STR DSCR investor profile of Palm Springs
Palm Springs, CA is a low short-term rental DSCR market. Property type: Desert / luxury. Median home value approximately $725K. Average nightly rate: $395.
Occupancy rate in Palm Springs averages approximately 62%, which combined with the nightly rate produces gross annual revenue per property of approximately $89K.
Palm Springs STR strictly regulated by city. STR regulatory environment in Palm Springs: restrictive.
STR financing for Palm Springs
STR-specific DSCR loans underwrite based on projected nightly revenue and occupancy rather than long-term lease income. Specialty lenders that fund STR DSCR include Easy Street Capital, Visio Lending, and several private money operators.
For a Palm Springs property at the median value of $725K generating $395 per night at 62% occupancy, gross annual revenue runs approximately $89K.
Palm Springs STR FAQ
Yes. STR-specific DSCR loans available through specialty lenders (Easy Street Capital, Visio Lending, others). Lenders underwrite based on projected nightly revenue and occupancy rather than long-term lease income.
Palm Springs averages approximately 62% occupancy. Lenders typically underwrite with conservative occupancy assumptions (lower than peak) and require AirDNA or similar data.
Average nightly rates in Palm Springs run approximately $395. Premium units (size, location, amenities) command meaningfully higher rates.
Palm Springs STR regulatory environment is restrictive. New STR licenses may be capped or unavailable. Verify before acquisition.
STR gross revenue per property in Palm Springs averages approximately $89K annually. Operating costs (cleaning, supplies, management, utilities, maintenance) typically consume 30-50% of gross — netting roughly 50-70% to operating income.
Easy Street Capital, Visio Lending, and several private money operators underwrite STR-specific DSCR using projected revenue. Some lenders require 12+ months of operating history; others will fund pre-operating projections.
Yes. Lendai Finance and similar specialty lenders fund foreign-national STR acquisitions. Down payments typically 30-50%.
Palm Springs primarily desert / luxury property. Optimal STR property selection depends on guest demographics, amenity expectations, and local zoning.
STR regulations vary by city and change frequently. Verify current local rules before acquisition. STR revenue projections are directional — actual results vary.