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Vacation Rental Market Size 2025-2029
The vacation rental market size is valued to increase USD 22 billion, at a CAGR of 4.1% from 2024 to 2029. Growing tourism industry and increasing popularity of short-term vacation rental properties will drive the vacation rental market.
Major Market Trends & Insights
Europe dominated the market and accounted for a 32% growth during the forecast period.
By Management - Managed by owners segment was valued at USD 48.50 billion in 2023
By Method - Offline segment accounted for the largest market revenue share in 2023
Market Size & Forecast
Market Opportunities: USD 68.07 billion
Market Future Opportunities: USD 22.00 billion
CAGR : 4.1%
Europe: Largest market in 2023
Market Summary
The market encompasses the provision of short-term stays in residential properties, including houses, apartments, and homestays. This market is experiencing significant growth due to the expanding tourism industry and the increasing popularity of flexible accommodation options. According to recent data, the vacation rental sector is projected to account for over 20% of the global accommodations market share by 2025. Core technologies, such as instant booking features and digital payment systems, are revolutionizing the vacation rental industry, making it more accessible and convenient for travelers.
However, challenges persist, including the risks associated with fraudulent listings and the need for robust regulatory frameworks to ensure consumer protection. As the market continues to evolve, it presents numerous opportunities for innovation, particularly in the areas of personalized services and sustainable tourism practices.
What will be the Size of the Vacation Rental Market during the forecast period?
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How is the Vacation Rental Market Segmented and what are the key trends of market segmentation?
The vacation rental industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.
Management
Managed by owners
Professionally managed
Method
Offline
Online
Type
Home
Apartments
Resort/Condominium
Others
Geography
North America
US
Canada
Europe
France
Italy
UK
APAC
China
India
Japan
South America
Brazil
Rest of World (ROW)
By Management Insights
The managed by owners segment is estimated to witness significant growth during the forecast period.
The markets witness significant trends shaping their operations and growth. Automated check-in and check-out systems streamline the guest experience, reducing manual labor and increasing efficiency. Social media marketing plays a crucial role in attracting and engaging potential renters, with 55% of travelers using social media to plan their trips. Legal compliance requirements are essential for vacation rental businesses, with occupancy rate optimization and access control systems ensuring adherence to regulations. Property valuation methods and smart home technology enhance the value proposition for renters, while energy management systems contribute to cost savings and sustainability. Keyless entry systems and guest review management tools facilitate seamless communication and improve the guest experience.
Customer service automation, cleaning service scheduling, revenue management strategies, and property management software enable owners to optimize their operations and maximize revenue. Rental agreement templates, digital marketing strategies, online booking systems, maintenance request systems, booking calendar software, dynamic pricing models, and channel management platforms are essential tools for vacation rental businesses. Guest experience platforms, yield management techniques, rental income projections, search engine optimization, payment gateway integration, tax calculation software, guest data analytics, customer relationship management, fraud prevention measures, accounting software integration, housekeeping management systems, guest communication tools, pricing optimization algorithms, insurance policy management, security system integration, and performance tracking metrics are all integral components of the evolving the market.
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The Managed by owners segment was valued at USD 48.50 billion in 2019 and showed a gradual increase during the forecast period.
Industry growth is expected to be robust, with 32% of travelers expressing interest in vacation rentals as an alternative to hotels. Additionally, the adoption of technology in vacation rental businesses is projected to increase by 37% in the next five years (Source: Market Research). These trends underscore the import
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Vacation rentals encompass a broad range of property types, catering to diverse target markets. Homes and apartments remain popular choices, offering a home-like experience with furnished accommodations and kitchen facilities. Resorts and condominiums provide a more luxurious experience, featuring amenities such as pools, fitness centers, and concierge services. Recent developments include: July 2022 Avantio was purchased by Planet, a provider of integrated financial services and global technology. A provider of software and services for managing vacation rentals, Avantio. has increased its market share in the hotel industry., December 2020 To boost tourism and the economy of Tampa Bay, Airbnb partnered with Visit Tampa and launched a collaborative campaign. In order to encourage tourism in Tampa Bay, Airbnb also launched a specialised page for social media that offers a variety of accommodations as well as outdoor activities.. Notable trends are: Rising tourism sector to drive the market growth.
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Market Snapshot
Attribute | Details |
---|---|
Current Market Size (2024A) | USD 101 Billion |
Estimated Market Size (2025E) | USD 108 Billion |
Projected Market Size (2035F) | USD 278 Billion |
Value CAGR (2025 to 2035) | 9.8% |
Market Share of Top 10 Players | ~55% (2024) |
Country-Wise Vacation Rental Stays - 2024 Booking Volume
Country | Vacation Rental Guests (2024) |
---|---|
United States | 72 Million |
France | 54 Million |
Italy | 48 Million |
Japan | 43 Million |
Australia | 39 Million |
Canada | 36 Million |
Germany | 32 Million |
Brazil | 28 Million |
India | 25 Million |
South Korea | 23 Million |
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Short Term Vacation Rental Market Size 2025-2029
The short term vacation rental market size is forecast to increase by USD 114.1 billion, at a CAGR of 13.5% between 2024 and 2029.
The market is experiencing significant growth, driven by the expanding tourism industry and the increasing popularity of alternative accommodation options. Travelers seek flexibility, convenience, and unique experiences, making short term rentals an attractive choice over traditional and boutique hotels. Technological advancements further enhance the market's appeal, with digital platforms simplifying the booking process and offering personalized recommendations based on traveler preferences. However, the market faces challenges in ensuring consistent quality across vacation rental properties. The lack of standardization and regulation can lead to inconsistencies in the guest experience, potentially impacting customer satisfaction and brand reputation.
Addressing this challenge requires a commitment to quality assurance, from property maintenance and cleanliness to guest communication and support. Companies that prioritize these aspects and leverage technology to streamline operations will capitalize on the market's opportunities while navigating challenges effectively.
What will be the Size of the Short Term Vacation Rental Market during the forecast period?
Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The short-term rental market continues to evolve, with dynamic pricing strategies shaping the landscape. Property managers employ guest management systems to optimize operations, while digital marketing and channel management tools expand reach. Email marketing and social media platforms engage guests, driving direct bookings. Property valuation relies on data analysis, including occupancy rates and revenue management. Seasonal demand influences pricing, with peak seasons offering higher yields. Energy efficiency and green initiatives attract eco-conscious travelers, while luxury rentals cater to affluent guests.
Amenities, from smart home technology to concierge services, enhance the guest experience. Calendar synchronization ensures seamless booking and maintenance services maintain property condition. Legal compliance remains crucial, with security systems and yield management tools addressing safety and revenue optimization. Budget rentals and cabin rentals cater to diverse markets, expanding the market's reach. Overall, the short-term rental market's continuous evolution reflects the industry's adaptability and innovation.
How is this Short Term Vacation Rental Industry segmented?
The short term vacation rental industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.
Mode Of Booking
Offline
Online
Management
Managed by owners
Professionally managed
Type
Apartments and condominiums
Villas and luxury homes
Cottages and cabins
Resorts and bungalows
Others
Location
Urban
Rural
Coastal
Mountain
Traveler Type
Leisure Travelers
Business Travelers
Families
Geography
North America
US
Canada
Europe
France
Germany
Italy
The Netherlands
UK
APAC
China
Japan
Rest of World (ROW)
By Mode Of Booking Insights
The offline segment is estimated to witness significant growth during the forecast period.
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The Offline segment was valued at USD 87.10 billion in 2019 and showed a gradual increase during the forecast period.
Regional Analysis
Europe is estimated to contribute 32% to the growth of the global market during the forecast period.Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.
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The European the market is experiencing growth due to the rising demand for travel and unique experiences. Travelers seek more personalized accommodations, leading to the popularity of short term rentals over traditional hotels. Weekend getaways and city breaks align with the trend of experiential travel, further fueling market growth. Short term rentals offer flexible options and can be cost-effective for families or groups. Pricing strategies, such as dynamic pricing and seasonal demand, influence rental income. Guest management systems, email marketing, and channel management help optimize bookings. Operating expenses include cleaning services, maintenance, and property management software. Energy efficiency and green initiatives are essential property amenities.
Smart home technology enhances the guest experience, while calendar synchronization and inve
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Report Attribute/Metric | Details |
---|---|
Market Value in 2025 | USD 6.1 billion |
Revenue Forecast in 2034 | USD 10.4 billion |
Growth Rate | CAGR of 6.2% from 2025 to 2034 |
Base Year for Estimation | 2024 |
Industry Revenue 2024 | 5.7 billion |
Growth Opportunity | USD 4.7 billion |
Historical Data | 2019 - 2023 |
Forecast Period | 2025 - 2034 |
Market Size Units | Market Revenue in USD billion and Industry Statistics |
Market Size 2024 | 5.7 billion USD |
Market Size 2027 | 6.8 billion USD |
Market Size 2029 | 7.7 billion USD |
Market Size 2030 | 8.2 billion USD |
Market Size 2034 | 10.4 billion USD |
Market Size 2035 | 11.0 billion USD |
Report Coverage | Market Size for past 5 years and forecast for future 10 years, Competitive Analysis & Company Market Share, Strategic Insights & trends |
Segments Covered | Property Type, Pricing Tier, Length of Stay, User Demographics |
Regional Scope | North America, Europe, Asia Pacific, Latin America and Middle East & Africa |
Country Scope | U.S., Canada, Mexico, UK, Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Mexico, Argentina, Saudi Arabia, UAE and South Africa |
Top 5 Major Countries and Expected CAGR Forecast | U.S., France, Italy, Spain, UK - Expected CAGR 4.0% - 6.0% (2025 - 2034) |
Top 3 Emerging Countries and Expected Forecast | Vietnam, Morocco, Colombia - Expected Forecast CAGR 7.1% - 8.6% (2025 - 2034) |
Top 2 Opportunistic Market Segments | Estates and Penthouses Property Type |
Top 2 Industry Transitions | Digitalization Amplifies Customer Experience, Rise of Eco-Luxury Rentals |
Companies Profiled | Airbnb Luxe, Booking.com, Expedia, Villas of Distinction, Luxury Retreats, HomeAway, Vacasa, Turnkey Vacation Rentals, James Villa Holidays, Zillow, Vrbo and RedAwning |
Customization | Free customization at segment, region, or country scope and direct contact with report analyst team for 10 to 20 working hours for any additional niche requirement (10% of report value) |
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Europe Vacation Rental Market Size 2025-2029
The europe vacation rental market size is valued to increase USD 239.8 billion, at a CAGR of 27.3% from 2024 to 2029. Increase in number of tourists in Europe will drive the europe vacation rental market.
Major Market Trends & Insights
By Mode Of Booking - Offline segment was valued at USD billion in
By Management - Managed by owners segment accounted for the largest market revenue share in
CAGR from 2024 to 2029 : 27.3%
Market Summary
The market is a dynamic and continually evolving sector, characterized by the adoption of advanced technologies and applications. With the increasing number of tourists in Europe, reaching over 713 million in 2020, the demand for vacation rentals has surged. However, providing quality rental properties remains a challenge, with inconsistencies persisting in the market. To stay competitive, vacation rental providers are embracing effective promotional strategies, such as digital marketing and partnerships with online travel agencies. Core technologies like virtual tours and smart home automation are also gaining traction, enhancing the user experience. Despite these opportunities, regulatory compliance poses a significant challenge, with varying rules across European countries. As of 2021, Airbnb holds a 39.4% market share in Europe, underscoring the market's potential for growth.
What will be the Size of the Europe Vacation Rental Market during the forecast period?
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How is the Vacation Rental in Europe Market Segmented ?
The vacation rental in europe industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. Mode Of BookingOfflineOnlineManagementManaged by ownersProfessionally managedEnd-userLeisureBusinessGroupGeographyEuropeFranceItalySpainUK
By Mode Of Booking Insights
The offline segment is estimated to witness significant growth during the forecast period.
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The Offline segment was valued at USD billion in 2019 and showed a gradual increase during the forecast period.
Market Dynamics
Our researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.
The European vacation rental market is a thriving sector, driven by the increasing preference for flexible and personalized accommodations among travelers. Property management software plays a pivotal role in optimizing revenue management, with dynamic pricing models and guest communication tools significantly impacting satisfaction scores and booking conversions. Seasonal demand pricing strategies are analyzed to maximize rental income projections, while digital marketing campaigns are measured for their return on investment. Feedback mechanisms are essential for improving guest experience and managing property maintenance costs efficiently. Vacation rental insurance policies are assessed to mitigate risks, and compliance regulations are strictly adhered to in the rental industry. Effective payment processing fees are a critical consideration, with data analytics used to optimize occupancy rates and enhance online booking system usability. Best practices for managing guest reviews and reputation include using integration cleaning services for efficiency and reducing cancellation rates through effective policies. Strategies for promoting local experiences for guests and optimizing property listing descriptions are also essential for increasing bookings. The integration of cleaning services efficiency shows a notable improvement in the industry, with over 60% of leading players adopting this approach compared to only 30% in the past. Effective customer relationship management is crucial for fostering loyalty and repeat business. Techniques for improving search engine optimization listings and enhancing online booking system usability are essential for attracting and retaining customers. By focusing on these strategies, European vacation rental providers can maximize their rental income projections and maintain a competitive edge in the market.
What are the key market drivers leading to the rise in the adoption of Vacation Rental in Europe Industry?
The significant rise in European tourism has emerged as the primary market driver, attracting a substantial influx of tourists and fueling economic growth.
The European vacation rental market experiences continuous expansion due to the rising number of tourists in Europe. Europe is a significant contributor to the socio-economic activities within the European Union (EU), with touris
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The market is projected to surpass USD 4,00,911.98 Million by 2035, growing at a CAGR of 10.4% during the forecast period.
Metric | Value |
---|---|
Market Size in 2025 | USD 1,49,059.03 Million |
Projected Market Size in 2035 | USD 4,00,911.98 Million |
CAGR (2025 to 2035) | 10.4% |
Country-wise Outlook
Country | CAGR (2025 to 2035) |
---|---|
United States | 10.5% |
Country | CAGR (2025 to 2035) |
---|---|
United Kingdom | 10.3% |
Country | CAGR (2025 to 2035) |
---|---|
European Union | 10.4% |
Country | CAGR (2025 to 2035) |
---|---|
South Korea | 10.6% |
Segmentation Outlook
Accommodation Type | Market Share (2025) |
---|---|
Apartments | 42.5% |
Booking Mode | Market Share (2025) |
---|---|
Online/Platform-based | 76.3% |
Company Name | Estimated Market Share (%) |
---|---|
Airbnb Inc. | 30-35% |
Booking Holdings Inc. | 20-25% |
Expedia Group ( Vrbo ) | 15-20% |
TripAdvisor ( FlipKey ) | 5-9% |
Sonder Holdings Inc. | 3-7% |
Other Companies (combined) | 15-25% |
Competitive Outlook
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The short-term vacation rental market, valued at $116.14 billion in 2025, is experiencing robust growth, projected to expand at a compound annual growth rate (CAGR) of 8.32% from 2025 to 2033. This expansion is fueled by several key drivers. The rising popularity of experiential travel, coupled with the increasing affordability and accessibility of online booking platforms like Airbnb, Booking.com, and Expedia, significantly contributes to market growth. Furthermore, the diversification of rental options, including professionally managed properties catering to a wider range of traveler preferences, and the growing adoption of vacation rentals by families and groups seeking more space and privacy compared to traditional hotels, are driving demand. The preference for unique and authentic travel experiences, often found in vacation rentals, also fuels this sector's growth. Geographic expansion into emerging markets and the ongoing technological advancements in property management systems are also contributing factors. However, the market faces certain challenges. Seasonal fluctuations in demand and potential regulatory hurdles related to licensing, taxation, and guest safety standards pose significant constraints. Competition from established hotel chains offering comparable amenities and pricing strategies necessitates continuous innovation and strategic adaptations by vacation rental providers. Fluctuations in global economic conditions and the impact of geopolitical events can also influence traveler spending and market growth. Nevertheless, the overall outlook remains positive, with the market poised for substantial expansion driven by sustained demand and evolving traveler preferences. The diverse range of booking methods (online and offline) and management styles (owner-managed and professionally managed) further contributes to the market's dynamism and adaptability. Key players are employing various competitive strategies, including strategic partnerships, technological upgrades, and brand building, to maintain a strong market presence and capture a larger share of this expanding market.
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The vacation rental market, valued at $86.12 billion in 2025, is experiencing robust growth, projected to expand at a compound annual growth rate (CAGR) of 25.79% from 2025 to 2033. This surge is driven by several factors. The increasing popularity of experiential travel, coupled with a rising preference for flexible and personalized accommodations over traditional hotels, significantly fuels market expansion. Technological advancements, particularly in online booking platforms and property management software, streamline the booking process and enhance customer experience, further propelling growth. The rise of remote work also contributes, as individuals seek extended stays in vacation destinations, blurring the lines between work and leisure. Market segmentation reveals a significant split between online and offline bookings, with online platforms dominating due to their convenience and wider reach. Similarly, professionally managed properties are gaining traction over owner-managed ones, reflecting a growing demand for reliable service and consistent quality. Competition among major players like Airbnb, Booking Holdings, and Expedia Group is fierce, prompting ongoing innovation and strategic partnerships to attract and retain market share. However, certain restraints impact market growth. Economic fluctuations and global events can significantly affect travel patterns and consumer spending on leisure activities. Regulations concerning short-term rentals, varying across different regions and jurisdictions, pose challenges for operators. Maintaining property standards and ensuring guest safety remain critical operational concerns, requiring continuous investment in technology and service enhancements. The analysis of leading companies, their market positioning, and competitive strategies within the specified regions (Europe: UK, France, Italy, Spain) reveals a dynamic landscape shaped by innovative marketing, targeted customer acquisition, and diversification of offerings. Addressing these challenges strategically, while leveraging technological advancements and shifting consumer preferences, will be crucial for sustained success in this burgeoning market.
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The global vacation rental market size surpassed USD 95.78 billion in 2025 and is projected to witness a CAGR of over 3.6% between 2026 and 2035, attributed to surge in digital platforms.
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The global Vacation Rental market is poised for significant expansion, projected to reach a substantial market size of approximately $95,500 million by 2025. This growth is fueled by a consistent Compound Annual Growth Rate (CAGR) of around 15% anticipated from 2025 to 2033. Key drivers propelling this surge include the increasing demand for authentic and personalized travel experiences, a growing preference for spacious and cost-effective accommodation options compared to traditional hotels, and the continuous technological advancements enhancing booking platforms and guest services. The COVID-19 pandemic, while initially disruptive, has paradoxically accelerated the adoption of vacation rentals, as travelers sought private and isolated dwelling options. This trend is expected to persist, solidifying vacation rentals as a mainstream choice for leisure and business trips. The market is segmented by application, with the Travel Industry dominating, followed by Commercial use cases and other niche applications. In terms of types, Apartment Rentals currently hold the largest share, reflecting their widespread availability and appeal for shorter stays, while Private Home Rentals are gaining traction for longer, more immersive experiences. The competitive landscape is characterized by the presence of major players such as Airbnb, Booking Holdings, and Expedia, who are continually innovating to enhance user experience, expand their property portfolios, and leverage data analytics to personalize offerings. Emerging trends like the rise of eco-friendly and sustainable rentals, the integration of smart home technologies for enhanced convenience, and the increasing popularity of unique stays (e.g., treehouses, houseboats) are shaping the future of the vacation rental market. However, challenges such as regulatory hurdles in certain popular destinations, varying quality standards across properties, and intense price competition pose potential restraints. Geographically, North America and Europe currently lead the market in terms of size and adoption, driven by well-established tourism infrastructures and high disposable incomes. The Asia Pacific region, with its burgeoning middle class and expanding travel industry, presents the most significant growth opportunity for the coming years, with countries like China and India expected to witness substantial increases in vacation rental bookings. This report delves into the dynamic global Vacation Rental market, providing an in-depth analysis from the historical period of 2019-2024 to a projected forecast up to 2033, with a base year of 2025. The analysis will offer crucial insights into market concentration, evolving trends, regional dominance, product landscapes, and the key players shaping this multi-million unit industry.
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The Short Term Vacation Rental Market is Segments by Accommodation Type (Apartments / Condominiums, Homes / Villas, and More), by Booking Channel (Online Travel Agencies, Direct Owner Websites, and More), by Guest Type (Leisure Travelers, Business and Bleisure Travelers, and More) and by Geography (North America, Europe, Asia-Pacific, Latin America, Middle East & Africa). The Market Forecasts are Provided in Terms of Value (USD)
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The family vacation rental market is experiencing robust growth, driven by increasing disposable incomes, a preference for personalized travel experiences, and the rise of remote work enabling more flexible vacation scheduling. The market's expansion is fueled by the convenience and affordability offered by platforms like Airbnb, Vrbo, and Booking.com, which cater to diverse family needs and budgets. Technological advancements, including improved search functionalities and user-friendly booking interfaces, further enhance the market's appeal. While the exact market size in 2025 requires further specification, considering the consistent growth reported in previous years (assuming a CAGR of approximately 10% based on industry averages), a reasonable estimate would place the market size above $50 billion USD. This figure will continue to climb, propelled by ongoing trends. However, the market also faces certain challenges. Increased regulations on short-term rentals in various regions pose a significant restraint. Furthermore, competition amongst established platforms and the emergence of new players necessitate continuous innovation and strategic adaptations to maintain market share. Factors such as fluctuating travel costs and economic uncertainty can influence demand. Segmentation within the market includes various property types (houses, condos, cabins), pricing tiers, and geographic locations, each presenting unique growth opportunities. The leading companies, including Vrbo, Airbnb, HomeAway, and Booking.com, are actively investing in technology and marketing to capture larger market segments and expand globally. The long-term forecast projects continued growth, especially in emerging markets exhibiting an increasing interest in family vacation rentals. The strategic focus of these businesses is on enhancing customer experience through personalization and streamlined booking processes.
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The Vacation Rental Website Market is estimated to be valued at USD 2.3 billion in 2025 and is projected to reach USD 7.3 billion by 2035, registering a compound annual growth rate (CAGR) of 12.1% over the forecast period.
Metric | Value |
---|---|
Industry Size (2025E) | USD 2.3 billion |
Industry Value (2035F) | USD 7.3 billion |
CAGR (2025 to 2035) | 12.1% |
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Global Vacation Rental Market was valued at USD 83.87 billion in 2023 and is anticipated to project robust growth in the forecast period with a CAGR of 4.89% through 2029.
Pages | 185 |
Market Size | 2023: USD 83.87 Billion |
Forecast Market Size | 2029: USD 111.32 Billion |
CAGR | 2024-2029: 4.89% |
Fastest Growing Segment | Resort/Condominium |
Largest Market | Europe |
Key Players | 1. Hotelplan Group 2. MakeMyTrip (India) Private Limited 3. Awaze A/S (NOVASOL) 4. Airbnb, Inc. 5. Booking Holdings Inc. 6. Expedia, Inc. 7. Belvilla AG 8. Sonder Holdings Inc. 9. Plu&m Limited 10. Wyndham Destinations Inc. |
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The global vacation rentals market size reached approximately USD 90.20 Billion in 2024. The market is projected to grow at a CAGR of 4.10% between 2025 and 2034, reaching a value of around USD 134.81 Billion by 2034.
--- DATASET OVERVIEW --- This dataset captures detailed information about each vacation rental property listing, providing insights that help users understand property distribution, characteristics, management styles, and guest preferences across different regions. With extensive global coverage and regular weekly updates, this dataset offers in-depth snapshots of vacation rental supply traits at scale.
The data is sourced directly from major OTA platforms using advanced data collection methodologies that ensure high accuracy and reliability. Each property listing is tracked over time, enabling users to observe changes in supply, amenity offerings, and host practices.
--- KEY DATA ELEMENTS --- Our dataset includes the following core performance metrics for each property: - Property Identifiers: Unique identifiers for each property with OTA-specific IDs - Geographic Information: Location data including neighborhood, city, region, and country - Listing Characteristics: Property type, bedroom count, bathroom count, in-service dates. - Amenity Inventory: Comprehensive list of available amenities, including essential facilities, luxury features, and safety equipment. - Host Information: Host details, host types, superhost status, and portfolio size - Guest Reviews: Review counts, average ratings, detailed category ratings (cleanliness, communication, etc.), and review timestamps - Property Rules: House rules, minimum stay requirements, cancellation policies, and check-in/check-out procedures
--- USE CASES --- Market Research and Competitive Analysis: VR professionals and market analysts can use this dataset to conduct detailed analyses of vacation rental supply across different markets. The data enables identification of property distribution patterns, amenity trends, pricing strategies, and host behaviors. This information provides critical insights for understanding market dynamics, competitive positioning, and emerging trends in the short-term rental sector.
Property Management Optimization: Property managers can leverage this dataset to benchmark their properties against competitors in the same geographic area. By analyzing listing characteristics, amenity offerings and guest reviews of similar properties, managers can identify optimization opportunities for their own portfolio. The dataset helps identify competitive advantages, potential service gaps, and management optimization strategies to improve property performance.
Investment Decision Support: Real estate investors focused on the vacation rental sector can utilize this dataset to identify investment opportunities in specific markets. The property-level data provides insights into high-performing property types, optimal locations, and amenity configurations that drive guest satisfaction and revenue. This information enables data-driven investment decisions based on actual market performance rather than anecdotal evidence.
Academic and Policy Research: Researchers studying the impact of short-term rentals on housing markets, urban development, and tourism trends can use this dataset to conduct quantitative analyses. The comprehensive data supports research on property distribution patterns and the relationship between short-term rentals and housing affordability in different markets.
Travel Industry Analysis: Travel industry analysts can leverage this dataset to understand accommodation trends, property traits, and supply and demand across different destinations. This information provides context for broader tourism analysis and helps identify connections between vacation rental supply and destination popularity.
--- ADDITIONAL DATASET INFORMATION --- Delivery Details: • Delivery Frequency: weekly | monthly | quarterly | annually • Delivery Method: scheduled file loads • File Formats: csv | parquet • Large File Format: partitioned parquet • Delivery Channels: Google Cloud | Amazon S3 | Azure Blob • Data Refreshes: weekly
Dataset Options: • Coverage: Global (most countries) • Historic Data: N/A • Future Looking Data: N/A • Point-in-Time: N/A • Aggregation and Filtering Options: • Area/Market • Time Scales (weekly, monthly) • Listing Source • Property Characteristics (property types, bedroom counts, amenities, etc.) • Management Practices (professionally managed, by owner)
Contact us to learn about all options.
--- DATA QUALITY AND PROCESSING --- Our data collection and processing methodology ensures high-quality data with comprehensive coverage of the vacation rental market. Regular quality assurance processes verify data accuracy, completeness, and consistency.
The dataset undergoes continuous enhancement through advanced data enrichment techniques, including property categorization, geographic normalization, and time series alignment. This processing ensures that users receive clean, structured data ready for immediate analysis without extensive preprocess...
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Global vacation rental market size was worth around USD 92.93 billion in 2023 and is to grow to around USD 129.99 billion by 2032, (CAGR) of 3.80% between 2024 and 2032
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The global housing rental platform market, currently valued at $41.94 billion (2025), is poised for significant growth. While the precise CAGR is unavailable, considering the rapid expansion of the short-term rental market fueled by platforms like Airbnb and the increasing preference for flexible living arrangements, a conservative estimate would place the annual growth rate between 10-15%. This growth is driven by several factors: the increasing popularity of vacation rentals, the rise of remote work fostering a demand for longer-term rentals in diverse locations, and technological advancements enhancing platform functionalities (e.g., streamlined booking processes, enhanced property management tools). Trends such as the integration of AI for personalized recommendations and the increasing adoption of mobile-first booking strategies further contribute to market expansion. However, the market faces challenges including regulatory hurdles related to licensing and taxation of short-term rentals, concerns about property security and guest safety, and competition from traditional real estate agencies. Market segmentation reveals substantial opportunities within both the type of platform (cloud-based solutions gaining traction for scalability and accessibility) and application (short-term rentals dominate the market share, although long-term lease platforms are seeing substantial growth driven by the remote work trend). Geographic distribution shows strong performance in North America and Europe, driven by established platforms and high adoption rates. However, significant untapped potential exists in Asia-Pacific and other emerging markets with increasing internet penetration and urbanization. The competitive landscape is dynamic, with established players like Airbnb and Booking.com facing competition from niche platforms catering to specific needs (e.g., long-term rentals, corporate housing). Future growth will depend on continued technological innovation, regulatory compliance, and effective strategies to address market challenges and tap into emerging markets.
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The short-term rental (STR) solution market is experiencing robust growth, driven by the increasing popularity of vacation rentals and the rise of the sharing economy. The market size in 2025 is estimated at $15 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033. This significant expansion is fueled by several key factors: the continued surge in travel and tourism, the increasing preference for unique and personalized travel experiences offered by STRs, and the technological advancements in property management software and online booking platforms. Furthermore, the increasing demand for efficient property management solutions, especially by large property owners and management companies, fuels the adoption of comprehensive STR software and service offerings. The market segmentation reveals a strong presence of both software and service solutions, catering to both personal and enterprise needs. Software solutions dominate, facilitating property listing, booking management, guest communication, and financial operations. Service solutions, including property management and concierge services, cater to owners seeking hands-off management, particularly those managing multiple properties. North America and Europe currently hold the largest market share, but significant growth potential exists in Asia-Pacific and other emerging markets due to increasing tourism and infrastructure development. Despite the market’s dynamism, challenges persist, including regulatory hurdles in certain regions, competition from traditional hospitality sectors, and the need for robust cybersecurity measures to protect user data and maintain operational security. These factors influence the overall market trajectory, prompting companies to innovate and adapt to stay competitive.
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Vacation Rental Market Size 2025-2029
The vacation rental market size is valued to increase USD 22 billion, at a CAGR of 4.1% from 2024 to 2029. Growing tourism industry and increasing popularity of short-term vacation rental properties will drive the vacation rental market.
Major Market Trends & Insights
Europe dominated the market and accounted for a 32% growth during the forecast period.
By Management - Managed by owners segment was valued at USD 48.50 billion in 2023
By Method - Offline segment accounted for the largest market revenue share in 2023
Market Size & Forecast
Market Opportunities: USD 68.07 billion
Market Future Opportunities: USD 22.00 billion
CAGR : 4.1%
Europe: Largest market in 2023
Market Summary
The market encompasses the provision of short-term stays in residential properties, including houses, apartments, and homestays. This market is experiencing significant growth due to the expanding tourism industry and the increasing popularity of flexible accommodation options. According to recent data, the vacation rental sector is projected to account for over 20% of the global accommodations market share by 2025. Core technologies, such as instant booking features and digital payment systems, are revolutionizing the vacation rental industry, making it more accessible and convenient for travelers.
However, challenges persist, including the risks associated with fraudulent listings and the need for robust regulatory frameworks to ensure consumer protection. As the market continues to evolve, it presents numerous opportunities for innovation, particularly in the areas of personalized services and sustainable tourism practices.
What will be the Size of the Vacation Rental Market during the forecast period?
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How is the Vacation Rental Market Segmented and what are the key trends of market segmentation?
The vacation rental industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.
Management
Managed by owners
Professionally managed
Method
Offline
Online
Type
Home
Apartments
Resort/Condominium
Others
Geography
North America
US
Canada
Europe
France
Italy
UK
APAC
China
India
Japan
South America
Brazil
Rest of World (ROW)
By Management Insights
The managed by owners segment is estimated to witness significant growth during the forecast period.
The markets witness significant trends shaping their operations and growth. Automated check-in and check-out systems streamline the guest experience, reducing manual labor and increasing efficiency. Social media marketing plays a crucial role in attracting and engaging potential renters, with 55% of travelers using social media to plan their trips. Legal compliance requirements are essential for vacation rental businesses, with occupancy rate optimization and access control systems ensuring adherence to regulations. Property valuation methods and smart home technology enhance the value proposition for renters, while energy management systems contribute to cost savings and sustainability. Keyless entry systems and guest review management tools facilitate seamless communication and improve the guest experience.
Customer service automation, cleaning service scheduling, revenue management strategies, and property management software enable owners to optimize their operations and maximize revenue. Rental agreement templates, digital marketing strategies, online booking systems, maintenance request systems, booking calendar software, dynamic pricing models, and channel management platforms are essential tools for vacation rental businesses. Guest experience platforms, yield management techniques, rental income projections, search engine optimization, payment gateway integration, tax calculation software, guest data analytics, customer relationship management, fraud prevention measures, accounting software integration, housekeeping management systems, guest communication tools, pricing optimization algorithms, insurance policy management, security system integration, and performance tracking metrics are all integral components of the evolving the market.
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The Managed by owners segment was valued at USD 48.50 billion in 2019 and showed a gradual increase during the forecast period.
Industry growth is expected to be robust, with 32% of travelers expressing interest in vacation rentals as an alternative to hotels. Additionally, the adoption of technology in vacation rental businesses is projected to increase by 37% in the next five years (Source: Market Research). These trends underscore the import