Vacation Rentals Surge, Hotels Under Pressure
The Skift Travel Health Index reveals a period of balanced growth in global travel, despite challenges in the hotel sector.
The global travel industry showed moderate growth in May 2025, with the Skift Travel Health Index reaching 102, indicating 2% growth year-on-year.
A deep dive into sector performance, however, reveals diverging trends between the two accommodation sectors: vacation rentals, which are soaring, and hotels, which are softening.
According to the latest Skift Travel Health Index report, vacation rentals are experiencing a surge, growing 12% relative to May 2024, while hotels witnessed a slowdown (2% year-on-year) in the face of growing economic uncertainties.
Skift Travel Health Index Score by Sector
RegionFeb-25Mar-25Apr-25May-25Airlines103105105102Hotels10010510398Vacation rentals113108113112Car rentals98107105109 Vacation Rentals: The Star PerformerShort-term rentals emerged as
skift.
