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What Ocean City Vacation Rentals Stand Out in a Crowded Rental Market

Michael Nolen
by Michael Nolen on October 14, 2025 at 2:50 PM

Ocean City, Maryland continues to be one of the East Coast’s most popular vacation rental destinations. Between the Ocean City Boardwalk buzz, the peaceful bayside sunsets, and miles of sandy beaches, there’s no shortage of reasons travelers choose OCMD year after year. But with more than 9,000 active short-term vacation rentals listed on platforms like Airbnb and Vrbo (per AirDNA’s 2025 data), owners face one major challenge: standing out in a sea of options.

Success in this market depends on more than just square footage — it’s a careful balance of the number of bedrooms, amenities, design, and location. Let’s break down how each of these elements impacts your performance and where real estate investors in Ocean City, MD can find their edge.

 

What Properties Make the Best Vacation Rentals 940 x 500 px

What properties Stand out in the Ocean City, MD Vacation Rental Real Estate Market!!!

 

1 Bedroom Rentals: Compact Comforts for Couples and Solo Travelers

One-bedroom condos make up about 22% of Ocean City, MD’s rental inventory — perfect for romantic getaways, business travelers, or small families. However, 1-bedroom properties have a major competitor – hotels and motels.

 

Let’s look at a data snapshot of 1-bedroom properties from AirDNA:

  • Average Daily Rate (ADR): $190–$230
  • Annual Revenue: $28K–$33K
  • Occupancy: ~50–55%

 

These units are the most common downtown along the Boardwalk where walkability is key. However, you’ll find them through OC.

Guests love the convenience of stepping out to restaurants, arcades, or nightlife — but with so many similar listings, owners must focus on presentation and personality.

 

💡 Tips to Shine:

  • Invest in high-end staging with coastal-inspired décor and modern finishes.
  • Highlight unique features — balconies, spa-style showers, or smart home touches.
  • Cater to quick weekend stays or flexible check-ins for spontaneous travelers.

 

A one-bedroom may be small in size, but with thoughtful design, the right location, and marketing, it can offer big returns.

 

2 Bedroom Rentals: The Workhorse of Ocean City

Two-bedroom units represent the largest share of OCMD’s vacation rental market — around 43% of listings. These are the go-to for small families or two couples looking to share costs without sacrificing comfort. They can accommodate up to 6 guests giving most families the perfect space. This is the first opportunity (in comparison to size) to separate families or couples with 2 bedrooms, and often additional sleeping options in a living room.

 

Here’s a data snapshot for two-bedroom properties based on AirDNA insights:

 

  • ADR: $225–$275
  • Annual Revenue: $36K–$42K
  • Occupancy: ~53–57%

 

They’re reliable earners due to often being affordable options with space, but the challenge is differentiation. Many two-bedroom condos, especially in older ocean block buildings, share identical layouts. Guests often make side-by-side comparisons, leaving price and aesthetics as the main deciding factors.

 

💡 Tips to Shine:

  • Upgrade finishes — LVP flooring, modern kitchen counters, and bright coastal palettes make a world of difference.
  • Focus on proximity — “steps to the sand” or “walk to the Boardwalk” sells.
  • Add “comfort luxuries”: beach chairs, coffee bar setups, and welcome baskets.

 026-Beachwalk 17 26

 

A two-bedroom condo can outperform the average if it’s memorable, not just functional.

 

3 Bedroom Rentals: The Perfect Middle Ground Against Competition

Three-bedroom properties hit a sweet spot for families and small groups seeking extra space without the cost of a full beach gateway. They make up about 26% of local vacation rental listings, often bridging the gap between affordable and premium.

 

Let’s review key performance data for 3-bedroom properties, according to AirDNA:

 

  • ADR: $275–$325
  • Annual Revenue: $45K–$55K
  • Occupancy: ~55–58%

 

These units appeal to multi-generational travelers and long-weekend vacationers alike. But because so many follow cookie-cutter floorplans, standing out often comes down to experience, location and size rather than layout.

 

💡 Tips to Shine:

 

  • Create a cohesive theme — “Family Beach Villa” or “Modern Coastal Escape.”
  • Add bunk rooms, sofa beds, or convertible offices for flexible sleeping options.
  • Offer amenity value: board games, kayaks, or bikes for guest use.
  • Target longer stays in the off-season — remote workers love extra space.

 

Done right, a three-bedroom property can combine consistent bookings with a strong nightly rate — the best of both worlds.

 

Bunk Bedroom Designs in Ocean City, MD

 

 

4 Bedroom Rentals: Spacious, Rare, and Rewarding

 

Four-bedroom vacation rental homes make up only about 6% of the market, giving them a built-in advantage. With so few available, they often become the first choice for multi-family vacations, weddings, or larger group getaways.

Let’s look at a data snapshot of 4 bedroom properties from AirDNA:

  • ADR: $375–$450+
  • Annual Revenue: $60K–$75K
  • Occupancy: ~58–61%

 

Guests booking four-bedroom properties expect room to spread out — multiple living spaces, outdoor seating, and upscale finishes. They’re not just buying space; they’re buying an experience. Comfortable accommodations is important because you’re standing out in the market.

 

💡 Tips to Shine:

  • Design multi-zone living — kids’ areas, adult lounges, and family gathering spaces.
  • Market for occasions — “Perfect for family reunions” or “friends’ retreat weekend.”
  • Invest in outdoor features like fire pits, rooftop decks, and bay-view dining areas.

 

Scarcity alone helps, but thoughtful amenities and lifestyle branding turn a 4-bedroom from “just big” into “absolutely booked.”

 

5 Bedrooms +: The Luxury League and the most competitive advantage

 

At just 3% of total listings, larger 5+ bedroom vacation rentals in Ocean City, MD are true head-turners. These properties cater to bigger families, corporate retreats, and travelers seeking privacy with premium amenities. It’s also a great option for smaller groups to have space and separation.

 

Here’s a snapshot of key AirDNA data for 5+-bedroom rental properties:

 

  • ADR: $500–$650+
  • Annual Revenue: $85K–$120K+
  • Occupancy: ~55–60%

 

Guests expect luxury across every detail — from gourmet kitchens to panoramic decks. With higher nightly rates and longer stays, the returns can be significant, but so are the expectations.

 

💡 Tips to Shine:

 

  • Hire professional staging and photography to capture that “wow” factor.
  • Offer concierge-style touches: mid-stay cleanings, local chef partnerships, or personalized welcome gifts.
  • Emphasize exclusivity — “One of the few 5-bedroom beach villas in OCMD.”

High-end listings thrive on reputation and repeat guests. A five-star experience pays off with five-star reviews.

 

💡 Final Takeaway’s

 

The Ocean City, MD vacation rental market rewards uniqueness and quality. While 1–2 bedroom condos dominate the scene (65% of the rental market), the real growth potential lies in properties that combine space, design, and memorable guest experiences.

✅ Focus on 3+ bedroom properties for flexibility and long-term value.

✅ Choose locations that align with your target traveler — not just the nearest beach.

✅ Invest in finishes, amenities, and storytelling that make your listing stand out.

When done right, your property won’t just compete in the Ocean City Real Estate market — it will define what guests come back for, year after year. It’ll create a unique experience and inline with your real estate investing goals.

 

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Michael Nolen
Written by Michael Nolen
Michael brings a diverse background of mortgage, loan servicing and housing experience. Michael offers his clients a variety of helpful resources, guides and services that helps make buying and selling coastal real estate in the Ocean City, Ocean Pines, and Coastal Delaware markets. Michael has over 11 years industry experience and invests and manages vacation rental properties in the Ocean City, MD area through Nolen Invest and Nolen Vacation Rentals.
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