Properties listed for short-term rental in St Ann are generating the highest average revenue in Jamaica at around $5 million a year, with Kingston hosting the most active listings on the market, data indicate.
Short-term rentals appeal to a growing but niche segment of the market, undercutting the price of hotels.
“I think for a certain type of traveller there was a gap in the market that was filled by the Airbnb product,” said realtor Keody Thompson of Jamaica Sotheby’s International Realty in a Financial Gleaner interview. “Most of our hotel products are all-inclusive. So if you book there, you will want to capitalise on your money – but for those looking to really explore Jamaica, to see the pudding man in Ocho Rios or eat fish on a beach in Westmoreland, Airbnb works.”
Analytics platform AirDNA shows that St Ann has 1,269 active listings – up 7.3 per cent year-on-year – with average annual revenue of $5 million, a 10 per cent increase over the past year. Kingston, by contrast, has 2,020 active listings, the most of any market analysed, but average annual revenue of $3 million, up just 2.2 per cent.
Thompson cautioned investors to stress-test their numbers before committing. “Make sure that when they purchase the property or pay the mortgage, pay for maintenance, Airbnb fees, cleaning, all required costs, make sure that they can make a profit based on what they are able to charge as their nightly rate,” she said.
Montego Bay posts 799 active listings and average annual revenue of $4 million though both figures declined year-on-year by 4.1 per cent and 2.8 per cent, respectively. St Catherine recorded 859 active listings – the fastest-growing market at 16 per cent – with average annual revenue of $2 million. Mandeville was the standout performer on revenue growth, with average earnings up 21 per cent to $3 million across 119 listings. Negril had 168 listings with average revenue of $3 million, down 2.3 per cent, while Port Antonio recorded 104 listings with average revenue of $2 million, slipping 1.2 per cent.
Short-term rentals now account for an estimated 20 per cent of visitor experiences in Jamaica.
The Jamaica Tourist Board Bill 2025 would have made registration and licensing mandatory for most short-term rental operators. It was, however, stalled in Parliament last summer. Tourism Minister Edmund Bartlett, who piloted the legislation, described it as a bid to modernise Jamaica’s tourism framework and safeguard the country’s brand rather than curb the sector.
luke.douglas@gleanerjm.com steven.jackson@gleanerjm.com
