Memorial Day Weekend: The Beginning of the Tourism and Hospitality Comeback?
Before we delve into the content of this article, we would like to take this time to recognize the dedication, patriotism and heart of our veterans. TCG recognizes and commemorates all fallen heroes and commends them for their service to our nation. Thank you, Veterans.
According to MillionAcres, more than 37 million Americans are expected to travel away from home through this Memorial Day weekend. Although massive numbers are expected, the predictions still haven’t reached pre-pandemic levels of travel. In 2019, around 43 million Americans traveled for their Memorial Day weekend. With social distancing measures beginning to ease, short-term rental, hotel and business owners are expected to see an influx of tourists over the weekend nationwide that should also spill into the rest of the summer.
Due to the increase in tourism activity, real estate investors should expect to see increased demand, bookings and rental rates fluctuate in response. According to Airbnb, one of the nation’s largest vacation rental platforms, searches for local destinations roughly 50 to 300 miles from the guest’s home are the most popular. New demand for vacation rentals is expected to push investors to increase rental rates, especially in high demand areas.
In conclusion, more traveling and an increase in tourism means more consumer spending. Ultimately, this will help out businesses and landlords who have been struggling this past year. More specifically, in the tourism and hospitality industries that have taken the hardest hit, we can expect to see recoveries beginning this summer.