As we move further into the 21st century, the short-term rental markets (also known as the vacation rental industry) continue to grow and evolve at a rapid pace. In order to stay ahead of the curve, it's important for property owners and managers to be aware of the latest trends and developments.
So, what can we expect in 2023? In this article, we take a look at some of the most notable trends that will shape the market over the next few years. Keep reading to learn more about short let management trends.
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Increased demand for flexible, short-term rentals
The rise of remote work and flexible travel schedules has led to an increase in demand for flexible, vacation rental properties. Many people are now able to work from anywhere, which has opened up new opportunities for travel and exploration. This has resulted in a greater demand for vacation rentals, as travellers are looking for comfortable, convenient, and cost-effective alternatives to traditional hotels.
One of the main advantages of vacation rentals is their flexibility. Rather than being restricted to a set check-in and check-out time, travellers can often book rentals for a specific number of days and have the option to extend their stay if needed. This makes vacation rentals a particularly appealing option for people who are working remotely and need a place to stay for an extended period of time.
In addition to the rise of remote work, the COVID-19 pandemic has also had a significant impact on the travel market. Many people are hesitant to stay in traditional hotels due to concerns about cleanliness and social distancing. As a result, vacation rentals have become a more popular option as they offer a sense of privacy and control over the space, allowing travellers to feel more comfortable and safe.
Growing popularity of vacation home rentals
The growing popularity of vacation home rentals, such as beach houses, mountain chalets, and other types of private homes, has been a key trend in the vacation rental industry in recent years. These rentals offer travellers more space and privacy than traditional hotel rooms, making them a desirable option for many people.
One of the main advantages of vacation home rentals is the extra space and amenities they offer. These rentals often come equipped with fully-functioning kitchens, multiple bedrooms and bathrooms, and outdoor spaces such as patios or balconies. This makes them a great option for families or groups of friends who are travelling together and want more space and privacy than a traditional hotel room can provide.
In addition to the added space and amenities, vacation home rentals can also be more cost effective than traditional hotels. In many cases, the cost of renting a vacation home is similar to or even lower than the cost of booking multiple hotel rooms, making it a more budget-friendly option for travellers.
Popular destinations for vacation home rentals include beach towns, ski resorts, and major cities. These destinations offer a range of activities and attractions that appeal to a wide range of travellers, making them ideal locations for vacation home rentals. Property managers and property owners who are able to offer high-quality rentals in these sought-after destinations will be well-positioned to capitalise on this trend.
Increased use of technology in the short-term rental industry
The increased use of technology in the vacation rental industry has had a significant impact on the way properties are booked and managed. From the bookings process to property management, technology has become an integral part of the vacation rental industry.
One of the main ways that technology is being used in the vacation rental industry is through online platforms such as Airbnb and VRBO. These platforms allow property managers and owners to list their rentals and manage bookings online, making it easier for travellers to find and book properties. In addition to the convenience and accessibility of these platforms, they also offer a range of tools and features that can help property managers and owners streamline their business operations and provide a better experience for their guests.
Having a strong online presence is crucial for success in the vacation rental industry. In addition to using online booking platforms, it is important for property owners and managers to have a professional website and an active social media presence. This can help to attract more bookings and build trust with potential guests.
Vacation rental industry & changes in government Regulations in the UK
In the UK, the vacation rental market is subject to a range of local, regional, and national regulations and policies. These rules are designed to ensure that short-term rentals operate safely, fairly, and responsibly, and they apply to a range of issues including zoning, taxation, and health and safety.
London's 2019 90-Day Airbnb Rule:
One recent example of changes in government regulations and policies in the UK is the London 90-day Airbnb rule, which was introduced in 2019. This rule limits the number of days that short-term rentals can be made available on platforms such as Airbnb to a maximum of 90 days per calendar year. The rule is intended to address concerns about the impact of a vacation rental on the availability of long-term housing in the city. Property owners and managers who exceed this limit may be subject to fines and other penalties.
Edinburgh's 2022 Planning Control Areas:
Another example of changes in government regulations and policies in the UK is the Edinburgh short let legislation. Earlier this year, Edinburgh became the first city in Scotland to restrict the use of properties for short-term lettings. The Scottish government passed a policy which means that the city of Edinburgh has now become a planning control area. Planning control areas have been introduced to tackle the lack of affordable housing and increase the availability of long-term housing.
Further Reading: Understanding Changes to Short-Term Letting Regulations in Edinburgh
Property managers and owners are required to stay informed about these regulations and to ensure that their rentals are operating in compliance with them. By staying up-to-date on these issues, property managers and owners can help to ensure that their rentals are safe, fair, and responsible, and can provide a high-quality experience for their guests.
Conclusion on the short let management market in 2023
The short let management market is predicted to grow significantly in the next few years. Professional landlords and second homeowners can benefit greatly from partnering with a short-let management company.
The Houst professional hosting team is experienced in providing innovative services, competitive pricing, and excellent guest experience – resulting in increased returns for property owners with a focus on optimising average daily rates without the added hassle.
With the right strategies and tools at hand, professional landlords and second homeowners have all they need to maximise their success. So why wait? Partner with us today and watch your portfolio grow!