Vacation rental
Encyclopedia
Apartment
An apartment or flat is a self-contained housing unit that occupies only part of a building...
or house
House
A house is a building or structure that has the ability to be occupied for dwelling by human beings or other creatures. The term house includes many kinds of different dwellings ranging from rudimentary huts of nomadic tribes to free standing individual structures...
on a temporary basis to tourists as an alternative to a hotel
Hotel
A hotel is an establishment that provides paid lodging on a short-term basis. The provision of basic accommodation, in times past, consisting only of a room with a bed, a cupboard, a small table and a washstand has largely been replaced by rooms with modern facilities, including en-suite bathrooms...
. The term vacation rental is mainly used in the US. In Europe the term villa rental or villa holiday is preferred for rentals of detached houses in warm climates. Other terms used are self-catering rentals, holiday homes, holiday lets (in the United Kingdom), cottage holidays (for rentals of smaller accommodation in rural locations) and gite
Gîte
"Gîte" is a French term which refers to a specific type of holiday accommodation. A "Gîte" is a holiday home that is available for rent. Gîtes are usually fully furnished and equipped for self-catering...
s (in rural locations in France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
).
Vacation rentals have long been a popular travel option in Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
(especially in the UK
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
) as well as in Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
and are becoming increasingly popular across the world.
Types of accommodation
Vacation rentals usually occur in privately owned vacation properties (holiday homes), so the variety of accommodation is broad and inconsistent. The property is a fully furnished property, such as a holiday cottageCottage
__toc__In modern usage, a cottage is usually a modest, often cozy dwelling, typically in a rural or semi-rural location. However there are cottage-style dwellings in cities, and in places such as Canada the term exists with no connotations of size at all...
, condominium
Condominium
A condominium, or condo, is the form of housing tenure and other real property where a specified part of a piece of real estate is individually owned while use of and access to common facilities in the piece such as hallways, heating system, elevators, exterior areas is executed under legal rights...
, townhome or single-family-style home. Farm stay
Farm stay
A farm stay is any type of accommodation on a working farm. Some farm stays may be interactive. Some are family-focused, offering children opportunities to feed animals, collect eggs and learn how a farm functions. Others don't allow children and instead offer a peaceful retreat for adults...
can encompass participation on a working farm, or a more conventional rental that happens to be co-located on a farm. The client/traveler arranges to rent the vacation rental property for a designated period of time. Some rent on nightly basis similar to hotel rooms, although the more prevalent vacation rental industry practice is typically weekly rentals.
Vacation rentals can range from budget studio apartments to lavish, expensive private villas in the world's most desirable locations, some with pricetags of many thousands per night and all the amenities you would find in any luxury accommodation (fully staffed, private beaches, boats, chefs, cooking lessons, etc.) to cater to the guests. Some vacation rentals, particularly condominiums or apartments, offer many of the same services hotels offer to their guests, e.g., front desk check-in, 24-hour maintenance, in-house housekeeping, concierge service. At the other end of the spectrum are campervan
Campervan hire agency
A campervan hire agency is a specialist vehicle hire company which hires out campervans to customers. These campervans can be privately owned or company owned. Campervan hire is popular in the UK, especially for music festivals and there are several companies in the market...
and motorhome rentals
Motorhome hire agency
A Motorhome hire agency is a company which hires privately owned motorhomes to customers. This practice is common in the UK, where several agencies dominate the market. Motorhome hire is a type of vacation rental.-History:...
.
Locations
Villa holidays are very popular in Europe, and main destinations include Spain, France, Greece, and Turkey. In France, they are known as gîteGîte
"Gîte" is a French term which refers to a specific type of holiday accommodation. A "Gîte" is a holiday home that is available for rent. Gîtes are usually fully furnished and equipped for self-catering...
s.
Vacation rentals are available in most states of the US and is prevalent in major tourist areas such as Florida
Florida
Florida is a state in the southeastern United States, located on the nation's Atlantic and Gulf coasts. It is bordered to the west by the Gulf of Mexico, to the north by Alabama and Georgia and to the east by the Atlantic Ocean. With a population of 18,801,310 as measured by the 2010 census, it...
, Hawaii
Hawaii
Hawaii is the newest of the 50 U.S. states , and is the only U.S. state made up entirely of islands. It is the northernmost island group in Polynesia, occupying most of an archipelago in the central Pacific Ocean, southwest of the continental United States, southeast of Japan, and northeast of...
and California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
. The vacation rental market is much larger in Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
than it is in the United States, and Florida is a popular destination for villa holidays for Europeans.
Comparison with other accommodations
Consumers unfamiliar with the concept of a vacation rental may confuse it with the seemingly similar, but distinctly different, timeshareTimeshare
A timeshare is a form of ownership or right to the use of a property, or the term used to describe such properties. These properties are typically resort condominium units, in which multiple parties hold rights to use the property, and each sharer is allotted a period of time in which they may use...
. A timeshare can still be rented as a vacation rental should an owner decide to put his owned week(s) on a vacation rental program. Many timeshare resorts offer quarter ownership, which provides 13 weeks of use or rental.
A timeshare
Timeshare
A timeshare is a form of ownership or right to the use of a property, or the term used to describe such properties. These properties are typically resort condominium units, in which multiple parties hold rights to use the property, and each sharer is allotted a period of time in which they may use...
is a piece of real estate—often a fully furnished condominium—that is jointly shared by multiple owners. While different types of timeshare ownerships exist, in general, each owner bears a portion of the responsibility, along with the right to a segment of time in which he or she is granted sole use of the property. Timeshare resorts allow financially qualified guests to rent and tour their unowned properties and then make those properties available to the guest for purchase. Timeshare owners can also choose to bank their week with and exchange company such as RCI, or rent the unit.
Hotel
Hotel
A hotel is an establishment that provides paid lodging on a short-term basis. The provision of basic accommodation, in times past, consisting only of a room with a bed, a cupboard, a small table and a washstand has largely been replaced by rooms with modern facilities, including en-suite bathrooms...
s and hostel
Hostel
Hostels provide budget oriented, sociable accommodation where guests can rent a bed, usually a bunk bed, in a dormitory and share a bathroom, lounge and sometimes a kitchen. Rooms can be mixed or single-sex, although private rooms may also be available...
s generally do not include rental of a full standalone home or apartment, but are purpose-built.
Pros and cons of vacation rentals
Vacation and villa rentals are generally appealing for many reasons, some of the foremost being cost savings, more space, and no tips or service charges that are associated with hotel rooms. Villa and vacation rentals have kitchens for cooking, living rooms for gathering together and offer the appeal of living in a real neighborhood and soaking up the rhythm of the locals. Rental properties are usually privately owned vacation properties with the facilities that owners need for their own enjoyment such as sports and beach equipment, games, DVD libraries and books, and in warmer locations a swimming pool. Hotels often enjoy the advantages of brand recognition, familiar reservation processes, and on-site staff for problem resolution. For a guest, booking a vacation rental may mean stepping out of that comfort zone in order to garner some of the advantages they offer. Perceived cons of vacation rentals can include being unfamiliar with the property, lack of on-site staff, and concerns about quality or cleanliness—however, these are most often mitigated by dealing directly with the villa or vacation rental owner, who can address such concerns and provide references.The benefits generally outweigh the potential negatives, with many vacation rentals offering more space (multiple bedrooms and bathrooms, separate living areas), more amenities (fully equipped kitchens, fireplaces, private hot tubs), convenient locations (on the beach, ski-in/ski-out, city centers in real neighborhoods) and greater privacy than a hotel, including the fact that many villa/vacation rentals give travelers the option of inhabiting real neighborhoods in their destination and living like the locals. As of 2006, vacation rental management has become a $10 billion industry and continues to become more popular.
Listing services, agencies and management companies
Vacation rentals and villa rentals are arranged either direct with the owner or through an agency, usually via the internet. Many owners have their own websites, but most also use listing services, which display property information and photos provided by the homeowner. Because each property owner has his or her own deposit and payment requirements, cancellation policies, key-pick-up procedures, etc., a guest contacts the property owner directly in order to book.In contrast vacation rental agencies handle reservations and billing on the homeowner's behalf, and there is no direct contact between the guest and the owner. Because the fee or commission charged to an owner by an agency is higher than that charged by a listing service, the rent tends to be higher.
In the United Kingdom villa holidays are also sold by tour operator
Tour operator
A tour operator typically combines tour and travel components to create a holiday. The most common example of a tour operator's product would be a flight on a charter airline plus a transfer from the airport to a hotel and the services of a local representative, all for one price. Niche tour...
s as packages including flights and car hire. This is convenient for guests who prefer not to make their own arrangements, but may not be cheaper and does not usually allow the guest to choose a specific property.
Most property owners contract a vacation rental management company to manage their vacation rentals. These companies handle housekeeping and property maintenance. Some management companies also act as agencies, marketing the vacation rental property, and handling reservations and billing.
Notable listing services and agencies include:
- QuickHome
- TripAdvisorTripAdvisorTripAdvisor.com is a travel website that assists customers in gathering travel information, posting reviews and opinions of travel-related content and engaging in interactive travel forums. It is part of the TripAdvisor Media Group, operated by Expedia, Inc. TripAdvisor is a pioneer of...
- AirbnbAirbnbAirbnb is an online service that matches people seeking vacation rentals and other short-term accommodations with those with rooms to rent, generally private parties that are not professional hoteliers. The site was founded in August 2008 by Brian Chesky and Joe Gebbia. In July 2011, the company...
- FlipKeyFlipKeyFlipKey is an online vacation rental marketplace. It has an inventory of more than 100,000 rental properties in over 5,000 regions. FlipKey is a Web 2.0 site that puts a strong emphasis on the value of qualified, user-generated reviews of vacation rentals....
- HomeAwayHomeAwayHomeAway, Inc. is an online vacation rental marketplace. HomeAway connects homeowners and property managers who advertise their properties available for rent with travelers who choose these alternative accommodations instead of hotels....
- SACO ApartmentsSACO ApartmentsSACO Apartments is a worldwide serviced apartment company based in the United Kingdom that provides business and leisure travellers with access to serviced apartments in many key business and leisure destinations throughout the world...
- Living ArchitectureLiving ArchitectureLiving Architecture is a not-for-profit holiday home rental company in the UK.It was founded by philosopher and writer Alain de Botton, who launched the scheme in 2010 as the first programme of its kind...
Other listing services specialise in particular areas such as Florida, France or Spain.
Traveler concerns
Some travelers still hold back fear to the phenomenon industry insiders call SNAD: significantly not as described. This involves a property that looks like paradise in the photos, only to showcase leaky roofs and blocked views upon arrival. As a result, vacation rental companies offer user reviews.Another significant concern is that people can create false accounts pretending to be a vacation rental owner and create an advert advertising a home which in reality is not owned by them. This can lead to innocent individuals booking and paying for a vacation only to find that on arrival the home doesn't exist. Given the nature of the transaction, booked and paid for many months in advance the culprit can disappear without trace leaving the client out of pocket To address these concerns, many websites listing vacation rental properties offer assurance that the existence and ownership of listed properties have been independently verified.
Restrictions
In some cities local authorities determined that vacation rentals were becoming a threat to the hotel industry and passed some legislation placing regulations and limits on the industry. In the U.S. New York CityNew York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
, Chicago
Chicago
Chicago is the largest city in the US state of Illinois. With nearly 2.7 million residents, it is the most populous city in the Midwestern United States and the third most populous in the US, after New York City and Los Angeles...
and other cities have introduced restrictions on short term rentals.