Short-Term Rentals Property Management Market Size and Share Analysis - Growth Trends and Forecasts (2025-2032)

Market Size and Trends

The Short-Term Rentals Property Management market is estimated to be valued at USD 5.8 billion in 2025 and is expected to reach USD 11.7 billion by 2032, growing at a compound annual growth rate (CAGR) of 11.1% from 2025 to 2032. This robust growth is driven by increasing demand for short-term rental accommodations, technological advancements in property management solutions, and the rising adoption of digital platforms facilitating seamless operations for property owners and guests alike.

A key market trend shaping the short-term rentals property management industry is the integration of smart technology and automation, which enhances operational efficiency and customer experience. Additionally, there is a growing preference among property owners for professional management services to maximize rental income while ensuring compliance with evolving regulations. Sustainability initiatives and the rise of personalized guest experiences further influence market dynamics, signaling continued innovation and expansion in the sector.

Segmental Analysis:

By Property Type: Dominance of Apartments Fueled by Urbanization and Demand for Flexible Living

In terms of By Property Type, Apartments contribute the highest share of the Short-Term Rentals Property Management market owing to a combination of urbanization trends and increasing demand for flexible, affordable accommodations in metropolitan areas. The surge in urban migration, especially among young professionals and digital nomads, has significantly boosted the appeal of apartments as short-term rental properties due to their generally central locations and accessibility to key city amenities. Apartments also tend to offer an optimal balance of space, price, and convenience, making them attractive for both renters seeking temporary stays and property managers aiming for steady occupancy rates. Moreover, the development of high-rise apartment complexes with modern facilities has further enhanced their suitability for short-term rental purposes, offering seamless integration with community services, security, and often on-site maintenance. The compact nature of apartments allows for efficient management and maintenance, which translates to cost savings and easier scalability for property management firms. Given these factors, property owners are keener to list apartments as short-term rental properties, while property management service providers leverage technology platforms to optimize bookings and revenue from these units. The growing acceptance of shared living spaces and co-living models has additionally supported the preference for apartments in this segment, especially among millennials and younger demographics who prioritize location and flexibility over size. These driving forces ensure that apartments remain the most sought-after property type within the short-term rental property management landscape.

By Service Type: Full-Service Property Management Leading through Comprehensive and Integrated Offerings

By Service Type, Full-Service Property Management commands the highest share in the Short-Term Rentals Property Management market as it addresses the multifaceted needs of property owners seeking hands-off, efficient rental experiences. The complexity involved in managing short-term rented properties—from guest communications and marketing through booking platforms to maintenance, housekeeping, and legal compliance—necessitates a comprehensive service model that streamlines all these tasks under one umbrella. Full-service providers mitigate the operational burden on individual owners and investors by offering end-to-end management solutions that enhance guest satisfaction and optimize rental income through dynamic pricing and professional property upkeep. Furthermore, the rising expectations of short-term renters for quality services such as prompt maintenance, cleanliness, 24/7 support, and seamless check-in/out have positioned full-service management as a critical differentiator. By consolidating booking and revenue management with housekeeping and maintenance, these providers improve operational efficiencies and reduce vacancy periods. Additionally, the growing adoption of technology and data analytics enables full-service management firms to maximize profitability by forecasting demand trends, optimizing pricing strategies, and managing guest reviews effectively. For property owners who lack the time, expertise, or resources to oversee the short-term rental process, full-service property management delivers peace of mind and reliable returns, driving its strong market presence. This integrated approach aligns closely with market dynamics where property owners prioritize hassle-free, profitable rental solutions, thereby propelling the dominance of full-service management within this segment.

By End-User: Individual Property Owners Driving Demand through Increasing Participation and Market Entry

In terms of By End-User, Individual Property Owners hold the largest share of the Short-Term Rentals Property Management market, primarily due to the growing trend of private homeowners entering the short-term rental space as an alternative income source. The democratization of property management, fueled by accessible digital platforms and marketplaces, has empowered individual owners to monetize their assets without the need for large-scale institutional backing. Many homeowners view short-term rentals as a lucrative way to enhance returns on their properties, especially in popular tourist destinations and urban centers with high demand for temporary accommodations. The rise in remote work and changing travel behaviors has also encouraged more property owners to capitalize on short-term rental opportunities, prompted by flexible usage of their homes and seasonal income potential. Additionally, individual owners often seek professional assistance from property management firms to handle the complexities of guest relations, marketing, maintenance, and compliance, thereby creating robust demand for specialized management services tailored to smaller portfolios. This segment benefits from personalized and cost-efficient service models that accommodate varying levels of property owner involvement and investment sizes. Furthermore, regulatory changes in many regions have clarified the legal framework around short-term rentals, reducing entry barriers and encouraging more individual property owners to participate confidently. The combination of entrepreneurial interest, technological ease of listing properties, and desire for supplementary income has made individual property owners the most significant end-user group driving growth and innovation within the short-term rentals property management sector.

Regional Insights:

Dominating Region: North America

In North America, the short-term rentals property management market holds a dominant position, primarily driven by a mature and well-established market ecosystem. The region benefits from a robust tourism infrastructure combined with widespread digital adoption that facilitates seamless property listing, booking, and management services. Government policies in key countries like the United States are increasingly balancing regulation with innovation, allowing property managers to scale operations while maintaining compliance on zoning, safety, and taxation. The presence of industry giants such as Vacasa, Evolve, and Sonder has significantly professionalized the market, introducing technology-driven solutions that optimize occupancy rates and enhance guest experiences. Additionally, North America's extensive trade links and financial services infrastructure support investment and expansion within this sector.

Fastest-Growing Region: Asia Pacific

Meanwhile, the Asia Pacific region exhibits the fastest growth in the short-term rentals property management market. The region's rapid urbanization, burgeoning middle class, and rise of digital tourism platforms have created fertile ground for market expansion. Government initiatives in countries like Australia, Japan, and Southeast Asian nations have started to encourage tourism diversification and smart city projects that indirectly support short-term rentals. The relatively less regulated environment compared to North America allows for more experimental and aggressive business models. Notable companies such as OYO Vacation Homes, RedAwning, and local players like Tujia in China are pioneering both technology integration and network expansion. The trade dynamics here reflect enhanced connectivity and growing cross-border travel, which contribute to demand spikes and scalability opportunities.

Short-Term Rentals Property Management Market Outlook for Key Countries

United States

The United States continues to lead the short-term rentals property management market through its comprehensive regulatory frameworks and advanced technological adoption. Major players including Airbnb's property management partners, Vacasa, and TurnKey Vacation Rentals have spearheaded innovations in dynamic pricing, contactless check-in, and professional housekeeping services. The country's diverse tourism hubs—from urban centers to coastal retreats—create high demand, supported by government tax incentives and local municipality partnerships that encourage property owners to list their homes. The competitive landscape is marked by heavy investment into AI-driven guest management solutions and sustainable rental practices.

Australia

Australia's short-term rentals property management market is rapidly evolving, supported by increasing domestic and international tourism. The government has enacted regulations that aim to balance residential housing availability with the growth of short-term rentals, fostering a more professionalized market environment. Companies such as Stayz and RentBetter have local expertise and strong digital platforms tailored to consumer preferences in the region. The presence of major global platforms coupled with regional operators allows for diverse inventory management solutions. This market benefits from seamless integration with travel agencies and hospitality partners, fueling further adoption and service quality improvements.

Japan

Japan's expanding short-term rentals market is driven by the government's strategic focus on inbound tourism and hosting mega-events, which increased demand for diverse accommodation options. Efforts such as the introduction of the Minpaku law have created structured regulations that encourage responsible hosting while safeguarding community interests. Players like Rakuten STAY and Relux have capitalized on this environment by offering curated vacation rental portfolios and enhanced customer support. The emphasis on technology, including AI translation and smart home systems, has made Japan a sophisticated market for short-term property management services.

United Kingdom

The United Kingdom's market is characterized by stringent regulatory oversight balanced with an active short-term rental community, especially in cities like London, Edinburgh, and Manchester. Companies such as Pass the Keys and Hostmaker have localized their management solutions to comply with council regulations and housing laws, ensuring sustainable rental practices. The market benefits from an integrated approach encompassing guest vetting, tailored marketing, and post-stay services, which enhance competitiveness. Trade relationships and the UK's position as a global tourism hub contribute to a steady influx of travelers and property owners seeking efficient management solutions.

Brazil

Brazil is emerging as a key market within Latin America, with its short-term rentals sector propelled by growing domestic tourism and international visitors to cultural and natural attractions. The regulatory environment is evolving, with municipal governments introducing licensing requirements and safety standards to protect guests and hosts alike. Local companies such as TemporadaLivre and Brazil Vacation Rentals have been instrumental in professionalizing the market through platforms that connect property owners with reliable management services. The growth of mobile internet and digital payment solutions further empower market expansion amidst Brazil's diverse urban and coastal landscapes.

Market Report Scope

Market Segmentation

Property Type Insights (Revenue, USD, 2020 - 2032)

• Apartments
• Villas
• Townhouses
• Condominiums
• Others

Service Type Insights (Revenue, USD, 2020 - 2032)

• Full-Service Property Management
• Lease Agreement Management
• Booking and Revenue Management
• Housekeeping and Maintenance
• Others

End-user Insights (Revenue, USD, 2020 - 2032)

• Individual Property Owners
• Real Estate Investment Firms
• Hospitality Enterprises
• Others

Regional Insights (Revenue, USD, 2020 - 2032)

• North America
• U.S.
• Canada
• Latin America
• Brazil
• Argentina
• Mexico
• Rest of Latin America
• Europe
• Germany
• U.K.
• Spain
• France
• Italy
• Russia
• Rest of Europe
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• ASEAN
• Rest of Asia Pacific
• Middle East
• GCC Countries
• Israel
• Rest of Middle East
• Africa
• South Africa
• North Africa
• Central Africa

Key Players Insights

• Vacasa
• Evolve Vacation Rental
• GuestReady
• Sonder
• Stay Alfred
• Lyric
• AvantStay
• Hostmaker
• Pillow
• BnbLord
• Oasis Collections
• Airsorted (now Houst)
• RedAwning
• TurnKey Vacation Rentals
• Wander Jaunt