July brought stability to Nashville’s short-term rental market, with performance aligning with expectations for midsummer. While occupancy dipped slightly compared to last year, Average Daily Rates (ADR) remained steady, showing that well-positioned homes are still delivering strong returns for owners.
- Occupancy: 47.2%, compared to 48.7% in July 2024
- ADR: $261, down slightly from $265 last year
These numbers highlight a market that’s normalizing after two years of rapid growth. The takeaway? Properties that combine smart pricing, strong design, and flexible booking policies are outperforming the competition. At GoodNight Stay, we leverage dynamic pricing tools, professional design services, and optimized marketing strategies to keep our homes booked — and our owners earning more passive income.
Performance Breakdown by Home Size
4-Bedroom Homes: Group Travel Favorites
4-bedroom homes remain highly attractive for families and groups visiting Nashville. Guests are planning slightly further in advance than in June, giving us more opportunities to optimize pricing for peak weekends. Despite a softening in occupancy from last year, these homes continue to convert at strong rates when priced competitively and visually refreshed.
3-Bedroom Homes: Steady Mid-Sized Performers
3-bedroom rentals held steady in July, with a small dip in both ADR and occupancy. Still, this segment continues to attract reliable demand — especially for family getaways and small group trips. Increased booking lead times compared to June suggest growing traveler confidence, positioning this category for late-summer and fall momentum.
2-Bedroom Homes: Reliable and Consistent
2-bedroom properties remain a dependable segment, booking over half of available nights in July. ADR adjusted slightly lower, but this ensured listings stayed competitive in a rate-sensitive market. These homes are especially appealing to couples and small families looking for affordable yet stylish accommodations close to Nashville’s attractions.
1-Bedroom Homes: Small but Mighty
1-bedroom units continue to perform strongly, with occupancy holding above 50%. While ADR softened slightly month-over-month, year-over-year performance remained flat — a sign of ongoing demand from solo travelers and couples. Importantly, booking windows lengthened 15% compared to last year, giving us greater visibility and more pricing flexibility heading into fall.
Marketing Recommendations for Nashville Homeowners
At GoodNight Stay, we don’t just manage your property — we maximize its potential. Here are a few strategies we recommend to stand out in Nashville’s competitive short-term rental market:
- Refresh your design. Our in-house design team, Alpha Interiors, delivers an average 25% increase in returns after a property makeover.
- Consider going pet-friendly. Airbnb and VRBO data show pet-friendly homes consistently outperform others in bookings.
- Add sought-after amenities. As colder months approach, features like hot tubs are highly desirable and can boost occupancy.
- Stay flexible with booking rules. If your HOA allows, offering stays with flexible minimum nights (preferably under three nights) can open your listing to 12–20% more searches according to VRBO.
- Leverage seasonal promotions. Our Fall Sale is live now! Participate in seasonal promotions to give guests an incentive to book, driving more bookings, reviews, and long-term success.
- Update your photography. After a design or set up refresh, new photos are essential to showcase your property and capture guest attention.
Looking Ahead: August & Beyond
As we close out summer, Nashville short-term rentals are set for a pickup in late August and September demand, especially around concerts, Labor Day, and fall events. Shorter booking windows mean last-minute demand will be strong, and GoodNight Stay is already adjusting pricing strategies weekly to capture it.
With strong national travel indicators, a busy Nashville events calendar, and our proven approach to vacation rental management, our homeowners are positioned for success this fall.
- Airfare Index: Down ~3.5% YoY
→ Lower fares help expand reach to out-of-state travelers. - Gas Prices (avg/gal): ~$3.14–$3.16 (↓ ~10% YoY)
→ Road trips remain cost-effective, boosting drive-to bookings. - CPI / Inflation (YoY): 2.7%
→ Inflation remains manageable, encouraging continued discretionary spending. - Consumer Confidence: 97.2 (↑ from 95.3 in June)
→ Sentiment improving — travelers are feeling more confident. - Unemployment Rate: ~4.2% (remains steady)
→ Job security supports steady travel demand.
Partner With GoodNight Stay
If you’re a Nashville homeowner curious about how your property could perform — or if you’re interested in generating passive income through short-term rental management — we’d love to talk. Contact GoodNight Stay today to learn how we help owners maximize revenue while handling every detail of property management.
