If you prefer VRBO or Airbnb to a hotel stay, you’re not alone. Vacation rentals are outperforming hotels in every single region across the country, though occupancy dropped in the second quarter. The U.S. Vacation Rental Market Report notes that both hotels and vacation rentals face challenges, but vacation rentals generally offer more value, even across diverse markets. The vacation rental market is strongest in New England, the Rocky Mountains and the Mid-Atlantic, though VRs outperform hotels the most in the Hawaiian Islands. The report points out that vacation rental landlords have greater flexibility to set rates based on demand and can create incentives for longer stays.