You are currently viewing Is vacation rental really cheaper than hotels?

Is seasonal rental really less expensive than hotels?

Going on vacation involves a lot of expense that can quickly become immeasurable if you don't pay attention to the details. Among the most expensive elements of a trip, there is finding accommodation, choosing the means of transport and getting around. It is therefore important to find solutions that allow you to save money in order to be able to spend more moments of relaxation and leisure, once there.

Seasonal rental as an alternative to the hotel

For travel, there is the alternative of public transport. And on the housing side, there are seasonal rentals offered on rental management platforms such as Airbnb, Smovin, Abritel, 9flats or even HomeAway, which can replace hotels. But what is the best deal in the world's largest cities?

These days, vacationers have a plethora of choices when it comes to finding a place to stay. Alongside the traditional hotel solution, a large number of travelers are now turning to the “home sharing” solution where they can even benefit from personalized services, at a lower cost.

Seasonal rentals are cheaper than hotels

In France, a flagship destination for international tourism, major transformations have taken place in recent years. The appearance of rental management sites like Airbnb, VRBO, FlipKey or Owners Direct, has completely changed things. The latter are experiencing growing success in France, particularly in the largest cities such as Paris, Cannes or Lyon. It is also in the French capital that the largest number of seasonal accommodation is concentrated, with more than 88 rooms listed, far exceeding the 700 hotel rooms.

The fact remains that accommodation is a huge expense when it comes to traveling abroad. Hence the importance of making a comparison of the average costs charged by hotels and rental management platforms around the world.

In the largest tourist cities in Europe, and in Australia, we see that in 8 out of 9 cities, going through a rental management site costs less than renting a hotel room. In several cities such as Berlin, Vienna, Madrid and Paris, a hotel room costs almost twice as much as a rental through a rental management platform. In Sydney, Australia's largest city, the average rate for a hotel room costs 28% more than an overnight stay through a rental management site.

However, a completely opposite result may appear in other cities, such as Barcelona, ​​one of Spain's largest tourist cities, where vacation rental rates are 81% more expensive than hotels. An exception which is justified in particular by the strong demand since it is a very popular tourist destination. In addition, owners are obliged to inform the municipality of the tourist use of their property.

In some cities, the price difference is spectacular. This is the case in Toronto where the average price of a hotel room costs 50% more than renting accommodation through a rental management site. But in Austin, it's seasonal accommodations that cost an average of 57% more than a hotel room.

Why choose a seasonal rental?

In general, hotels are slightly or excessively more expensive than seasonal rentals. The difference ranges from a few euros to over 100 euros. However, hotels have the advantage of offering additional services to their customers such as breakfasts, laundry services, cleaning or even car rental. Next to it, short-term rentals offer overnight accommodation, often in a separate bedroom, but with other spaces to be shared with the owner of the premises, such as the kitchen for example. But this sharing is worth the cost to make significant savings. It is all the more advantageous if you are traveling with several people because the price of the night can then be very interesting.

In short, for hotels as for seasonal rentals, the risks of surprises are not always the same. It is therefore important to remain vigilant on the choice of accommodation if you decide to opt for a short-term rental with a private individual.