The DepreciMax Top 50

The Top 50 STR Markets for Bonus Depreciation

We took 197 of the most-watched short-term rental markets in the US, scored every active STR-suitable listing in each, and re-ranked them by median bonus-eligible % of purchase price. Lake Cumberland topped Aspen. Angel Fire beat Vail. Diamond density (share of listings ≥24% bonus-eligible) drives the ranks. Here's the top 50 leaderboard — sortable by market type (ski, mountain, beach, desert, lake, urban) — plus the famous markets that didn't make the cut.

Free with your email · Updated quarterly · Unsubscribe anytime

Markets Analyzed

197

Top 50 published

Methodology

v2.0

Zip-level scoring · calibrated to formal cost seg

Calibration

Vs. formal cost seg studies

Snapshot

Jul 2026

Updated when warranted

Top 50 leaderboard

Click any column header to sort. Click a market type below to filter. Click a market name to see its full profile. Ranks 1–20 are shown below; ranks 21–50 unlock with your email.

Showing 50 of 50

Rank ▲	Details	State	Market Type	Diamond Density ▼	Median Year 1 Deduction ▼	Median Bonus Dep % ▼	Land Ratio ▼	State Tax
#1	Lake Cumberland	KY	Lake	78%	$89K	27%	8–14%	Full
#2	Poconos	PA	Mountain	76%	$179K	27%	9–15%	Partial
#3	Branson	MO	Mountain	76%	$97K	27%	9–15%	Full
#4	Angel Fire	NM	Ski	76%	$168K	26%	9–15%	Full
#5	Broken Bow	OK	Lake	76%	$139K	26%	9–15%	Full
#6	Winter Park	CO	Ski	81%	$737K	26%	12–18%	Full
#7	Driggs / Teton Valley	ID	Ski	73%	$347K	26%	10–16%	Full
#8	Joshua Tree	CA	Desert	69%	$103K	26%	12–18%	Decoupled
#9	Blue Ridge Mountains	GA	Mountain	63%	$136K	26%	13–19%	Full
#10	Orlando / Kissimmee	FL	Urban	67%	$77K	26%	13–19%	Full
#11	Table Rock Lake	MO	Lake	69%	$116K	26%	12–18%	Full
#12	Hot Springs	AR	Mountain	60%	$79K	26%	16–22%	Full
#13	Tannersville	NY	Ski	81%	$147K	26%	12–18%	Decoupled
#14	Ellicottville	NY	Ski	69%	$117K	26%	12–18%	Decoupled
#15	Hocking Hills	OH	Mountain	69%	$153K	26%	12–18%	Full
#16	Vero Beach	FL	Beach	42%	$177K	25%	21–27%	Full
#17	New Braunfels	TX	Lake	62%	$131K	25%	15–21%	Full
#18	Palm Coast / Flagler Beach	FL	Beach	49%	$174K	25%	20–26%	Full
#19	Smoky Mountains	TN	Mountain	60%	$92K	25%	16–22%	Full
#20	Myrtle Beach	SC	Beach	44%	$100K	25%	22–28%	Full
#21	Galveston	TX	Beach	55%	$91K	25%	18–24%	Full
#22	Ruidoso	NM	Mountain	62%	$92K	25%	15–21%	Full
#23	Sunday River	ME	Ski	71%	$316K	25%	15–21%	Full
#24	Lake Lanier	GA	Lake	57%	$107K	25%	15–21%	Full
#25	Wisconsin Dells	WI	Lake	60%	$120K	25%	16–22%	Partial
#26	Cody	WY	Mountain	60%	$170K	24%	16–22%	Full
#27	Sugarloaf	ME	Ski	67%	$148K	24%	16–22%	Full
#28	Moab	UT	Desert	49%	$169K	24%	20–26%	Full
#29	Douglas Lake	TN	Lake	55%	$145K	24%	18–24%	Full
#30	Hunter Mountain	NY	Ski	57%	$204K	24%	17–23%	Decoupled
#31	Traverse City	MI	Lake	49%	$126K	24%	20–26%	Full
#32	Las Vegas	NV	Desert	52%	$143K	24%	19–25%	Full
#33	Prescott	AZ	Mountain	55%	$143K	24%	18–24%	Full
#34	Grand Lake	CO	Lake	55%	$208K	24%	18–24%	Full
#35	Taos	NM	Ski	55%	$142K	24%	18–24%	Full
#36	Red River	NM	Ski	55%	$165K	24%	18–24%	Full
#37	McCall	ID	Ski	55%	$231K	24%	18–24%	Full
#38	Kanab	UT	Nationalpark	53%	$142K	24%	18–24%	Full
#39	Coeur d'Alene	ID	Lake	39%	$185K	24%	18–24%	Full
#40	Savannah	GA	Urban	50%	$97K	24%	19–25%	Full
#41	Asheville	NC	Mountain	46%	$128K	23%	20–26%	Decoupled
#42	Killington	VT	Ski	52%	$217K	23%	19–25%	Full
#43	Santa Fe	NM	Historic	47%	$135K	23%	21–27%	Full
#44	Red Lodge	MT	Ski	52%	$164K	23%	19–25%	Full
#45	Windham	NY	Ski	49%	$137K	23%	19–25%	Decoupled
#46	Williams / Grand Canyon	AZ	Nationalpark	52%	$115K	23%	19–25%	Full
#47	Palm Springs	CA	Desert	35%	$179K	23%	25–31%	Decoupled
#48	Finger Lakes	NY	Lake	49%	$94K	23%	20–26%	Decoupled
#49	Sandpoint	ID	Ski	47%	$159K	23%	20–26%	Full
#50	Kalispell / Flathead	MT	Mountain	49%	$144K	23%	20–26%	Full

Read the full research

The State of Bonus Depreciation in US Short-Term Rentals — 2026 →

Category breakdowns, a worked property example, the state conformity map, and full findings from the 2026 Study.

Regulatory clearance — 52 markets

STR Regulations Database — Permits, Caps, Minimum Stays →

Every Top 50 market cited to a primary jurisdiction source. Permissive / mixed / restricted status, ordinance numbers, and jurisdiction breakdown for buy-before-offer regulatory clearance.

Built by DepreciMax

DepreciMax is the bonus depreciation intelligence platform for short-term rental investors. Most cost segregation studies happen after closing — we built the only tool that lets you score the Year 1 deduction before you make an offer. Every active STR listing in any US market, scored in seconds. Pre-purchase reports closely calibrated to formal cost seg studies, for $99 instead of $5,000+.

This report is a free annual snapshot. To run the same methodology on a specific property you're considering, use the property scorer below.

Score a Live Market → Analyze a Property →

★ Most Underrated Markets

The biggest movers when you re-rank by tax math

Three markets that don't dominate the mainstream STR charts — but absolutely dominate when you score by Year 1 bonus depreciation. The reasons differ (state conformity, amenity stack, price-to-basis ratio), but the lesson is the same: investors leave tax savings on the table by chasing the famous markets.

▲ Top-10 finish

Joshua Tree, CA

DepreciMax #7 · desert renovation stock, heavy amenity mix

Median Year 1: $102k

▲ Under-the-radar

Angel Fire, NM

DepreciMax #4 · NM full conformity + ski amenity stack

Median Year 1: $168k

▲ Best dollar-for-dollar

Branson, MO

DepreciMax #3 · low entry price + full MO conformity

Median Year 1: $96k

Markets that didn't make the cut

These are markets that AirDNA, BiggerPockets, and the STR social sphere talk about constantly — and that we left out of the Top 50. Not because they're bad rentals, but because the bonus depreciation math doesn't work. Investors chasing them for tax purposes will be disappointed.

How we scored — the DepreciMax Top 50

Every market in this Top 50 was scored by the same engine that powers our individual property reports. The rank is set by the market's median bonus-eligible percentage (share of purchase price that classifies as 5-year or 15-year property under §168(k)), blended with market depth and state §168(k) conformity.

Medal tiers, briefly

Every scored listing earns a national medal based on its bonus-eligible % of purchase price: Diamond at ≥24%, Gold at ≥22%, Silver at ≥20%, and Bronze at ≥18%. A market's Diamond density — the share of active STR-suitable listings that hit the Diamond tier — is the single strongest signal of pre-purchase bonus depreciation potential across the market.

Calibrated against the real thing

Individual property estimates are calibrated against a completed cost segregation study on a benchmark short-term rental. Our accuracy target is closely calibrated on bonus-eligible percentage of purchase price versus that formal study. The model is intentionally calibrated to land slightly on the optimistic side — within tolerance, but never overstating margin to the downside.

To see the same methodology applied to a specific property you're considering, run a $99 DepreciMax property report. Same engine, same accuracy target, on a single address.

Version: 2026. Bonus depreciation outcomes vary by individual property; this page estimates ranges for typical purchases in each market. Not tax advice — consult a qualified CPA before making investment decisions.