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Airbnb in Riviera Maya has become a serious investment opportunity for both foreign and domestic investors seeking vacation rental income. With median annual revenues reaching $11,900-$12,000 for mid-tier properties and top performers generating over $42,000 yearly, the short-term rental market shows strong potential. However, seasonal fluctuations, new regulations, and operating costs significantly impact profitability, requiring careful planning and proper location selection to achieve the typical 6-8% net yields.
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Airbnb properties in Riviera Maya generate median annual revenues of $11,900-$12,000, with top performers reaching $42,000+. Net yields typically range from 6-8% after operating costs.
Most successful investments are 1-2 bedroom condos in central or beachfront areas of Playa del Carmen and Puerto Morelos, where occupancy rates average 36-42% year-round.
| Investment Aspect | Range/Details | Key Considerations |
|---|---|---|
| Property Types | Condos (81% in Playa del Carmen), Houses (13-35%) | 1-2 bedrooms dominate 70-74% of market |
| Purchase Price | $150,000-$350,000 (condos), $250,000-$2M (houses) | Plus $10,000-$50,000 furnishing costs |
| Nightly Rates | $78-$89 median, $135-$243 top performers | Peak season rates reach $130+ |
| Occupancy Rates | 36-42% median, 65-82% top performers | Drops to below 35% in September |
| Operating Costs | 25-35% of gross income | Management fees 20-35%, platform fees 15-20% |
| Net Yields | 6-8% annually | Higher than long-term rentals (4-6%) |
| Seasonality Impact | High: Dec-Apr, Low: Aug-Oct | September is lowest performing month |
What kinds of properties are people actually buying for Airbnb in Riviera Maya?
Most investors purchase apartments and condos for Airbnb operations in Riviera Maya, with these properties representing 81% of all listings in Playa del Carmen and 54.8% in Puerto Morelos.
Houses comprise the second largest category at 13% in Playa del Carmen and 34.6% in Puerto Morelos. Studio apartments and small condos are particularly popular, with 1-bedroom and 2-bedroom units together making up 74% of active listings in Playa del Carmen and 70.2% in Puerto Morelos.
Villas represent a smaller but profitable niche, typically targeting families and group travelers willing to pay premium rates for luxury amenities and larger spaces. These properties often feature private pools, multiple bedrooms, and beachfront or near-beach locations.
The preference for smaller units reflects the market reality that couples and solo travelers dominate the Riviera Maya tourism scene, seeking affordable yet well-located accommodations near beaches and attractions.
It's something we develop in our Mexico property pack.
Which neighborhoods are showing the strongest Airbnb demand right now?
Playa del Carmen leads Airbnb demand with Fifth Avenue (La Quinta), Centro, Playacar Phase 1, Kingdom of Mividad, Paseo del Carmen, and Royal Haciendas showing the highest booking rates as of September 2025.
Coastal and central neighborhoods consistently outperform suburban areas due to walkability to beaches, restaurants, and nightlife. Playacar Phase 1 particularly attracts families and luxury travelers seeking gated community security and resort-style amenities.
Puerto Morelos demonstrates strong demand in Playa Publica, Downtown, National Reef Park area, Hotel Zone, El Cielo, and properties along the Cenote Route. Downtown Puerto Morelos and beachfront areas achieve the highest occupancy rates due to proximity to the town square and beach access.
Upscale gated communities in both locations show increasing demand for luxury stays, with properties featuring private pools, ocean views, and concierge services commanding premium rates.
Tulum, while popular, faces increasing competition and oversupply concerns that may impact future profitability for new investors.
How does property size and layout affect nightly rates and occupancy?
Smaller units with 1-2 bedrooms achieve the highest occupancy rates but command lower nightly rates, typically ranging from $60-$120 per night depending on location and amenities.
These compact properties attract couples and solo travelers who prioritize location over space, resulting in steady year-round bookings with occupancy rates often exceeding 50% in prime locations.
Larger homes and villas with 3+ bedrooms target families and groups, achieving significantly higher nightly rates of $200-$500+ but experiencing more pronounced seasonality and lower overall annual occupancy.
Properties with optimized layouts featuring open-plan living areas, outdoor spaces, and functional kitchens perform better regardless of size. Units with private pools, rooftop terraces, or direct beach access command 20-40% premium rates.
Studio apartments face the challenge of attracting budget-conscious travelers while competing with hotel rooms, requiring exceptional location or unique features to maintain profitability.
What's the average nightly rate and occupancy rate for Airbnbs in Riviera Maya?
| Location | Median Nightly Rate | Median Occupancy Rate |
|---|---|---|
| Playa del Carmen | $78 | 42% |
| Puerto Morelos | $89 | 36% |
| Top 25% Properties (Both Areas) | $135-$243 | 65-82% |
| Peak Season (Dec-Apr) | $130-$135 | 55-58% |
| Low Season (Aug-Oct) | $55-$65 | 25-35% |
| Luxury Properties | $200-$500+ | 45-60% |
| Budget Properties | $40-$70 | 35-45% |
What kind of gross rental income can you realistically expect in a good year?
Median annual gross revenues range from $11,900 to $12,000 for mid-tier properties in both Playa del Carmen and Puerto Morelos, representing realistic expectations for well-managed properties in decent locations.
Top-performing properties in the highest 10% can generate $42,000+ annually, translating to over $3,500 monthly during peak performance periods. These properties typically feature premium locations, professional management, and superior amenities.
Budget properties or those in less desirable locations may generate $6,000-$9,000 annually, while luxury villas and beachfront properties can exceed $60,000 in exceptional cases.
Income varies significantly by season, with properties potentially earning 40-60% of annual revenue during the December-April high season. Low season months, particularly September, may generate 70-80% less revenue than peak months.
A realistic conservative estimate for financial planning should assume 15-20% lower than median figures to account for unexpected maintenance, competition, or market downturns.
What are the main operating costs that eat into income?
Property management companies typically charge 20-35% of gross rental income, representing the largest single expense for most Airbnb operators who prefer hands-off investment approaches.
Platform fees from Airbnb, VRBO, and other booking sites consume 15-20% of gross revenue through service charges and payment processing fees. Cleaning and maintenance costs add another 5-10% depending on property size and guest turnover frequency.
Monthly HOA fees for condominium properties range from $100-$400, varying significantly based on amenities, building quality, and included services. Utilities including electricity, water, internet, and cable television typically cost $100-$300 monthly.
Property taxes and fideicomiso renewal fees for foreign owners add $200-$600 annually, while insurance, permits, and business licenses contribute additional fixed costs of $500-$1,500 yearly.
Total operating costs typically consume 25-35% of gross rental income, leaving 65-75% as net operating income before debt service and capital improvements.
What does the net operating income and net yield typically look like?
Net yields typically range from 6-8% annually for well-managed vacation rental properties after accounting for all operating expenses but before financing costs.
A representative example shows a $329,000 property purchase generating $32,940 in gross annual income, with $9,882 in operating costs, resulting in $23,058 net operating income and a 7% net yield.
Properties achieving above-average performance can reach 9-12% net yields, particularly those in prime locations with professional management and strong marketing presence. Underperforming properties may see net yields drop to 3-5%.
Net operating income calculations should include property management, platform fees, cleaning, maintenance, utilities, HOA fees, taxes, insurance, and permits, but exclude mortgage payments and capital improvements.
It's something we develop in our Mexico property pack.
How do Airbnb returns compare with long-term rentals?
Long-term rental properties in Riviera Maya typically generate net yields of 4-6% annually with significantly lower management requirements and more predictable income streams.
Airbnb properties achieve higher net yields of 6-8% but require substantially more active management, marketing, and guest interaction. The income volatility is considerably higher with short-term rentals due to seasonality and tourism fluctuations.
Long-term rentals offer stability with fixed monthly income, lower turnover costs, and reduced wear and tear on properties. However, they provide limited upside potential and less flexibility for personal use.
Short-term rentals allow for personal property use during low seasons, potentially faster appreciation in tourist areas, and the ability to adjust rates based on market conditions. The trade-off includes higher management complexity and greater exposure to tourism industry volatility.
Market conditions favor short-term rentals in prime tourist locations, while long-term rentals may be preferable in residential areas or during uncertain economic periods.
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What seasonality patterns affect profitability?
High season from December through April represents the most profitable period, with occupancy rates reaching 55-58% and nightly rates increasing to $130-$135 for median properties.
Low season occurs from August through October, with September being the lowest-performing month where occupancy drops below 35% and rates decline by 20-30% compared to peak season.
Shoulder seasons in May-July and November provide moderate performance with occupancy rates around 40-45% and nightly rates within 10-15% of annual medians.
Holiday periods within high season, particularly Christmas, New Year, and Easter weeks, can see nightly rates double or triple normal rates, contributing disproportionately to annual revenue.
Properties must generate sufficient income during the 5-month high season to sustain operations through the lean summer and fall months, requiring careful financial planning and cash reserves.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Mexico versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What are the current regulations and taxes for short-term rentals?
Quintana Roo state requires most vacation rental operators to register with the state system (Returq) and obtain a SAT operating license as of September 2025.
Failure to comply with registration requirements results in significant fines, tax surcharges, or potential property shutdowns by local authorities. The regulatory environment has become more stringent over the past two years.
New regulations increase operational costs through mandatory registrations, business licenses, and compliance monitoring. Some municipalities have begun limiting the number of short-term rental permits in certain zones.
Tax obligations include annual property taxes, fideicomiso renewal fees for foreign owners, income tax reporting on rental earnings, and potential municipal tourism taxes.
Regulatory changes can occur rapidly, and investors should verify current requirements before purchasing and budget for potential future compliance costs or restrictions.
How much initial investment is needed to get started?
Condominium purchases in prime locations typically range from $150,000 to $350,000 for 1-2 bedroom units suitable for Airbnb operations.
House and villa purchases vary dramatically from $250,000 to $2 million depending on size, location, beach access, and luxury level. Beachfront properties command significant premiums.
Furnishing and marketing setup costs range from $10,000 to $50,000 depending on property size and desired quality level. High-end properties may require $75,000+ in furnishing and amenities.
Legal, permit, and registration costs add $2,000 to $5,000+ including notary fees, fideicomiso establishment, business license acquisition, and platform setup fees.
Total initial investment typically ranges from $175,000 to $400,000 for a turnkey small condo operation, while luxury properties may require $500,000 to $2.5 million for complete setup.
What risks should investors be aware of?
Oversupply and increased competition pose significant risks, particularly in markets like Tulum where rapid development has led to declining occupancy rates and rental yields for some properties.
Regulatory changes can quickly impact profitability through new taxes, permit requirements, or operational restrictions. Mexico's evolving short-term rental laws create ongoing compliance uncertainty.
Currency fluctuation affects foreign investors' returns when converting peso rental income to their home currency, particularly during periods of economic volatility.
Seasonality and market downturns create income volatility, as tourism-dependent markets are highly sensitive to external factors including pandemics, hurricanes, economic recessions, and political instability.
Property damage and management issues increase with higher guest turnover, requiring excellent property management systems and adequate insurance coverage to protect investment returns.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Airbnb investments in Riviera Maya can generate attractive returns of 6-8% net yields for well-managed properties in prime locations.
Success requires careful location selection, professional management, understanding of seasonality patterns, and compliance with evolving regulations.
It's something we develop in our Mexico property pack.
Sources
- AirROI Playa del Carmen Report
- AirROI Puerto Morelos Report
- The Broke Backpacker - Where to Stay in Playa del Carmen
- Marco Realty - Vacation Rentals Business in Riviera Maya
- Tolok Mexico Real Estate Investment Analysis
- The Wandering Investor - Playa del Carmen Real Estate Investment
- The LatinVestor - Riviera Maya Price Forecasts
- KAN Industries - Riviera Maya ADR Market Segmentation
- The LatinVestor - Riviera Maya Real Estate Forecasts
- Garrigues - Mexico Short-term Rental Regulation Overview