How Much Can You Earn From a Short Let in London? Income by Zone
“How much will my flat earn on Airbnb?” is the first question most London landlords ask, and the honest answer is that it depends on more than the headline numbers you see online. Averages are useful for orientation, but they hide differences between zones, property types and the rules that apply to your home.
This guide shows what published market data says, why zone matters, how London’s 90-night rule changes the maths, and a simple method to estimate your own flat’s income.
Quick answer: Market data puts an average London short let at roughly £17,000 to £31,000 a year in gross booking income, depending on the data provider, with average nightly rates of roughly £193 to £213. But a whole-home short let in London can only be let for 90 nights a year without planning permission, so the realistic plan combines short stays with longer 90+ night corporate lets.
What the market data says
Short-term rental data providers publish London averages, but they do not agree, because they measure different samples. Two well-known sources give a sense of the range. Both publish in US dollars, so we have converted their figures to pounds at about $1.32 to the pound, rounded.
- AirDNA reports that the average London listing earns about £31,000 a year, at an average daily rate of about £213 and occupancy of around 59% (figures updated August 2026).
- AirROI reports about £17,000 a year per listing, an average daily rate of about £193 and occupancy of 40.8% for August 2025 to July 2026, across roughly 16,000 active listings.
The gap between £17,000 and £31,000 is the point. Depending on what is counted (private rooms, studios, large houses, full-time operators), the average moves a lot. Use these numbers to understand the shape of the market, not to promise yourself an income. See the underlying data from AirDNA and AirROI.
Why those averages overstate what many landlords can do
There is a catch that national and city averages rarely mention. An occupancy rate of 40% to 59% means around 150 to 215 booked nights a year. For a whole home in Greater London, the law caps short-term use at 90 nights per calendar year without planning permission. Our guide to London’s 90-night rule explains what counts towards that limit.
Many listings in the averages are rooms in a host’s own home, which are not subject to the same cap, or properties operating outside the rules. For a landlord who wants a compliant whole-home let, the average is therefore not the right benchmark. The right question is how to fill the other 275 nights, which is where corporate lets of 90 nights or more come in.
How zones change the numbers
London’s travel zones are a rough guide to what a property can charge and who stays in it.
Zone 1
The West End, the City, Kensington, Camden and Southbank sit here. Nightly rates are the highest and demand is strong all year, but competition is intense, purchase prices are high and service charges can be steep. Leasehold restrictions are also more common in central mansion blocks, so check your lease first.
Zone 2
Shoreditch, Canary Wharf, Islington and parts of Lambeth and Hackney are popular with both leisure and corporate guests. Canary Wharf and the City fringe tend to do well with corporate and relocation stays, which suits the 90-night cap.
Zones 3 and 4
Rates are lower, but so are costs, and well-connected areas near stations, hospitals and universities can attract long-stay professionals. These zones often work best with longer lets, with short stays used to cover peak weeks.
Corporate Stays focuses on Zones 1 to 4. We do not publish a single income figure per zone, because two flats on the same street can perform very differently, and an average would mislead you.
A simple way to estimate your income
You can build a sensible estimate in five steps.
- Count realistic nights. For short stays in a whole home, that is up to 90. For longer lets, count only stays of 90 or more consecutive nights.
- Choose realistic rates. Look at comparable flats of the same size, standard and area, not the most expensive listing nearby.
- Multiply to get gross income. Nights multiplied by the rate for each type of stay.
- Deduct every cost. Platform fees, cleaning, linen, utilities, council tax, insurance, repairs, maintenance and any management fee. Our short-let management fees guide explains what to expect.
- Compare with a long let. Put your net figure next to the rent you could get from a standard tenancy, as set out in our comparison of short let vs long let.
An illustrative example
These numbers are made up to show the method and are not a forecast. Suppose a flat is let for 90 short-stay nights at £180, which gives £16,200. Add two corporate placements of 100 nights each at £120 a night, which gives £24,000. The flat is occupied for 290 nights, or about 79% of the year, with only 90 of them counting towards the short-let cap. The income you actually keep is what is left after costs, so always work through step 4 before you decide.
Our own worked example of a two-bedroom Canary Wharf apartment produced about £4,303 a month net, compared with £3,375 as a long let. Your result will differ, but it shows why a mix of stay types can beat either extreme.
What pushes income up or down
Several factors matter more than the postcode alone.
- Quality and photos. Bright, accurate photography and a well-presented flat lift both the rate and the number of bookings.
- Pricing strategy. Rates that follow demand, events and seasons earn more than a fixed price.
- Cleaning and reviews. Reliable, consistent cleaning protects your rating, which protects your income.
- Availability and rules. Compliance gaps such as no insurance or a lease restriction can wipe out income completely.
- Seasonality. Summer, big events and Christmas are strongest. Corporate demand helps fill the quieter months.
Where a manager helps
Income is not only about the flat. It is about how often it is full, at what rate, and how little of it you lose to costs and problems. A manager who tracks every night against the 90-night cap, adjusts prices daily and keeps corporate guests coming can make a real difference.
At Corporate Stays we plan each property’s calendar around the rules, with in-house cleaning, daily price reviews, 24/7 guest communication and a monthly owner statement. If you want to know what your flat could earn, you can get a free income estimate or message us on WhatsApp.
Frequently asked questions
How much can a short let earn in London?
Published market data varies widely because providers measure different samples. AirDNA reports an average of around £31,000 a year per active London listing, while AirROI reports about £17,000 for the trailing twelve months to July 2026 (both converted from US dollars). Your own figure depends on the zone, size, quality and how many nights you can legally let.
Is the average occupancy figure realistic for a whole home in London?
Not without planning permission. Averages of 40 to 59 per cent occupancy mean 150 to 215 booked nights, but a whole-home short let in Greater London is limited to 90 nights a calendar year unless you have planning permission. Many of the listings in those averages are rooms or properties operating outside that cap.
Which London zones earn the most from short lets?
Zone 1 and well-connected Zone 2 areas such as the West End, Southbank, Shoreditch and Canary Wharf generally achieve the highest nightly rates. Zones 3 and 4 usually have lower rates but can suit longer corporate and relocation stays.
Is short-let income the same as profit?
No. Gross booking income is reduced by platform fees, cleaning, linen, utilities, council tax, insurance, repairs and any management fee. Always compare net income, not headline revenue.
How can I estimate my own flat's income?
Multiply realistic booked nights by a realistic nightly rate, deduct the full running costs, then compare the result with a long let and a corporate let on the same property. A free estimate from a manager who knows your postcode will be more reliable than a national average.
This guide is general information, not financial or legal advice. Market figures come from third-party data providers, may be revised and are not a forecast of your income. Last reviewed October 2026.
