Short-term rental
RevPAN
Also written: revenue per available night
What RevPAN means
Revenue Per Available Night (RevPAN) measures the total rental income generated per available property night across a portfolio or single unit, regardless of whether the property was booked. It accounts for both pricing power and vacancy to assess true asset performance.
Formula
RevPAN = Total Rental Revenue / Total Available Nights
How it is used
Short-term rental operators and property managers use RevPAN to evaluate revenue performance alongside traditional hotel metrics like RevPAR. While RevPAR typically focuses strictly on room revenue, RevPAN often incorporates total stay-related revenues—including cleaning fees, pet fees, and extra guest surcharges—divided by the total nights available for rent. Revenue managers use this metric to optimize minimum-length-of-stay restrictions, adjust dynamic pricing rules, and decide whether to keep units active during low-demand seasons or remove them for maintenance.
Worked example
A short-term rental property generates $6,000 in rental income and mandatory guest fees over a 30-day month. Out of those 30 days, the unit was available for rent the entire time. The RevPAN is calculated as $6,000 / 30 available nights = $200. If 5 nights were blocked for owner use, leaving 25 available nights, the RevPAN rises to $6,000 / 25 = $240.
Common mistake
Confusing available nights with booked nights inflates the performance metric, turning RevPAN into simple Average Daily Rate (ADR) and obscuring the financial damage of unbooked calendar days.
Related terms
Work it out
Airbnb Occupancy Rate Calculator — Work out true occupancy, ADR and RevPAN for a short-term rental — including blocked nights.
Frequently asked
+What does RevPAN mean in a hotel?
Revenue Per Available Night (RevPAN) measures the total rental income generated per available property night across a portfolio or single unit, regardless of whether the property was booked. It accounts for both pricing power and vacancy to assess true asset performance.
+How is RevPAN calculated?
RevPAN = Total Rental Revenue / Total Available Nights
+What is an example of RevPAN?
A short-term rental property generates $6,000 in rental income and mandatory guest fees over a 30-day month. Out of those 30 days, the unit was available for rent the entire time. The RevPAN is calculated as $6,000 / 30 available nights = $200. If 5 nights were blocked for owner use, leaving 25 available nights, the RevPAN rises to $6,000 / 25 = $240.
+What is the most common mistake with RevPAN?
Confusing available nights with booked nights inflates the performance metric, turning RevPAN into simple Average Daily Rate (ADR) and obscuring the financial damage of unbooked calendar days.