The vacation rental market is a booming industry that has seen significant growth in recent years. With the rise of online booking platforms like Airbnb and Vrbo, travelers have more options than ever before when it comes to finding the perfect vacation rental.
But just how big is the vacation rental market? Let’s take a closer look.
The Size of the Vacation Rental Market
According to a report by Grand View Research, the global vacation rental market was valued at $87.09 billion in 2019. This number is expected to grow at a compound annual growth rate (CAGR) of 3.4% from 2020 to 2027.
Factors Driving Growth
There are several factors driving the growth of the vacation rental market. One of the biggest factors is the increasing popularity of online booking platforms. These platforms make it easy for travelers to find and book vacation rentals, and they also make it easy for property owners to list their properties.
Another factor driving growth is changing traveler preferences. Many travelers today are looking for unique, authentic experiences when they travel, and vacation rentals can offer just that. Vacation rentals allow travelers to stay in local neighborhoods and experience life like a local, which can be much more appealing than staying in a generic hotel.
Regional Trends
The vacation rental market varies by region. In North America, for example, the market is dominated by online platforms like Airbnb and Vrbo. In Europe, however, there are many traditional vacation rental companies that have been around for decades.
In Asia Pacific, the vacation rental market is still relatively small but is expected to grow rapidly in the coming years. This growth will likely be driven by a growing middle class with disposable income and an increasing desire to travel.
Conclusion
The vacation rental market is a large and growing industry that shows no signs of slowing down. As online booking platforms continue to make it easier for travelers to find and book vacation rentals, and as traveler preferences continue to shift towards unique, authentic experiences, the market is expected to continue its growth trajectory. If you’re a property owner considering listing your property as a vacation rental, now may be the perfect time to do so.