GOPPAR
GOPPAR, or Gross Operating Profit Per Available Room, is a profitability metric that divides total revenue minus operating expenses by the number of available room nights in a given period. Unlike RevPAR, which measures revenue alone, GOPPAR accounts for costs such as cleaning, maintenance, platform fees, and utilities, making it a more complete indicator of a property's financial health. A higher GOPPAR signals that a rental is not only well-occupied but also efficiently managed. Professional property managers and investors use GOPPAR to compare performance across a portfolio and identify properties where cost control or rate increases could improve margins.
Frequently Asked Questions
How is GOPPAR calculated for a vacation rental?
GOPPAR equals gross operating profit divided by total available room nights. Gross operating profit is total revenue minus direct operating costs like cleaning, supplies, maintenance, and channel fees — but before owner distributions, depreciation, or financing costs. For example, $8,000 profit on 30 available nights equals a GOPPAR of $267.
What is the difference between GOPPAR and RevPAR?
RevPAR measures revenue per available night without deducting costs, while GOPPAR deducts operating expenses to show actual profit per night. GOPPAR is the more actionable metric for profitability analysis because a property with high RevPAR but excessive cleaning and maintenance costs may still underperform on GOPPAR.
What is a good GOPPAR for a vacation rental?
There is no universal benchmark because GOPPAR varies significantly by market, property type, and cost structure. The most useful comparison is tracking your own GOPPAR over time and benchmarking against similar properties in your market. Improving GOPPAR by 10–15% year-over-year is a reasonable target for an actively managed portfolio.
Why should property managers track GOPPAR instead of just occupancy?
Occupancy alone does not reveal whether a property is profitable. A unit booked 85% of nights at a low rate with high cleaning costs may generate worse returns than one booked 65% at premium rates with lean operations. GOPPAR gives a single number that captures both revenue performance and cost efficiency.
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