US: Vacation rental company Vacasa has released its first-ever report which details the demographics, budgets and motivations of today’s rental buyers.
The 2019 Vacasa Vacation Rental Buyers Report was created by using the data of 721 buyers who have each purchased at least one vacation rental.
Speaking about the report, the firm says it is the first of its kind to include the most robust set of qualitative and quantitative data available in the market today. It was commissioned by Vacasa’s real estate arm due to a lack of information available about the vacation rental buyer.
The report aims to not only provide critical information to better equip Vacasa’s network of 1,300+ partner and independent agents, but to also inform the industry at large.
According to the data, more than a quarter of those surveyed are in the market to buy multiple vacation homes. Some of those respondents said they had acquired up to five short-term rentals, which is contrary to the common perception that owners only seek to cover costs on their properties and that generating income is a second tier incentive.
Buyers were found to span all generations, ranging from younger buyers in their 20s to mature buyers in their 70s. Furthermore, the majority of those surveyed say they are planning to spend under $400,000, so buyers are not required to break the bank to tap into the vacation rental market.
The report also found a striking correlation between age and motivation, as buyers’ primary intent shifts from investment to personal use in their mid-50s. On the topic of location, 65 per cent said they had not decided on which city to buy in, and nearly a quarter said they would buy a home without seeing it if they had visited the region at least once and the home met certain criteria.
Vacasa Real Estate senior director Shaun Greer said: “When we created the report, we wanted to not only learn more about today’s buyer and the market opportunity, but also understand the challenges they face when trying to make a decision on a short-term rental property.
“There is a lot to consider for buyers and they look to their agents to understand local market popularity for travellers, as well as short-term rental regulations,” he added.
As well as providing an insight into the buyers of today, the report also focuses on buyers’ concerns and where they find gaps in vacation rental information. Within this discussion, 38 per cent said “it’s difficult to make the right decision on buying or managing a vacation rental because there is a lot of conflicting information out there”.
Meanwhile, 61 per cent of respondents revealed they felt it was “extremely important” for their agent to have insights on vacation rental markets.
Vacasa Real Estate, which launched in 2018, has more than 1,200 agents in its Expert Agent network, as well as 97 brokers across 16 states. That network is set to be scaled up across the United States in the coming years.
The full 2019 Vacasa Vacation Rental Buyers Guide can be downloaded here.