Short Term Rentals are the answer to post-pandemic travel

[Sebastian Giraldo]

Industry experts foresee domestic travelers will lift Short Term Rental occupancy throughout summer and fall.

VRBO’s most recent research shows that 2 out of 3 travelers prefer a vacation rental for 2020, and this research also shows that 24% of them will prefer to travel closer to home and 29% will prefer to take domestics trips. In 2020 people around the world are looking for a safe place to stay on a friendly budget and break the monotonous day to day routine.

This data and the booking increase in some markets make the fall and winter season highly promising. Nevertheless, Short Term Rental hosts should prepare for changes in the way they host tourists since nowadays vacations are turning into long stays.

The pandemic has definitely changed life as we knew it, and traveling is not an exception!

Tourists are now drawn to domestic destinations, particularly if they are a driving distance and avoid any being exposed to large crowds since a large part of the travelling fear is when it comes to commuting to your destination. “We just want to get away” is the common phrase and totally applies to the times of our day.

In the turistic Smoky Mountains of Tennessee and NC bookings compared to last year have increased by 67%. 17% of guests are state locals while 50% come from nearby states.

A common and important trend we are going to see in the new normal for travel is reservations being processed much closer to the planned travel date, the reluctance to book in advance is up in the air as guests fear they might lose their money since there is always the possibility of an uptick in virus cases.

This conservative attitude is a logical response to the uncertainty caused by the pandemic which has reduced American’s expenses to levels unseen since the 1980s.

New norms are needed during these times, the most important one will be: Flexible cancellation policies and cleanliness

It is well known that cleanliness will be a key feature for travelers in the new normal. At the moment, the best way to fight the virus is by adopting strict sanitizing guidelines and consistent promotion of healthy living.

High-performing listings on cleanliness will be more likely to get more bookings than those who don’t. As a result of COVID-19, 51% of travelers say they will pay more attention to the cleanliness standards of their accommodations prior to booking.

On the other hand, flexible cancellation policies will be the next trend when it comes to Vacation Rentals. According to VRBO “77% of travelers surveyed said they will be more likely to choose accommodations with flexible cancellation policies.”

But WHY are Short Term Rentals the Answer?

Because they are sanitary. That’s it I said it. Let me give you an example: contrary to hotels, Short Term Rentals doesn’t have hundreds of people passing through a common area like a lobby, a restaurant, or a pool. Which result in being exposed to high touch areas and air.

On the other hand, people want to feel safe surrounded only by the group, family, or friends they are traveling with, this is great for vacation rentals which are single occupancy, where social distancing is easier and cross-contamination of germs less likely. Another reason why Short Term Rentals are the answer in post-pandemic travel.

The challenge for the Vacation Rental market

As business reopens and society moves towards the new normality, the forecast for the hospitality industry is positive. Cleanliness and flexible cancellations will be the cornerstone of this new era, and domestic travelers the lifesavers of many local businesses.

Both guests and hosts must prepare for a new scenario where crowded spaces and human interactions will shift to intimate and private experiences. For these and many other reasons, single-family homes are the way to go since you're assured of 100% private space, no restrictions on amenities, and plenty of open outdoor activities.

We’re always looking to connect and engage in conversation about changes in hospitality and other similar industries such as services and transportation.

TELL US! Are you getting ready for the new normal in traveling? Has your local Short Term Rental market fully recovered? We’re all eyes and hears ; )