Expedia and HomeAway have decided to expand a pilot partnership begun last year offering HomeAway listings through Expedia's website.
More than 100,000 home rentals are now available through Expedia's search engine (the test group was 10,000), with more to be added as the partnership develops, the vice president of Expedia, Arthur Chapin, said in an email.
"The impressive growth of companies like HomeAway and Airbnb is a clear indicator that this space has appeal," Mr. Chapin said. "It's created a fresh niche in the travel community. These type of vacation rentals are a great option for people looking for really unique amenities and I think travelers are pleased with the broader options."
Though Expedia can often negotiate discounted room rates with the hotels featured on its site, rates on HomeAway listings will continue to be set by individual property managers, as will their cancellation policies.
But Expedia users will get the benefit of being able to bundle home rentals with flights, cars and other travel bookings offered through the site.
"I think we now have the attention of online travel agencies across the board because HomeAway's websites recently eclipsed more than one million live listings in 190 countries," HomeAway's chief executive, Brian Sharples, said in an email. "Vacation rental owners and property managers on HomeAway collectively generated more than $11 billion in rental revenue on more than 144 million room nights in 2013."
For HomeAway, the partnership significantly increases a property manager's audience of potential renters, he said, and puts listings in front of a group who may not have considered a home rental for their vacations in the past.
There is an increasing awareness among travelers of the added benefits this type of rental can offer, and which a hotel often can't, Mr. Sharples said: more space and privacy, multiple bedrooms, kitchens and private pools.
As a result, the hospitality industry has been moving toward longer-stay and condo-like options for travelers, he said.
Hilton, for example, has been expanding its Home2Suites brand and others, like Booking.com, TripAdvisor and Wyndham, have also begun to place greater emphasis on their vacation rental businesses.
As to whether vacation rentals will eventually threaten the hotel industry, Mr. Chapin said no. "It's more of an evolution of our product lines if anything," he said. "To date, we haven't seen an impact on the hotel business as they're quite separate entities."