Top Short-Term Rental Trends to Watch in 2023

Short-term rentals have become increasingly popular over the past few years. Platforms like Airbnb and Vrbo are offering travelers more options than ever before when it comes to finding a place to stay while on vacation. The market’s growth has revealed emerging trends for STR investing in 2023. Here are the top 6 trends to keep an eye on as the year progresses:

Travelers Leaning towards Domestic vs. International Travel

After the pandemic, many people are opting for domestic rather than international vacations, leading to an increase in demand for stateside short-term rentals. Forbes Magazine reports that domestic travel is exceeding pre-pandemic levels whereas international travel is still down 34% from before. Travelers are likely to keep looking for properties within driving distance that can offer outdoor activities such as hiking, biking, and skiing. If you want to see what properties near you might also fit these needs, sign up to reserve a seat for our Sourcing Engine when it drops!

Property Customization

Short-term rental property owners are offering more customized options for their guests, such as concierge services, unique decor, and personalized amenities. With the rise of new technology in the market, companies like Keyturn are using the latest products out there to ensure that our guests’ stay is enjoyable and safe. Tools such as keyless home entry, smart thermostats, or safety monitors can elevate a guest’s experience throughout the duration of their stay.

Increased Demand for Luxury Rentals

As more people choose to travel domestically and work remotely, there has been an exponential rise in demand for luxury rentals. These properties often feature high-end amenities like private pools, hot tubs and spas, and outdoor kitchens. Travelers are willing to pay a premium for these luxury properties, and as a result, property owners are investing in renovations and upgrades to meet the demand. It is important for property managers or companies like Keyturn to make sure they’re providing top-of-the-line customer service in keeping with these homes.

Sustainable Properties

As environmental awareness continues to grow, more travelers are seeking out sustainable properties. These have been designed with sustainability in mind, using eco-friendly materials and energy-efficient technologies. Travelers are willing to pay more for these environmentally friendly properties that offer a more sustainable way of living. In tandem, real estate companies should continue to seek ways to promote environmentally-friendly solutions to travelers.

Competition

An estimated 54% of new Airbnb listings have entered the market since 2020. In 2023, we expect supply to continue growing, and even though demand is keeping up, property owners will need to differentiate themselves amongst a growing competitor pool with memorable experiences, unique designs, and affordable costs to attract and retain customers. To help make sure your Airbnb stands out from the crowd, check out Keyturn’s in-house design services at Avalara.

From local travel to longer stays and sustainability, the demand for short-term rentals is shifting but continuing to grow. Property owners and managers who stay on top of these trends and adapt to the changing market will be best positioned to succeed.

Keyturn can help you stay ahead of the short-term rental market through our newsletter and up-to-date blog content. We give you all the information you need to maximize your income for the least amount of work. 

Interested in learning more? Subscribe to our newsletter here!