Performance Overview
Dear Trusted Real Estate Partners :
We are thrilled to connect with you through our new Realtor Newsletter which we ’ ve developed specifically for real estate professionals like you . As a company , we take pride in being a trusted partner in vacation rental and property management — and we want to keep you updated on the latest trends and insights we ’ re seeing in the market .
Moving forward , Natural Retreats will provide updates on rental performance , market dynamics , and emerging opportunities in the short-term rental space here in Palm Springs and nationally . Our goal is to empower you with the information you need to better serve your clients and navigate the evolving marketplace .
To ensure you don ’ t miss out on these essential updates , click the link below to subscribe and receive regular market insights directly to your inbox .
Market Update
2024 saw a decrease in overall guests visiting the greater Palm Springs area which resulted in a lower YOY performance vs 2023 in the vacation rental space . Several factors ( beyond our unique seasonality ) drove this decline , including increased market competition and declining Occupancy — both locally and nationally .
In the Palm Springs market , we observed a 9 % YOY decline in Occupancy for 2024 vs 2023 , resulting in an 8 % drop in RevPAR . This was due to relatively static YOY rates . Looking forward to 2025 , we anticipate that we will begin to see a slow but steady increase in Average Daily Rates ( ADR ), which should help improve RevPAR . While a reduction in rates should help drive Occupancy , we do not anticipate Occupancy rates to exceed those of 2023 .
Reach Out
Understanding the vacation rental sector can be complex . It ’ s also constantly changing . If you or your clients have questions or would like to discuss rental revenue projections or regional trends , please feel free to reach out . I would be happy to set up a call to provide tailored support that meets your needs .
Finally , thank you for being a valued part of our community . I look forward to collaborating with you and sharing our data and insights into the short-term rental space .
Kindest regards ,
Monica Mathews MANAGER OF BUSINESS DEVELOPMENT
NATUR AL RETREATS • PALM SPRINGS • 2024 ANNUAL REVIEW
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