Monchique 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 Monchique in 2025? Explore comprehensive Airbnb analytics for Monchique, Faro, Portugal to uncover income potential. This 2025 STR market report for Monchique, based on AirROI data from April 2024 to March 2025, reveals key trends in the niche market of 102 active listings.

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

Avg. Daily Rate (ADR)(?)
$139
The average rental revenue earned for an occupied room per day in Monchique.
Occupancy Rate(?)
44.5%
Moderate demand with booking opportunities.
Median Annual Revenue(?)
$17,803
Typical annual income for an Airbnb listing in Monchique. Factors like property type, size, and location influence actual earnings.
Revenue Growth YoY(?)
13.1%
Strong growth (13.1%) vs. last year.
Peak Revenue Month(?)
August
The month with the highest average earnings, indicating peak season in Monchique.
Lowest Revenue Month(?)
March
The month with the lowest average earnings, indicating the low season in Monchique.
STR Regulation Level(?)
High
Strict regulations. Compliance is crucial (licensing, taxes, stay limits may apply).
Active Airbnb Listings(?)
102
Total number of active short-term rentals listed.

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

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

  • Best-in-class properties (Top 10%) achieve $3,938+ monthly, often utilizing dynamic pricing and superior guest experiences.
  • Strong performing properties (Top 25%) earn $2,388 or more, indicating effective management and desirable locations/amenities.
  • Typical properties (Median) generate around $1,402 per month, representing the average market performance.
  • Entry-level properties (Bottom 25%) see earnings around $674, often with potential for optimization.

Average Monthly Airbnb Earnings Trend in Monchique

Monchique Airbnb Occupancy Rate Trends (2025)

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

  • Best-in-class properties (Top 10%) achieve 78%+ occupancy, indicating high desirability and potentially optimized availability.
  • Strong performing properties (Top 25%) maintain 61% or higher occupancy, suggesting good market fit and guest satisfaction.
  • Typical properties (Median) have an occupancy rate around 40%.
  • Entry-level properties (Bottom 25%) average 22% occupancy, potentially facing higher vacancy.

Average Monthly Occupancy Rate Trend in Monchique

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

Effective short term rental pricing strategy in Monchique involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Monchique typically peaks in August 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 $277+ per night, often due to premium features or locations.
  • Strong performing properties (Top 25%) achieve nightly rates of $157 or more.
  • Typical properties (Median) charge around $105 per night.
  • Entry-level properties (Bottom 25%) earn around $74 per night.

Average Daily Rate (ADR) Trend by Month in Monchique

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Airbnb Seasonality Analysis & Trends in Monchique (2025)

Peak Season (August, May, July)
  • Revenue averages $3,009 per month
  • Occupancy rates average 58.9%
  • Daily rates average $147
Shoulder Season
  • Revenue averages $1,843 per month
  • Occupancy maintains around 41.4%
  • Daily rates hold near $135
Low Season (January, February, March)
  • Revenue drops to average $904 per month
  • Occupancy decreases to average 28.3%
  • Daily rates adjust to average $126

Seasonality Insights for Monchique

  • The Airbnb seasonality in Monchique 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 Monchique's highest earning potential, with monthly revenues capable of climbing to $3,520, occupancy reaching a high of 73.9%, and ADRs peaking at $152.
  • 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 $849, occupancy could drop to 26.5%, and ADRs may adjust down to $125.
  • 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 Monchique.

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

Best Areas for Airbnb Investment in Monchique (2025)

Exploring the top neighborhoods for short-term rentals in Monchique? 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
Monchique Town
Charming mountain village known for its stunning views and traditional architecture. It attracts visitors seeking tranquility, nature, and authentic Portuguese culture.
Monchique Monastery, Foia Peak, Caldas de Monchique, Local artisan shops, Hiking trails
Foia
The highest point in the Algarve, providing breathtaking panoramic views. It's ideal for nature lovers and those looking to escape to the mountains while still being close to the coast.
Foia Peak, Hiking trails, Picnic areas, Algarve nature parks
Caldas de Monchique
Famous for its thermal springs and spa facilities, this area appeals to wellness tourists and those looking for relaxation and rejuvenation.
Thermal baths, Spa resorts, Natural parks, Health-focused retreats
Alferce
A small, picturesque village offering a taste of traditional Portuguese rural life. Perfect for guests looking for peace and seclusion, away from the hustle and bustle.
Traditional rural architecture, Local festivals, Nature walks, Flora and fauna
Marmelete
Known for its beautiful landscapes and rural tourism, Marmelete attracts visitors interested in outdoor activities and local culture.
Stunning countryside, Local hiking trails, Traditional food experiences, Cultural heritage sites
Picota
A small village surrounded by nature, perfect for hiking and outdoor enthusiasts. It offers breathtaking views and local wildlife.
Hiking routes, Flora and fauna, Scenic viewpoints
Silves
Nearby historic city with a rich history, beautiful castle, and lively cultural scene. Great for guests interested in history and local culture.
Silves Castle, Museums, Historic town center, Local markets
Albufeira
While a bit further, it's a major tourist hotspot in the Algarve known for its beaches and nightlife, attracting a diverse array of tourists.
Beaches, Nightclubs, Restaurants, Water parks

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

Yes, Monchique, 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 Monchique to ensure full compliance before hosting.

(Source: AirROI data, 2025, based on 73% licensed listings)

Top Performing Airbnb Properties in Monchique (2025)

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

Villa 'Luar do Algarve' | Nature and Relaxation

Villa 'Luar do Algarve' | Nature and Relaxation

Entire Place • 3 bedrooms

$80,519
Revenue
67.8%
Occupancy
$282.20
Daily Rate
Villa Xique 9

Villa Xique 9

Entire Place • 2 bedrooms

$75,563
Revenue
49.1%
Occupancy
$598.82
Daily Rate
Mountainside Villa + Private Pool

Mountainside Villa + Private Pool

Entire Place • 5 bedrooms

$72,045
Revenue
60.3%
Occupancy
$299.31
Daily Rate
Casa Corsino | Heated & salt pool | Entire Villa |

Casa Corsino | Heated & salt pool | Entire Villa |

Entire Place • 4 bedrooms

$61,789
Revenue
58.0%
Occupancy
$253.59
Daily Rate
Nature-immersed 4 Bedroom Villa - Pool & Sea Views

Nature-immersed 4 Bedroom Villa - Pool & Sea Views

Entire Place • 4 bedrooms

$59,342
Revenue
38.7%
Occupancy
$291.61
Daily Rate
Chalet Monchique

Chalet Monchique

Entire Place • 4 bedrooms

$46,094
Revenue
53.7%
Occupancy
$228.30
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 Monchique (2025)

Learn from the best! This table showcases top-performing Airbnb hosts in Monchique 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
Lina & Javier7$148,3294594.83/5.0
Bernardo E Laura2$120,088774.97/5.0
Holidu2$113,20342.50/5.0
Joao8$97,5441053.71/5.0
Maria3$95,8451284.73/5.0
Johann2$76,6723124.99/5.0
James1$72,045544.96/5.0
Algarve Golden Properties1$61,78974.57/5.0
Megan1$59,342274.81/5.0
Maria Lucinda2$54,9161194.96/5.0

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 Monchique.

Dive Deeper: Advanced Monchique STR Market Data (2025)

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

Explore Advanced Metrics

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

Room Type Distribution

Property Type Distribution

Market Composition Insights for Monchique

  • The Monchique Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 76.5% of the 102 active rentals. This indicates strong guest preference for privacy and space.
  • Looking at the property type distribution in Monchique, House properties are the most common (52.9%), reflecting the local real estate landscape.
  • Houses represent a significant 52.9% portion, catering likely to families or larger groups.
  • The presence of 9.8% Hotel/Boutique listings indicates integration with traditional hospitality.
  • Smaller segments like unique stays, others (combined 5.9%) offer potential for unique stay experiences.

Monchique Airbnb Room Capacity Analysis (2025): Bedroom Distribution

Distribution of Listings by Number of Bedrooms

Room Capacity Insights for Monchique

  • The dominant room capacity in Monchique is 1 bedroom listings, making up 43.1% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
  • Together, 1 bedroom and 2 bedrooms properties represent 60.7% of the active Airbnb listings in Monchique, indicating a high concentration in these sizes.
  • A significant 27.5% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Monchique.

Monchique Vacation Rental Guest Capacity Trends (2025)

Distribution of Listings by Guest Capacity

Guest Capacity Insights for Monchique

  • The most common guest capacity trend in Monchique vacation rentals is listings accommodating 2 guests (30.4%). This suggests the primary traveler segment is likely couples or solo travelers.
  • Properties designed for 2 guests and 4 guests dominate the Monchique STR market, accounting for 49.0% of listings.
  • 28.4% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Monchique.
  • On average, properties in Monchique are equipped to host 3.7 guests.

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

Available Days Distribution

Booked Days Distribution

Booking Pattern Insights for Monchique

  • The most common availability pattern in Monchique falls within the 271-366 days range, representing 40.2% of listings. This suggests many properties have significant open periods on their calendars.
  • Approximately 70.6% 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 Monchique (34.3%), reflecting common guest stay durations or potential owner blocking patterns.
  • A notable 29.4% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.

Monchique Airbnb Minimum Stay Requirements Analysis

Distribution of Listings by Minimum Night Requirement

1 Night (14%)

1 Night

13 listings

14% of total

2 Nights (24.7%)

2 Nights

23 listings

24.7% of total

3 Nights (26.9%)

3 Nights

25 listings

26.9% of total

4-6 Nights (21.5%)

4-6 Nights

20 listings

21.5% of total

7-29 Nights (6.5%)

7-29 Nights

6 listings

6.5% of total

30+ Nights (6.5%)

30+ Nights

6 listings

6.5% of total

Key Insights

  • The most prevalent minimum stay requirement in Monchique is 3 Nights, adopted by 26.9% of listings. This highlights the market's preference for longer commitments.

Recommendations

  • Align with the market by considering a 3 Nights minimum stay, as 26.9% of Monchique hosts use this setting.
  • If feasible, allowing 1-night stays, especially midweek or during low season, could capture last-minute bookings, as only 14% currently do.
  • Explore offering discounts for stays of 30+ nights to attract the 6.5% of the market seeking extended stays.
  • Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Monchique.

Monchique Airbnb Cancellation Policy Trends Analysis (2025)

Super Strict 30 Days (8.2%)

Super Strict 30 Days

7 listings

8.2% of total

Flexible (17.6%)

Flexible

15 listings

17.6% of total

Moderate (21.2%)

Moderate

18 listings

21.2% of total

Firm (28.2%)

Firm

24 listings

28.2% of total

Strict (24.7%)

Strict

21 listings

24.7% of total

Cancellation Policy Insights for Monchique

  • The prevailing Airbnb cancellation policy trend in Monchique is Firm, used by 28.2% of listings.
  • A majority (52.9%) of hosts in Monchique utilize Firm or Strict policies, indicating a market where hosts prioritize booking security.

Recommendations for Hosts

  • Consider adopting a Firm policy to align with the 28.2% market standard in Monchique.
  • Regularly review your cancellation policy against competitors and market demand shifts in Monchique.

Monchique STR Booking Lead Time Analysis (2025)

Average Booking Lead Time by Month

Booking Lead Time Insights for Monchique

  • The overall average booking lead time for vacation rentals in Monchique is 59 days.
  • Guests book furthest in advance for stays during May (average 93 days), likely coinciding with peak travel demand or local events.
  • The shortest booking windows occur for stays in January (average 34 days), indicating more last-minute travel plans during this time.
  • Seasonally, Summer (83 days avg.) sees the longest lead times, while Winter (38 days avg.) has the shortest, reflecting typical travel planning cycles.

Recommendations for Hosts

  • Use the overall average lead time (59 days) as a baseline for your pricing and availability strategy in Monchique.
  • For May stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 93 days out to capitalize on advance planning.
  • Target marketing efforts for the Summer season well in advance (at least 83 days) to capture early planners.
  • Monitor your own booking lead times against these Monchique averages to identify opportunities for dynamic pricing adjustments.

Popular & Essential Airbnb Amenities in Monchique (2025)

Amenity Prevalence

Amenity Insights for Monchique

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

Recommendations for Hosts

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

Monchique 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 Monchique

  • The typical guest profile for Airbnb in Monchique consists of predominantly international visitors (92%), with top international origins including United Kingdom, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or French.
  • Domestic travelers account for 7.7% of guests.
  • Key international markets include Germany (19.6%) and United Kingdom (13.1%).
  • Top languages spoken are English (38.6%) followed by French (14.5%).
  • 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 United Kingdom.
  • 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 Monchique 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%
Albufeira4,918$2,667$276.1247%
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%

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