60% of U.S. Property Managers Expect Revenue Growth in 2026

U.S. short-term rental property managers remain cautiously optimistic about revenue growth in 2026, even as staffing, operational pressures and regulatory issues weigh on the sector. The findings come from Key Data’s Vacation Rental Industry Outlook 2026, based on responses from about 250 property management professionals overseeing more than 43,000 properties nationwide.

According to the report, 60% of property managers expect modest revenue growth next year, while 9% predict significant growth. Around 28% anticipate flat performance and just 18% foresee a modest decline, with none expecting a significant downturn. Financial performance remains the primary factor influencing whether property owners stay with a management company.

However, growth will not come easily. Nearly three-quarters (73%) of respondents cited staffing and operational challenges, alongside market and revenue pressures, as the biggest obstacles to hitting 2026 targets. Regulatory burdens also remain a concern for 43% of managers. Top regulatory challenges include stricter licensing and permitting requirements (47%), rising occupancy taxes (38%) and pushback from local communities (30%).

Key Data notes that property managers are shifting priorities, focusing more on operational efficiency than aggressive expansion. Most managers ranked operational improvements above marketing, guest experience, portfolio strategy and technology investment. Yet technology remains essential, with 95% of managers using a property management system as the foundation of daily operations.

Average daily rates are expected to remain relatively stable, with 43% predicting flat ADRs and 38% expecting modest growth. Meanwhile, reliance on online travel agencies is steady, with Vrbo and Airbnb remaining the most widely used platforms while direct booking strategies slowly gain traction.

Tags: phocuswire

60% of U.S. Property Managers Expect Revenue Growth in 2026

Related Posts