Expedia Buys HomeAway for $3.9 Billion

Expedia continues to buy up online travel sites with its latest travel website acquisition priced at $3.9 billion for HomeAway, a vacation rental site. Expedia bought legacy online travel agencies Travelocity and Orbitz earlier this year. Expedia also owns, and

Perhaps most amazing is Expedia has a market valuation of $18 billion, while the new kid on the block Airbnb has a market valuation of $20 billion.

HomeAway plans to start charging travelers an average fee around 6% for rental bookings. Up to now, the home owner hosts paid fees for listings.

The Expedia-HomeAway deal is expected to close in Q1 2016.


Read more at New York Times article November 5, 2015.

About Ric Garrido

Ric Garrido of Monterey, California started Loyalty Traveler in 2006 for traveler education on hotel and air travel, primarily using frequent flyer and frequent guest loyalty programs for bargain travel. Loyalty Traveler joined in 2008.

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  1. Wow that last bit really sucks. I use Homeaway more than AirBnB right now because it has more listings but once this goes into effect, I’m going to look at AirBnB first.

  2. @Eric

    I honestly didn’t. I’ve never actually gone through with a booking on AirBnB and probably didn’t pay attention to the details when looking at the price. I’ve really only focused on selection and overall price.

    I wonder if that’s why I’ve ended up using Homeaway more often when renting. I always try to book the best property I can for a certain budget and have always ended up booking a Homeaway house.

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