From new hires to assignees, relocating employees have many options when it comes to temporary housing resources these days. Hotels for short-stays and corporate furnished apartments for 30+ days have been the long-standing default in the mobility world, with technology-based solutions offered by the likes of Airbnb, VRBO and others becoming more prominent in the last decade.
While the options that exist out there are for more than just those relocating, they are a critical resource for people to leverage during the relocation process and can have a dramatic impact on the overall transition experience. Temporary housing fills the gap between someone leaving their home and getting into new long-term housing in a new location. This time can be as short as a few days or as long as several months, depending on the type of move and the employee's specific needs.
Temporary housing is also a service that has been maximized by technology. Over the past 10 years, the number of options have grown dramatically, and technology is now key to facilitating the process and creating a great experience. Available solutions now go beyond traditional long-term and short-term options to encompass situations such as one-way moves, local plus hires, graduate development, internship programs, and various “flex expatriate” arrangements even including commuters and remote workers.
Way back in January of 2023, there was article from Forbes that shared "6 Trends That Short-Term Rental Property Owners and Managers Should Expect In 2023". The article explains that the short-term rental industry has exploded over the last couple of years, experiencing peak new supply added and rental demand alike in 2022. As the industry continues to grow and evolve, it's important for mobility leaders, teams and their suppliers to stay up to date on the latest trends and developments.
That particular article shared six short-term rental trends for 2023:
- Increased regulation
- Growth of alternative accommodations
- Increased availability and use of technology
- Increased focus on sustainability
- Greater competition
- Continued growth
Without a doubt, these trends have remained and are relevant as we near Q4 of 2023. As it relates to the trend of increased regulation, in NYC with Local Law 18 coming into effect on Tuesday, September 5th, all short-term rental hosts in New York must register with the city, and only those who live in the place they’re renting - and are present when someone is staying - can qualify. And people can only have two guests.
This Wired article felt that this law is so strict as to effectively ban short-term options entirely for many guests and hosts. There has since been a dramatic reduction of options in NYC via those platforms. The article shared that other cities are taking a different approach, too. "Dallas has limited short-term rentals to specific neighborhoods to avoid disruptive and dangerous parties. Elsewhere, the Canadian province of Quebec and Memphis, Tennessee, among others, now require licenses for short-term rentals. In San Francisco, the amount of time someone can list their entire residence for rent on Airbnb is limited to 90 days each year; Amsterdam puts that limit at 30 nights per year, Paris at 120 days. Berlin previously banned nearly all Airbnbs but walked the decision back in 2018."
But, turning our attention back to corporate housing, we've also seen a recent trends update from our friends at Synergy, a global temporary housing provider. While Synergy continues to support those relocating with longer stays, they share that the five most common types of moves they are now encountering through their relocation management partners are internships, short-term assignments, extended business trips, commuters, and remote workers. Each move type has its own unique temporary housing policy, which has resulted in their team sourcing non-traditional accommodations for stays of 7 to 14 nights.
Check out more of the trends that Synergy is seeing as they dive into a regional review. In EMEA, they share insights on London, Dublin, Amsterdam, Zurich, Tel Aviv, and Paris. In APAC, they explain trends in Bangalore, Singapore, Sydney, and Hong Kong. In the Americas, they reflect on Chicago, Milwaukee, and Miami, along with a host of cities that are expecting the most growth. They share trending issues in Canada, Mexico, Chile, and Brazil too.
With so much happening in the world right now – not just in the world of temporary housing – we understand the importance of staying informed. That’s why Synergy is here to bring you the latest developments, insights and more from our global-housing team. The ongoing evolution in global demographics, coupled with new post-pandemic trends in mobility and digital living, has raised the profile of the temporary accommodation sector. Furthermore, these emerging trends have led to changing consumer preferences, as well as increased investor interest and transaction volume in temporary housing products. Global mobility policy design is also going through a period of rapid change to reflect the new post-pandemic landscape, with a range of relocation policies in place that ensure talent is moved efficiently and cost-effectively. All of these trends directly impact how Synergy sources and procures accommodations worldwide.