Airbnb Occupancy Rates in Sydney, New South Wales(May 2026)
Short-term rentals across Sydney generate an average of A$82,435 per year, with a typical occupancy rate of 66% and daily rates averaging A$340. As of May 2026, there were 11,937 active listings on Airbnb spanning the CBD, harbour precincts, eastern beaches, and the North Shore.
Sydney combines Australia’s strongest international tourism pull with deep corporate and events demand—from Vivid Sydney and New Year’s Eve fireworks to year-round business travel into Barangaroo and the CBD. For investors, the metro rewards premium coastal suburbs and high-performing inner-city pockets alike.
Sydney Airbnb Market Map (May 2026)
Sydney Market Performance
Period: May 2025 - April 2026
Is Airbnb a Good Investment in Sydney?
YES, Sydney is one of Australia’s best short-term rental markets for investors who can navigate registration rules and choose high-performing submarkets.
Sydney leads the east-coast capitals on average revenue and occupancy, supported by global brand recognition, harbour and beach tourism, and a large corporate travel base. The main constraint is regulation: non-hosted properties in Sydney face a 180-day annual cap and mandatory state registration—not a deal-breaker, but essential to model before buying.
Market Comparison: Sydney vs. Major Australian Markets
| Market | Avg Revenue | Occupancy | What stands out |
|---|---|---|---|
| Sydney | A$82,435 | 66% | Highest average revenue among capitals; premium ADR and strong occupancy. |
| Melbourne | A$58,395 | 58% | Largest listing pool; more submarket variety at lower average yields. |
| Gold Coast City | A$95,223 | 68% | Beach-holiday focus; strong leisure ADR with different seasonality. |
| Brisbane | A$64,540 | 65% | Lower entry costs; growing corporate demand. |
| Perth | A$71,131 | 72% | Smaller market; mining and resources business travel. |
Strategic Advantages
- Premium pricing power: Harbour and eastern-suburbs listings routinely outperform national averages on ADR.
- Global demand: International visitors, cruise passengers, and domestic city-break travellers sustain occupancy beyond peak summer.
- Events calendar: Vivid Sydney, Sydney Festival, Mardi Gras, sporting fixtures at SCG and Allianz Stadium, and NYE harbour events drive rate spikes.
- Clear compliance framework: NSW STRA register, Code of Conduct, and 180-day cap are well documented—planning is predictable if you register correctly.
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How Often Will Your Airbnb Be Booked in Sydney?
View Demand Patterns →Occupancy rates directly impact your revenue potential. Understanding demand patterns helps you set realistic expectations and optimize your availability strategy.
The current average occupancy rate in Sydney is 66%, meaning properties are booked for about 242 nights per year. However, occupancy varies significantly based on property quality and management. Here's what you can expect:
Airbnb Occupancy Tiers in Sydney
Premium(Top 10%) | High-performing(Top 25%) | Average(Median) | Low-performing(Bottom 25%) |
|---|---|---|---|
| 96% | 84% | 62% | 22% |
*High desirability & optimized availability | *Good market fit & guest satisfaction | *Standard market performance | *Higher vacancy, optimization needed |
Seasonal Occupancy Patterns in Sydney
April, March
Highest demand and occupancy rates. Perfect for premium pricing strategies and maximizing revenue. Consider longer minimum stays and higher rates.
August, October
Moderate demand with balanced pricing opportunities. Good for attracting budget-conscious travelers while maintaining reasonable occupancy rates.
June, September
Lower demand requires competitive pricing and creative marketing. Focus on local events, extended stay discounts, and targeting specific traveler segments.
How Much Can You Earn with Airbnb in Sydney?
Calculate Earnings →One of the most common questions for potential Airbnb hosts in Sydney is about earning potential. Let's break down the revenue patterns and what you can realistically expect to earn.
Monthly Revenue Trends in Sydney
Best-in-class Airbnb properties (top 10%) in Sydney achieve around A$111,593 annually, while strong performers (top 25%) earn at least A$71,104. Typical properties generate about A$38,697 per year, and entry-level listings (bottom 25%) see earnings near A$9,780, often with room for optimization. Keep in mind, these are market averages—your actual earnings can be even higher depending on your property's location, bedrooms, guest capacity, and unique amenities.
Want to see how your listing could perform? Create a free account to unlock personalized analytics and explore exclusive insights in our app!
What Can You Learn from Top-Performing Airbnbs in Sydney?
View Top Performers →Studying successful properties provides valuable insights for your own Airbnb strategy. Here are the top-performing listings in Sydney and what makes them successful.
Sydney Market Analysis
Sydney Short-Term Rental Market Insights
Sydney is Australia’s most mature short-term rental market. The metropolitan area aggregates the CBD, inner-east terraces, harbour villages, northern beaches, and western business centres—each with distinct guest profiles and rate structures. Metro-wide averages understate how strong top submarkets can be.
Demand Drivers
International tourism remains the backbone, especially for Bondi, Manly, and the CBD. Domestic weekend travel and business trips fill mid-week gaps in Pyrmont, Barangaroo, and Surry Hills. Major events—Vivid Sydney (May–June), Sydney Royal Easter Show, and end-of-year harbour celebrations—compress supply and lift ADR across the inner city.
Western Sydney hubs like Parramatta increasingly capture corporate and conference demand as office employment shifts beyond the traditional CBD ring.
Seasonality
Summer (December–February) is peak season for beach suburbs and harbour-view apartments. Autumn and spring still perform well in the inner city thanks to events and business travel. Winter is softer on northern beaches but manageable for well-located CBD and eastern-suburbs stock with strong reviews and professional management.
Investment Outlook
Sydney favours quality over volume: well-presented one- and two-bedroom apartments near transport and lifestyle amenities outperform generic stock. Whole-home premium properties in Mosman, Double Bay, and Bondi command top rates but require higher capital. Investors should model the 180-day non-hosted cap and strata by-laws before purchasing in apartment towers.
What Are the Airbnb Regulations in Sydney?
Understanding local regulations is crucial for operating a successful Airbnb. Let's examine the compliance landscape and what you need to know about licensing requirements in Sydney.
Current Regulatory Status
63% compliance indicates strict regulatory enforcement in this market.
Short-term rental accommodation in Sydney is regulated under New South Wales state law. The City of Sydney does not operate a separate Airbnb licence—hosts comply with the statewide framework.
NSW STRA Register (Mandatory)
- All residential short-term rentals must be registered on the NSW STRA Register before listing.
- Hosts receive a PID-STRA-XXXX number to display on Airbnb and other platforms.
- Registration costs $65 initially and $25 annually to renew; fire-safety requirements must be confirmed at registration.
Hosted vs. Non-Hosted Stays
- Hosted: You live on the property while guests stay (including letting part of your home). No annual day cap under exempt development rules.
- Non-hosted: Investment properties where you are not resident during stays. In Sydney, capped at 180 days per registration year. Stays of 21+ consecutive days do not count toward the cap.
Code of Conduct & Enforcement
- Hosts, guests, platforms, and agents must follow the mandatory Code of Conduct for short-term rental accommodation.
- NSW Fair Trading handles complaints, strikes, and an exclusion register for serious breaches.
Strata Buildings
- Owners corporations may adopt by-laws to ban non-hosted STRA in lots that are not the host’s principal place of residence.
- If the lot is your principal residence, strata cannot use that by-law to stop you renting while temporarily away—highly relevant for CBD and eastern-suburbs apartment investors.
Official Sources
How Competitive is the Airbnb Market in Sydney?
Analyze Competition →Understanding market competition is crucial for any potential Airbnb host. Let's examine the supply dynamics and what they mean for your investment strategy. The Sydney Airbnb market currently features 11,937 active listings with an average occupancy rate of 66%. This represents a highly competitive market environment where strong demand supports premium pricing.
Airbnb Listings: Change Over Time
Strategic Entry into Sydney Airbnb Market
Competitive Positioning
- Target premium segment with high-quality amenities
- Emphasize unique features and exceptional service
- Position as luxury accommodation option
Market Opportunities
- Strong demand supports premium pricing strategies
- Rapid market growth creates new opportunities
- Established market with proven demand patterns
What Should You Charge for Your Airbnb in Sydney?
Smart Pricing Tools →Pricing is one of the most critical decisions for Airbnb success. Let's analyze the current pricing landscape and help you understand what rates you can realistically charge.
The current average daily rate in Sydney is A$340 per night. However, pricing varies significantly based on property quality and location. Here's what different property tiers typically charge:
Airbnb Pricing Tiers in Sydney
Premium(Top 10%) | High-performing(Top 25%) | Average(Median) | Budget(Bottom 25%) |
|---|---|---|---|
| A$553per night | A$358per night | A$234per night | A$117per night |
*Top locations, big properties, premium amenities | *Good property management, highly rated | *Standard market performance | *Basic properties, less desirable locations |
Is It Profitable to Start an Airbnb in Sydney?
Investment Analysis →Understanding the profitability potential is crucial for any Airbnb investment decision. Let's analyze the revenue performance and profit margins in the Sydney market to help you make informed financial decisions.
Revenue Performance
Profitability Factors
Which Areas in Sydney Are Most Profitable for Airbnb?
Explore All Areas →Sydney’s short-term rental market is defined by postcode-level performance. Eastern beaches and harbour precincts often lead on revenue, while the CBD and inner suburbs deliver the highest occupancy.
Top Performing Areas
Bondi Beach: Australia’s most iconic beach market, averaging A$112,961 in annual revenue with 70% occupancy across a large, competitive inventory.
Manly: Ferry-linked beach village appeal drives A$102,102 average revenue at 66% occupancy—strong for family-friendly apartments and coastal walks.
Sydney: The CBD core delivers A$107,037 average revenue with 74% occupancy, ideal for compact apartments targeting business guests and event weekends.
Barangaroo: Waterfront dining and convention proximity push this precinct to A$139,224 average revenue at 76% occupancy.
Surry Hills: Creative dining and nightlife sustain A$84,693 average revenue with 74% occupancy in walkable terrace and apartment stock.
Luxury & Premium Districts
Double Bay: Harbour-side prestige commands A$116,926 average revenue at 66% occupancy for upscale short stays.
Mosman: Balmoral and harbour views attract premium guests, generating A$108,017 average revenue with 65% occupancy.
Darling Point: Ultra-exclusive harbour addresses achieve A$163,786 average revenue and 70% occupancy on limited inventory.
Business & Corporate Hubs
Pyrmont: Darling Harbour and tech-office proximity yield A$99,574 average revenue at 71% occupancy.
Potts Point: Kings Cross and Woolloomooloo Bay access support A$71,544 average revenue with 75% occupancy.
Parramatta: Western Sydney’s commercial centre generates A$52,438 average revenue at 64% occupancy—an alternative to CBD pricing with growing corporate demand.
Beach & Coastal Getaways
Coogee: Family-friendly coastal walks and beach access drive A$102,416 average revenue with 71% occupancy.
North Bondi: A quieter Bondi fringe achieves A$113,827 average revenue at 67% occupancy for premium beachside apartments.
Palm Beach: Pittwater lifestyle and celebrity appeal support A$158,354 average revenue; occupancy runs 37% with pronounced summer peaks.
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