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The STR DSCR Feasibility & Legality Index

A dated, per-metro view of typical STR revenue, the current legality status, and whether it pencils as a DSCR deal. The only “where to invest” ranking that filters for legality and lender-qualification — not just gross revenue. 10 of 13 tracked metros currently pencil; 2 post strong revenue but don’t, because of caps, permits, or bans.

Updated 2026-06-14 · revenue and legality render live from the data layer.

MetroTypical 3BR revenueLegalityCap-adj DSCRPencils?
Gatlinburg, TN$86,000/yrSTR-legal1.58×Yes
Destin, FL$82,000/yrSTR-legal1.52×Yes
Scottsdale, AZ$78,000/yrPermit required1.55×Yes
Los Angeles, CA$76,000/yrPrimary-residence only0.76×Yes
Broken Bow, OK$70,000/yrSTR-legal1.53×Yes
Nashville, TN$62,000/yrPermit required1.54×Yes
Galveston, TX$60,000/yrSTR-legal1.36×Yes
Kissimmee, FL$58,000/yrSTR-legal1.47×Yes
Joshua Tree, CA$54,000/yrNight-capped · 180/yr1.08×Yes
Madison, WI$38,000/yrNight-capped · 180/yr0.94×Yes
San Francisco, CA$95,000/yrNight-capped · 90/yr0.55×No
New York, NY$88,000/yrSTR prohibitedNo
Bakersfield, CA$40,000/yrNight-capped · 120/yr0.72×No

Methodology: “pencils” means a representative 3BR at 25% down clears at least one STR-lender DSCR floor after the city’s cap adjustment. Illustrative; run a specific address for exact numbers. The gap between high-revenue and “pencils” is exactly where investors want to buy versus where it’s legal and fundable.

Find a metro that pencils — and is legal.

Free · No credit pull · Legality included · Not a call center.

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