Matara Airbnb Market Analysis 2025: Short Term Rental Data & Vacation Rental Statistics in Southern Province, Sri Lanka
Is Airbnb profitable in Matara in 2025? Explore comprehensive Airbnb analytics for Matara, Southern Province, Sri Lanka to uncover income potential. This 2025 STR market report for Matara, based on AirROI data from April 2024 to March 2025, reveals key trends in the niche market of 32 active listings.
Whether you're considering an Airbnb investment in Matara, optimizing your existing vacation rental, or exploring rental arbitrage opportunities, understanding the Matara 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 Matara Airbnb Performance Metrics Overview
Monthly Airbnb Revenue Variations & Income Potential in Matara (2025)
Understanding the monthly revenue variations for Airbnb listings in Matara 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 Matara is typically April, while June often presents the lowest earnings, highlighting opportunities for strategic pricing adjustments during shoulder and low seasons. Explore the typical Airbnb income in Matara across different performance tiers:
- Best-in-class properties (Top 10%) achieve $3,623+ monthly, often utilizing dynamic pricing and superior guest experiences.
- Strong performing properties (Top 25%) earn $1,874 or more, indicating effective management and desirable locations/amenities.
- Typical properties (Median) generate around $450 per month, representing the average market performance.
- Entry-level properties (Bottom 25%) see earnings around $125, often with potential for optimization.
Average Monthly Airbnb Earnings Trend in Matara
Matara Airbnb Occupancy Rate Trends (2025)
Maximize your bookings by understanding the Matara STR occupancy trends. Seasonal demand shifts significantly influence how often properties are booked. Typically, Marchsees the highest demand (peak season occupancy), while June 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 Matara:
- Best-in-class properties (Top 10%) achieve 59%+ occupancy, indicating high desirability and potentially optimized availability.
- Strong performing properties (Top 25%) maintain 42% or higher occupancy, suggesting good market fit and guest satisfaction.
- Typical properties (Median) have an occupancy rate around 19%.
- Entry-level properties (Bottom 25%) average 10% occupancy, potentially facing higher vacancy.
Average Monthly Occupancy Rate Trend in Matara
Average Daily Rate (ADR) Airbnb Trends in Matara (2025)
Effective short term rental pricing strategy in Matara involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Matara typically peaks in April and dips lowest during December. 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 $190+ per night, often due to premium features or locations.
- Strong performing properties (Top 25%) achieve nightly rates of $69 or more.
- Typical properties (Median) charge around $39 per night.
- Entry-level properties (Bottom 25%) earn around $19 per night.
Average Daily Rate (ADR) Trend by Month in Matara
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Airbnb Seasonality Analysis & Trends in Matara (2025)
Peak Season (April, August, November)
- Revenue averages $1,644 per month
- Occupancy rates average 26.5%
- Daily rates average $94
Shoulder Season
- Revenue averages $1,255 per month
- Occupancy maintains around 28.9%
- Daily rates hold near $94
Low Season (February, March, June)
- Revenue drops to average $890 per month
- Occupancy decreases to average 29.4%
- Daily rates adjust to average $94
Seasonality Insights for Matara
- The Airbnb seasonality in Matara 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 Matara's highest earning potential, with monthly revenues capable of climbing to $1,819, occupancy reaching a high of 38.7%, and ADRs peaking at $98.
- 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 $667, occupancy could drop to 12.2%, and ADRs may adjust down to $88.
- 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 Matara.
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 Matara seasonality benchmarks and adjust your pricing and availability strategy accordingly.
Best Areas for Airbnb Investment in Matara (2025)
Exploring the top neighborhoods for short-term rentals in Matara? 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 |
|---|---|---|
| Unawatuna | Famous for its beautiful beach and vibrant nightlife. A popular destination for both local and international tourists looking for relaxation and fun. | Unawatuna Beach, Japanese Peace Pagoda, Galle Fort, Diving and snorkeling spots, Local restaurants and bars |
| Mirissa | Renowned for its stunning beaches and whale watching opportunities. Ideal for visitors seeking natural beauty and adventure. | Mirissa Beach, Whale watching tours, Coconut tree hill, Local fish markets, Surfing spots |
| Matara | The main city in the region, offering a mix of culture and urban living. A great base for exploring the southern coastline. | Matara Fort, Weherahena Temple, Star Fort, Local markets, Public beaches |
| Weligama | Famous for its surf breaks and relaxed vibe. Attracts surfers and beach lovers from all over the world. | Weligama Beach, Surfing schools, Stilt fishermen, Galle District tours, Local seafood dining |
| Dikwella | Known for its serene beaches and less crowded environment. Perfect for families and those seeking tranquility. | Dikwella Beach, Hiriketiya Bay, Local artisan shops, Historical temples, Fishing villages |
| Thalpe | An exclusive area with beautiful villas and resorts. Excellent for travelers looking for luxury and privacy. | Thalpe Beach, Luxury resorts, Local seafood restaurants, Surfing spots, Galle Fort nearby |
| Koggala | A serene area with a beautiful lagoon and beaches. Appeals to nature lovers and those seeking a quieter stay. | Koggala Lake, Martin Wickramasinghe Museum, Historical temples, Local craft shops, Beach activities |
| Polhena | Known for its calm waters perfect for swimming and snorkeling. It is a family-friendly destination with plenty of activities. | Polhena Beach, Snorkeling opportunities, Local restaurants, Turtle watching, Relaxing beach spots |
Understanding Airbnb License Requirements & STR Laws in Matara (2025)
While Matara, Southern Province, Sri Lanka 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 Matara to ensure full compliance before hosting.
(Source: AirROI data, 2025, finding no licensed listings among those analyzed)
Top Performing Airbnb Properties in Matara (2025)
Benchmark your potential! Explore examples of top-performing Airbnb properties in Matarabased on Trailing Twelve Month (TTM) revenue. Analyze their characteristics, revenue, occupancy rate, and ADR to understand what drives success in this market.
Casa MiJa: Boutique Beach Front Villa Near Mirissa
Entire Place • 5 bedrooms
SWEET VILLA
Entire Place • 3 bedrooms
Ocean Loft
Private Room • 1 bedroom
Anchorage Villa(11P) With 5 Luxury AC rooms
Entire Place • 5 bedrooms
D3 Weligama/ Furnished Apartment near the Beach
Entire Place • 3 bedrooms
5 BR luxury villa in Matara with breakfast
Entire Place • 5 bedrooms
Note: Performance varies based on location, size, amenities, seasonality, and management quality. Data reflects the past 12 months.
Top Performing Airbnb Hosts in Matara (2025)
Learn from the best! This table showcases top-performing Airbnb hosts in Matara 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 |
|---|---|---|---|---|
| Raj | 1 | $49,097 | 63 | 4.68/5.0 |
| Delphine | 1 | $40,059 | 62 | 5.00/5.0 |
| Nyuri | 1 | $20,260 | 5 | 5.00/5.0 |
| Neranja | 1 | $16,827 | 11 | 4.36/5.0 |
| Dileepa | 1 | $7,318 | 6 | 5.00/5.0 |
| Host #478104948 | 1 | $5,651 | 0 | 0.00/5.0 |
| Host #475895336 | 1 | $5,181 | 0 | 0.00/5.0 |
| Host #549069205 | 2 | $3,954 | 0 | 0.00/5.0 |
| Host #105903924 | 1 | $3,494 | 0 | 0.00/5.0 |
| Chamila | 1 | $3,372 | 16 | 5.00/5.0 |
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 Matara.
Dive Deeper: Advanced Matara STR Market Data (2025)
Ready to unlock more insights? AirROI provides access to advanced metrics and comprehensive Airbnb data for Matara. Explore detailed analytics beyond this report to refine your investment strategy, optimize pricing, and maximize your vacation rental profits.
Explore Advanced MetricsMatara Short-Term Rental Market Composition (2025): Property & Room Types
Room Type Distribution
Property Type Distribution
Market Composition Insights for Matara
- The Matara Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 62.5% of the 32 active rentals. This indicates strong guest preference for privacy and space.
- However, a notable 37.5% share for Private Rooms suggests opportunities for budget-conscious travelers or hosts renting out spare rooms.
- Looking at the property type distribution in Matara, House properties are the most common (68.8%), reflecting the local real estate landscape.
- Houses represent a significant 68.8% portion, catering likely to families or larger groups.
- The presence of 15.6% Hotel/Boutique listings indicates integration with traditional hospitality.
- Smaller segments like outdoor/unique (combined 3.1%) offer potential for unique stay experiences.
Matara Airbnb Room Capacity Analysis (2025): Bedroom Distribution
Distribution of Listings by Number of Bedrooms
Room Capacity Insights for Matara
- The dominant room capacity in Matara is 1 bedroom listings, making up 31.3% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
- Together, 1 bedroom and 4 bedrooms properties represent 56.3% of the active Airbnb listings in Matara, indicating a high concentration in these sizes.
- A significant 50.0% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Matara.
Matara Vacation Rental Guest Capacity Trends (2025)
Distribution of Listings by Guest Capacity
Guest Capacity Insights for Matara
- The most common guest capacity trend in Matara vacation rentals is listings accommodating 8+ guests (37.5%). This suggests the primary traveler segment is likely larger groups.
- Properties designed for 8+ guests and 4 guests dominate the Matara STR market, accounting for 62.5% of listings.
- 50.0% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Matara.
- On average, properties in Matara are equipped to host 5.3 guests.
Matara Airbnb Booking Patterns (2025): Available vs. Booked Days
Available Days Distribution
Booked Days Distribution
Booking Pattern Insights for Matara
- The most common availability pattern in Matara falls within the 271-366 days range, representing 87.5% of listings. This suggests many properties have significant open periods on their calendars.
- Approximately 96.9% 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 Matara (59.4%), reflecting common guest stay durations or potential owner blocking patterns.
- A notable 3.1% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.
Matara Airbnb Minimum Stay Requirements Analysis
Distribution of Listings by Minimum Night Requirement
1 Night
16 listings
50% of total
2 Nights
9 listings
28.1% of total
3 Nights
1 listings
3.1% of total
7-29 Nights
4 listings
12.5% of total
30+ Nights
2 listings
6.3% of total
Key Insights
- The most prevalent minimum stay requirement in Matara is 1 Night, adopted by 50% of listings. This highlights the market's preference for shorter, flexible bookings.
- A strong majority (78.1%) of the Matara 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 50% of Matara hosts use this setting.
- Explore offering discounts for stays of 30+ nights to attract the 6.3% of the market seeking extended stays.
- Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Matara.
Matara Airbnb Cancellation Policy Trends Analysis (2025)
Flexible
8 listings
50% of total
Moderate
4 listings
25% of total
Firm
1 listings
6.3% of total
Strict
3 listings
18.8% of total
Cancellation Policy Insights for Matara
- The prevailing Airbnb cancellation policy trend in Matara is Flexible, used by 50% of listings.
- The market strongly favors guest-friendly terms, with 75.0% of listings offering Flexible or Moderate policies. This suggests guests in Matara may expect booking flexibility.
Recommendations for Hosts
- Consider adopting a Flexible policy to align with the 50% market standard in Matara.
- Regularly review your cancellation policy against competitors and market demand shifts in Matara.
Matara STR Booking Lead Time Analysis (2025)
Average Booking Lead Time by Month
Booking Lead Time Insights for Matara
- The overall average booking lead time for vacation rentals in Matara is 33 days.
- Guests book furthest in advance for stays during April (average 68 days), likely coinciding with peak travel demand or local events.
- The shortest booking windows occur for stays in June (average 14 days), indicating more last-minute travel plans during this time.
- Seasonally, Spring (48 days avg.) sees the longest lead times, while Summer (23 days avg.) has the shortest, reflecting typical travel planning cycles.
Recommendations for Hosts
- Use the overall average lead time (33 days) as a baseline for your pricing and availability strategy in Matara.
- For April stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 68 days out to capitalize on advance planning.
- During June, focus on last-minute booking availability and promotions, as guests book with very short notice (14 days avg.).
- Target marketing efforts for the Spring season well in advance (at least 48 days) to capture early planners.
- Monitor your own booking lead times against these Matara averages to identify opportunities for dynamic pricing adjustments.
Popular & Essential Airbnb Amenities in Matara (2025)
Amenity Prevalence
Amenity Insights for Matara
- Essential amenities in Matara that guests expect include: Wifi, Essentials, Free parking on premises. Lacking these (any) could significantly impact bookings.
- Popular amenities like Kitchen, Washer, 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 Matara: Wifi, Essentials, Free parking on premises.
- Prioritize adding missing essentials: Free parking on premises.
- Consider adding popular differentiators like Kitchen 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 Matara to stay competitive.
Matara Airbnb Guest Demographics & Profile Analysis (2025)
Guest Profile Summary for Matara
- The typical guest profile for Airbnb in Matara consists of predominantly international visitors (100%), with top international origins including France, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or Spanish.
- Domestic travelers account for 0.0% of guests.
- Key international markets include Germany (14.3%) and France (10.7%).
- Top languages spoken are English (42.3%) followed by Spanish (14.1%).
- 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 Matara 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 |
|---|---|---|---|---|
| Kamburugamuwa | 10 | $3,185 | $482.39 | 28% |
| Ranna | 10 | $2,509 | $255.98 | 36% |
| Madampagama | 23 | $2,268 | $249.70 | 40% |
| Walgama | 52 | $2,177 | $129.25 | 52% |
| Mawella | 10 | $1,984 | $205.99 | 39% |
| Thiththagalla | 10 | $1,915 | $183.18 | 50% |
| Rajgama | 30 | $1,872 | $167.42 | 36% |
| Goviyapana | 36 | $1,748 | $179.16 | 37% |
| Kathaluwa | 59 | $1,587 | $244.62 | 35% |
| Talpe | 104 | $1,562 | $255.26 | 31% |