Durham, NC, is a thriving hub for short-term rentals, with a 43.54% market growth over the last five years. With an average occupancy rate of 70%, daily rates of $156, and annual revenue averaging $33,765, it’s a lucrative market for hosts. But choosing the right neighborhood is key to maximizing your rental’s performance.
Top Durham Neighborhoods for Short-Term Rentals:
- Trinity Park: Historic charm, close to Duke University and downtown, family-friendly.
- Downtown Durham: Vibrant nightlife, cultural hotspots, walkable, ideal for tourists.
- Hope Valley: Upscale, spacious homes, great for families and luxury travelers.
- Woodcroft: Suburban feel, family-friendly, near trails and parks.
- Southpoint: Retail-focused, excellent transit access, near major highways and the airport.
Quick Comparison:
| Neighborhood | Key Attractions | Guest Type | Market Highlights |
|---|---|---|---|
| Trinity Park | Duke University, historic homes | Families, university visitors | High demand, walkable amenities |
| Downtown Durham | DPAC, American Tobacco Campus, nightlife | Tourists, urban explorers | Premium pricing, cultural appeal |
| Hope Valley | Country clubs, upscale homes | Families, luxury seekers | Spacious properties, upscale vibe |
| Woodcroft | Trails, suburban amenities | Families, long-term stays | Suburban charm, steady demand |
| Southpoint | Shopping, proximity to RDU & RTP | Shoppers, business travelers | Retail hub, diverse guest base |
Durham offers something for every type of traveler and rental host. Whether you’re drawn to the historic charm of Trinity Park or the retail convenience of Southpoint, understanding each neighborhood’s strengths can help you make the most of your investment. Ready to dive in? Keep reading for a detailed breakdown of each area.
1. Trinity Park
Trinity Park combines historic charm with modern convenience, offering visitors a genuine taste of Durham just minutes from the city’s top attractions. This picturesque neighborhood, known for its tree-lined streets, is listed on the National Register of Historic Places and boasts over 900 historic properties.
Proximity to Attractions
Located just north of downtown Durham and adjacent to Duke University’s East Campus, Trinity Park is perfectly situated for easy access to the city’s highlights. It’s also just 10 miles from Raleigh-Durham International Airport, making it a convenient choice for both local and out-of-town visitors.
Guest Appeal
Trinity Park offers a unique blend of historic architecture and modern living. The neighborhood’s mature trees and lush greenery create a welcoming atmosphere, while its vibrant community allows guests to connect with locals and experience the true essence of Durham. It’s a place where historic charm meets the comforts of modern amenities, providing an unforgettable stay for visitors.
Local Amenities
The neighborhood is brimming with amenities. Ninth Street serves as the commercial heart of the area, offering a variety of shops and restaurants within walking distance. For outdoor enthusiasts, Watts-Hillandale Park features walking trails, playgrounds, tennis courts, and even an off-leash dog area – perfect for families and pet owners alike. During the warmer months, the Trinity Park Pool is a favorite community gathering spot. Families visiting for events will also appreciate the proximity to schools like Durham Academy and Immaculata Catholic School, which host various activities throughout the year.
Market Trends
Trinity Park remains one of Durham’s most sought-after neighborhoods. The average home value is $684,463, with rental properties averaging $2,049 per month. While home values have dipped slightly by 2.6% over the past year, the area’s desirability remains strong. As of May 31, 2025, there were only 12 homes for sale and 4 new listings, highlighting the limited inventory and potential for long-term property value growth.
2. Downtown Durham
Downtown Durham is the heartbeat of the city, offering short-term rental guests a vibrant urban experience packed with entertainment, dining, and cultural hotspots – all within easy walking distance. With its mix of modern amenities and historic charm, this lively district serves as a perfect hub for exploring the Research Triangle. Its unique energy and close proximity to landmarks make it a standout choice for visitors.
Proximity to Attractions
Staying in Downtown Durham means being steps away from some of the city’s most popular destinations. The Durham Performing Arts Center (DPAC), renowned for its live shows, is a must-visit spot. Just a short stroll away, the Durham Bulls Athletic Park invites families and sports fans to enjoy a game in a welcoming, fun-filled setting. For those who love history with a modern twist, the American Tobacco Historic District is a standout. This thoughtfully repurposed area blends its original architecture with a lively mix of restaurants, shops, and music venues.
Guest Appeal
Downtown Durham’s short-term rental market benefits from a supportive regulatory environment, making it a hassle-free location for hosts. This Airbnb-friendly approach allows operators to focus on enhancing the guest experience. Visitors are drawn to the area’s cultural richness and walkable streets, which are ideal for professionals and urban explorers alike. As one Tripadvisor reviewer shared:
"Just want to give a shout out to the welcoming and helpful staff who move us into and out of Durham and DPAC. Every public-facing staff member, inside and out, is friendly, knowledgeable, and helpful." – Rebecca D, Tripadvisor Reviewer
Market Trends
The numbers speak for themselves when it comes to Downtown Durham’s thriving short-term rental market. With a 70% occupancy rate and over 400 active rental units, demand remains steady in this part of the Research Triangle. Average gross revenue for listings reaches $33,765 annually, with an average daily rate (ADR) of $159 and a median annual revenue per listing of $18,880. The market has also seen a healthy year-over-year revenue growth of 9.7%, with October typically being the busiest month and January the slowest.
Some top-performing properties highlight the area’s potential. Listings like "Spacious Durham Home w/ Fire Pit & Hot Tub!" and "Luxury Victorian Downtown: Pamper Your Guests!" have achieved impressive revenues of over $118,000, with ADRs exceeding $600.
Local Amenities
Downtown Durham’s walkability adds to its charm, offering guests convenient access to a variety of dining, shopping, and entertainment options. The American Tobacco Historic District, in particular, stands out with its preserved architecture and vibrant mix of eateries and shops. One visitor summed it up perfectly:
"I loved the repurposing of this old Tobacco factory, I can picture live music, shops, restaurants and lots of walking." – mriwiz, Tripadvisor Reviewer
The district also caters to families, especially with attractions like the Durham Bulls games. Regular attendees rave about the experience:
"The bulls games are fun and entertaining… Very family friendly! Definitely a fun evening!" – Diane K, Tripadvisor Reviewer
With its compact design, easy walkability, and ongoing investments in upscale developments, Downtown Durham remains a prime location for short-term rental opportunities. Its blend of history, culture, and modern conveniences ensures an unforgettable stay for visitors.
3. Hope Valley
Hope Valley offers a perfect mix of suburban tranquility and easy access to urban hotspots, making it a standout option for short-term rentals. Unlike the bustling heart of Durham, this neighborhood provides a quieter, more residential setting. As Spotlight NC describes it, it’s "where suburbia meets sophistication and community". With its family-friendly atmosphere and convenient location, Hope Valley appeals to guests looking for an authentic, residential experience in Durham.
Proximity to Attractions
Hope Valley gives visitors the best of both worlds: peaceful suburban living with the convenience of urban proximity. Just a 10-minute drive from downtown Durham, guests can enjoy the city’s vibrant attractions and then retreat to a more serene environment. For those who love the outdoors, the neighborhood is close to Duke Gardens and the American Tobacco Trail. Its location also makes it easy to explore nearby Chapel Hill and Raleigh, offering access to the broader Research Triangle area. This balance of accessibility and calm makes Hope Valley a sought-after spot for travelers.
Guest Appeal
The neighborhood’s welcoming, family-friendly vibe draws visitors who value a sense of community. With 2,059 households in the area, guests can immerse themselves in a genuine residential Durham experience. Many short-term rental properties here emphasize the perks of suburban living. For instance, "The Sidekick" features a backyard retreat complete with a saline pool and lush gardens, giving guests a private oasis.
Market Trends
As of May 2025, Hope Valley remains a seller’s market, with homes listed at a median price of around $497,500. Properties typically sell within 23–36 days at an average of $250 per square foot. While home prices have dropped by 10.8% compared to the previous year, this shift could present opportunities for investors looking to enter the market.
Local Amenities
Hope Valley’s amenities add to its appeal for guests. The neighborhood boasts parks with playgrounds, sports courts, and picnic areas, as well as recreational facilities like the Hope Valley YMCA and Country Club. Food lovers can explore a variety of dining options, from Southern comfort food to modern dishes, at spots like Growler Grlz, Bull and Bean, Hope Valley Diner, and Roots Bistro & Bar. Everyday conveniences, including grocery stores, shopping centers, and paved walking paths, ensure that guests have everything they need for a comfortable and enjoyable stay right at their doorstep.
4. Woodcroft
Woodcroft is a well-established neighborhood that blends suburban charm with a prime location. Developed in the 1980s, it offers a safe, family-friendly atmosphere surrounded by wooded trails and a mix of housing options, giving visitors a true taste of Durham living. As Thomas Kortus from Nest Realty of the Triangle says:
"Woodcroft is where it’s at! Quick commute to both downtown Durham and Chapel"
This combination of convenience and community makes Woodcroft a standout choice in Durham’s diverse rental landscape.
Proximity to Attractions
Woodcroft’s location is ideal for exploring the Research Triangle. It’s just 8 miles from both Duke University and the University of North Carolina at Chapel Hill, about 7 miles from Research Triangle Park (RTP), and 11.5 miles from Raleigh-Durham International Airport (RDU). With easy access to major highways like I-40, Highway 54, and Fayetteville Road, commuting to downtown Durham, Chapel Hill, and Raleigh is straightforward.
Guest Appeal
Safety is a key feature here, with a crime score of 3 out of 10, making it safer than most areas nationwide. The neighborhood also boasts an educated and affluent community – 68.4% of residents are college graduates, the average household income is $106,731, and 63.8% of homes are owner-occupied.
Market Trends
The real estate market in Woodcroft has been busy. As of May 2025, the median listing price for homes was $445,000, reflecting an 11.5% increase from the previous year. Properties typically sell within 39 days, often at 100.13% of their asking price. Rental prices are also on the rise, with two-bedroom apartments averaging $1,664 per month – up 17% year-over-year. In May 2025, 39 homes were sold, compared to 24 during the same month the previous year, signaling growing demand.
Local Amenities
Woodcroft is packed with recreational options and everyday conveniences. The 5-mile Woodcroft Trail connects directly to the American Tobacco Trail, offering plenty of space for biking and running. Outdoor lovers can visit Piney Wood Park, which features a dog park and pickleball courts, or Solite Park with its basketball courts. For those seeking premium facilities, the Woodcroft Club offers a swimming pool, tennis courts, and a fitness center (membership required).
Shopping and dining are equally convenient. The Woodcroft Shopping Center includes a Food Lion and is close to Harris Teeter, while The Streets at Southpoint mall is just 2 miles away. Local dining favorites like West 94th Street Pub and Nantucket Grill add to the neighborhood’s welcoming vibe.
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5. Southpoint
Southpoint is a lively commercial neighborhood centered around The Streets at Southpoint mall and conveniently located near major highways. With a market of around 200 short-term rentals, the area draws visitors who value easy access to shopping, dining, and key destinations within the Research Triangle.
Southpoint offers a blend of suburban comfort and urban perks.
Proximity to Attractions
Southpoint’s location is a major advantage, offering seamless connectivity to the Research Triangle’s highlights. Raleigh-Durham International Airport (RDU) is just 9 miles away, making it a convenient spot for travelers. Guests staying here are also close to Duke University, Research Triangle Park, and Cameron Indoor Stadium, ensuring easy access to both business hubs and entertainment venues.
This prime location makes Southpoint a go-to choice for a wide variety of visitors.
Guest Appeal
At the heart of the neighborhood is The Streets at Southpoint, a shopping and dining destination featuring over 150 stores and restaurants. From luxury boutiques to popular retail chains, the mall provides a well-rounded shopping experience that keeps guests entertained without needing to venture far.
Hotels in the area consistently earn high marks for their service and location. Southpoint’s family-friendly vibe, paired with its diverse dining options and opportunities for cultural exploration, appeals to a broad range of guests. Unlike the historic charm of Trinity Park or the bustling energy of Downtown Durham, Southpoint stands out for its retail offerings and excellent transit access.
Market Trends
Southpoint’s strong location is reflected in its rental market performance. Rental rates range from $908 to $8,066 per month. Across Durham, the average daily rate is $158, with a 48% occupancy rate as of June 2025.
For short-term rentals, one-bedroom units bring in an average of $14,404 annually, while three-bedroom units generate $32,011. The area experiences seasonal demand peaks, with May, July, and October being the busiest months for bookings.
Local Amenities
The Streets at Southpoint mall anchors the neighborhood with upscale dining options like Ruth’s Chris Steakhouse, Bocci Trattoria & Pizzeria, and Roots Bistro & Bar. Nearby grocery stores, including Sprouts and Harris Teeter, add convenience, while cultural attractions like the North Carolina Museum of Art enrich the experience for visitors.
For outdoor enthusiasts, the neighborhood’s proximity to the American Tobacco Trail offers opportunities for biking, walking, and running. These amenities enhance the area’s appeal, contributing to guest satisfaction and strong rental performance.
Durham Neighborhood Comparison
This breakdown brings together insights from earlier sections to help you pinpoint the Durham neighborhood that best suits your rental goals. Each area in Durham has its own personality, from historic appeal to modern amenities, offering unique advantages depending on what you’re looking for.
Here’s a quick look at key metrics across neighborhoods:
| Neighborhood | Key Attractions | Typical Guests | Market Characteristics |
|---|---|---|---|
| Trinity Park | Duke University East Campus, Duke Gardens, Trinity Park, Lyon Park | Families seeking quieter stays near downtown and university visitors | Historic homes, walkable to downtown, steady year-round demand |
| Downtown Durham | Durham Performing Arts Center, American Tobacco Campus, Durham Bulls Athletic Park | Tourists looking for nightlife, dining, and live music | Cultural hotspot with high guest turnover and potential for premium pricing |
| Hope Valley | Hope Valley Country Club, Eno River State Park, Duke Forest | Families, group travelers, and luxury seekers | Upscale area with spacious properties and strong appeal for premium rentals |
| Woodcroft | Woodcroft Shopping Center, easy highway access | Families looking for longer stays | Suburban feel with family-friendly amenities and consistent occupancy |
| Southpoint | The Streets at Southpoint (150+ stores), RDU Airport (9 miles), Research Triangle Park | Shopping enthusiasts, airport travelers, business visitors | Retail-focused area with excellent connectivity and a diverse guest base |
Each neighborhood brings something special to the table. For example, Hope Valley stands out for luxury travelers, offering upscale properties like The Sidekick, which features stylish poolside setups and tranquil gardens. Its affluent vibe makes it ideal for group bookings and extended stays, with pricing to match.
Trinity Park combines historic charm with a prime location near Duke University’s East Campus. This makes it a favorite for families and university-related visitors who appreciate its character and convenience.
For travelers with practical needs, Woodcroft and Southpoint deliver. Woodcroft provides a cozy suburban experience with easy access to local amenities, perfect for families seeking longer stays. Meanwhile, Southpoint thrives as a retail and connectivity hub, drawing shopping enthusiasts, airport travelers, and business visitors alike.
Durham’s diverse guest base is reflected in the numbers: domestic travelers make up 93.9% of visitors, and two-bedroom properties dominate the market at 26.7%. Whether you’re aiming to attract luxury groups in Hope Valley or families in Woodcroft, understanding the unique features of each neighborhood can help you align your rental strategy with guest preferences and market trends. From historic charm to retail convenience, Durham’s neighborhoods offer a range of opportunities for short-term rental success.
Conclusion
Durham’s short-term rental market presents a variety of opportunities across its unique neighborhoods, each with its own appeal. Trinity Park stands out with its historic charm and proximity to universities, while Downtown Durham thrives with its lively atmosphere and attractions like the Durham Performing Arts Center and the American Tobacco Campus. Hope Valley caters to those seeking luxury and spacious homes, Woodcroft is ideal for families looking for suburban comfort, and Southpoint offers unbeatable access to shopping and local amenities. With steady market growth and favorable regulations, Durham provides a solid base for rental success, especially when paired with professional management.
The numbers speak for themselves. Top-performing properties in Durham can bring in monthly revenues of $4,364 or more, with occupancy rates exceeding 84%. On average, properties generate approximately $1,930 per month with around 50% occupancy. These performance variations often depend on key factors like neighborhood choice, property presentation, and quality of management. While choosing the right location is crucial, effective management is what truly drives success.
Professional management can significantly enhance performance, increasing revenue by 10–30% through smart pricing strategies, better guest experiences, and targeted marketing. The short-term rental industry, valued at over $109 billion globally in 2022, is both competitive and complex. Expert property managers take care of everything – from 24/7 guest communication to cleaning, maintenance, and compliance with local regulations. They also use advanced technology to keep properties ahead of the competition.
Whether you’re drawn to the historic charm of Trinity Park, the vibrant energy of Downtown Durham, the upscale feel of Hope Valley, the family-friendly vibe of Woodcroft, or the convenience of Southpoint, success in Durham’s short-term rental market lies in leveraging professional management to unlock the full potential of your property.
FAQs
What should I look for in a Durham neighborhood when investing in a short-term rental?
When choosing a neighborhood in Durham for a short-term rental, it’s important to prioritize areas that attract guests and maintain steady demand. Locations near key attractions such as downtown Durham, local universities, and medical centers often see higher occupancy rates. Travelers also value convenient access to amenities like restaurants, shops, and public transportation.
Don’t forget to check the local regulations for short-term rentals. Look into licensing requirements, occupancy limits, and any other rules to ensure you’re operating within the law. It’s also worth analyzing the neighborhood’s potential for rental income, property values, and market trends. Picking the right location can significantly impact the success of your short-term rental.
What makes Downtown Durham a top choice for short-term rentals?
Downtown Durham shines as an ideal spot for short-term rentals, thanks to its lively blend of restaurants, bars, and boutiques, all just a stroll away. Visitors can explore iconic attractions such as the Durham Performing Arts Center and the Nasher Museum of Art, along with enjoying outdoor spaces like local parks and scenic walking trails.
This mix of accessibility and entertainment offers guests an unforgettable experience, increasing their satisfaction and making properties in the area a sought-after choice for short-term stays.
What are the advantages of hiring a professional manager for short-term rental properties in Durham?
Hiring a professional manager for your short-term rental property in Durham can make a world of difference. They take care of the time-consuming tasks like marketing your property, handling bookings, screening guests, and coordinating maintenance. This means you can enjoy a stress-free experience while ensuring your guests have a seamless stay.
These managers also rely on data-driven strategies to fine-tune pricing, improve occupancy rates, and help you earn more from your rental. Plus, they stay informed about local regulations, keeping your property compliant and steering you clear of legal headaches. With an expert at the helm, you can improve guest satisfaction, earn glowing reviews, and ultimately see your rental’s profitability grow.