Airbnb Occupancy Rate in Islamabad, Pakistan, Data & Trends 2026
Curious about the performance of short-term rentals in Islamabad, Pakistan? Over the last year, the average occupancy rate was 35% with an ADR (Average Daily Rate) of 34€. Hosts earned on average 352€ per month.
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90-day occupancy forecast for Islamabad so you can update rates and stay ahead of competitors.
Market summary in Islamabad
Key metrics to optimize your pricing strategy
Avg. Monthly Revenue
352€
$320 USD
YoY Revenue Change
-16%
vs. previous year
Occupancy Rate
35%
~11 days/month
Average Daily Rate
34€
$31 USD
Seasonality Index
39%
demand variation
Best Months
December, August
peak season
Worst Months
February, March
low season
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What Islamabad's occupancy and ADR actually mean
Over the analysis period June 2025 to May 2026, Islamabad averaged 35% occupancy with an ADR of 34 euros and roughly 350 euros in monthly revenue, equating to about 126 booked nights per year across 333 active listings. Because Islamabad is the only Pakistani city tracked in our dataset, it effectively sets the national benchmark rather than sitting above or below a wider field, so these figures are best read against the city's own structure: a low ADR that reflects a domestic, price-sensitive guest base and a market where revenue depends far more on filling nights than on commanding high rates.
The seasonality index of 39% signals meaningful but not extreme swings, with December and August as the strongest months and February and March the weakest. The year-on-year revenue change of -18% is the headline caution: earnings contracted over the period, so operators should price defensively, lean on the spring, autumn and December windows, and treat midweek official and academic stays as the dependable base rather than counting on rate growth.
Monthly Airbnb occupancy in Islamabad
Average occupancy rate by month in Islamabad, compared with the same month a year earlier.
| Month | Occupancy | Prior year |
|---|---|---|
| Jul 2025 | 33% | 38.9% |
| Aug 2025 | 34% | 38.8% |
| Sep 2025 | 31.9% | 36% |
| Oct 2025 | 34% | 34% |
| Nov 2025 | 34.6% | 34.3% |
| Dec 2025 | 35.8% | 34.7% |
| Jan 2026 | 33.3% | 33% |
| Feb 2026 | 30.3% | 34% |
| Mar 2026 | 30.6% | 26.7% |
| Apr 2026 | 33.3% | 40.1% |
| May 2026 | 31.8% | 27.3% |
| Jun 2026 | 38.5% | 31.1% |
Historical Airbnb occupancy in Islamabad (last 12 months)
📌 Historical trends reveal seasonal highs – plan accordingly.
Airbnb occupancy forecast in Islamabad (next 90 days)
These figures reflect real-time demand in Islamabad, helping you plan and price strategically.
Why people book Airbnbs in Islamabad
Islamabad's short-term rental demand is built on its role as Pakistan's purpose-built federal capital rather than on mass tourism. The city is the hub of government activity, hosting ministries, the diplomatic enclave, and the headquarters of many institutions, so a steady flow of officials, contractors, consultants and embassy-linked visitors needs medium and short stays. More than twenty universities and a growing IT and financial sector add students, parents and business travellers to the mix.
Leisure demand is real but secondary and weather-dependent. Visitors come for the Margalla Hills trails, Faisal Mosque, Daman-e-Koh, Saidpur Village and Pakistan Monument, and Islamabad also works as a base for onward travel toward Murree and the northern areas. Because the city is spread across orderly lettered sectors with limited hotel stock in some areas, well-located apartments and guesthouses capture both the official and the family traveller, but the relatively low average nightly rate reflects a domestic, price-sensitive guest base.
When Airbnb demand peaks in Islamabad
The calendar splits into clear high and low windows. Spring (March to April) and autumn (September to October) bring the most pleasant weather for Margalla Hills hikes and outdoor sightseeing, while December sees a winter peak as families travel over the holidays and cooler, foggy-but-dry conditions draw domestic visitors. August also performs strongly despite being part of the July to August monsoon, when heavy rainfall makes the hills lush and green and the long summer break keeps families moving.
The softest stretch is February and March, when winter is fading but the spring travel season has not yet built momentum. May and June are the hottest months, with highs routinely above 38 degrees, which cools daytime sightseeing demand. The annual Urs of Bari Imam, which has historically drawn enormous crowds of devotees from across Pakistan, can create sharp short-lived spikes in nearby demand on its dates.
Best neighbourhoods for short-term rentals in Islamabad
The F-series sectors (F-6, F-7, F-8 and the green F-9 around Fatima Jinnah Park) are the most developed and the safest bet for premium short stays, close to cafes, The Centaurus mall and embassies, and they command the highest rates. The Blue Area, the city's commercial spine running along Jinnah Avenue, suits business travellers who want to be near offices and serviced-apartment style stock.
The E-series sectors host diplomatic personnel and several universities, making them dependable for longer academic and official bookings, while the G-series mixes government institutions and more affordable residential stock for budget-minded guests. Saidpur Village and the Margalla foothills appeal to leisure guests who prioritise views and atmosphere over central convenience. Note that demand and zoning friction both rise in the prime residential sectors, so location decisions should weigh nightly rate against the regulatory caution described below.
Short-term rental rules in Islamabad
Islamabad has no dedicated, host-friendly short-term rental licence, and the key legal signal points the other way. In Asim Khan vs. Capital Development Authority (2018) the Islamabad High Court held that using residentially-zoned property for commercial purposes, including short-term rentals, is not permitted under existing CDA zoning regulations. This means an apartment or house in a residential sector can face enforcement risk if run as a de facto guesthouse, and operators should confirm with the CDA whether their specific property's zoning allows the activity.
There is no single federal law approving or banning Airbnb, so compliance is assembled from general obligations: income from rentals is taxable under the Income Tax Ordinance 2001, accommodation businesses can fall under the Hotels and Restaurants Act 1976 for health and safety, and hosts are expected to verify guest identity. Given the case law and the absence of a clear municipal scheme, the practical path is to seek professional advice locally and, where possible, operate from commercially-zoned or properly registered guesthouse premises.
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* Calculations based on 30 days/month. Actual results may vary depending on market, season, property type, and implemented strategy.
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Frequently asked questions about Airbnb occupancy in Islamabad
For the June 2025 to May 2026 period, Islamabad averaged about 35% occupancy, which works out to roughly 126 booked nights per year across the 333 active listings we track. With an ADR near 34 euros and around 350 euros in monthly revenue, this is a volume market where filling nights matters more than charging premium rates, so realistic occupancy planning beats optimistic pricing.
Spring (March to April) and autumn (September to October) offer the best weather for Margalla Hills and outdoor sightseeing, while December brings a holiday-season peak and August performs well thanks to the lush monsoon landscape and summer break travel. February and March are the softest months, and the hot May to June stretch, with highs above 38 degrees, cools daytime leisure demand.
There is no dedicated host licence, but the Asim Khan vs. CDA (2018) ruling found that using residentially-zoned property for commercial short-term rentals is not permitted under CDA zoning rules, creating real enforcement risk. Rental income is taxable under the Income Tax Ordinance 2001, and the Hotels and Restaurants Act 1976 can apply. Confirm your property's zoning with the CDA and take local legal advice before listing.
The F-series sectors (F-6, F-7, F-8, F-9) are the most developed and command the highest rates, close to The Centaurus, cafes and embassies. The Blue Area suits business travellers near offices, the E-series is reliable for diplomatic and university bookings, and the G-series offers more affordable stock. Saidpur Village and the Margalla foothills appeal to leisure guests who prioritise views.