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Guaranteed Rent | rent guarantee scheme | Adriatic top for Holiday Rentals Growth & Hike in Hotel Prices Drives People to Rent

The supply of privately rented holiday accommodation in Montenegro and Croatia saw strong growth in the first quarter of 2012, according to HomeAway.co.uk, the UK’s number one holiday rentals website. In addition, as global hotel rates rose by an average of 4% in 2011*, 36% of respondents to a survey by HomeAway.co.uk** stated they were considering alternative accommodation this year, with holiday rentals the top choice for more than 80%, followed by B&Bs and caravans.

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Saving money is also one of the top reasons why one in six holidaymakers will spend their main break at home this year. Surprisingly though, should the economy worsen, only 13% of holidaymakers would give up on their holiday altogether; many more are happy to wait for a last minute deal (27%) or choose a cheaper accommodation option (25%) instead.

The popularity of the Adriatic nations could also be down to Brits looking save money by opting for better value destinations, with homeowners on HomeAway.co.uk reporting increasing demand:

Paul Clarke, owner of a two-bedroom apartment in Kotor (http://www.HomeAway.co.uk/p418835) commented: “I haven’t experienced any downturn due to the recession, in fact last year the apartment was booked for 34 weeks of the year and this year is shaping up to be the same or even better.”

Montenegro was the top performing market in terms of inventory growth on HomeAway.co.uk from January to 31st March. Now seen as a safe place to invest, it has not lost its value during the recession and experienced a healthy 87% year-on-year increase in the number of new properties added to the website.

Nicky Anson, owner of two properties in Istria, Croatia (http://www.HomeAway.co.uk/p58273 and http://www.HomeAway.co.uk/p67104), commented “2012 is shaping up to be one of our best rental years yet, with high levels of booking enquiries from January onwards. The end of April saw another flurry of bookings too as our last available high season weeks were snapped up.”

Croatia was the third best performing destination for supply in the first quarter of 2012, jumping one position from the fourth quarter of last year. With the country’s membership of the EU looming, its property market continues to see a surge in demand by foreign buyers. Demand from tourists is growing rapidly too, as also reported by Cosmos Holidays which recently announced sales have quadrupled since last year.

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