STR News Digest – July 2024

This month, Vrbo shook things up with a guest-friendly refund policy, putting travelers first during disruptions. Expedia teamed up with Wells Fargo and Mastercard to launch new co-branded credit cards, promising more perks and flexibility. 

The Canary Islands are considering tighter campsite regulations to protect their natural beauty, while the 2024 Paris Olympics boosted STR prices by 44% since last summer. Plus, the “Wolf of Airbnb” gets a four-year sentence for defrauding landlords.

Paris 2024 Olympics: A Goldmine for STR Hosts

The 2024 Paris Olympics are shaping up to be a goldmine for short-term rental (STR) hosts. Airbnb listings are set to surge, with prices already up 44% since last summer. This boom offers homeowners a chance to cash in while putting pressure on hotels, which may see lower occupancy and rates. 

PriceLabs suggests using dynamic pricing tools to stay competitive and maximize earnings. By adjusting rates based on real-time demand, hosts can make the most of the Olympic frenzy, offering travelers flexible and affordable lodging options.

Vrbo’s Guest Refund Overhaul: More Protection for Travelers

Vrbo’s flipped the script on its guest refund policy, now putting travelers first in big-time disruptions. When disaster strikes and Vrbo kicks in its Extenuating Circumstances Policy, hosts have to refund guests, no matter what their original cancellation policy says. Plus, Vrbo’s tossing in a refund for the service fee guests paid when booking. This move is all about giving guests better protection and making sure they get their money back when plans go awry.

This shake-up brings Vrbo’s policies closer to what Airbnb’s been doing for a while now. It’s all part of responding to traveler feedback, aiming to boost customer satisfaction with a more dependable refund process in emergencies. By making these refunds mandatory, Vrbo’s looking to build trust and make guests feel secure booking through their platform, no matter how uncertain things get.

Expedia Unveils New Co-Branded Credit Cards

Expedia Group has teamed up with Wells Fargo and Mastercard to roll out two new co-branded credit cards in the U.S.: the One Key™ Card and One Key+™ Card. These cards are designed to sync perfectly with Expedia’s One Key loyalty program, offering travelers more perks and flexibility. This move is all about enhancing customer loyalty and making travel more rewarding and seamless.

These new credit cards come loaded with benefits. You can earn rewards across Expedia Group brands like Expedia, Hotels.com, and Vrbo, making your travel bookings more lucrative. The collaboration underscores Expedia’s strategy to blend travel and financial services, adding more value and convenience for its customers. With these cards, Expedia aims to make planning and booking trips a breeze while boosting customer engagement and loyalty.

Canary Islands Eye Stricter Campsite Rules

The Canary Islands are gearing up to tighten regulations on campsites, addressing the surge in popularity and the environmental impact of camping. Authorities are mulling over measures like capping the number of campsites, imposing stricter environmental safeguards, and ensuring proper waste management and sanitation facilities.

This initiative is part of a broader effort to balance tourism with sustainability, aiming to preserve the natural beauty that draws visitors. By managing the influx of campers and reducing their environmental footprint, the Canary Islands hope to maintain their pristine landscapes for future generations.

“Wolf of Airbnb” Sentenced to Four Years

A New York man, known as the “Wolf of Airbnb,” has been jailed for four years for defrauding landlords and illegally subletting luxury apartments. Using fake identities, he leased properties and rented them on Airbnb without permission, causing significant financial losses for landlords. This case underscores the persistent issues with illegal short-term rentals and the legal repercussions for such fraud.

For more detailed analysis and updates on the short-term rental industry, stay tuned to our blog.