Occupancy rates have already taken a hit as supply catches up with demand. 'Now it's going to be a bit more difficult to do that.' 'It was a joke last year that you could put a tent in your backyard and rent it,' Jamie Lane, AirDNA's vice president of research, said. Last year's high occupancy rates were likely an historic blip for the vacation-rental industry, unlikely to be seen again, a midyear report by AirDNA said. They reached an annual average of more than 60%, up from the 53% they hovered around through 20, according to the vacation-rental-data firm AirDNA.īut owners shouldn't bank on that gravy train. Occupancy rates, meanwhile, swelled to an industry record. Rooms and houses were booked at such a rapid rate that the median yearly profit for Airbnb hosts soared 85% in 2021 from the pre-pandemic days of 2019 to a record high of nearly $14,000. Last year, a short-term-rental boom swept the country, fueled by a pent-up demand for travel and the expansion of remote work. Demand continues to grow in 2022, but the landscape is more competitive.Pandemic-fueled demand and limited supply created an anomaly for the industry, AirDNA said.

Short-term-rental occupancy rates reached 60% in 2021, led by sites such as Airbnb.

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Airdna report