The vacation rental market in Mexico and Latin America is in a state of growth as of April 2022. Despite recent economic events (war in Ukraine, inflation and rising fuel prices) the aim of this article is to have a reference of how much the vacation rental market is worth as of April 2022 and not so much to predict its immediate future. Let's focus then on two LATAM vacation rental countries: Mexico and Brazil. According to recent figures from Transparent, we know that both countries have grown their inventories +38% and +29% respectively comparing April 2022 vs January 2019. Inventory during the April 2022 period for Mexico was 229,526 units. Mexico is Latin America's second largest market in terms of inventory after Brazil, which had a total of 434,315 units during the same period. This is almost twice as many as Mexico. However, Mexico has an average ADR (Average Daily Rate) of $106 USD which is much higher than that of Brazil which was only $66 USD in the same period. In addition, Mexico's occupancy rate was 46% vs. 31% in Brazil. The size in value of the vacation rental market in Mexico during the last rolling year to April 2022 can then be estimated at USD 3,283 million while that of Brazil was USD 3,275 million. Brazil, although it has 90% more inventory than Mexico, has practically the same value in USD as Mexico.
Published on 27.06.22