The Short-Term Vacation Rental Market Overview 2025 report reveals that the market size has grown significantly over the past few years, with projections indicating further expansion.
The market size of the Short-Term Vacation Rental industry has seen a steady increase in recent years. It rose from $120.77 billion in 2024 to $131.65 billion in 2025, recording a compound annual growth rate (CAGR) of 9.0%.
The Short-Term Vacation Rental market is projected to reach a size of $184.51 billion by 2029, expanding at a compound annual growth rate of 8.8%.
Download Your Free Sample of the 2025 Short-Term Vacation Rental Market Report and Uncover Key Trends Now!The drivers in the short-term vacation rental market are:
• Increased demand for travel
• Rise in popularity of remote work
• Growth in individual disposable incomes
• Preference for vacations in rural or scenic locations over urban settings
The short-term vacation rental market covered in this report is segmented –
1) By Accommodation Type: Home, Apartments, Resorts Or Condominium, Other Accommodation Types
2) By Booking Mode: Online Or Platform-Based, Offline
3) By Management: Managed By Owners, Professionally Managed
The trends in the short-term vacation rental market are:
• Increasing demand for eco-friendly and sustainable rentals is one of the emerging trends.
• Personalized recommendations and targeted marketing are shaping the vacation rental market future.
• The rise of remote work and digital nomadism is expected to impact short-term vacation rentals.
• The integration of AI, data analytics, and VR/AR tech to offer tailored and immersive experiences is anticipated as a significant trend.
The major players in the short-term vacation rental market are:
• Booking Holdings Inc.
North America was the largest region in the short-term vacation rental market in 2023