Can I do rental arbitrage in Washington, DC?

No. The District's licenses require the property to be the owner's primary residence.

How many nights can an owner rent?

Hosted stays have no annual cap. Unhosted stays are capped at 90 nights a year.

What can a renter do instead?

Furnished stays of 30 days or more, if the lease allows them. The mid-term rental calculator compares that against a short-term estimate.

Rental Arbitrage in Washington, DC

Researched by RentalArbitrage AdminData as of: September 2026

Restricted

Only in your own home. DC licenses short-term rentals only in the owner's primary residence, shown by homestead deduction eligibility, and the owner must be an individual. Hosted stays have no annual cap. Stays where the guest has the whole home are capped at 90 nights a year, and each stay is up to 30 nights. Both licenses cost $99 for two years. Read the rules and sources.

Average daily rate: $170.20
Occupancy: 64%
Annual revenue potential: $33,900

Source: AirDNA Figures for the Washington DC market, trailing 12 months, as of September 2026. Markets are metro areas, not city limits.

Short-Term Arbitrage Isn't an Option Here

Washington, DC licenses short-term rentals only in the host's own primary residence, so leasing a separate unit to rent it out to guests isn't possible. That is why this page shows no rent ceiling or short-term calculator. If the lease and building allow furnished stays of 30 days or more, try the mid-term rental calculator.

The Washington, DC Market

AirDNA's Washington, DC market averaged a $170.20 daily rate at 64% occupancy over the last 12 months, about 19.5 booked nights and $3,900 of booking income a month for an average listing.
The District licenses short-term rentals only in the owner's primary residence, shown by homestead deduction eligibility. Hosted stays have no annual cap, and stays with the guest having the whole home are capped at 90 nights a year. A renter who doesn't own can't hold a license, so rental arbitrage isn't possible. Furnished stays of 30 days or more are the realistic option, if the lease allows them.

Risks to Weigh

Licenses require the owner's primary residence
Unhosted stays are capped at 90 nights a year
Each stay is capped at 30 consecutive nights
Platforms must show the license number on listings

Frequently Asked Questions

Can I Do Rental Arbitrage in Washington, DC?: No. The District's licenses require the property to be the owner's primary residence.
How Busy Is the DC Short-Term Rental Market?: AirDNA's Washington, DC market averaged a $170.20 daily rate at 64% occupancy over the last 12 months, with annual revenue of about $33,900.
How Many Nights Can an Owner Rent?: Hosted stays have no annual cap. Unhosted stays are capped at 90 nights a year.
What Does a DC License Cost?: $99 for a two-year license.
What Can a Renter Do Instead?: Furnished stays of 30 days or more, if the lease allows them. The mid-term rental calculator compares that against a short-term estimate.