Hotels.com says its new VacationSpot.com is the first Web site allowing consumers to book instantly thousands of vacation rental properties that include condominiums, suites, villas and vacation homes. Said Dan Proctor, vice president of vacation rentals at VacationSpot.com.

We live in bigger houses with more beds and bathrooms than ever before, so why should vacationers sacrifice space, privacy and comfort while on vacation? The company is also offering agents 5% commissions.

Mr Proctor says VacationSpot eliminates guesswork from bookings by supplying detailed descriptions, pictures, ratings and low price guarantees. He said vacation rentals are a fast-growing business that represent $30 billion a year in revenues.

More and more companies are getting involved in the vacation rental industry, why? Simply because holidaymakers want choice, something that they don’t receive when booking a package holiday through a high street travel agent.

The problem with the vacation rental industry is that it is not regulated like UK travel agents who are regulated by ABTA, and ATOL so should anything go wrong you are not protected and unless you have paid with a credit card, you could loose money.

• Confusion over ABTA holiday protection
• When will travel agents learn?
• High-street travel agents told change or die out
• Google & MSN to replace travel agents

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