12 Short-Term & Midterm Rental Trends to Watch in 2025
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Thinking of listing your home or planning a long-term escape? You’re not alone and you’re right on time.
Short-term and midterm rentals are evolving fast. In 2025, we’re not just seeing changes in how people travel, we’re watching a shift in why they travel, how long they stay, and what they expect from a vacation rental. Whether you’re a homeowner looking to cash in or a digital nomad searching for your next 90-day stay, this year is shaping up to be a turning point in flexible travel.
According to research from the Harvard Business Review, the hybrid work model is now the norm for millions. And with that shift comes a whole new wave of travel behaviours. People are staying longer, booking smarter, and choosing rentals that offer more than just a place to sleep.
“The line between travel and living has officially blurred,” says Matt Landau, founder of The Vacation Rental Marketing Blog. “Today’s guests are looking for connection, comfort, and quality over quantity. Hosts who get this are the ones filling their calendars.”
In this post, we’ll break down 12 major trends shaping the vacation rental space in 2025, starting with a powerful shift that’s already reshaping cities across North America.
1. Remote Workers Are Booking 30 to 90 Day Stays
Remote work is no longer a temporary trend, it’s a way of life. And with that lifestyle comes demand for longer stays in inspiring locations.
Whether it’s a solo founder working from a cabin in Grand Lake, Colorado, or a family spending a month near the slopes in Steamboat Springs, guests are planning travel around work, not the other way around.
Midterm rentals, defined as 30 to 90 day stays, are exploding in popularity. These bookings often come from:
- Digital nomads
- Travelling healthcare professionals
- Remote workers extending vacations into “workations”
- Families relocating or renovating their homes
This isn’t just anecdotal. A recent report by AirDNA shows a 39 percent year-over-year increase in midterm bookings across North America. And the top-performing listings? They all have a few things in common:
- Fast, reliable Wi-Fi (50 Mbps or higher)
- A quiet, comfortable workspace
- Kitchen and laundry access
- Monthly pricing with discounts for longer stays
Pro Tip: Want your property to stand out in this space? Highlight your remote-work amenities clearly in your listing. Mention internet speed, show workspace photos, and consider offering ergonomic chairs or extra monitors.
🔗 Explore our listings with monthly stay options in Grand Lake
Eco-Conscious Guests Are Shaping the Future of Rentals
Sustainability isn’t just a buzzword anymore. For today’s guests, it’s a deciding factor when choosing where to stay.
In 2025, more travellers are choosing properties that reflect their values and that means prioritizing eco-friendly features. From energy-efficient appliances to biodegradable cleaning products, small sustainability upgrades are making a big impact on booking decisions.
According to Booking.com’s 2024 Sustainable Travel Report,
76% of global travellers say they want to travel more sustainably in the next year. Among Gen Z and Millennial travellers, that number is even higher.
“Sustainable travel isn’t just about offsetting emissions; it’s about making smart choices at every stage of the trip,” says Erin Green, Sustainable Tourism Consultant and founder of EcoStay Strategies. “Rental hosts who offer greener solutions are already seeing a competitive advantage, especially for midterm guests.”
What eco-conscious guests are looking for:
- LED lighting and smart thermostats
- Organic bedding and refillable toiletries
- Access to recycling and compost bins
- Walkable locations near grocery stores or attractions
- Solar panels or green energy usage
- Cleaning with low-toxicity, plant-based products
Why this trend matters for hosts:
Many guests are now filtering searches on platforms like Airbnb and VacationRentalCo.com to only show properties with sustainable features. That means properties that aren’t making these changes may be invisible to a growing segment of eco-minded travellers.
And it’s not just about bookings, it’s about reviews. Guests who feel good about their stay are more likely to leave 5-star feedback and recommend the rental to others who share the same values.
Pro Tip: Want to stand out? Add a section in your listing that highlights your green initiatives. Better yet, include photos of your recycling setup, reusable kitchen tools, or solar panel system to build visual trust.
🔗 Browse eco-friendly vacation rentals
High‑End Amenities Are the New Standard
Luxury rentals are no longer niche, they’re becoming baseline for quality extended stays. Skift reports that adventurous, wellness‑focused luxury is growing, and Business Insider shows ultra‑luxury bookings are up even amid broader luxury market slowdowns.
“People don’t want to compromise anymore,” says Brooke Pfautz, author of Vacation Rental Secrets and founder of Vintory. “They’re choosing rentals over hotels, but they still want hotel‑quality amenities without the crowds.”
Pro Tip: Use listing titles like “Luxury Cabin with Hot Tub & Sauna” and lead with high-quality lifestyle photos.
🔗 See premium vacation rentals with luxury amenities
The Rise of “Second City” Rentals
Travellers are increasingly stepping off the beaten path and discovering the charm of “second cities”, smaller, lesser-known destinations that offer a richer and more authentic experience than major metros.
What Are Second Cities?
These are towns just outside the traditional hotspots. Think Grand Lake, Colorado, instead of Denver; small coastal towns instead of big beach resorts; or scenic countryside escapes rather than crowded tourist hubs. It’s about choosing value, personality, and connection over buzz and crowds.
Why They’re Winning in 2025
- Cost & Value – Greater bang for your buck on lodging and dining.
- Local Culture – Opportunities to support small businesses and cultural gems.
- Space & Relaxation – More room to breathe, unwind, and reset.
- Smarter Travel – Improved infrastructure makes accessing these spots easier than ever.
Skift’s recent “Second Cities, First Choice” report highlights a major shift: group travel bookings are now trending toward these smaller destinations, citing their charm, value, and relaxed atmosphere.
According to Reddit hosts discussing Vrbo trends, multigenerational families are booking lake houses north of NYC weeks in advance, appreciating the tranquility and space away from traditional hubs.
“Americans are seeking simplicity and will travel to find it,” notes a Priceline spokesperson referring to Gen Z’s rise in “townsizing”, choosing small‑town vibes over big‑city energy.
What This Means for Hosts
- Highlight the Location – Showcase landmarks, scenic trails, and local events.
- Target Niche Guests – Families, remote teams, and retirees love these relaxing getaways.
- Enhance Listings with Local Guides – Create PDF or blog guides for dining, activities, and hidden gems.
- Offer Longer-Stay Incentives – Second cities thrive on extended stays; leverage midterm pricing.
🔗 Discover our hidden‑gem rentals outside metro areas
Midterm Stays Becoming the New Normal for Families
Families are reshaping vacation habits; they’re trading short getaways for longer, more immersive stays of one to three months. Time together, not just together time, matters now more than ever.
A recent report highlights that full‑kitchen rentals, separate bedrooms, and flexible arrival/departure dates are key to converting family bookings. Rentals are not just about location,they’re about functionality. A global survey shows experiences, not material goods, dominate family spending in 2025 and accommodations are no exception .
Meanwhile, “fam travel” and “grandymoons” are emerging as hallmark travel styles this year. Multigenerational stays, grandparents, parents and kids together, are increasing, with Baby Boomers often footing the bill for meaningful family vacations. Private villas, spacious homes, and large properties are being chosen more frequently for these reunions.
“Families want flexibility and comfort,” says Kailee Fussner, Customer Success Manager at Suzy. “They look for fully furnished homes with separate bedrooms, full kitchens, and living areas that grow with their needs especially for midterm stays in 2025.”
Why This Trends Matters
- Everyday life > sightseeing: Parents and children thrive with consistent routines, spaces for schoolwork or naps, and meals cooked at home.
- Space is non-negotiable: Full kitchens, laundry access, and room to spread out keep everyone happy.
- Booking confidence: Clear policies, digital welcome guides, and strong communication ease the stress of longer stays, especially with kids.
- Repeat visits: Families that stayed once often return, provided they’ve had a comfortable, functional experience.
Hosting Tips
- Offer bundled monthly rates and suggest stays during school breaks or relocation periods.
- Create a digital welcome guide that includes kid-friendly activities, nearby playgrounds, and grocery delivery options.
- Highlight family extras: baby gates, pack‑and‑plays, board games, and media streaming services.
🔗 Browse family-friendly long-stay rentals
Direct Bookings & Flexible Cancellation Policies Win Bookings
Travel habits have shifted, today’s travellers crave transparency, flexibility, and trust. That’s why direct bookings and flexible cancellation policies are top priorities for vacation renters in 2025.
🏆 Why Direct Bookings Matter
A recent report by Zeevou highlights that hotel and rental brands earn approximately 60 % more per direct booking than through OTAs (Online Travel Agencies), while gaining deeper guest relationships and ownership of data.
Data from Prnewswire also shows that nearly 34 % of vacation rental bookings in 2024 were made direct, second only to Airbnb.
Here’s what hosts gain by cutting out OTA middlemen:
- Higher margins – No commission fees means more revenue per booking.
- Policy control – You set your own cancellation rules and charge structures.
- Guest loyalty – Collect emails, send personalised offers, and turn one-time guests into repeat visitors.
- Brand building – Position your rental as thoughtful, professional, and independent. A Zeevou guide explains how a great direct‑booking site builds long‑term trust.
“When guests book directly, you’re not just a nightly rate—you’re a host. You earn their trust, their praise, and often, their return visits.” — Industry Expert from BuildupBookings
The Importance of Flexible Cancellation
If there’s one lesson from the pandemic, it’s that travellers want reassurance. In 2025, many mid‑ and short‑term guests expect:
- Transparent, stress-free cancellation or rebooking options
- Partial refunds or credit notices well upfront
- Communicative, accessible hosts who understand their unique needs
Pro Tip:
Offer tiered cancellation windows:
- Full refund if cancelled 30 days out
- 50 % refund until 14 days before arrival
- Credit or no refund within two weeks of check-in
Clear policies reduce booking friction and encourage longer stays.
How to Capture It on Your Website
- Prominent “Book Direct” button – Use a contrasting colour and link it to your booking engine or landing page.
- List savings – “Save 10 % on OTA fees” works better than “book direct.”
- Feature flexibility – “Free cancellation 14 days before arrival” or “Move dates with no fee.”
- Build trust – Include trust seals and snippets: “Direct booking saves you $100+ vs Airbnb.”
- Retarget guests – Follow up with email reminders for site visitors who didn’t complete a booking.
🔗 List your direct‑book capable rentals here
Pet-Friendly Rentals Are in High Demand
More guests than ever are bringing their four-legged friends along and that trend is here to stay. In 2025, pet-friendly rentals have become a key differentiator for hosts looking to stand out.
Why Pet-Friendly Matters
- More travellers consider pets family. The American Pet Products Association reports that 70% of US households own a pet, many of whom now accompany their owners on vacation.
- Extended stays amplify the need. A 30–90-day booking isn’t just a getaway; it’s a temporary home, and that means we need to cater to all family members.
- Positive reviews multiply. Guests often express gratitude in public feedback, saying things like: “We loved that our pup had a yard!” These heartfelt reviews influence future bookings and create a cycle of return guests.
“Allowing pets isn’t just a gesture, it’s a business opportunity,” explains Lauren Ridloff, Vacation Rental Strategist. “Pet owners will book sooner when they find a welcoming property, and they often extend stays or return later if their experience is positive.”
What Pet-Friendly Guests Look For
- Fully fenced yards or secure outdoor spaces
- Pet-specific amenities: bowls, benches, toys, beds
- Nearby parks or trails
- Clear pet policies: fees, breed limits, cleaning assessments
- Easy cleaning surfaces like hardwood, not plush carpets
Hosting Tip
- Show photos of your outdoor space, walking trails, and pet features
- Back pet fees with added value: groomer discounts, dry shampoo kits, or treats
- Highlight no-deposit policy if possible guests stress less over damage concerns
- Provide a pet-friendly guidebook, including local vet info and pet supply stores
🔗 Discover our pet-friendly long-term rentals
Smart Home Features Are No Longer a “Nice-to-Have”
Smart home technology has rapidly transitioned from luxury to mainstream in vacation rentals. As guests seek security, convenience, and comfort, properties equipped with intuitive automation are seeing tangible benefits in satisfaction, reviews, and profitability.
Why Smart Homes Matter in 2025
- Security and Peace of Mind
Guests expect secure keyless entry via smart locks, front door cameras, and motion sensors, features that deter break-ins and simplify check-in. Enabling temporary codes and remote access further reduces friction and enhances safety.
- Energy Efficiency and Cost Savings
Smart thermostats reduce energy waste by adjusting temperatures based on occupancy. Automated lights and climate control can cut energy costs by up to 32%, while building management systems monitor usage, all contributing to sustainability goals and stronger margins.
- Seamless Guest Experience
Automated check-in allows guests to arrive at any hour, no keys, no waiting. Voice assistants, smart TVs, leak detectors, and digital guidebooks elevate comfort and convenience while reducing manual tasks and support calls. - Operational Efficiency for Hosts
Centralised automation platforms save hours on coordinating check-ins, monitoring occupancy and noise, and responding to maintenance, scaling your business while maintaining a high-quality guest experience.
What Guests Expect From Smart Rentals
According to a 2025 Rently Smart Apartment Trends Report, over 54% of renters expect smart locks, thermostats, and security cameras, with 65% rating them more appealing than traditional amenities like gyms or pools.
Home automation is no longer a premium, it’s a baseline.
“We’re witnessing a real shift in what renters consider essential,” says Merrick Lackner, CEO of Rently. “Smart home technology is no longer a nice-to-have. It’s a baseline expectation. … Property managers who move now can turn this shift into a true competitive edge.”
Smart Features Worth Investing In
| Feature | Benefit |
| Smart locks & keyless entry | Frictionless check-in, no lost keys |
| Smart thermostats (e.g. Nest, Ecobee) | Lower utility bills & better guest comfort |
| Smart lighting | Security, ambiance, and energy conservation |
| Smart sensors (water, noise, occupancy) | Property protection & neighbour-friendly stays |
| Voice assistants & smart TVs | Convenience and hotel-level experience |
| Digital guidebooks | 24/7 guest assistance, upsell opportunities |
Hosting Tip
Bundle a smart package and highlight it in your listing:
“Automated check-in, smart thermostat, leak sensor, and voice assistant included.” This builds trust, reduces hassles, and boosts booking potential.
🔗 Browse our smart-tech–equipped rentals
Flexible Cancellation & Clear Policies Build Guest Trust and Bookings
In 2025’s unpredictable world, travelers want reassurance. Property owners that offer flexible cancellation options and clear policies are winning bookings and market share.
Why Flexibility Pays Off
Vacation rental platforms have begun highlighting flexibility as a core guest priority. Recent insights show:
- On Vrbo, 75% of travelers say they prefer browsing listings tagged “free cancellation,” with nearly half avoiding non‑refundable stays entirely.
- Airbnb data shows flexible cancellations increase bookings by up to 20% compared to strict policies.
- Evolve, a large property manager, boosted bookings by 26% and revenue by 53% per listing after introducing greater flexibility.
Guests today expect fair cancellation windows and transparent communication, particularly for midterm stays where life plans can change.
Smart Cancellation-Tier Examples
Best practices from Vrbo and Hostfully-themed recommendations include tiered options:
- Relaxed: 100% refund if canceled ≥14 days before check-in; 50% refund 7–14 days prior.
- Moderate: Full refund ≥30 days prior; 50% refund 14–30 days ahead.
- Firm: Refund up to 60 days prior; partial refund up to 30 days out
Real-World Examples
| Policy Tier | Guest Benefit | Host Benefit |
| Relaxed | Builds confidence for mid- and short-term guests | Higher booking rates, especially shoulder/off-season |
| Moderate | Targets cautious planners willing to commit | Balances appeal and reduced no-show risk |
| Firm | Popular in high-demand seasons | Reinforces revenue protection |
Expert Insight
“Flexible cancellation policies help guests book with confidence, while still protecting host revenue,” says a senior exec at Evolve. “Our A/B testing showed revenue up 53 % and bookings up 26 % using this strategy.”
Hosting Tips
- Add transparency: Clearly outline your policy in listings, confirmation emails, and rental agreements.
- Promote flexibility: Use labels like “Free cancellation until 14 days out” in listing headlines.
- Use tiered structure: Offer full refund until 30 days, partial until 14 days, and credits within two weeks.
- Balance with revenue strategy: Use relaxed policy during slow seasons and firm policy during peaks.
- Include insurance: Recommend travel insurance to cover unexpected events.
- Include policy FAQs: Make policies easy to find on your site or digital guidebook.
🔗 View our best flexible-policy rentals
Design Matters More Than Ever
In 2025, your property’s design does more than set the tone; it drives bookings. Today’s guests want more than a clean place to stay. They want a home that tells a story. That means a move away from sterile, hotel-like interiors and toward design that reflects the local vibe, feels intentional, and photographs beautifully.
Thoughtfully designed rentals command higher nightly rates and better reviews. According to Airbnb’s design trends, homes with standout interiors appear more often in guest wishlists and get booked faster, especially by midterm guests looking for comfort and character.
Guests are gravitating toward what some designers call “resort-core,” spaces that feel like a private spa retreat, complete with soft lighting, earthy tones, and cozy textures. They also expect practical comfort: high-quality furniture, quiet bedrooms, and spaces that support longer-term living.
“We’re seeing a major return on design investment,” says STR design consultant Jessica Duce, who was recently profiled in the Wall Street Journal. “When a rental feels luxurious and personal, guests treat it with more care—and hosts see more repeat bookings.”
To stand out in 2025, consider incorporating:
- Local artwork or handmade décor to reflect your region
- Soft, layered lighting and natural materials
- One or two bold “Instagrammable” moments, a feature wall, arched doorway, or unique furniture piece
A polished space invites better guests, builds your brand, and makes every stay more shareable.
🔗 See our most beautifully designed vacation homes
Multi‑Generational & Group Travel: More Than Just a Trend
If there’s one trend defining 2025, it’s multi-generational and group travel where grandparents, parents, and kids journey together for quality time and meaningful experiences.
Recent data confirms this shift. Airbnb reports that over 80 percent of their family stays include three generations, parents, children, and grandparents, highlighting a rise in “grandymoons” where families bring elders along to create unforgettable memories. Similarly, a LinkedIn study reveals that 58 percent of Millennial and Gen Z parents plan vacations with extended family this year, nearly double the rate for Gen X or Boomers.
“Travelers, especially millennials and Gen Z, are motivated to book thoughtful, meaningful trips this year,” says Audrey Hendley, President of American Express Travel.
What This Means for Hosts
Families booking together want space, living areas where everyone gathers, kitchens big enough for group cooking, and bedrooms that offer privacy. They appreciate extra perks too: bunk beds for kids, game tables, outdoor grills, or media rooms. When properties cater to these needs, they see longer stays, glowing reviews, and loyalty.
To connect with these group travelers:
- Feature layout visuals, floor plans or photo grids that show communal zones and private quarters.
- Emphasize guest-friendly extras like board games, grilling stations, or portable cribs.
- Promote flexible multi-night discounts guaranteed to score longer stays during school breaks and vacations.
- Create a group travel guide suggesting local activities suitable for all ages, from beach days to nature walks.
🔗 Explore our group- and family-friendly rentals
Final Thoughts: Stay Ahead of the Curve in 2025
The short-term and midterm rental space is evolving fast. From remote workers booking 90-day stays to multi-generational families seeking meaningful connection, 2025 is redefining what travellers want and what hosts need to deliver.
Guests are no longer just looking for a place to sleep. They want comfort, character, flexibility, and value. Properties that embrace these trends, whether by adding smart tech, offering flexible cancellation, or simply designing a space that feels like home, will win the bookings, the 5-star reviews, and the repeat guests.
Whether you’re a property owner, investor, or someone planning your next long-term getaway, staying in tune with these shifts isn’t optional; it’s essential.
The hosts who adapt now will lead the market later.
🔗 Browse our collection of long-stay and midterm vacation rentals or
🔗 List your property with Vacation Rental Co today
Want help choosing the right property, or optimizing yours to match these trends? Our team is here to help.