Demand for short-term rentals exceeds pre-pandemic levels
It’s gearing up to be the best summer ever – for short term vacation rentals.
Last month, demand for short-term rentals was 5.4% higher than the same period of 2019, according to AirDNA data reported by Inman, and 66.4% higher than last year. .
The boom reached 201 of the markets’ 265 AirDNA tracks. Rental activity typically drops between spring break in March and the start of the summer travel season. But, buoyed by vaccine rollouts and easing restrictions, April occupancy levels climbed to 61.6%, above March’s 60.9%.
The largest month-over-month increases were seen in Gatlinburg/Pigeon Forge, Tennessee; Gulf Shores/Mobile, Alabama; and Myrtle Beach, South Carolina.
Beach towns have also seen a boom in bookings. Santa Rosa/Rosemary Beach; Panama City, Florida; and Hilton Head, South Carolina are already 80% full for next month.
As a result, average daily rates reached around $245, more than 16% above 2020 levels and 20% higher than in 2019.
An increase in short-term rental listings in destination markets and small towns offset the 25% drop in listings in major urban areas such as New York, Boston and San Francisco. Resort markets have 12% more listings and small towns 34% more than before the pandemic.
The surge in short-term rentals is unique to the United States Of the countries with the 10 largest markets for short-term vacation rentals, the United States ranks first. Mexico was second with a 3.4% drop from April 2019.
Italy, which suffered another Covid spike in March, saw demand plunge 63% in the same period.