looking to explore the natural wonders of the Faroe Islands. | Bird Watching, Boat Trips to Cliffs, Scenic Hikes, Local Dining Options |
| Tórsvøttur | A peaceful suburb of Tórshavn that provides a more local experience. Offers proximity to the city while being away from the hustle and bustle, attracting those looking for a quieter stay. | Local Markets, Quiet Residential Areas, Near Tórshavn |
| Argir | A charming village just outside Tórshavn that offers beautiful seaside views and a relaxed atmosphere. Ideal for families and outdoor activities. | Seaside Promenade, Local Beaches, Walking Trails, Community Events |
| Sandavágur | A scenic village known for its beautiful landscapes and proximity to iconic landmarks. Great for tourists interested in photography and outdoor adventures. | Lake Sørvágsvatn, Hiking Trails, Bird Watching Spot, Cultural Landmarks |
Understanding Airbnb License Requirements & STR Laws in Tórshavn (2025)
While Tórshavn, Streymoy region, Faroe Islands currently shows low STR regulations, specific Airbnb license requirements might still exist or change. Always verify the latest short term rental regulations and Airbnb license requirements directly with local government authorities for Tórshavn to ensure full compliance before hosting.
(Source: AirROI data, 2025, finding no licensed listings among those analyzed)
Top Performing Airbnb Properties in Tórshavn (2025)
Benchmark your potential! Explore examples of top-performing Airbnb properties in Tórshavnbased on Trailing Twelve Month (TTM) revenue. Analyze their characteristics, revenue, occupancy rate, and ADR to understand what drives success in this market.
Stunning Marina View | Brand New | City Center
Entire Place • 1 bedroom
Enjoy your stay in the heart of Tórshavn
Entire Place • 2 bedrooms
Large Penthouse Apartment | Downtown | Marina |
Entire Place • 5 bedrooms
Historic house in the heart of the city
Entire Place • 2 bedrooms
Brand new Premium apartment in the center
Entire Place • 1 bedroom
Enjoy your stay in the heart of Tórshavn
Entire Place • 2 bedrooms
Note: Performance varies based on location, size, amenities, seasonality, and management quality. Data reflects the past 12 months.
Top Performing Airbnb Hosts in Tórshavn (2025)
Learn from the best! This table showcases top-performing Airbnb hosts in Tórshavn based on the number of properties managed and estimated total revenue over the past year. Analyze their scale and performance metrics.
| Host Name | Properties | Grossing Revenue | Stay Reviews | Avg Rating |
|---|---|---|---|---|
| Vert | 60 | $1,021,048 | 877 | 4.18/5.0 |
| Broncks | 6 | $334,739 | 124 | 4.84/5.0 |
| Christian | 5 | $129,118 | 25 | 2.94/5.0 |
| Jákup | 5 | $113,876 | 272 | 4.84/5.0 |
| Kerstin | 2 | $92,818 | 59 | 5.00/5.0 |
| Bárður | 1 | $74,288 | 27 | 4.96/5.0 |
| Vanja | 3 | $72,143 | 151 | 4.88/5.0 |
| Annfinnur | 1 | $64,000 | 13 | 5.00/5.0 |
| Frank | 3 | $62,302 | 28 | 4.79/5.0 |
| Maj | 2 | $61,553 | 13 | 2.50/5.0 |
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 Tórshavn.
Dive Deeper: Advanced Tórshavn STR Market Data (2025)
Ready to unlock more insights? AirROI provides access to advanced metrics and comprehensive Airbnb data for Tórshavn. Explore detailed analytics beyond this report to refine your investment strategy, optimize pricing, and maximize your vacation rental profits.
Explore Advanced MetricsTórshavn Short-Term Rental Market Composition (2025): Property & Room Types
Room Type Distribution
Property Type Distribution
Market Composition Insights for Tórshavn
- The Tórshavn Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 81.9% of the 248 active rentals. This indicates strong guest preference for privacy and space.
- Looking at the property type distribution in Tórshavn, Apartment/Condo properties are the most common (60.1%), reflecting the local real estate landscape.
- Houses represent a significant 24.6% portion, catering likely to families or larger groups.
- The presence of 10.9% Hotel/Boutique listings indicates integration with traditional hospitality.
- Smaller segments like outdoor/unique, others (combined 4.4%) offer potential for unique stay experiences.
Tórshavn Airbnb Room Capacity Analysis (2025): Bedroom Distribution
Distribution of Listings by Number of Bedrooms
Room Capacity Insights for Tórshavn
- The dominant room capacity in Tórshavn is 1 bedroom listings, making up 35.9% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
- Together, 1 bedroom and 2 bedrooms properties represent 64.1% of the active Airbnb listings in Tórshavn, indicating a high concentration in these sizes.
- A significant 20.9% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Tórshavn.
Tórshavn Vacation Rental Guest Capacity Trends (2025)
Distribution of Listings by Guest Capacity
Guest Capacity Insights for Tórshavn
- The most common guest capacity trend in Tórshavn vacation rentals is listings accommodating 4 guests (27%). This suggests the primary traveler segment is likely small families or groups.
- Properties designed for 4 guests and 2 guests dominate the Tórshavn STR market, accounting for 46.4% of listings.
- 22.2% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Tórshavn.
- On average, properties in Tórshavn are equipped to host 3.6 guests.
Tórshavn Airbnb Booking Patterns (2025): Available vs. Booked Days
Available Days Distribution
Booked Days Distribution
Booking Pattern Insights for Tórshavn
- The most common availability pattern in Tórshavn falls within the 181-270 days range, representing 46.8% of listings. This suggests many properties have significant open periods on their calendars.
- Approximately 89.1% 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 Tórshavn (48.4%), reflecting common guest stay durations or potential owner blocking patterns.
- A notable 12.1% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.
Tórshavn Airbnb Minimum Stay Requirements Analysis
Distribution of Listings by Minimum Night Requirement
1 Night
47 listings
20% of total
2 Nights
85 listings
36.2% of total
3 Nights
58 listings
24.7% of total
4-6 Nights
22 listings
9.4% of total
7-29 Nights
2 listings
0.9% of total
30+ Nights
21 listings
8.9% of total
Key Insights
- The most prevalent minimum stay requirement in Tórshavn is 2 Nights, adopted by 36.2% of listings. This highlights the market's preference for shorter, flexible bookings.
Recommendations
- Align with the market by considering a 2 Nights minimum stay, as 36.2% of Tórshavn hosts use this setting.
- If feasible, allowing 1-night stays, especially midweek or during low season, could capture last-minute bookings, as only 20% currently do.
- Explore offering discounts for stays of 30+ nights to attract the 8.9% of the market seeking extended stays.
- Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Tórshavn.
Tórshavn Airbnb Cancellation Policy Trends Analysis (2025)
Flexible
67 listings
30.7% of total
Moderate
54 listings
24.8% of total
Firm
22 listings
10.1% of total
Strict
75 listings
34.4% of total
Cancellation Policy Insights for Tórshavn
- The prevailing Airbnb cancellation policy trend in Tórshavn is Strict, used by 34.4% of listings.
- There's a relatively balanced mix between guest-friendly (55.5%) and stricter (44.5%) policies, offering choices for different guest needs.
Recommendations for Hosts
- Consider adopting a Strict policy to align with the 34.4% market standard in Tórshavn.
- With 34.4% using Strict terms, this is a viable option in Tórshavn, particularly for high-value properties or during peak demand periods.
- Regularly review your cancellation policy against competitors and market demand shifts in Tórshavn.
Tórshavn STR Booking Lead Time Analysis (2025)
Average Booking Lead Time by Month
Booking Lead Time Insights for Tórshavn
- The overall average booking lead time for vacation rentals in Tórshavn is 65 days.
- Guests book furthest in advance for stays during July (average 130 days), likely coinciding with peak travel demand or local events.
- The shortest booking windows occur for stays in November (average 35 days), indicating more last-minute travel plans during this time.
- Seasonally, Summer (104 days avg.) sees the longest lead times, while Winter (47 days avg.) has the shortest, reflecting typical travel planning cycles.
Recommendations for Hosts
- Use the overall average lead time (65 days) as a baseline for your pricing and availability strategy in Tórshavn.
- For July stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 130 days out to capitalize on advance planning.
- Target marketing efforts for the Summer season well in advance (at least 104 days) to capture early planners.
- Monitor your own booking lead times against these Tórshavn averages to identify opportunities for dynamic pricing adjustments.
Popular & Essential Airbnb Amenities in Tórshavn (2025)
Amenity Prevalence
Amenity Insights for Tórshavn
- Essential amenities in Tórshavn that guests expect include: Wifi, Heating, Smoke alarm. Lacking these (any) could significantly impact bookings.
- Popular amenities like Kitchen, Essentials, Hot water are common but not universal. Offering these can provide a competitive edge.
Recommendations for Hosts
- Ensure your listing includes all essential amenities for Tórshavn: Wifi, Heating, Smoke alarm.
- Prioritize adding missing essentials: Wifi, Heating, Smoke alarm.
- Consider adding popular differentiators like Kitchen or Essentials 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 Tórshavn to stay competitive.
Tórshavn Airbnb Guest Demographics & Profile Analysis (2025)
Guest Profile Summary for Tórshavn
- The typical guest profile for Airbnb in Tórshavn consists of predominantly international visitors (98%), with top international origins including Denmark, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or German.
- Domestic travelers account for 2.3% of guests.
- Key international markets include United States (21.2%) and Denmark (14.7%).
- Top languages spoken are English (42.7%) followed by German (10%).
- A significant demographic segment is the Post-2000s (Gen Z/Alpha) group, representing 50% of guests.
Recommendations for Hosts
- Focus marketing internationally, particularly towards travelers from Denmark.
- 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 Tórshavn 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.
| Market | Active Properties | Monthly Revenue | Daily Rate | Avg. Occupancy |
|---|---|---|---|---|
| Gásadalur | 10 | $3,068 | $201.74 | 56% |
| Leynar | 16 | $2,430 | $217.19 | 51% |
| Miðvágur | 25 | $1,987 | $149.93 | 60% |
| Klaksvik | 49 | $1,836 | $159.46 | 52% |
| Sandavágur | 20 | $1,835 | $181.69 | 55% |
| Vestmanna | 17 | $1,652 | $170.00 | 48% |
| Gjógv | 10 | $1,571 | $184.23 | 44% |
| Strendur | 12 | $1,481 | $170.66 | 48% |
| Tvøroyri | 14 | $1,440 | $141.94 | 43% |
| Sørvágur | 28 | $1,371 | $144.12 | 47% |