Miami Rentals Not So Hot This Summer

06.12.2023 - 04:36 / skift.com / Srividya Kalyanaraman

The short-term rental market in Miami isn’t so hot this summer. And there are a number of reasons for that: A slowing of the post-Covid vacation rush, the Florida government’s hostility toward the LGBTQ community, and travelers’ financial constraints due to inflation are a few contributing factors.

The economic collapse in South American countries has particularly impacted Miami tourism from that region, according to the Miami New Times. Additionally, the saturation of the market with new rental units purchased by out-of-state investors has affected revenue, as many owners struggle to cover their mortgages. The average daily rental rate for Airbnbs in Miami held steady at $218 in May 2023 compared to $221 in May 2022, the article said.

Xavier Doe, a cofounder of Miami Residences Management and Vacation Rentals, was quoted as saying, “People who are not financially stable will be forced to sell because they made their projections based upon the year before. It was great the year after COVID when everyone came to Miami. Those people bought properties to make into Airbnbs, but they can barely cover their mortgages.” Although occupancy is steady, he estimated rental rates fell around 20% in the metro area.

Key Data entered into an exclusive partnership with the Association of Short Term Rental Companies in Greece (STAMA Greece). As part of the partnership, STAMA Greece will have access to Key Data’s Greek market insights dashboard, providing real-time information on market and industry performance trends. 

STAMA Greece, a member of the European Holiday Home Association, represents nearly 5,000 holiday home owners and managers in Greece. All STAMA members will be offered access to Key Data’s business intelligence and benchmarking tools, which include over 30 key performance indicators such as average daily rate, revenue per available rental, occupancy, booking window, and feeder market data. 

An historic downtown building in Madison, Wisconsin — originally slated for demolition — will now be transformed into a hotel-apartment hybrid. The property was constructed in 1907 as the Madison Saddlery Company building and later became Rubin’s Furniture. 

The project, named The Saddlery, will offer 46 units with fully equipped kitchens, separate living rooms in some suites, and laundry facilities catering to both short-term guests and long-term renters, providing a blend of hotel and apartment amenities. The company expects more short-term guests during the peak tourism season and more long-term guests in the winter and spring. The property will be licensed as a hotel and offer traditional hotel services such as fitness facilities and housekeeping.

I caught up on this Bloomberg interview with Airbnb co-founder and