In the competitive vacation rental industry, homeowner retention isn’t just important—it’s critical. As we enter 2025, retaining existing homeowners while expanding property inventories has emerged as a key focus for property managers across the U.S. But what does it take to keep homeowners happy, and how can data help?
Key Data conducted a 2025 Vacation Rental Industry Outlook, revealing the sentiment around important trends shaping the industry and highlighting the strategies top property managers are prioritizing. Let’s explore these insights and how they can help you elevate your retention efforts.
Why Retention and Growth Are Priorities for 2025
For property managers, balancing retention with growth is a delicate but necessary task. According to our 2025 Vacation Rental Industry Outlook:
- 71% of property managers with 100+ units ranked owner retention as a top priority.
- 73% of these managers also prioritized acquiring new properties for their inventory.
These were two of the top three priorities listed among mid-sized, large, and extra large property managers alike. Why the focus on growth? The simple answer is: profits. The more properties in your portfolio, the more opportunities for revenue. However, retaining homeowners is equally vital, as satisfied owners are less likely to leave your program and more likely to recommend your services to others.
Challenges in Retention: Why 2025 is Different
Retention isn’t without its challenges, and 2025 brings unique hurdles for property managers. Many homeowners who began renting in 2020 experienced record-breaking profits. As the market normalizes, some may feel dissatisfied with current performance if their expectations aren’t managed.
This makes proactive communication and education critical. Without it, homeowners may misunderstand market trends or feel undervalued—leading to frustration and potentially, churn. To keep them happy, you need to provide transparency and actionable insights that empower them to make informed decisions about their investments.
How Data and Communication Drive Retention
Data is the key to retention in 2025. When you share relevant insights with homeowners, you build trust and demonstrate your commitment to their success. Here are the top ways data can help:
- Set Realistic Expectations: Use booking and revenue reports to explain market trends and help homeowners understand what’s achievable. You can send individual homeowner reports tailored to their specific unit in your Key Data Dashboard.
- Provide Context with Benchmarking: Compare their property’s performance to similar units in the market to highlight strengths and areas for improvement.
- Offer Actionable Recommendations: Share data-driven advice on strategies to boost profits, such as making property upgrades, adjusting nightly rates, or optimizing owner holds.
By focusing on transparency and proactive communication, you can foster stronger relationships with your homeowners and improve overall retention rates.
Take Action to Retain More Homeowners in 2025
Retention and growth should go hand-in-hand . With the right tools and strategies, you can balance both while strengthening your homeowner relationships. Our sentiment report highlights the importance of data-backed communication and how it can drive satisfaction and loyalty.
Want to learn more about homeowner strategies in 2025?
Schedule a demo to learn more about how Key Data helps with retaining homeowners.