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February 3, 2025 As we move into 2025, vacation rental bookings across Cape Cod, Martha’s Vineyard, and Nantucket continue to show significant growth compared to pre-pandemic levels. While demand surged during the pandemic, we’re now observing a return to more typical travel patterns, leading to a moderation in prices. Rental rates, which experienced substantial increases during peak pandemic years, are stabilizing and returning to pre-pandemic levels. Strong Booking Trends for 2025 Bookings for the 2025 season are already showing promising signs of continued interest. Compared to 2024, bookings are up by over 14% on Cape Cod and nearly 11% on Martha's Vineyard. However, Nantucket is seeing a slight decline, potentially due to more aggressive price hikes in comparison to the Cape and Vineyard. Note: With approximately 38% of total expected bookings already confirmed, the season is still in its early stages, so we anticipate some fluctuations as the months progress. Rental Rate Stabilization In 2025, rental price increases are following a more typical pattern, with rates rising between 2-4%, which is consistent with the historical trends we've seen over the past 28 years. Notably, 32% of homeowners have lowered their rates for 2025 compared to 2024, reflecting the market’s normalization after record-breaking price hikes during the pandemic. Here’s a snapshot of the 2025 price changes: • Cape Cod: +2.0% (the Upper and Mid Cape – Sandwich to Dennis – averaged virtually no price increase at all) • Martha’s Vineyard: +1.8% • Nantucket: +6.6% (notably higher than the Cape and Vineyard) For context, last year’s average increase was 2.6% over 2023, with this year’s increase being a modest 2.5% over 2024. Inventory and Availability As of January, 7 out of 10 summer weeks are already over 50% booked, signaling high demand. For vacationers looking to secure their ideal rental, now is the time to act before the most sought-after properties are fully booked. Peak demand is typically for the last two weeks of July and the first two weeks of August. However, vacationers can often find more availability—and even discounted rates—during the first week of summer and the final two weeks of August, as many homeowners offer reduced prices during these periods to encourage bookings. About WeNeedaVacation: Locally owned and operated, WeNeedaVacation has been providing an efficient and inexpensive way of matching vacationers and vacation rental owners since 1997. The website lists nearly 4,000 properties on Cape Cod, Martha's Vineyard, and Nantucket and offers extensive information to the 1.3M vacationers who use the site yearly, including about beaches, events, dining, activities, and shopping. We do not charge vacationers a fee, and they can book directly with the owner or manager. Our amazing staff provides unparalleled guidance to our Cape & Islands vacation rental homeowners. Many of our staff are vacation rental owners themselves, and all work hard to promote this special place. We proudly belong to all 20 local Chambers of Commerce.