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Renting Out Your Aruba Property: Does It Pay?
Yes, you can rent it out. Foreigners buy and rent on Aruba under the same rules as locals, short-term or long-term. It pays, just less than the brochures say: gross yields run about 5–8%, and after costs most owners net around 3–4%.
By Jakob Jakubov, every winter on Aruba since 2021 · Updated October 2026 · 6 min read
Can you rent out your property in Aruba?
Yes. Foreigners hold title in their own name and can rent or sell freely. You're choosing between two quite different businesses:
- Short-term (vacation rental). Nightly or weekly stays for tourists, mostly near Palm Beach and Eagle Beach. It earns the most and takes the most work.
- Long-term. A tenant on a lease of six months or more, often locals or expat workers. Less income, far less hassle.
Many beach-area condo buildings also run a rental program: the manager rents your unit out and you split the income. Check the split, and whether it's mandatory, before you buy.
Read next → Condos in Aruba: a buyer's guide
Short-term or long-term rental: Which pays more?
Short-term pays more gross. Long-term often ends up close to it on net, or even ahead, with far less effort.
The difference is cost. A vacation rental needs a manager and a clean after every guest, and you pay the electricity. A long-term tenant usually covers the utilities.
Short-term also lives on the season. High season, roughly December through April, carries the year; the late-summer months are slower and cheaper.
Read next → Is buying property in Aruba a good investment?
How much can you earn? (A worked example)
Here's a hypothetical ~$400,000 condo near Eagle Beach, rented both ways. Every figure is rounded and typical. It shows the method, not a promise.
| Short-term (vacation) | Long-term (lease) | |
|---|---|---|
| Purchase price | ~$400,000 | ~$400,000 |
| Gross annual rental income | ~$32,000 | ~$24,000 |
| Gross yield | ~8% (top of the realistic range) | ~6% |
| Management fees | ~$8,000 (25%) | ~$1,200–2,400 (5–10%) |
| Utilities | ~$3,500 (owner pays) | tenant pays |
| Cleaning / turnover | ~$3,000 | minimal |
| Maintenance / HOA / insurance | ~$5,000 | ~$5,000 |
| Vacancy allowance | built into income | ~1 month |
| Rough net income | ~$12,500 | ~$15,000–16,000 |
| Net yield | ~3.1% | ~4% |
Illustrative, rounded figures. They depend heavily on location, occupancy and how the unit is run. Income tax is not deducted here.
The twist: the short-term unit earns $8,000 more gross but keeps less at the end of the year. A prime beachfront unit at high occupancy can still out-earn a lease. Judge on net, never on the nightly rate.
Running the rental math on a specific budget? Our free Aruba Buyer's Guide PDF includes the numbers, the taxes, and a price heat map by area. → Send it to me
What does it cost to run a rental?
When someone quotes you a yield, add these back in:
- Management. 15–30% of revenue for short-term, around 5–10% for long-term. The biggest line.
- Electricity. Power is expensive on Aruba, and short-term guests don't pay for it.
- HOA fees. Roughly $200 to $900 a month in most condo buildings, up to about $1,450 in the luxury beachfront ones.
- Cleaning and furnishing. Every guest means a clean and a reset.
- Maintenance and insurance. Salt air is hard on buildings.
- Vacancy. Nobody runs at 100%, and the off-season is real.
None of this kills the case for renting. It just turns a headline "8%" into an honest 3–4% net.
Read next → Cost of living in Aruba: why electricity is the big one
What are the rules and taxes?
Renting out is legal and common here. It's also taxed, and the paperwork lands on you, not on the booking site.
- Income tax. Rental income is taxed in Aruba at 21%, 42% and 52% brackets (2026) after a tax-free allowance of AWG 30,000 and deductible costs. Non-resident owners file an annual Aruban return.
- Tourist levy. Short-term guests pay 12.5% plus USD 3 per room per night. You register with the tax office, file monthly and remit it yourself; Airbnb and VRBO don't do it for you.
- Turnover tax. 7% combined can apply to rental revenue, so get local tax advice before the first booking.
- Registration. A mandatory registration number for short-term rentals is being rolled out, announced as compulsory from February 2027.
- Your home country. You'll usually report the income at home too. Aruban tax paid is often creditable; ask a cross-border tax advisor.
Short-term rules can change, so don't build a plan that only works with vacation-rental income. This is orientation, not tax advice.
Read next → Taxes & closing costs in Aruba: the real numbers
Where should you buy a rental?
For short-term income, Palm Beach has the strongest rental market on the island. Eagle Beach rents well too, to a calmer crowd, but higher entry prices make yields look a little lower on paper.
The building matters as much as the unit. Occupancy drops fast a few streets back from the beach, and a cheaper condo in a well-managed tower often out-earns a nicer one next door.
New builds usually have a rental program from day one. Ask about the split, whether you can opt out, and any short-term limits in the building rules.
For long-term tenants, Noord and the areas around Oranjestad have steady demand.
Read next → New and pre-construction condos in Aruba
Which option is right for you?
- Choose short-term if your place is walkable to Palm or Eagle Beach, you want maximum income, and you'll run it like a business or pay someone who will.
- Choose long-term if you want steady, low-hassle income, your property sits outside the tourist core, or you'd rather not manage guests and utilities.
- Mix the two if you want to use the place yourself in shoulder season and rent short-term in the peak. Just watch the rules and the wear.
The happiest owners we know bought a place they wanted to be in. The rental income made it affordable. It wasn't the reason.
Read next → Buying property in Aruba: the complete guide
Know the numbers? Now find the property that makes them work. Tell us your budget, rental goal and timeline. We'll match you with the one vetted local agent for your segment and price range. Free, no obligation. → Start my 60-second match Not ready yet? → Take the free Buyer's Guide PDF instead
Common questions
Can foreigners rent out property in Aruba?
Yes, short-term or long-term, under the same rules as locals. You pay tax on the rental income.
Is a vacation rental in Aruba profitable?
It can be, but less than the nightly rate suggests. Gross yields near Palm and Eagle Beach run about 5–8%; net usually lands around 3–4%.
Is short-term or long-term rental better on Aruba?
Short-term earns more gross but costs more to run. Long-term earns less but is steadier, and the tenant usually pays utilities.
Do I pay tax on rental income in Aruba?
Yes, at 21–52% after costs. Short-term guests also pay a 12.5% tourist levy plus USD 3 per room per night, which you remit yourself.
How much do property managers charge on Aruba?
Around 15–30% of revenue for short-term rentals, and often around 5–10% for long-term.
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