Nayarit’s short-term rental market faced challenges during the third trimester of 2024, with a decline in international tourism and an increase in rental unit supply. Despite these hurdles, Naya Homes continues to outperform the market, achieving strong results specially during holiday periods and maintaining a competitive edge over other operators.
Nayarit’s short-term rental market weakened further during Q3 2024. International tourist arrivals dropped by -17.3% year-over-year in September, driven by the strong peso and a decline in remote work, reducing international travel demand. Additionally, a steady influx of new units over the past 24 months has led to increased supply, pushing down occupancy rates compared to previous years. This resulted in an -8% decline in overall market revenue.
However, two factors could help counter this trend. A stronger U.S. dollar could boost travel from American tourists, and the decrease in total listings may help stabilize occupancy rates. Despite these challenges, Naya Homes has consistently outperformed the market, generating 30% more revenue than its competitors, particularly during peak travel periods.
Supply: In recent months, there has been a slight decline in the number of active listings on platforms such as Airbnb, although the number of units sold continues to rise as new developments are delivered. Despite this slight dip, the total number of active listings remains 77% higher than in 2022, continuing to create pressure on occupancy rates.
Demand: While Nayarit is increasingly seen as a more affordable alternative to Puerto Vallarta, the number of nights booked in the Riviera did not grow this quarter compared to 2023. This highlights a stable demand that has not been sufficient to absorb the increasing supply.
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