Short-term Rental News Digest – December 2023

As we get ready to bid farewell to 2023, take a moment to reflect upon the major events that have shaped the past year. Like in other industries, AI was one of the big topics as PropTech solutions also found ways to incorporate it. On top of AI incorporation, tech adoption also increased among property managers.

In 2023, iGMS was also very busy. We partnered with Sure, a modern home warranty solution, and integrated with StayFi, among other things. Watch this space, because 2024 is also going to be a productive year, as always.

Just like the iGMS team, the vacation rental industry hardly ever takes a break. It might be December, a time that most sleep a bit later, but the industry is still delivering newsworthy headlines like these:

Airbnb and the AI Police to Enforce NYE Bookings

This festive season, Airbnb will leverage artificial intelligence to control New Year’s Eve parties. The platform has announced that it will activate proprietary AI and machine learning tech in a number of countries and regions across the globe. Aside from the United States and Canada, hosts in the United Kingdom, France, and Australia will benefit from this tech. 

Basically, it will zoom in on reservations for one, two or three nights for an entire home over this period that pose more risk for turning into a disruptive party. Using criteria like the trip duration, listing type, and guest’s location, it will then block certain bookings. Local guests will also need to sign a mandatory anti-party attestation, acknowledging that ignoring Airbnb’s bans on parties can lead to suspension or removal. 

Host Clubs Potentially Getting New Attention

Launched in 2016 by Airbnb, Host Clubs are aimed at assisting with local campaigns against regulatory restrictions. Fast-forward seven years and there are over 600 Host Clubs with hundreds of thousands of members. 

A recent job posting for a Community Growth & Experience Lead might suggest that the platform wants to expand this resource. Considering that popular tourist destinations like New York City have had to adapt to strict, short-term rental rules that are deterring travelers from visiting, there’s room for such an online space. A recent survey found that 18% of travelers are less likely to visit the Big Apple after being informed about the new STR rules. 

A New Community Platform for Stakeholders

If joining a group to discuss regulations doesn’t sound like your cup of tea, perhaps the RR Network will be more to your taste. Rent Responsibly, a short-term rental advocacy organization will launch its own community platform. The Rent Responsibly Network will connect STR owners, hosts, property managers, STR associations, advocates, and service providers.

Members will gain access to various resources, including a centralized calendar with industry events, guides, research reports, and templates. They’ll also be able to grow connections via discussion forums, private groups, and one-to-one messaging. 

Booking.com’s Eyes Set On US STR Market

Till now, Booking.com focused a lot on the European short-term rental market. That might be set to change. 

At the platform’s investor conference at the beginning of December, the group’s Chief Financial Officer, David Goulden, revealed that the United States remains a major area for acquisition. Its future plans include trying to make the US its fastest-growing region for supply, which is still a fair amount lower than Europe where about 31% of its supply comprises short-term rentals.   

Shortyz Awards 2024 Welcoming Entries

You might still be busy processing all the highlights of 2023, but the Shortyz Awards is ready to start accepting entries for 2024. Last year’s event attracted nearly 400 entries. 

Open to all vacation rental professionals including property managers, booking platforms, and suppliers, there are 20 award categories. Winners are announced using judge scores and the public vote, with both carrying equal weight. 

In 2024, they’re also adding a new category — Team of the Year. Any company or team within the industry is eligible to enter. 

Entries close on 4 March 2024. The 2024 Shortyz Awards will take place on 23 April at the Skyline London. 

Canada Enjoys a Big Year

The stats are in and Airbnbs in Canada are proving a firm favorite. Almost 40% of listings are included as Guest Favorites, a new category included in the platform’s 2023 Winter Release.  

Not only are guests benefiting from unforgettable stays, but the platform is also becoming a firm favorite among Canadian hosts. Increasingly more Canadians are choosing the hosting life and the rising cost of living is a driving factor.  

Hosting has also had a positive impact on the country’s indigenous tourism sector. Between 2018 and 2022, the nights booked in indigenous communities increased by over 50%. 

It’s expected that in 2024, Quebec City, Vernon, and Prince Edward County in particular will enjoy a successful year. That said, the new year also means new regulations. To help with the serious rental housing shortage, Canada will be implementing new tax measures. Going forward, hosts will be able to deduct fewer expenses from income tax.