Best Vacation Rentals Around the World
Last updated on 09/20/2022
2020 was a unique year for travel. Unprecedented travel disruptions, anxiety and frustration were common themes, and the effects of the COVID-19 pandemic were felt worldwide.
Looking back to 2019, vacation rental services like Airbnb & Vrbo were close to peak popularity and changing the way many people traveled. In 2020, contactless key pickups, improved cleanliness measures and the ability to distance from other people became incredibly important, and even more travelers found themselves opting for vacation rentals instead of traditional hotels.
Using performance analysis sites we were able to review data on how properties featured on the websites Airbnb and Vrbo have fared across the entire year. We were specifically interested in comparing this information for the world’s most popular tourist cities.
Curious about the locations of the most economical Airbnb or Vrbo options for your next vacation? Intrigued to see the most popular destinations during the pandemic? Look no further as we have the answers on this (and more) below!
Price
Popularity
Review Score
Rental Size (Guests Per Bedroom)
Active Listings Per Month
Percentage with Flexible Cancellations
Cleanliness Score
The Cheapest (and Most Expensive) Vacation Rental Cities
With a staggering $216 a night, Amsterdam is home to the most expensive vacation rentals on average. Research has shown that when Airbnb listings rise in an area, so do actual housing prices. And there is certainly a correlation with Airbnbs/Vrbos and house prices, as 2020 saw the largest increase in rent prices in Amsterdam.
Despite the most expensive city being in Europe (Amsterdam), the top 10 is dominated by American cities. 50% of the results are in the U.S. as compared to the 40% located in Europe.
As an alternative, when identifying more economical options, travelers won’t necessarily need to compromise on quality. Hanoi in Vietnam is the cheapest vacation rental destination at $34 per night. However, 22% of these listings include a swimming pool, which is a perfect amenity for a vacation in tropical climate.
The Most (and Least) Popular Vacation Rental Cities
Not all cities are created equal from a tourist point of view. While there are traditionally clear leaders and universal favorites, some of these regular destinations were heavily affected by the events of 2020. See our map below to view the most popular cities for Airbnbs and Vrbos.
According to this, cities are well distributed across the globe, with obvious omissions in South America, Africa and The Middle East.
Los Angeles, California is the most popular vacation rental spot, as properties operated with an average of almost 70% occupancy across 2020. This correlates with a high average review of rentals (4.61 out of 5) and high cleanliness score (4.59 out of 5).
The least popular city was Agra in India. Occupancy levels operated at an average of just 16% across 2020. The prolonged closure of tourist hot spots due to the COVID-19 pandemic, which has drastically reduced the number of visitors to the area, could be an explanation for these low occupancy levels.
The Most Extravagant Vacation Rental Cities
If money is no object, then be sure to check out the most extravagant rental cities. This is an index based on the following data points: ‘Price per Night’, ‘Percentage of Rentals with 5+ rooms’, ‘Percentage with a Hot Tub’, ‘Percentage with a Pool’.
Yet again the U.S. dominates, with all bar one of the top 5 being an American city. Las Vegas, NV leads the way with extravagance; 51% of all properties listed on Airbnb and Vrbo have hot tubs. However, if you are more interested in swimming pools, consider Orlando, FL, as 72% of properties there have them.
Best Places to Rent Out Your Property
We couldn’t conduct our analysis without considering the benefit to property owners. If you consider our popularity and price analysis, it’s likely you already have some idea about the highest performing cities in terms of average revenue per property.
Property owners residing in one of these five cities may find this information advantageous if considering converting their home into a vacation rental. In Las Vegas, your property could be earning an average of $2,378 a month. It’s important to note that cleaning fees, service fees, and other costs will need to be considered and are not factored into this revenue.
Summary
2020 was an unprecedented year for travel. But among the uncertainty, it’s been interesting and uplifting to see new trends emerging for resilient travelers. Hopefully you can use this data moving forward to help inform you on your next vacation rental destination in 2021 and beyond.
*Data collected from AirDNA