Albufeira Airbnb Market Analysis 2025: Short Term Rental Data & Vacation Rental Statistics in Faro, Portugal

Source: AirROI
Last updated: 2025-03-31

Is Airbnb profitable in Albufeira in 2025? Explore comprehensive Airbnb analytics for Albufeira, Faro, Portugal to uncover income potential. This 2025 STR market report for Albufeira, based on AirROI data from April 2024 to March 2025, reveals key trends in the bustling market of 4,918 active listings.

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

Avg. Daily Rate (ADR)(?)
$276
The average rental revenue earned for an occupied room per day in Albufeira.
Occupancy Rate(?)
47.1%
Moderate demand with booking opportunities.
Median Annual Revenue(?)
$31,998
Typical annual income for an Airbnb listing in Albufeira. Factors like property type, size, and location influence actual earnings.
Revenue Growth YoY(?)
10.5%
Strong growth (10.5%) vs. last year.
Peak Revenue Month(?)
August
The month with the highest average earnings, indicating peak season in Albufeira.
Lowest Revenue Month(?)
January
The month with the lowest average earnings, indicating the low season in Albufeira.
STR Regulation Level(?)
High
Strict regulations. Compliance is crucial (licensing, taxes, stay limits may apply).
Active Airbnb Listings(?)
4,918
Total number of active short-term rentals listed.

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

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

  • Best-in-class properties (Top 10%) achieve $7,891+ monthly, often utilizing dynamic pricing and superior guest experiences.
  • Strong performing properties (Top 25%) earn $3,990 or more, indicating effective management and desirable locations/amenities.
  • Typical properties (Median) generate around $2,167 per month, representing the average market performance.
  • Entry-level properties (Bottom 25%) see earnings around $1,168, often with potential for optimization.

Average Monthly Airbnb Earnings Trend in Albufeira

Albufeira Airbnb Occupancy Rate Trends (2025)

Maximize your bookings by understanding the Albufeira STR occupancy trends. Seasonal demand shifts significantly influence how often properties are booked. Typically, Augustsees 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 Albufeira:

  • Best-in-class properties (Top 10%) achieve 83%+ occupancy, indicating high desirability and potentially optimized availability.
  • Strong performing properties (Top 25%) maintain 65% 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 Albufeira

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

Effective short term rental pricing strategy in Albufeira involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Albufeira typically peaks in August and dips lowest during November. 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 $540+ per night, often due to premium features or locations.
  • Strong performing properties (Top 25%) achieve nightly rates of $272 or more.
  • Typical properties (Median) charge around $149 per night.
  • Entry-level properties (Bottom 25%) earn around $98 per night.

Average Daily Rate (ADR) Trend by Month in Albufeira

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Airbnb Seasonality Analysis & Trends in Albufeira (2025)

Peak Season (August, July, June)
  • Revenue averages $6,812 per month
  • Occupancy rates average 62.6%
  • Daily rates average $327
Shoulder Season
  • Revenue averages $3,346 per month
  • Occupancy maintains around 42.5%
  • Daily rates hold near $260
Low Season (January, February, March)
  • Revenue drops to average $1,508 per month
  • Occupancy decreases to average 30.3%
  • Daily rates adjust to average $227

Seasonality Insights for Albufeira

  • The Airbnb seasonality in Albufeira 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 Albufeira's highest earning potential, with monthly revenues capable of climbing to $7,886, occupancy reaching a high of 71.7%, and ADRs peaking at $343.
  • 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 $1,326, occupancy could drop to 27.4%, and ADRs may adjust down to $224.
  • 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 Albufeira.

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

Best Areas for Airbnb Investment in Albufeira (2025)

Exploring the top neighborhoods for short-term rentals in Albufeira? 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
Old Town
Charming historic area with narrow cobbled streets, traditional Portuguese architecture, and a vibrant nightlife scene. It attracts tourists for its unique Old World charm and proximity to beaches.
Praça da Almeida Garrett, Church of São Sebastião, Albufeira Marina, Restaurants and Bars, Fisherman's Beach
The Strip (Avenida João de Deus)
Famous for its nightlife and entertainment options, The Strip is a hotspot for young travelers and party-goers. Ideal for rental properties targeting the nightlife crowd.
Clubs and Bars, Albufeira Beach, Shops and restaurants, Live music venues, Street performers
Santa Eulália Beach
A quieter, family-friendly beach area with stunning coastline and great facilities. Perfect for families and older couples looking for relaxation and sun.
Santa Eulália Beach, The Oura Beach, Local restaurants, Watersports activities, Beach clubs
Falesia Beach
Renowned for its red cliffs and stunning views, Falesia Beach is a more tranquil option for beach lovers. Great for those seeking scenic beauty and relaxation.
Falesia Beach, Cliff walks, Sunbeds and umbrellas, Nearby golf courses, Beachfront cafes
Albufeira Marina
A picturesque marina area with yachts and boats, it offers a more upscale experience with dining and shopping options, targeting a luxury clientele.
Albufeira Marina, Boat trips, Restaurants, Shopping outlets, Water sports
Salgados Beach
Known for its natural beauty and bird sanctuary, Salgados Beach is perfect for nature lovers and families seeking peaceful beach days.
Salgados Lagoon, Salgados Golf Course, Dunes and natural reserve, Beach bars, Bird watching
Galé Beach
A beautiful beach area known for its crystal-clear waters and family-friendly atmosphere. It's a popular destination for couples and families.
Galé Beach, Nearby restaurants, Water sports activities, Beachfront accommodations, Sandy coves
Olhos de Água
A charming village atmosphere with beautiful beaches and a cozy community feel. Attractive for tourists looking for authentic local experiences.
Olhos de Água Beach, Natural springs, Local markets, Restaurants with traditional cuisine, Scenic cliffs

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

Yes, Albufeira, Faro, Portugal 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 Albufeira to ensure full compliance before hosting.

(Source: AirROI data, 2025, based on 74% licensed listings)

Top Performing Airbnb Properties in Albufeira (2025)

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

Sky Villa by Laranjal Rentals

Sky Villa by Laranjal Rentals

Entire Place • 5 bedrooms

$625,335
Revenue
55.7%
Occupancy
$2690.08
Daily Rate
Eden by Check-in Portugal

Eden by Check-in Portugal

Entire Place • 6 bedrooms

$621,188
Revenue
69.7%
Occupancy
$3092.30
Daily Rate
Moon by Check-in Portugal

Moon by Check-in Portugal

Entire Place • 3 bedrooms

$571,121
Revenue
36.7%
Occupancy
$2185.94
Daily Rate
Praia by Check-in Portugal

Praia by Check-in Portugal

Entire Place • 4 bedrooms

$503,763
Revenue
49.9%
Occupancy
$2580.15
Daily Rate
Villa Jasmim Ocv - Heated Pool

Villa Jasmim Ocv - Heated Pool

Entire Place • 3 bedrooms

$499,417
Revenue
54.7%
Occupancy
$2479.76
Daily Rate
Villa Dome Ocv - Private Heated Pool

Villa Dome Ocv - Private Heated Pool

Entire Place • 3 bedrooms

$496,090
Revenue
60.3%
Occupancy
$2107.21
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 Albufeira (2025)

Learn from the best! This table showcases top-performing Airbnb hosts in Albufeira 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
Home Holidays165$15,964,74725064.14/5.0
Check-In69$15,377,12013254.12/5.0
My Portugal Experience42$6,631,2475534.29/5.0
David117$5,156,3646113.47/5.0
Algarve65$3,573,034721.07/5.0
Host #484535538195$2,665,85070.03/5.0
João5$2,178,3941684.94/5.0
Fluxonotavel Unipessoal48$2,144,5418214.30/5.0
Laura - Interhome Group59$1,895,0112202.26/5.0
DreamPlaces -Holiday Rentals54$1,878,12016044.07/5.0

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 Albufeira.

Dive Deeper: Advanced Albufeira STR Market Data (2025)

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

Explore Advanced Metrics

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

Room Type Distribution

Property Type Distribution

Market Composition Insights for Albufeira

  • The Albufeira Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 93.5% of the 4,918 active rentals. This indicates strong guest preference for privacy and space.
  • Looking at the property type distribution in Albufeira, Apartment/Condo properties are the most common (62.2%), reflecting the local real estate landscape.
  • Houses represent a significant 31.8% portion, catering likely to families or larger groups.
  • The presence of 5.3% Hotel/Boutique listings indicates integration with traditional hospitality.
  • Smaller segments like others, outdoor/unique (combined 0.7%) offer potential for unique stay experiences.

Albufeira Airbnb Room Capacity Analysis (2025): Bedroom Distribution

Distribution of Listings by Number of Bedrooms

Room Capacity Insights for Albufeira

  • The dominant room capacity in Albufeira is 1 bedroom listings, making up 34.2% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
  • Together, 1 bedroom and 2 bedrooms properties represent 66.0% of the active Airbnb listings in Albufeira, indicating a high concentration in these sizes.
  • A significant 29.6% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Albufeira.

Albufeira Vacation Rental Guest Capacity Trends (2025)

Distribution of Listings by Guest Capacity

Guest Capacity Insights for Albufeira

  • The most common guest capacity trend in Albufeira vacation rentals is listings accommodating 4 guests (33.2%). This suggests the primary traveler segment is likely small families or groups.
  • Properties designed for 4 guests and 6 guests dominate the Albufeira STR market, accounting for 56.0% of listings.
  • 43.5% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Albufeira.
  • On average, properties in Albufeira are equipped to host 5.1 guests.

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

Available Days Distribution

Booked Days Distribution

Booking Pattern Insights for Albufeira

  • The most common availability pattern in Albufeira falls within the 271-366 days range, representing 42.5% of listings. This suggests many properties have significant open periods on their calendars.
  • Approximately 78.3% 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 Albufeira (36.7%), reflecting common guest stay durations or potential owner blocking patterns.
  • A notable 23.0% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.

Albufeira Airbnb Minimum Stay Requirements Analysis

Distribution of Listings by Minimum Night Requirement

1 Night (16.2%)

1 Night

740 listings

16.2% of total

2 Nights (10.9%)

2 Nights

497 listings

10.9% of total

3 Nights (14.6%)

3 Nights

669 listings

14.6% of total

4-6 Nights (29%)

4-6 Nights

1326 listings

29% of total

7-29 Nights (14.3%)

7-29 Nights

655 listings

14.3% of total

30+ Nights (15%)

30+ Nights

687 listings

15% of total

Key Insights

  • The most prevalent minimum stay requirement in Albufeira is 4-6 Nights, adopted by 29% of listings. This highlights the market's preference for longer commitments.
  • A significant segment (15%) caters to monthly stays (30+ nights) in Albufeira, pointing to opportunities in the extended-stay market.

Recommendations

  • Align with the market by considering a 4-6 Nights minimum stay, as 29% of Albufeira hosts use this setting.
  • If feasible, allowing 1-night stays, especially midweek or during low season, could capture last-minute bookings, as only 16.2% currently do.
  • Explore offering discounts for stays of 30+ nights to attract the 15% of the market seeking extended stays.
  • Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Albufeira.

Albufeira Airbnb Cancellation Policy Trends Analysis (2025)

Refundable

6 listings

0.2% of total

Super Strict 60 Days (6.3%)

Super Strict 60 Days

252 listings

6.3% of total

Non-refundable

5 listings

0.1% of total

Super Strict 30 Days (5.4%)

Super Strict 30 Days

214 listings

5.4% of total

Flexible (8.3%)

Flexible

331 listings

8.3% of total

Moderate (16.1%)

Moderate

642 listings

16.1% of total

Firm (29.4%)

Firm

1170 listings

29.4% of total

Strict (34.2%)

Strict

1363 listings

34.2% of total

Cancellation Policy Insights for Albufeira

  • The prevailing Airbnb cancellation policy trend in Albufeira is Strict, used by 34.2% of listings.
  • A majority (63.6%) of hosts in Albufeira 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 34.2% market standard in Albufeira.
  • With 34.2% using Strict terms, this is a viable option in Albufeira, particularly for high-value properties or during peak demand periods.
  • Regularly review your cancellation policy against competitors and market demand shifts in Albufeira.

Albufeira STR Booking Lead Time Analysis (2025)

Average Booking Lead Time by Month

Booking Lead Time Insights for Albufeira

  • The overall average booking lead time for vacation rentals in Albufeira is 73 days.
  • Guests book furthest in advance for stays during July (average 120 days), likely coinciding with peak travel demand or local events.
  • The shortest booking windows occur for stays in December (average 63 days), indicating more last-minute travel plans during this time.
  • Seasonally, Summer (106 days avg.) sees the longest lead times, while Winter (68 days avg.) has the shortest, reflecting typical travel planning cycles.

Recommendations for Hosts

  • Use the overall average lead time (73 days) as a baseline for your pricing and availability strategy in Albufeira.
  • For July stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 120 days out to capitalize on advance planning.
  • Target marketing efforts for the Summer season well in advance (at least 106 days) to capture early planners.
  • Monitor your own booking lead times against these Albufeira averages to identify opportunities for dynamic pricing adjustments.

Popular & Essential Airbnb Amenities in Albufeira (2025)

Amenity Prevalence

Amenity Insights for Albufeira

  • Essential amenities in Albufeira that guests expect include: Kitchen, TV, Wifi. Lacking these (any) could significantly impact bookings.
  • Popular amenities like Hot water, Washer, Refrigerator are common but not universal. Offering these can provide a competitive edge.

Recommendations for Hosts

  • Ensure your listing includes all essential amenities for Albufeira: Kitchen, TV, Wifi.
  • Prioritize adding missing essentials: Kitchen, TV, Wifi.
  • Consider adding popular differentiators like Hot water 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 Albufeira to stay competitive.

Albufeira 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 Albufeira

  • The typical guest profile for Airbnb in Albufeira consists of predominantly international visitors (93%), with top international origins including France, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or French.
  • Domestic travelers account for 6.6% of guests.
  • Key international markets include United Kingdom (26%) and France (14.3%).
  • Top languages spoken are English (44.1%) followed by French (14.9%).
  • 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 France.
  • 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 Albufeira 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
Comporta120$3,474$451.7941%
Lisbon11,974$2,544$157.5857%
Grândola337$2,504$358.7636%
Lagoa e Carvoeiro1,067$2,424$242.8350%
Ferragudo200$2,379$256.3348%
Loulé2,688$2,318$261.2444%
Seixal193$2,312$202.1347%
São Brás de Alportel109$2,302$257.0446%
Cascais1,597$2,299$196.0049%
Ferreira do Alentejo15$2,227$226.5336%

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