Market report

South Padre Island, TX short-term rental market report (2026)

Cameron County, Texas. Rules, revenue, home values, demand, climate, reach and risk, each figure with its source.

47/100 Opportunity Score#32of 88 tracked markets by annual revenue
  • RulesLight-touch (2/5)
  • Average revenue$65K a year
  • 4-BR typical value$314K
  • Gross yield20.7%
  • FEMA riskRelatively High
  • Demand drivers within 50 mi2
Data as of September 21, 2026 County figures: Cameron County

Everything STR HUB holds on South Padre Island, TX in one place, in the order an investor needs it: whether you can operate, what the numbers are, why and when people come, who can reach it, and what could go wrong.

Every figure comes from a named dataset listed under Sources and method, dated September 21, 2026. Where we do not hold a figure, that part of the report is left out rather than estimated.

Can you operate in South Padre Island?

2/5 Light-touch

South Padre Island's short-term rental rules rate 2 out of 5 (Light-touch), on a scale from 1 (relaxed) to 5 (very strict). This rating was derived from the regulation text we hold and has not yet been reviewed by a person (evidence confidence: medium). Treat it as provisional.

What the rating rests on: The Town of South Padre Island maintains a generally welcoming regulatory environment for STR operators while ensuring tax compliance and guest safety.

Rules change, and a city rating does not cover HOA or deed restrictions. Confirm current requirements with the jurisdiction before you buy or list.

Which way the rules are moving

Stable. The rules we hold report no recent or pending change.

The Town of South Padre Island maintains a generally welcoming regulatory environment for STR operators while ensuring tax compliance and guest safety.

Classified from the regulation text we publish; a direction is only kept when the sentence it rests on appears word for word in that text.

The numbers

Revenue

Average annual revenue
$65,000
Texas tracked-market median: $51K
Average nightly rate
$265
Texas median: $225
Occupancy
68%
Texas median: 62%
National revenue rank
#32
of 88 tracked markets with revenue data

Gross market averages from STR HUB market analytics, the same figures shown on the market page. They are before cleaning, management, utilities, taxes and financing, and an individual property can earn more or less.

Home values in Cameron County

Typical 4-bedroom home
$313,878
Texas statewide: $395K
Typical home, all sizes
$209,484
Texas statewide: $299K
One-year change, all homes
+1.3%
Texas statewide: -1.6%

Zillow Home Value Index: county-wide typical values for Cameron County, not list prices. A specific property can sit well above or below them.

Gross yield

20.7%
$65,000 ÷ $313,878 = 20.7%Average annual revenue divided by the county's typical 4-bedroom home value. The median across tracked Texas markets with revenue data is 10.7%.

Gross yield is before every operating cost and before financing. It is a screening ratio, not a cash-on-cash return.

What it costs to own

Effective property tax rate
1.69%
county median taxes paid divided by median home value, owner-occupied homes
Estimated annual tax, typical 4BR
$5,292
county effective rate times the typical 4-bedroom value; not a bill
Estimated annual tax, typical home
$3,532
county effective rate times the typical home value; not a bill
Expected annual hazard loss
$181
per $100,000 of building value (FEMA, county average); not an insurance premium

Screening figures, not a bill or a quote. The tax rate is a county-wide median for owner-occupied homes (U.S. Census Bureau, ACS 2018-2022); second homes and rentals are often taxed more heavily, and a purchase usually resets the assessed value. Expected annual loss is from the FEMA National Risk Index.

Housing market momentum

Momentum
Steady
score 54 of 100, relative to the other tracked markets

County-level, for-sale housing market: it says nothing directly about STR bookings. A relative ranking among tracked markets, not a forecast. Sources: Realtor.com Economic Research, U.S. Census Bureau, Zillow Home Value Index.

Why people come

2 demand drivers sit within 50 miles of South Padre Island, 1 of them new, planned or one-off (flagged emerging). Ordered by published attendance. Attendance appears only where a source publishes it.

Attractions

  • Starbase (SpaceX) launch tourism emerging: newly opened
    space tourism · Starbase (Boca Chica), TX · 8 mi from South Padre Island
    When
    Year-round, event-driven around launches
    STR angle
    Launch-viewing tourism creates short, unpredictable but high-intensity demand spikes (viewing parties, groups renting homes with sightlines) in the Brownsville/South Padre Island area around scheduled Starship launches - a genuinely 'untraditional' driver with no fixed calendar.

Outdoor activities

  • South Padre Island (kiteboarding & Laguna Madre)
    wind water sports · South Padre Island, TX · 0 mi from South Padre Island
    When
    Windy most of the year; spring break, summer and "winter Texan" season all bring visitors.
    STR angle
    A condo-dominated barrier island with three demand seasons: spring break, family summer and long-stay winter Texans. Bay-side units suit kiters and anglers; Starbase launch viewing (tracked separately) is a newer bonus.

When they come

Four-season climate: comfortable months are spread across the year without one dominant season. 8 of 12 months have an average high between 60°F and 88°F. Warmest month: August (average high 91°F). Coldest: February (average low 57°F).

  1. Jan71°59°Comfortable
  2. Feb71°57°Comfortable
  3. Mar77°64°Comfortable
  4. Apr81°70°Comfortable
  5. May85°75°Comfortable
  6. Jun89°79°Hot
  7. Jul90°80°Hot
  8. Aug91°80°Hot
  9. Sep88°78°Hot
  10. Oct84°72°Comfortable
  11. Nov77°64°Comfortable
  12. Dec74°60°Comfortable
Monthly climate normals for South Padre Island, TX
MonthJanFebMarAprMayJunJulAugSepOctNovDec
Average high (°F)717177818589909188847774
Average low (°F)595764707579808078726460
Precipitation (in)2.91.32.52.63.82.33.32.43.62.03.91.7
Snowfall (in)0.00.10.00.00.00.00.00.00.00.00.00.0
Sunshine (hours a day)7.57.98.610.211.212.011.912.310.89.97.98.2

This is climate and events, not booking data. Monthly normals are 2019-2023 averages from the Open-Meteo Historical Weather API (ERA5 reanalysis) at the market pin. We do not hold monthly occupancy or rate data for this market.

Who can reach it

People within 150 miles
1.9 million
roughly a 2.5 to 3 hour drive
People within 300 miles
13.4 million
roughly a 5 hour drive

Largest counties within 150 miles

Largest counties by population within 150 miles of South Padre Island, TX
CountyPopulation
Hidalgo County, TX873,167
Cameron County, TX421,854
Nueces County, TX353,245

County populations (U.S. Census Bureau, ACS 2018-2022) summed for every county whose centre lies within each straight-line radius. Straight lines are shorter than roads, so read these as generous upper bounds, not drive-time counts.

What could go wrong

FEMA National Risk Index
Relatively High
overall rating for Cameron County
Risk score
97.3
of 100, a national percentile: higher means more risk than more U.S. counties
Highest-scoring hazards
Hurricane, Hail
of the hazards we track for Cameron County
FEMA National Risk Index hazard ratings for Cameron County
HazardFEMA ratingScore (0-100)
HurricaneVery High99.0
HailRelatively High96.6
River floodingRelatively Moderate92.8
Winter weatherRelatively High85.9
TornadoRelatively Moderate85.1
WildfireRelatively Low83.8
Coastal floodingRelatively Moderate67.0
EarthquakeVery Low50.4

This is a county-level index, not an insurance quote or a flood-zone determination. A coastal or wildfire-fringe rental can carry far more exposure than its county average suggests. Get property-level flood, wind and wildfire quotes before you buy.

Market context

Housing and jobs in Cameron County

Vacation-home share
7.3%
Texas statewide: 1.8%
Homes with 4+ bedrooms
15.6%
Texas statewide: 23.1%
Jobs in tourism industries
8.7%
Texas statewide: 8.7%

U.S. Census Bureau, American Community Survey 2018-2022. Vacation-home share is housing units held for seasonal, recreational or occasional use. All three describe the whole county, not one town or neighbourhood.

What is within 15 km of the South Padre Island pin

Amenity score
53
of 100, relative to the other tracked markets
Restaurants, cafes and bars
58
Attractions
8
Outdoor features
67
Hotels, motels and resorts
28
competing lodging, not counted in the amenity score

Counts of features mapped in OpenStreetMap within 15 km of the market pin. A fixed radius favours dense metros, and map coverage varies by area.

Similar markets

The 4 tracked markets whose numbers sit closest to South Padre Island's. Each links to its own report.

Closest by normalised distance across the figures both markets hold (typical 4BR value, revenue, occupancy, regulation rating, vacation-home share, tourism job share, 4+ bedroom share, amenity score, population within 300 miles, comfortable months and FEMA risk score). At most 2 of the 4 come from Texas, so the list is not just the neighbours. Similar numbers do not mean similar rules: check each market's regulation section.

See South Padre Island on the map

Open South Padre Island on the National STR Map to see it against its neighbours, switch overlays and run the deal calculator on your own assumptions.

South Padre Island STR questions, answered from the data

Is Airbnb legal in South Padre Island?

STR HUB rates South Padre Island's short-term rental rules 2/5 (Light-touch) on a scale from 1 (relaxed) to 5 (very strict). That rating was derived from the regulation text we hold and has not yet been reviewed by a person. Rules change, so confirm current requirements with the local jurisdiction before you buy or list.

How much does an Airbnb make in South Padre Island?

The average short-term rental in South Padre Island, TX grosses $65,000 a year, on a $265 average nightly rate and 68% occupancy. That ranks #32 of the 88 tracked markets with revenue data. It is a gross market average before cleaning, management, taxes and financing, and an individual property can earn more or less.

How much does a 4-bedroom home cost in South Padre Island?

The typical 4-bedroom home in Cameron County is valued at $313,878 (Zillow Home Value Index), and the typical home of any size at $209,484, with all-home values up 1.3% over the past year. These are county-wide typical values, not list prices.

What is the gross rental yield in South Padre Island?

20.7%: average annual short-term rental revenue of $65,000 divided by the county's typical 4-bedroom home value of $313,878. It is before every operating cost and before financing, so treat it as a screening ratio, not a cash-on-cash return.

What brings visitors to South Padre Island?

2 demand drivers sit within 50 miles of South Padre Island: South Padre Island (kiteboarding & Laguna Madre) and Starbase (SpaceX) launch tourism. Attendance is shown only where a source publishes it, and each driver's source is linked in the report.

Sources and method

  • Regulation summary and strictness rating: STR Agent HUB regulation research.
  • Revenue, nightly rate and occupancy: STR Agent HUB market analytics.
  • Home values: Zillow Home Value Index (ZHVI), county level. Data provided by Zillow Group.
  • Housing, employment and population figures: U.S. Census Bureau, American Community Survey (ACS) 5-year estimates, 2018-2022.
  • Natural hazard risk: FEMA National Risk Index, county level.
  • Amenity counts: © OpenStreetMap contributors.
  • Climate normals: Open-Meteo Historical Weather API (CC BY 4.0), 2019-2023 averages.
  • Demand drivers: each entry links its own published source in the list above.

Figures come from the STR HUB national dataset dated September 21, 2026 and this page is regenerated whenever that dataset is rebuilt. County-level figures describe Cameron County as a whole, not one street or neighbourhood. The Opportunity Score (0-100) is a screening heuristic that weighs revenue (35%), regulatory climate (25%), tourism employment (15%), nearby amenities (15%) and large-home supply (10%) relative to the other tracked markets.

Confirm before you act. Short-term rental rules change. Confirm current requirements with the jurisdiction, and work with a licensed local agent who knows which properties can legally operate. This report is screening data, not investment, legal or tax advice.

Buying a short-term rental in South Padre Island?

Get matched with a South Padre Island agent who works short-term rentals every day and knows which properties can legally operate.

Get matched with a South Padre Island STR agent →
Texas Investors

Looking for Texas Real Estate?

Dwellverse Group specializes in matching buyers and sellers with top Texas real estate agents across Austin, Dallas, Houston, San Antonio, and beyond.

Find a Texas Agent