HomeAway.co.uk’s second half 2010 report reveals signs of recovery in Dubai and unexpected growth in Portugal, Ireland & Greece
Dubai holiday rentals recover as economy and infrastructure improve
Portugal, Ireland and Greece see surprising growth in supply and demand
Germany, a top country for 2010 and a new favourite for ski
Egypt, Turkey and Malta continue to grow
Interest rises in London rentals as 2012 Olympics approach
Dubai was badly hit by the global recession in 2009. The property market was severely under valued causing prices to plummet and sales to drop; by the end of 2010 however, the effects of the financial crisis started to wear off. According to data from HomeAway.co.uk, in 2010 Dubai’s holiday rentals market showed definite signs of recovery, with an increase of 5% in booking enquiries for the year following large decreases in 2008 and 2009. The emirate was among the top ten most enquired about cities in the second half of the year and owners listing on the site also reported huge increase in business.
For further details, read the full report page 3
Germany, a new favourite for ski?
According to the Q4 2010 report from the European Travel Commission, Germany was one of the best performing markets in 2010 and this trend is mirrored on HomeAway.co.uk. The country’s economic stability is increasing its popularity with residential investors and buyers are now focussing on Germany’s stable rental potential.
Interest from travellers is also strong. The country climbed from the 12th most popular in the second half of 2009 to the 9th most popular in 2010 on HomeAway.co.uk. What’s more, Germany appears to be a new favourite among ski enthusiasts too. The mountain resort town of Garmisch-Partenkirchen in Bavaria ranked sixth out of the top ten most popular ski destinations, coming in above Samoens, Tignes and Meribel in France, and Haute Nendaz in Switzerland.
For further details, read the full report page 4
Top 10 growth markets for demand and supply
In terms of growth in demand, a number of countries in the Caribbean and Central America experienced a high growth in booking enquiries in the second half of 2010, suggesting a strong interest in exotic locations and a recovery of long-haul travel. Greece also experienced surprising growth despite the recession, as travellers looked for cheaper accommodation alternatives.
Alex Calothis, owner of a holiday cottage in the Peloponnese commented: “I think the recession helped us, funnily enough. Self catering in a holiday rental is cheaper than a hotel, plus more people are becoming aware it is possible to holiday in this way. Our business has experienced healthy growth right through the recession.”
On the supply side, in terms of property listings on HomeAway.co.uk, Egypt, Turkey and Malta continued to grow following sustained strong increases over the past two years. Portugal and Ireland, which were heavily hit by the financial crisis, also experienced steady growth in the second half of 2010, with 19% and 17% increases in listings respectively.
For further details, read the full report pages 3 & 5
London calling – the Olympic effect
With the 2012 London Olympics set to attract millions of visitors to the capital, savvy travellers are starting to book well in advance. On HomeAway.co.uk enquiries started to pick up towards the end of 2010 and there was a huge year-on-year growth in enquiries for the Olympics dates as at the end of January 2011 compared to January 2010 (+3,804%).
Tim Boughton, UK General Manager, HomeAway.co.uk said: “The switch from hotels to holiday rentals has been steadily increasing, with particularly high spikes in demand around major sporting events. For the 2010 World Cup in South Africa, many visitors sought out holiday rental properties as an alternative to a hotel, which meant the average weekly income generated per property soared by almost 150 per cent. However, even at this increased rate, holiday rentals still often work out far cheaper than similar standard hotels, making them a highly attractive option for tourists.”
For further details, read the full report page 6