- Annual Report 2022
2022 Trends Report on the Short-Term Vacation Rental Industry
2022 was a year of growth and expansion for our company as we welcomed many new partnerships and introduced a variety of new features. One of the most exciting developments was the launch of a special product tailored to meet the needs of hosts and property managers.
At the heart of everything we do is our passion for helping vacation rental hosts succeed. Throughout the year, we remained dedicated to assisting our clients in achieving their goals of boosting direct bookings and maximizing profits.
As we reflect on the highlights of the past year, we also look forward to the exciting opportunities and advancements that the new year will bring. 2023 promises to be another successful chapter for our company and our valued clients.
2022 Florida Rental By Owners Statistics
Let's dive into Florida Rental By Owners 2022 statistics starting with the website traffic. The key performance indicators (KPIs) in relation to website traffic goals were comparable to 2020, with 2021 being an outlier year for the entire vacation rental industry due to the pandemic and travel restrictions. Rental professionals agree that looking at the results of 2020 is a sound comparable for 2022 results. FLARBO continues as a leader in the Florida, U.S.A. vacation rental industry in attracting and converting qualified travelers into booked guests for subscribers. Our website experienced impressive traffic, surpassing 1.2 million visits.
The Florida Rental By Owners advertising marketplace has been instrumental in helping FLARBO hosts achieve their objectives. Our community of active users has grown substantially, with nearly a million individuals utilizing our platform (914,109). The numbers speak for themselves and demonstrate the effectiveness of our marketplace in connecting vacation rental property owners with interested renters.
At Florida Rental By Owners, we pride ourselves on providing a user-friendly and efficient experience for travelers searching for the perfect vacation rental in Florida. Our specialized and localized approach to property search allows visitors to quickly and easily find the ideal accommodation that fits their specific needs and preferences. This dedication to customer satisfaction is reflected in our website's impressive performance, with over 4.5 million unique page views in 2022 alone.
Website Visitor Profiles
When it comes to Florida Rental By Owners vacation rental site, the majority of travelers (62%) fall within the 35-64 age bracket. This demographic tends to have a higher budget for travel due to their disposable income. However, it's worth noting that there has been an uptick in younger travelers (25-34) comprising 15% of visitors to the website. Additionally, retirees (65 and above) also make up 15% of website visitors.
Our website visitors are primarily female, with 59% of users identifying as such. The percentage of male visitors remains at 40%. This aligns with industry trends which indicate that women tend to take on the role of planning and coordinating vacations within travel groups.
|25 - 34
|35 - 44
|45 - 54
|55 - 64
Popular Search Locations
Florida offers a wide variety of destinations for travelers, from bustling cities to tranquil villages. In 2022, we've seen a high demand for vacation rentals in popular coastal areas, as well as in central Florida near theme parks. As demand for these types of locations continues to outpace available rental inventory, listing your property on FLARBO is a great way to maximize your rental potential and reach potential renters.
High Searches Sample List for Florida locales:
|Anna Maria Island
|Indian Rocks Beach
Popular Vacation Type Searches
Florida Rental By Owners is a vacation rental listing platform that focuses on matching travelers with the types of rentals they are looking for. In 2022, we've seen a strong demand for monthly and seasonal rentals, particularly from early retirees, digital nomads, and families working and learning remotely. Who wouldn't want to spend part of the year in Florida? One of the most popular search criteria among our users is beachfront or beach view properties, which makes sense given Florida's vast coastlines.
In addition to long-term rentals, we've also seen a rise in searches for last-minute deals, as many travelers are looking to take advantage of spontaneous getaways. Other high-demand search categories include pet-friendly rentals and rentals that can accommodate large groups, as well as budget-friendly options
High Vacation Type Searches Sample List for Florida locales:
|Monthly Snowbird - Seasonal
|Last Minute Deals
|Vacation Rentals with Docks
Listing Assortment and Growth
Florida Rental By Owners Inquiry Statistics for the Year 2022
FLARBO's strong focus on high demand vacation types and changing traveler avatars as well as continued development of Search Engine Optimization (SEO), advertising and marketing strategies led to increased inquiry growth since initial launch in May 2017.
In year 2022, Florida Rental By Owners inquiries and booking requests exceeded our goals for each property listing on average. Using out 5:1 inquiry to booking ratio, each property on average had at least 10 bookings originating from the FLARBO platform. This is an excellent return on investment since the average booking is $2,500/wk. Average FLARBO listings generated $25,000 rental income for hosts. Hosts that have higher weekly rates generated more.This was a fantastic accomplishment showing that Florida Rental By Owners is one of the premier vacation rental listing sites for the state of Florida.
Co-founder Nancy McAleer states; "I have 3 properties listed Florida Rental By Owners, which generated $39,646 each for a total of $118,938 in the year 2022 on our listing site. I also saved just under $6,000 in the 3% commission fees I would have paid a platform like Airbnb or VRBO for those same bookings."
At Florida Rental By Owners, we are dedicated to providing our property managers with the tools they need to succeed. Through our partnership with industry leader NextPax, we are able to offer our property managers access to a wide variety of property management software integrations. These integrations are designed to make the process of managing vacation rentals more streamlined, efficient and user-friendly. Currently, our platform offers more than 20 property management software integrations via NextPax's channel integration. We are also planning to add more integrations in the coming year 2023.
We work diligently to improve the quality and host resources on Florida Rental By Owners. We are excited to announce the Host Marketplace found in each Host Dashboard. This gives hosts quick and easy access to explore vacation rental home automation products and services to streamline rental operations. From guest management to property protection Florida Rental By Owners marketplace can benefit all hosts.
At FLARBO we also continue to provide each host with free membership to the Florida Alliance of Vacation Rentals. FAVR (formerly FVRMA) This is a great resource for hosts to understand and get active with local legislative updates, professional certification, as well as notifications or vacation rental requirements and local chapter meetings.
Price Comparison Platform Booking Fee Increases
As the vacation rental industry continues to grow, many hosts and travelers are becoming increasingly concerned about the rising cost of booking commissions. Many online travel agencies have increased their commission rates, or shifted the cost from travelers to hosts. This is causing some uncertainty among stakeholders as they navigate the ever-changing landscape of the vacation rental industry.
On Florida Rental By Owners hosts are charged an annual subscription fee to advertise their properties. Travelers are not charged any fees to book via FLARBO. This makes Florida Rental By Owners a key competitive edge over larger online platforms as travelers look to save more by booking direct.
|Host Commission Fee
|Credit Card Fee
|3 to 20%
|5 to 20%
|included in Host fee
|6 to 15%
|8 to 16%
|Florida Rental By Owners - FLARBO
Book Direct Marketing Strategies
As the vacation rental industry evolves, more and more professional hosts and property managers are turning to Book Direct strategies to increase their bookings and revenue. At Florida Rental By Owners (FLARBO), we are at the forefront of this trend, providing a streamlined, user-friendly platform that connects guests directly with property hosts. This allows hosts to process their own reservations and payment systems, giving them complete control over their bookings and revenue.
Property Manager Example:
The image below on the left shows the gross rental profit of a property manager with no Book Direct strategy. The example on the right shows the same property manager with 50% of their bookings originating from a Book Direct strategy.
Property Manager with 100 properties annually grossing $8,840,000 per property ($2,000 per week - 85% occupancy) Adding $442,000 dollars to the manager's bottom line!
Second property homeowners are also finding benefits of incorporating a Book Direct strategy which saves on average 10% of the reservation amount from commission fees paid to large OTAs (online travel agencies). Savings are significant whether you are a single property owner or hold several short term investment properties.
Host with 5 properties annually grossing $88,400 per property ($2,000 per week - 85% occupancy). Adding $22,100 dollars to the host's bottom line!
Consumer Behaviour Trends in Short Term Rentals
The consumer behaviour pivoted once again in the year 2022 as international travel opened up while COVID becomes endemic. Remote work continues in select industry sectors lending more flexibility to travelers to travel in periods outside the high seasons. Behaviour of travelers in 2022 was to seize the day and take that much needed vacation in the event with friends and family.
Booking Strategies for the Florida Vacation Rental Industry
Traveling with the whole family includes the family pet
VRBO stated in their 2022 Trend Report that their platform "experienced a 40% increase in year-over-year demand for pet-friendly vacation homes."As more and more households own pets, it's becoming increasingly common for families to travel with their furry companions. According to the U.S. Census Bureau's American Housing Survey, nearly 68% of households have pets. Vacation rental hosts can tap into this market by allowing pets in their properties and charging a pet fee. By doing so, hosts can potentially boost their revenue by as much as 30%.
Work Life Balance Revisited
With the shift during the pandemic towards remote work and more flexible schedules, families are rethinking their approach to vacation time, work-life balance, and spending time together. As people begin to return to the office, the trend towards more flexible work arrangements has become more prevalent, and this has led to changes in how families plan and prioritize their time.
The following bullet points are interesting trends reported from VRBO;
- 44% of families said they are more likely to work remotely from a place that's not their own home.
- Families are staying at vacation homes longer; there has been a 68% increase in 21-30-day stays on Vrbo.
- Undated searches rose by 33% year over year, indicating that families do not necessarily have to vacation during school breaks or company holidays.
- 77% of families agreed that they have a greater appreciation for separating their professional and personal lives, compared to pre-pandemic times.
- 59% of respondents said they are more likely to take a two-week vacation and 30% are more likely to take a sabbatical.
- 42% are less likely to check work email on vacation.
Newbies turned Repeat Guests
- 60M+ Americans stayed in vacation rentals in 2022.
- The US short-term rental industry was worth $20B in 2022.
- The vacation rental industry's compound annual growth rate (CAGR) is over 5%.
- There were +28M vacation rental listings available worldwide as of 2022.
- +1.4M vacation properties were available for rental across the US in 2021.
- The number of vacation rental customers is expected to reach 840M by 2023 and will continue growing to 890M by 2026.
- Vacation rental occupancy rates in the US averaged 63% in 2021, with a projected decline to 46% in 2022
The pandemic resulted in a record number of new guests into the vacation rental space a year ago and now those guests are here to stay. (statistics from Adam Grucela's Vacation Rental Statistics, Facts and Trends 2023)
Travelers perception of vacation rentals as a safe choice for accommodation continues to as the preferred choice.Hosts can think about incorporating better communication and service into their hosting cycle to increase repeat guest bookings. Professional hosts are working on average with four or more tools and third party software in order to effectively communicate and manage guests stays.
The Return of Large Groups and Wedding Parties in Vacation Rentals
After a period of travel restrictions and cancelled plans due to the pandemic, many families are were eager to get back on the road and make up for lost time. This includes not just regular vacations but also weddings and reunions. As couples who had to postpone their nuptials reschedule, vacation rentals are becoming a popular choice for hosting wedding events. Hosts can capitalize on this trend by charging additional fees for hosting such events, resulting in a boost to their gross profit.
Host Challenges for the Vacation Rental Industry
Demand for Vacation Rental Technology Continues
A new generation of vacation rental guests, have increased the demand and requirement for new technology. Hosts should ensure their property listings are up to date in terms of rates and calendars to ensure the highest success for bookings.
Rate Hikes of 2022 May Not Fly in 2023
As remote workers return to the office and school children have returned to traditional learning centres the demand for short term rentals year round in 2023 is expected to slow. This means that the rate hikes that hosts enjoyed in 2022 my not fly in 2023. Hosts are advised to revisit their competitive booked rate KPIs in their regions to react quickly to price changes. Host use of the Last Minute Deals promotion page has increased on FLARBO to get more occupancy booked in 2023.
Price Comparison Shopping for Vacation Rentals
The trend of searching for the best deal and booking directly is on the rise. Due to financial constraints and rising expenses, many people are looking for ways to save money on their travel accommodations. This has led to an increase in price comparison shopping among American travelers, who are becoming more cost-conscious. As a result, they are finding more options for booking vacation rentals in Florida
As platforms like VRBO and Airbnb have altered its commission policies globally, many hosts are looking for ways to make up for these costs. As a result, travelers are becoming more aware of additional charges on rental platforms, and are searching for the best prices on multiple websites. A direct booking platform like Florida Rental By Owners can give hosts an advantage by allowing them to attract more bookings directly from travelers.
Traveler Behaviour in 2023
Domestic Travel Skyrocketed in early 2021. The opening of more international borders increased demand on Florida vacation rentals in the first 2 quarters of 2021. The fall season seems to be slowing down a bit as U.S. travelers are looking to visit beyond their borders as well as take stock as signs of an upcoming recession and further inflation loom.
Longer Stay Demands Continue
The pandemic caused a lot of early retirement as well as flexible remote working. This along with the regular snowbird long term season caused a huge demand surge for monthly and seasonal vacation rentals in Florida. This caused a huge backlog of travelers trying to find monthly stays in 2022. Florida Rental By Owners, a regional book-direct listing site, continues to experience a huge increase in longer stay searches year-over-year. A whopping 339% increase in searches for vacation rentals offered for one month stays or longer. Don't rule out longer stay guests to round out your occupancy.
2022 FLARBO Vacation Rental Report Wrap Up
The Florida vacation rental market flourished in 2022, with high demand allowing hosts to boost rental rates and earnings. Despite a turbulent economy, the short-term rental industry in Florida remains robust, attracting travelers seeking secure, reliable, and predictable options.
Traveler Considerations for Booking
- cleanliness and safety
The most important item on traveler's consideration list continues to be price. With the increase in rental rates to historic highs in 2022, the concern with the economy/recession and uncertainty will require hosts to review their 2023 rental rates carefully and adjust lower when necessary to keep occupancy at the same level as last year.
Florida Rental By Owners' continued growth in 2022 of inquiries and booking requests makes it the trusted, preferred choice for property managers and hosts to take control of their direct bookings. Perfect for short term stakeholders looking for guests to fit the unique vacation needs of Florida travelers.
Want to showcase your Florida vacation rental to a wider audience? Discover our versatile subscription plans that cater to any budget. With no commission charges, you can increase your net profit. By managing the reservation process, you have the power to close more sales and increase revenue. All traveler information is available with each booking inquiry and quote, giving you an edge. Learn more about how to list your property on our dedicated page.