2024 End-of-Year Summary: Hamptons Online Vacation Rental Market

The performance of the online vacation rental market in the Hamptons in 2024 reflects resilience in the face of shifting traveler behavior. While the market hasn't returned to the heights of 2022, the recovery in booking revenue and revenue per property highlights the potential for growth in the premium segment. Strategic marketing, improved property amenities, and a focus on extended stays may help address demand challenges moving forward.

Key Highlights:

• Total Bookings:

  • 2024 ended with 40,480 bookings, a 2% decline compared to 2023 (41,280) and a more significant 14% decrease from the peak in 2022 (47,226).
  • This reflects a slight market contraction as demand continues to recalibrate post-COVID peaks.

• Booking Revenue:

  • Total revenue increased by 9% YoY, climbing to $217.56M, a recovery from 2023's decline (-12% YoY).
  • Revenue returned to a level almost equal to 2021, signaling stronger pricing strategies despite a slight drop in bookings.

• Average Booking Amount:

  • The average booking amount rose to $5,375, a notable 11% increase YoY, surpassing the 2021 figure of $5,273.
  • This growth indicates a preference for higher-value bookings, perhaps reflecting inflation or more premium property selections.

• Nights Booked:

  • Nights booked dropped slightly (-1%) to 184,874, continuing a downward trend from 2021. This suggests fewer extended stays and increased competition from other travel destinations.

• Average Nightly Rate:

  • A significant 11% YoY increase to $1,177 - the highest in the past four years—underscores property owners capitalizing on premium pricing strategies.

• Available Properties:

  • The total number of properties slightly declined by 2% YoY to 6,752, after three years of consistent growth.
  • The decline in booked properties (-4% YoY) suggests either stronger competition or selective booking behavior by travelers.

• Revenue Per Property:

  • Revenue per property rebounded by 14% YoY to $53,481, recovering from a 10% decline in 2023. This metric reflects successful adjustments to pricing and booking management strategies.

• Booking Duration:

  • Average nights per booking remained stable at 5 nights, with only a marginal 1% YoY increase, aligning with typical booking patterns in the region.

Trends Over the Years (2021-2024):

• The market experienced strong growth in 2022, with a 15% increase in bookings YoY, but softened in 2023 due to economic conditions and changing travel preferences.
• Average nightly rates have steadily risen over four years (+12% since 2021), benefiting property owners focused on luxury or high-demand properties.
• The number of available properties peaked in 2023 (6,896) before contracting in 2024.

Looking Ahead:

The Hamptons online vacation rental market in 2025 presents both challenges and opportunities for property owners. The continued decline in bookings and nights booked highlights a competitive landscape that demands proactive strategies to attract and retain travelers. However, the rise in average booking amounts and nightly rates underscores a growing appetite for premium offerings, suggesting that targeting high-value guests could be a key avenue for success.

Owners who focus on enhancing the overall guest experience—such as improving property amenities, providing personalized touches, having fast response time when something goes wrong, and investing in professional staging and marketing—can better position themselves to capitalize on evolving traveler preferences. Leveraging data-driven pricing strategies will also be critical in optimizing revenue, especially during off-peak seasons when competition is higher.

StayMarquis is uniquely positioned to help owners outperform the market, as we consistently do. By utilizing advanced revenue management tools, real-time booking data, and tailored marketing strategies, StayMarquis empowers owners to maximize revenue while ensuring their properties stand out in a crowded marketplace. Our comprehensive services, which include property preparation, marketing and booking services, revenue management, and concierge-level guest support, make it easier than ever for owners to tap into the Hamptons' lucrative rental market.

Additionally, focusing on extended stay packages and experiences that align with luxury travelers' expectations will create opportunities for sustained growth. The Hamptons market is evolving, and owners who adapt quickly to these trends will be best positioned to thrive in 2025 and beyond. With StayMarquis as your trusted partner, you can not only navigate these shifts but also lead the market in performance and guest satisfaction.