South Padre Island

South Padre Island offers dependable bookings and affordable vacation rental real estate in a multi-season market that shows no signs of slowing down.

Overview

Located at the southern tip of Texas in the Gulf of Mexico, South Padre Island attracts vacation rental guests with 34 miles of gorgeous shoreline, glittering turquoise waters, and family-friendly attractions. Thanks to its position on the Gulf, South Padre Island boasts moderate winter temperatures, making it a favorite retreat for Texans looking to escape the snow. Between spring breakers, summer vacationers, Northerners heading south for the winter, and wealthy families from Mexico, this popular four-season vacation rental destination keeps heads in beds all year round.


Insider tip

On South Padre Island, properties on the east side of Padre Boulevard are considered beachside and units on the west side are considered bayside. All homes on the island are within walking distance of the beach, though eastside units generally rent for higher amounts. Three- to four-bedroom homes with pools do very well here, and are usually booked all summer long with back-to-back reservations. If you buy a condo, look for a unit in a complex that has top amenities (pool, hot tub, family-friendly activities, etc.) and a reputable HOA. Gulfpoint and Gulfview Condominiums are great options, as are La Playa and Ocean Vista, which sit right on the beach.

Learn more and compare South Padre Island with other top markets in our insider's guide to the best places to buy a vacation rental. 


Market size

1,500+ rental units

Median annual rental revenue

$24,800

Median home price

$264,100

Cap rate

5.1%

*This document is for information and illustrative purposes only. It is not intended to provide “investment advice” or a “recommendation” regarding a course of action. The discussion is general in nature and has not taken into account your personal financial position or objectives. You should consult a licensed financial advisor or other professional to discuss your specific situation.

Estimated rental income figures and home sale prices are based on historical averages; for any specific property, the actual revenue, purchase price, and cap rate may differ materially from estimated amounts and depend on a wide range of factors outside Vacasa's knowledge or control, such as the property's condition, layout, and furnishings; expenses associated with the acquisition and ownership of the property (such as property taxes, utility fees, HOA fees, insurance fees, and mortgage-related expenses); rental calendar availability; existing and future regulations; current and future economic, social, and political trends and conditions; and weather and environmental factors. These estimates do not take into account the potential impact of state income taxes.

Vacasa makes no representations or warranties, express or implied, about the accuracy of this document. Furthermore, Vacasa has no obligation to update, modify or amend this document or to otherwise notify users in the event that any opinion, assumption, forecast or estimate set forth herein changes or subsequently becomes inaccurate. Therefore, you should not place undue reliance on statements in this document.