Memphis STR market context
Memphis supports a moderate STR market — workable for well-located properties, but without the demand premium of top vacation markets.
Memphis is a high-yield, high-management market. Only buy in B-grade neighborhoods or above; underestimate turnover at your peril.
Underwriting cautions
- Verify STR permit availability at the parcel level before closing.
- Apply a 75% haircut to top-quartile AirDNA comps when projecting revenue.
- Budget 35–45% expense ratio (cleaning, supplies, management, channel fees, utilities).
- Model a long-term-rental fallback scenario in case STR rules tighten.