Best value family holiday destinations for 2020
If you’re looking for a bargain villa holiday, Perth, Chiang Mai, Goa and Sri Lanka are the places to be heading.
According to a recent study, these destinations are currently the cheapest to holiday in, with villa rentals coming out at less than US$200 per night.
The findings were uncovered by Asia Pacific Villa Rental Market Research 2019. The research was carried out by online villa rental agent, Villa Finder. Since its last market research study in 2017, the Asia Pacific villa market has grown by 12%. There has been an increase in villa supply across many destinations.
According to the study, Goa has seen the strongest growth since 2017. Villa rental demand here has risen by 23%. According to Aakash Kochar, sales director of Goa-based villa rental agency Luxury Stays, until 2017, demand exceeded supply. “Fast forward to 2019 and there are more villas in the market, so the competition is higher. Occupancy is at 60-70%, much higher than in other markets.” Kochar predicts the market will continue to grow in early 2020.
Australia also came out as one of the best value destinations owing to its favourable currency exchange rate. But if you’re heading ‘down under’, bear in mind that Perth’s properties are around 60% cheaper than Byron Bay and Sydney’s. The number of villas available in Byron Bay and Sydney has risen by 30% and 33% respectively.
“There are now dozens of new players compared to two years ago,” said Mat Lewis, co-founder and chief executive officer of Byron Bay luxury accommodation specialist, View Retreats. The average occupancy went down in both destinations, a clear sign of an oversupplied market, and it is expected that rates will follow.
Other up-and-coming markets include Japan, New Zealand, Vietnam and Malaysia. Both Vietnam and Malaysia are expected to be among the fastest growing markets in 2020.
Bali remains the biggest villa rental market in the region. It has over 4,000 properties and the villa numbers are still growing. As a result, it has been found to be an oversupplied market with prices dropping by about 10% over the last two years. The advice is, there’s often room for negotiation.
Thailand has been marked as a struggling destination. The villa market here has dropped since 2017 despite supply continuing to grow.
“The number of villas being built for rent has saturated the market,” said Stuart Burt, property manager at Sunshine Samui Villas, a villa management company in Koh Samui. The villa occupancy rate was found to be down 54% in Hua Hin, by 21% in Pattaya, 18% in Phuket and 11.5% in Samui. Impending world recession, a weak exchange rate against a strong baht and the 2018 Phuket boating accident in which Chinese tour operators were blamed by the Thai government have all been blamed as contributing factors.