Is the Atlantic City Airbnb Boom Dead?

[Paul Stewart]

Atlantic City’s short-term rental market has been booming for the past several years, but lately, I’ve been hearing a lot of investors asking: “Is the Airbnb boom in AC over?”

In my experience, the answer is… not quite—but the game has definitely changed. The market is extremely competitive now, and properties that were once easy wins are no longer guaranteed to perform. Generic rentals with basic décor—think standard furniture from big-box stores and uninspired kitchens or bathrooms—are starting to phase out. Guests are gravitating toward properties that feel modern, stylish, and curated, where every detail is thoughtfully designed.

This shift means that success in today's Atlantic City STR market requires a strategic approach. Location is still key: properties near the beach, casinos, waterfront properties, or major attractions consistently outperform. But location alone isn't enough anymore. Investors need to pair a strong location with renovations that elevate the guest experience—high-end kitchens, spa-like bathrooms, and curated interior design are now essential. Trendy, design-forward properties with thoughtful renovations outperform generic listings and maintain a competitive edge.

For investors who are willing to buy at the right price and focus on forced appreciation through renovations, there’s still significant opportunity. The Atlantic City market may be crowded, but it’s far from dead. The properties that are thoughtfully upgraded, well-located, and visually compelling continue to generate strong bookings and stand out from the competition.

So, is the Airbnb boom dead in Atlantic City? Not at all—but the rules of the game have changed. It’s now a market where strategy, design, and execution matter more than ever.

I'm curious—are others seeing similar trends in their STR markets around the globe? Are generic listings losing ground to design-forward properties where you are?

[James Carlson]

Yep, yep, yep. This.

Curated design is just one of the tools. You've got to bring your A-game in all the ways now. Needs to be unique, designed well, photographed well, etc. etc.

The STR market here in Colorado is saturated, but I still have clients in the last year buying at elevated prices, at elevated interest rates, that are killing it because they follow the playbook for Airbnb success in 2025.

But if you're trying to start a run-of-the-mill short-term rental at this moment in the STR lifecycle, just plan to make marginal cash flow at best.