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Chalet Data Reveals Regional Markets Outshine Cities in 2025 STR Boom

Chalet's 2025 analysis reveals regional vacation markets are outperforming major cities for STR investments, with 205% more deals closed and Sun Belt states dominating search patterns.

This analysis provides crucial insights for anyone involved in short-term rental markets, from individual investors to real estate professionals. The shift toward regional vacation destinations over traditional urban hotspots signals changing travel patterns and investment opportunities that could reshape local economies. For investors, understanding these trends means identifying potentially lucrative markets before they become saturated while avoiding regulatory minefields. The data also highlights how regulatory environments dramatically influence market viability—a critical consideration for policymakers balancing tourism revenue with housing concerns. As remote work continues to enable more flexible travel, these regional markets may experience sustained growth, making this analysis essential for forward-looking investment strategies in the evolving hospitality sector.