Airbnb Occupancy Rates in Prazeres, Ilha Da Madeira(October 2026)

Source: GuestFavoritesLast updated: 2026-10-21

Airbnbs in Prazeres, Ilha Da Madeira earn an average of €42,290 per year, with a typical occupancy rate of 66% and daily rates averaging €175. There were 113 listings published on Airbnb in October 2026.

This analysis will dive into the market dynamics, pricing strategies, and investment opportunities for short-term rental investors in Prazeres, Portugal.

Prazeres Airbnb Market Map (October 2026)

113 listings

Prazeres Market Performance

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Average Daily Rate (ADR)€175Average daily income from a booked room in Prazeres.
Occupancy Rate66% Indicates strong demand and frequent bookings.
Median Annual Revenue€42,290The usual yearly earnings for an Airbnb in Prazeres.
Active Listings113The total count of active short-term rental listings.

Portugal average: 63% occupancy, €159 per night.

Airbnb occupancy rates by city in Portugal

Period: December 2025 - September 2026

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Airbnb market analytics dashboard for Prazeres, Ilha Da Madeira

How Often Will Your Airbnb Be Booked in Prazeres?

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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 Prazeres 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 Prazeres

Premium(Top 10%)
High-performing(Top 25%)
Average(Median)
95%84%64%
*High desirability & optimized availability
*Good market fit & guest satisfaction
*Standard market performance

Seasonal Occupancy Patterns in Prazeres

Peak Months

August, July

Highest demand and occupancy rates. Perfect for premium pricing strategies and maximizing revenue. Consider longer minimum stays and higher rates.

Shoulder Months

February, March

Moderate demand with balanced pricing opportunities. Good for attracting budget-conscious travelers while maintaining reasonable occupancy rates.

Low Months

January, December

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 Prazeres?

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One of the most common questions for potential Airbnb hosts in Prazeres is about earning potential. Let's break down the revenue patterns and what you can realistically expect to earn.

Monthly Revenue Trends in Prazeres

Best-in-class Airbnb properties (top 10%) in Prazeres achieve around €81,892 annually, while strong performers (top 25%) earn at least €41,990. Typical properties generate about €22,990 per year. 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.

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What Should You Charge for Your Airbnb in Prazeres?

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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 Prazeres is €175 per night. However, pricing varies significantly based on property quality and location. Here's what different property tiers typically charge:

Airbnb Pricing Tiers in Prazeres

Premium(Top 10%)
High-performing(Top 25%)
Average(Median)
Budget(Bottom 25%)
€336per night€204per night€111per night€61per 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 Prazeres?

Investment Analysis →

Understanding the profitability potential is crucial for any Airbnb investment decision. Let's analyze the revenue performance and profit margins in the Prazeres market to help you make informed financial decisions.

Revenue Performance
Top Performers (10%)€81,892
Strong Performers (25%)€41,990
Market Average€42,290
Profitability Factors
High Occupancy: 66% occupancy rate indicates strong demand and consistent bookings.
Strong ADR: €175 average daily rate supports healthy profit margins.
Market Growth: Emerging market with proven demand patterns.
Profitability Outlook: Prazeres offers excellent profitability potential with premium pricing opportunities. The combination of 66% occupancy and €175 ADR creates a profitable investment environment for short-term rental hosts.

What Are the Airbnb Regulations in Prazeres?

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 Prazeres.

Rules for new hosts

Can a new host open an entire-home rental here?

Yes. Registration is required.

Regulation level Low
  1. June 2026Regulamento n.º 787/2026 (Funchal AL management regulation) in force
  2. October 2026Santa Cruz suspension of new AL registrations starts (date per press; up to 1 year)
  3. TodayNo change scheduled
Licence
RegistrationNational
Building / HOA
Bylaws can ban itNational
Enforcement
MediumNational

Madeira's rules depend on the municipality. Funchal, with about 3,400 registrations, has had a municipal AL regulation since 30 June 2026 that bars new registrations in the Sé parish and in its other parishes allows only independent houses, with narrow exceptions, while Santa Cruz (Caniço, Santa Cruz, Gaula) suspended new registrations across the municipality from about 19 October 2026 for up to a year while it drafts its own regulation. Elsewhere on the island, including Calheta and Ponta do Sol, the national open-registration regime applies.

Last checked October 20, 2026
This is a summary, not legal advice. Check with the local authority before investing.

Registration Numbers on Airbnb

None of the active Airbnb listings we tracked last month display a registration or license number.

This reflects what hosts publish on their Airbnb listings, not the local legal requirements. Always confirm them with local authorities.

Our Classification No Registration Numbers Found

Key Regulatory Requirements

Minimal registration requirements may apply.

  • Registration numbers must be displayed on listings
  • Hosts must comply with local zoning laws
  • Tax collection and reporting obligations apply
  • Safety standards and insurance requirements must be met

Compliance Benefits

Very low compliance barriers make it easy to start your Airbnb business.

  • Avoid fines and legal issues
  • Build trust with guests and neighbors
  • Ensure long-term business sustainability
  • Maintain listing visibility on platforms

Important: Regulations can change frequently, and requirements may vary by neighborhood. Always verify current requirements with local authorities before starting your Airbnb business.

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