Real Estate Professional · Atlanta, GA · Member since 2015 · 279 posts · 109 votes
Hi guys!
I just returned from the VRMA (Vacation Rental Managers Association) Eastern conference that was held here in Atlanta, and there was some really great information shared!
I got to learn more about how property managers are recruiting new homeowners, and Tyann Marcink gave a great talk on real estate/vacation rental photography best practices. Bill Furlong from HomeAway also spoke on trends in the vacation rental industry, and here were some interesting statistics:
78% of vacation rental buyers consider potential rental income when purchasing the home.
77% of vacation home purchasers in 2013 said they planned to rent out their home to short term renters.
One third of vacation rental guests are first time vacation rental travelers.
More than half of vacation rental travelers are 25-44.
Other general trends that HomeAway/VRBO saw:
"The rate of vacation home purchases had a banner year."
"Bookings per unit and dollars per booking are up. Cancellation rate is down, and cancel lead time is up."
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
10y
In my area VRBO and Homeaway is King. I looked at ArBNB, but not much usage in my vacation rental area. It looks like it is primarily used for renting a room in my location.
Investor · Hampden, MA · Member since 2016 · 9 posts · 8 votes
10y
Thanks for the update. Sounds like a lot of good news for Vaca Rental Owners. Did they say anything about the most effective place to advertise short term vaca rentals? I guess I'm curious if the stats were across the boards or if they broke them down by rental site.
Real Estate Professional · Atlanta, GA · Member since 2015 · 279 posts · 109 votes
10y
Definitely lots of good news for vacation home owners! Unfortunately they didn't really delve into listing sites & which ones are the most effective, @Eric DeGray! It will also largely depend on your property & the type of guest you're looking to attract. Is your home near your in Massachusetts?
Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
10y
In my area VRBO and Homeaway is King. I looked at ArBNB, but not much usage in my vacation rental area. It looks like it is primarily used for renting a room in my location.
Investor · saskatoon, sk · Member since 2013 · 40 posts · 41 votes
10y
In my area Airbnb(This is for a full suite rental) brings in about 70% of the bookings and VRBO about 30%. I've had multiple bad experiences already with VRBO (both involving credit card fraud, one with a trashed place).
Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
10y
Not to throw a damper on your thread but I am always cautious and take such info with a grain of salt when it comes from organizations that have personal interests. Similar to the National Association of Realtors when they start advertising that "now is a great time to buy real estate".
Of course all the statistics and news they present would be good, they would not hold a conference and give bad news or bad statistics. The vacation rental business is very tricky and can be very risky so with that, I would caution readers to consider the source and dive into their own due diligence on all the numbers involved for their potential investment in this or any venue.
Real Estate Professional · Atlanta, GA · Member since 2015 · 279 posts · 109 votes
10y
Absolutely agree, @Will Barnard. All stats should be taken with a gain of salt. :) That being said, there is definitely a lot of money currently being invested into the vacation rental industry, and the industry is getting much more sophisticated.
Piper Jaffray recently projected that the vacation rental industry will grow from $101 billion in 2014 to $285 billion by 2025. Accor just purchased a 30% stake in Oasis, and Choice Hotels is opening their own vacation rental platform. OneFineStay likewise raised $40 million from Hyatt & other VCs, and Wyndham already has a strong foothold in the industry. Vacasa also just raised $35 million to expand.
With hotels getting a stronger foothold in the industry, things will certainly be changing soon.