As the vacation and short-term rental industry continue to flourish, it's crucial for property owners and managers to stay abreast of the latest trends and developments. In this article, here are six key trends that can be expected in 2023, offering valuable insights to navigate the evolving landscape of short-term rentals.

  1. Increased Regulation: The short-term rental industry is facing mounting regulatory scrutiny. Expect more cities and towns to introduce rules and regulations to address concerns such as housing availability, zoning, and safety. While this may add complexity to operations, staying informed and cooperating with local policies will be essential for property owners and managers.
  2. Growth of Alternative Accommodations: Traditional hotels are no longer the sole choice for travellers. Unique and unexpected experiences are becoming increasingly popular. In 2023, anticipate the rise of alternative short-term rental options like tiny homes, yurts, and glamping tents. These unconventional accommodations will provide competition to traditional hotels and basic short-term listings.
  3. Increased Use of Technology: Technology continues to play a significant role in the short-term rental industry. Property owners and managers can leverage online booking platforms, property management software, smart home technology, and virtual reality to streamline operations and market their rentals. Expect the emergence of new tools and innovations tailored specifically for the short-term rental space in 2023.
  4. Increased Focus on Sustainability: With growing environmental consciousness among travellers, sustainability will take centre stage in the short-term rental industry. Property owners and managers will need to incorporate environmentally friendly features and practices into their rentals to meet traveller demands. This may involve energy-efficient appliances, low-flow showerheads, recycling programs, and promoting sustainable initiatives to align with guests' values.
  5. Greater Competition: Competition within the short-term rental market is intensifying. As more listings enter the market, existing players must differentiate themselves by offering unique and compelling rental experiences. Special amenities, local attractions, exceptional customer service, and continuous improvement of offerings will be crucial to attract and retain guests.
  6. Continued Growth: Despite economic fluctuations, the short-term rental industry is predicted to continue its upward trajectory. As people seek flexible, affordable, and comfortable accommodations, short-term rentals will remain a popular choice. Property owners and managers must adapt to changing market conditions and stay updated with industry reports to ensure their rentals remain competitive and successful.

The holiday and short-term rental industry is evolving rapidly, and 2023 is poised to be an exciting year of growth and change. Property owners and managers who proactively embrace these trends, stay informed, and adapt to the evolving demands of travellers will position themselves for success in this dynamic market. By embracing technology, sustainability, and differentiation, short-term rental professionals can thrive and provide exceptional experiences for their guests.