Sonder’s Fall, Market Shifts, and What It Means for STR Operators
STR Data Lab™ by AirDNA
Intro
Jamie Lane and Scott Sage open the STR Data Lab, set the episode agenda, and note Scott's Denver location.
Sonder’s bankruptcy has shaken the short-term rental world — and for good reason. Once the poster child of the “hotel-meets-Airbnb” model, Sonder’s downfall marks a pivotal moment for operators everywhere. In this episode, AirDNA’s Chief Economist Jamie Lane and co-host Scott Sage unpack what went wrong, what it signals for the rental arbitrage model, and how changing travel demand is reshaping the industry.
From a surprising partnership failure with Marriott to the ripple effects in urban markets still struggling post-COVID, Jamie and Scott connect the dots between Sonder’s story and broader market trends. They also dig into fresh October 2025 performance data, including occupancy declines, rate adjustments, and a critical PSA for hosts affected by Airbnb’s new service fee model.
The episode closes with a behind-the-scenes look at AirDNA’s latest data model upgrades, revealing how machine learning is improving accuracy and trust in industry insights — setting the stage for even more powerful analytics ahead.
You don’t want to miss this episode — especially if you rely on rental data to guide your business decisions.
Key Takeaways for STR Pros
🏚️ Sonder’s bankruptcy signals the end of rental arbitrage — operators tied to high-cost leases are struggling as demand and urban travel lag.
🏙️ Urban recovery is still uneven: international inbound demand to the U.S. fell 16% this year, weighing heavily on city performance.
💸 Watch your margins: many hosts haven’t offset Airbnb’s new 15% service fee, which could cut into real earnings this winter.
📉 October’s numbers show slowing demand (2.5%) and occupancy declines (~1.5%), mirroring weakness in hotels — but mountain markets saw a lift from fall “leaf peeping” travel.
🤖 AirDNA’s new data models boost accuracy, capturing longer-term stays and eliminating duplicate listings — giving hosts clearer, more reliable market visibility.
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Connect with Jamie on social media
LinkedIn: https://www.linkedin.com/in/jamiehlane/
Twitter: https://twitter.com/Jamie_Lane
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Connect with Scott on social media
LinkedIn: https://www.linkedin.com/in/sagescott
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Connect with AirDNA on social media:
Instagram: https://instagram.com/airdna.co
LinkedIn: https://www.linkedin.com/company/airdna/
Twitter: https://twitter.com/airdna
TikTok: https://www.tiktok.com/@airdna.co
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Episode 158
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