VRBO recently released The VRBO Trend Report 2020, which is based on data collected from their global vacation rental market place. They used research on American travel behaviors over a 12-month period in 2019 to predict trends for 2020. For vacation rental investors looking to grow their portfolios in the coming year, here are three key domestic travel trends to pay attention to from the report.
Convenient travel destinations, including travelers’ hometowns, are becoming increasingly popular.In large urban markets such as Chicago, Philadelphia, Dallas, Atlanta, and more, people are booking vacation rentals to get away from home without leaving the city. Part of this trend is that people are renting larger spaces for everyone to stay together and celebrate the holidays. For those looking to leave their hometowns, they are opting for road trips within 300 miles. Think short and sweet vacations.
- Investor Takeaways: Don’t shy away from marketing your vacation rentals in the same city! Also, when investing in urban areas, focus on larger homes that sleep more and have space for holiday festivities.
- Top 2020 Destination Predictions Based on this Trend: St. Louis, Missouri; McCurtain County, Oklahoma; Newton County, Arkansas; Grays Harbor County, Washington; Ruidoso, New Mexico
Americans are more and more interested in outdoor vacations and nature.According to the report “beautiful views with a cherry log on top” are in.
- Investor Takeaways: Invest in homes near fun nature activities, such as national parks, lakes, or hiking spots.
- Top 2020 Destination Predictions Based on this Trend: Terlingua, Texas; Bella Vista, Arkansas; Westport, Washington; Cherry Log, Georgia; Edisto Island, South Carolina
People are traveling in larger groups than before.VRBO research found that 44% of travelers plan to travel in groups greater than four. Millennials and Gen Xers, in particular are, following this trend at percentages of 58 and 50, respectively. Further, 52% of all travelers plan to travel with their families.
- Investor Takeaways: Invest in homes with 3+ bedrooms and make your vacation rentals family-friendly.
- Top 2020 Destination Predictions Overall: Gatlinburg and Pigeon Forge, Tennessee; Gulf Shores, Alabama; Miramar and Rosemary Beach, Florida; Panama City Beach, Florida; Maui, Hawaii
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Related: Use Generational Vacation Trends to Grow Your Short-Term Rental Business, How to Make Your Vacation Rental Property More Appealing to Millennials