Why Canadians Are Booking Fewer Airbnbs in the U.S. in 2025

In 2025, a notable shift is occurring in Canadian travel patterns, with a significant decline in bookings for U.S. Airbnb accommodations. This trend reflects broader changes in traveler preferences, influenced by political, economic, and social factors.

Decline in U.S. Bookings

Airbnb's recent earnings report highlights a downturn in foreign traveler bookings to the U.S., particularly among Canadians. CFO Ellie Mertz noted that economic uncertainty and shifting travel preferences are leading travelers to choose alternative destinations. Specifically, bookings by Canadian guests to Mexico rose by 27% from March 2024 to March 2025.

Political and Economic Factors

Several factors contribute to this shift. Dissatisfaction with U.S. policies and rhetoric, including President Trump's tariffs and controversial remarks, have influenced Canadian travelers' decisions. A Longwoods International survey found that 60% of Canadians were less likely to visit the U.S. due to political concerns.

Additionally, the strong U.S. dollar against the Canadian dollar has made travel to the U.S. more expensive for Canadians, prompting them to seek more affordable destinations.

Alternative Destinations Gaining Popularity

As Canadians veer away from U.S. destinations, alternative holiday spots are emerging as winners. International travel options have gained popularity as travelers seek replacements that cater to their financial realities and social values.

• Mexico: Destinations like Tulum and Cancun are attracting Canadian tourists with their affordability and welcoming atmosphere.

• Europe: Countries such as Portugal, Spain, France, and Greece are seeing increased interest from Canadian travelers seeking cultural.

• Asia: Japan and Thailand are becoming favored destinations, especially among Canadian skiers and beachgoers, due to favorable exchange rates and unique experiences.

• Caribbean: Islands like Jamaica, Saint Lucia, and Aruba are drawing Canadians looking for tropical getaways.

Impact on U.S. Tourism Industry

The decline in Canadian travelers is affecting the U.S. tourism industry. Airlines have reduced flights to popular destinations like Florida, Las Vegas, and Arizona. Duty-free shops at border crossings have reported a decline in sales of 40–50% between January and April 2025.

The U.S. Travel Association warns that a 10% drop in Canadian visitors could cost the U.S. economy $2.1 billion and 14,000 jobs.

Adapting to Changing Travel Trends

For U.S. vacation rental hosts and property managers, this trend is a reminder of how quickly traveler behavior can shift. Monitoring booking data and adjusting marketing strategies accordingly are key to staying agile. Focusing on domestic travelers and diversifying target markets may help mitigate the impact of declining Canadian.

As Canadian travelers continue to reassess their vacation choices in 2025, understanding the underlying factors driving these decisions is crucial for stakeholders in the travel and hospitality industry. By adapting to these changes, businesses can better position themselves to meet the evolving needs of travelers.

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