Agent

Turn vacation home into cash cow

Study finds more owners covering 75% of mortgage through renting
Published on Sep 2, 2011

To me, one of this year's biggest surprises in the hot initial public offerings market was the success of HomeAway Inc., an Austin-based operator of vacation-rental websites. In June, the company's successful IPO raised $231 million as HomeAway opened trading with a nifty price of $27 a share. I always considered HomeAway more of a real estate play on vacation-home rentals, but the IPO market, which has been very generous this year to startup technology companies, viewed HomeAway more of a tech play, as it owns more than 30 sites mostly dedicated to the online vacation-rental business. I guess we were both right. Still, the IPO caught my attention, and when I began looking at HomeAway's core business I came across a recent study the firm had undertaken on the direction of the vacation-rental market. The lead information from HomeAway was about the strength of vacation rentals heading into the peak season, but what I found more interesting was the claim that the number of ow...

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