Palm Desert, CA

  • Overview
  • Performance
  • Listings
  • Buy Box

Key Performance Metrics

Market snapshot

Performance indicators for the Palm Desert short-term rental market based on reliable data.

Listings

935 / 3241

Reliable / Active

Cap Rate

5%

Middle-Earners Gross Yield

Revenue

$27,211

Middle-Earners Revenue

Occupancy

53%

Middle-Earners Occupancy

Home Value

$548,870

Median Home Sale Price

Top Earners

$62,762

Top-Earners Revenue

Palm Desert

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Palm Desert.

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C

Challenging to Investors

Palm Desert Regulations

STRs are legal but constrained by strict zoning (R1/R2 only on‑site owner), HOA approval requirements in planned residential areas, 27‑day minimum stay, two permits (STR + TOT), a 12% tax, and active enforcement. This makes compliance manageable but material enough to deter many investors.

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About Palm Desert

Palm Desert is a city in Riverside County, California, situated in the Coachella Valley about 15 miles southeast of Palm Springs. With a population of approximately 51,000, it carries the relaxed, sun-soaked character of a desert resort town, framed by mountains and laced with palm-lined streets, golf courses, and low-slung neighborhoods. The city is best known as a shopping, dining, and outdoor recreation hub, and it serves as a popular gateway to Joshua Tree National Park and the broader desert landscapes where the Mojave and Colorado regions meet. Palm Desert lies about 125 miles southeast of Los Angeles, a drive of roughly two to two and a half hours via Interstate 10.

The Living Desert Zoo and Gardens sits within the city limits and offers a walk-through experience of desert ecosystems from around the world. Visitors can see giraffes, wolves, cheetahs, and other wildlife native to arid regions, along with extensive cactus and succulent gardens. The attraction is just a few minutes' drive from anywhere in central Palm Desert. (The Living Desert Zoo and Gardens)

Joshua Tree National Park, the signature natural draw of the region, spans nearly 800,000 acres of iconic terrain where twisted Joshua trees, granite piles, and wide-open vistas define the landscape. The closest entrance from Palm Desert is the Cottonwood Visitor Center area in the park's southern section, about a 45-minute drive; the busier north entrance near the town of Joshua Tree is roughly an hour away. (Joshua Tree National Park)

El Paseo is Palm Desert's signature shopping and dining street, often described as the "Rodeo Drive of the Desert" for its concentration of upscale boutiques, galleries, and restaurants. The street runs through the southern part of the city and is within a short drive of nearly every neighborhood, making it a natural evening out for visitors.

The Palm Springs Aerial Tramway, located in the neighboring city of Palm Springs, climbs from the desert floor to the alpine forests of Mt. San Jacinto. The roughly ten-minute ride reaches an elevation of more than 8,500 feet and offers sweeping views, hiking, and even snow play in winter. The tram's lower station is about a 20-minute drive west of Palm Desert. (Palm Springs Aerial Tramway)

Together, these draws — along with dozens of nearby golf courses, the Indian Wells Tennis Garden, and longer day trips to Anza-Borrego Desert State Park — make Palm Desert a versatile base for short-term rentals. The combination of reliable sunshine, walkable resort amenities, and proximity to both high-end leisure and iconic national park scenery appeals to a wide range of visitors year-round.

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