Indianapolis Airbnb Market Analysis 2025: Short Term Rental Data & Vacation Rental Statistics in Indiana, United States
Is Airbnb profitable in Indianapolis in 2025? Explore comprehensive Airbnb analytics for Indianapolis, Indiana, United States to uncover income potential. This 2025 STR market report for Indianapolis, based on AirROI data from April 2024 to March 2025, reveals key trends in the bustling market of 2,692 active listings.
Whether you're considering an Airbnb investment in Indianapolis, optimizing your existing vacation rental, or exploring rental arbitrage opportunities, understanding the Indianapolis 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 Indianapolis Airbnb Performance Metrics Overview
Monthly Airbnb Revenue Variations & Income Potential in Indianapolis (2025)
Understanding the monthly revenue variations for Airbnb listings in Indianapolis 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 Indianapolis is typically June, while February often presents the lowest earnings, highlighting opportunities for strategic pricing adjustments during shoulder and low seasons. Explore the typical Airbnb income in Indianapolis across different performance tiers:
- Best-in-class properties (Top 10%) achieve $5,613+ monthly, often utilizing dynamic pricing and superior guest experiences.
- Strong performing properties (Top 25%) earn $3,567 or more, indicating effective management and desirable locations/amenities.
- Typical properties (Median) generate around $2,158 per month, representing the average market performance.
- Entry-level properties (Bottom 25%) see earnings around $1,113, often with potential for optimization.
Average Monthly Airbnb Earnings Trend in Indianapolis
Indianapolis Airbnb Occupancy Rate Trends (2025)
Maximize your bookings by understanding the Indianapolis 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 Indianapolis:
- Best-in-class properties (Top 10%) achieve 79%+ occupancy, indicating high desirability and potentially optimized availability.
- Strong performing properties (Top 25%) maintain 63% 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 23% occupancy, potentially facing higher vacancy.
Average Monthly Occupancy Rate Trend in Indianapolis
Average Daily Rate (ADR) Airbnb Trends in Indianapolis (2025)
Effective short term rental pricing strategy in Indianapolis involves understanding monthly ADR fluctuations. The Average Daily Rate (ADR) for Airbnb in Indianapolis typically peaks in May and dips lowest during January. 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 $336+ per night, often due to premium features or locations.
- Strong performing properties (Top 25%) achieve nightly rates of $213 or more.
- Typical properties (Median) charge around $140 per night.
- Entry-level properties (Bottom 25%) earn around $93 per night.
Average Daily Rate (ADR) Trend by Month in Indianapolis
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Airbnb Seasonality Analysis & Trends in Indianapolis (2025)
Peak Season (June, May, April)
- Revenue averages $3,890 per month
- Occupancy rates average 48.4%
- Daily rates average $197
Shoulder Season
- Revenue averages $2,712 per month
- Occupancy maintains around 45.6%
- Daily rates hold near $189
Low Season (January, February, September)
- Revenue drops to average $1,853 per month
- Occupancy decreases to average 37.1%
- Daily rates adjust to average $175
Seasonality Insights for Indianapolis
- The Airbnb seasonality in Indianapolis 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 Indianapolis's highest earning potential, with monthly revenues capable of climbing to $4,018, occupancy reaching a high of 57.0%, and ADRs peaking at $199.
- 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 $1,619, occupancy could drop to 33.3%, and ADRs may adjust down to $169.
- 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 Indianapolis.
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 Indianapolis seasonality benchmarks and adjust your pricing and availability strategy accordingly.
Best Areas for Airbnb Investment in Indianapolis (2025)
Exploring the top neighborhoods for short-term rentals in Indianapolis? 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 |
|---|---|---|
| Broad Ripple | A vibrant cultural district known for its nightlife, restaurants, and art scene. It's a popular destination for young adults and tourists looking for a trendy experience. | Broad Ripple Park, The Vogue, Kirkwood Avenue, Monon Trail, Local restaurants and bars |
| Downtown Indianapolis | The heart of the city with a mix of business, entertainment, and culture. Tourists enjoy the proximity to major attractions and events. | Indianapolis Museum of Art, Lucas Oil Stadium, Bankers Life Fieldhouse, Circle Centre Mall, White River State Park |
| Mass Ave (Massachusetts Avenue) | A thriving arts and cultural district with unique shops, theaters, and restaurants. A favored location for visitors looking for a vibrant urban atmosphere. | Indiana Repertory Theatre, Mass Ave Arts District, The Old National Centre, Local boutiques, Various eateries |
| Fishers | A rapidly growing suburb with family-friendly amenities and a strong community feel. Attractive to families and travelers looking for residential experiences. | Karma Meditation, Conner Prairie, The Fishers Farmers Market, The Nickel Plate District, Local parks |
| Castleton | A suburban area known for its shopping centers and restaurants. Conveniently located near major highways, making it accessible for travelers. | Castleton Square Mall, Local shopping and dining, Parks and recreational areas, Nearby hotels |
| Northside | A diverse and developing area with a mix of urban and suburban lifestyles. Appeals to families and professionals looking for comfort and convenience. | The Fashion Mall at Keystone, Broad Ripple Village, Local dining options, Nature trails and parks |
| Greenwood | A suburban area that offers a lower cost of living while being close to Indianapolis. Popular for travelers looking for budget-friendly options. | Greenwood Park Mall, Local restaurants, The Old Town Greenwood, Parks and outdoor activities |
| Lawrence | A neighborhood with a rich history and a variety of housing options. It’s appealing to those seeking a quieter atmosphere near the city. | Fort Harrison State Park, Lawrence Community Park, Local events and festivals, A variety of dining options |
Understanding Airbnb License Requirements & STR Laws in Indianapolis (2025)
While Indianapolis, Indiana, United States 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 Indianapolis to ensure full compliance before hosting.
(Source: AirROI data, 2025, based on 0% licensed listings)
Top Performing Airbnb Properties in Indianapolis (2025)
Benchmark your potential! Explore examples of top-performing Airbnb properties in Indianapolisbased on Trailing Twelve Month (TTM) revenue. Analyze their characteristics, revenue, occupancy rate, and ADR to understand what drives success in this market.
Private Downtown Building with Rooftop and Garage
Entire Place • 9 bedrooms
Private 2 Queen Room New House for Dtown Travelers
Private Room • N/A
Woodruff Manor (20+ Guests)
Entire Place • 11 bedrooms
Private Room in 3,200 Square Foot House Downtown!
Private Room • 5 bedrooms
Gallery Event and Stay In Downtown Indianapolis
Entire Place • 2 bedrooms
35) Multiple homes side by side downtown!
Entire Place • 6 bedrooms
Note: Performance varies based on location, size, amenities, seasonality, and management quality. Data reflects the past 12 months.
Top Performing Airbnb Hosts in Indianapolis (2025)
Learn from the best! This table showcases top-performing Airbnb hosts in Indianapolis 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 |
|---|---|---|---|---|
| Austin | 31 | $2,397,111 | 4726 | 4.84/5.0 |
| Kristin And Chase | 39 | $1,445,085 | 586 | 3.92/5.0 |
| CozySuites Midwest | 39 | $1,424,140 | 475 | 3.12/5.0 |
| CozySuites | 44 | $1,111,387 | 1726 | 3.78/5.0 |
| Brentwood | 26 | $1,059,683 | 550 | 4.79/5.0 |
| Evolve | 37 | $931,750 | 522 | 3.83/5.0 |
| Jessie | 13 | $918,892 | 1244 | 4.77/5.0 |
| Home Base | 26 | $886,725 | 1511 | 4.80/5.0 |
| Butler Villa | 31 | $815,235 | 966 | 4.86/5.0 |
| Davis | 7 | $779,374 | 300 | 4.74/5.0 |
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 Indianapolis.
Dive Deeper: Advanced Indianapolis STR Market Data (2025)
Ready to unlock more insights? AirROI provides access to advanced metrics and comprehensive Airbnb data for Indianapolis. Explore detailed analytics beyond this report to refine your investment strategy, optimize pricing, and maximize your vacation rental profits.
Explore Advanced MetricsIndianapolis Short-Term Rental Market Composition (2025): Property & Room Types
Room Type Distribution
Property Type Distribution
Market Composition Insights for Indianapolis
- The Indianapolis Airbnb market composition is heavily skewed towards Entire Home/Apt listings, which make up 82.4% of the 2,692 active rentals. This indicates strong guest preference for privacy and space.
- Looking at the property type distribution in Indianapolis, House properties are the most common (70.4%), reflecting the local real estate landscape.
- Houses represent a significant 70.4% portion, catering likely to families or larger groups.
- Smaller segments like hotel/boutique, others, outdoor/unique, unique stays (combined 7.4%) offer potential for unique stay experiences.
Indianapolis Airbnb Room Capacity Analysis (2025): Bedroom Distribution
Distribution of Listings by Number of Bedrooms
Room Capacity Insights for Indianapolis
- The dominant room capacity in Indianapolis is 1 bedroom listings, making up 28.9% of the market. This suggests a strong demand for properties suitable for couples or solo travelers.
- Together, 1 bedroom and 2 bedrooms properties represent 53.6% of the active Airbnb listings in Indianapolis, indicating a high concentration in these sizes.
- A significant 34.9% of listings offer 3+ bedrooms, catering to larger groups and families seeking more space in Indianapolis.
Indianapolis Vacation Rental Guest Capacity Trends (2025)
Distribution of Listings by Guest Capacity
Guest Capacity Insights for Indianapolis
- The most common guest capacity trend in Indianapolis vacation rentals is listings accommodating 8+ guests (22.8%). This suggests the primary traveler segment is likely larger groups.
- Properties designed for 8+ guests and 4 guests dominate the Indianapolis STR market, accounting for 40.5% of listings.
- 42.1% of properties accommodate 6+ guests, serving the market segment for larger families or group travel in Indianapolis.
- On average, properties in Indianapolis are equipped to host 4.5 guests.
Indianapolis Airbnb Booking Patterns (2025): Available vs. Booked Days
Available Days Distribution
Booked Days Distribution
Booking Pattern Insights for Indianapolis
- The most common availability pattern in Indianapolis falls within the 181-270 days range, representing 36.6% of listings. This suggests many properties have significant open periods on their calendars.
- Approximately 66.6% 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 Indianapolis (36.2%), reflecting common guest stay durations or potential owner blocking patterns.
- A notable 34.7% of properties secure long booking periods (181+ days booked per year), highlighting successful long-term rental strategies or significant owner usage.
Indianapolis Airbnb Minimum Stay Requirements Analysis
Distribution of Listings by Minimum Night Requirement
1 Night
780 listings
31.4% of total
2 Nights
814 listings
32.8% of total
3 Nights
123 listings
5% of total
4-6 Nights
77 listings
3.1% of total
7-29 Nights
229 listings
9.2% of total
30+ Nights
459 listings
18.5% of total
Key Insights
- The most prevalent minimum stay requirement in Indianapolis is 2 Nights, adopted by 32.8% of listings. This highlights the market's preference for shorter, flexible bookings.
- A strong majority (64.2%) of the Indianapolis Airbnb data shows acceptance of very short stays (1-2 nights), indicating a dynamic, high-turnover market.
- A significant segment (18.5%) caters to monthly stays (30+ nights) in Indianapolis, pointing to opportunities in the extended-stay market.
Recommendations
- Align with the market by considering a 2 Nights minimum stay, as 32.8% of Indianapolis hosts use this setting.
- Explore offering discounts for stays of 30+ nights to attract the 18.5% of the market seeking extended stays.
- Adjust minimum nights based on seasonality – potentially shorter during low season and longer during peak demand periods in Indianapolis.
Indianapolis Airbnb Cancellation Policy Trends Analysis (2025)
Super Strict 30 Days
61 listings
2.8% of total
Super Strict 60 Days
4 listings
0.2% of total
Flexible
443 listings
20.3% of total
Moderate
589 listings
27% of total
Firm
547 listings
25.1% of total
Strict
536 listings
24.6% of total
Cancellation Policy Insights for Indianapolis
- The prevailing Airbnb cancellation policy trend in Indianapolis is Moderate, used by 27% of listings.
- There's a relatively balanced mix between guest-friendly (47.3%) and stricter (49.7%) policies, offering choices for different guest needs.
Recommendations for Hosts
- Consider adopting a Moderate policy to align with the 27% market standard in Indianapolis.
- Regularly review your cancellation policy against competitors and market demand shifts in Indianapolis.
Indianapolis STR Booking Lead Time Analysis (2025)
Average Booking Lead Time by Month
Booking Lead Time Insights for Indianapolis
- The overall average booking lead time for vacation rentals in Indianapolis is 45 days.
- Guests book furthest in advance for stays during July (average 85 days), likely coinciding with peak travel demand or local events.
- The shortest booking windows occur for stays in February (average 30 days), indicating more last-minute travel plans during this time.
- Seasonally, Summer (73 days avg.) sees the longest lead times, while Winter (33 days avg.) has the shortest, reflecting typical travel planning cycles.
Recommendations for Hosts
- Use the overall average lead time (45 days) as a baseline for your pricing and availability strategy in Indianapolis.
- For July stays, consider implementing length-of-stay discounts or slightly higher rates for bookings made less than 85 days out to capitalize on advance planning.
- Target marketing efforts for the Summer season well in advance (at least 73 days) to capture early planners.
- Monitor your own booking lead times against these Indianapolis averages to identify opportunities for dynamic pricing adjustments.
Popular & Essential Airbnb Amenities in Indianapolis (2025)
Amenity Prevalence
Amenity Insights for Indianapolis
- Essential amenities in Indianapolis that guests expect include: Air conditioning, Wifi, Smoke alarm, Heating, TV, Kitchen. Lacking these (any) could significantly impact bookings.
- Popular amenities like Hot water, Essentials, Carbon monoxide alarm are common but not universal. Offering these can provide a competitive edge.
Recommendations for Hosts
- Ensure your listing includes all essential amenities for Indianapolis: Air conditioning, Wifi, Smoke alarm, Heating, TV, Kitchen.
- Prioritize adding missing essentials: Air conditioning, Wifi, Smoke alarm, Heating, TV, Kitchen.
- Consider adding popular differentiators like Hot water 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 Indianapolis to stay competitive.
Indianapolis Airbnb Guest Demographics & Profile Analysis (2025)
Guest Profile Summary for Indianapolis
- The typical guest profile for Airbnb in Indianapolis consists of primarily domestic travelers (96%), often arriving from nearby Indianapolis, typically belonging to the Post-2000s (Gen Z/Alpha) group (50%), primarily speaking English or Spanish.
- Domestic travelers account for 96.0% of guests.
- Key international markets include United States (96%) and Canada (1%).
- Top languages spoken are English (76%) followed by Spanish (11.8%).
- A significant demographic segment is the Post-2000s (Gen Z/Alpha) group, representing 50% of guests.
Recommendations for Hosts
- Target domestic marketing efforts towards travelers from Indianapolis and Chicago.
- 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 Indianapolis 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 |
|---|---|---|---|---|
| Simpsonville | 19 | $4,201 | $313.71 | 43% |
| Westfield | 125 | $3,845 | $313.42 | 45% |
| Shelbyville | 69 | $3,533 | $315.70 | 42% |
| La Grange | 19 | $3,518 | $308.81 | 49% |
| Franklin | 13 | $3,497 | $219.52 | 51% |
| Nashville | 223 | $3,458 | $277.64 | 43% |
| Zionsville | 17 | $3,449 | $252.84 | 48% |
| Rockville | 21 | $3,393 | $231.10 | 43% |
| Unionville | 15 | $3,355 | $400.87 | 43% |
| Greencastle | 50 | $3,321 | $276.99 | 40% |