Hostaway has reached a $1 billion valuation, becoming the first property management software company in the STR industry to achieve unicorn status.
The Finland-based company has grown more than 50% since raising $365 million in 2024 at a $925 million valuation. The milestone coincides with Hostaway's 10-year anniversary, marking a decade since co-founders Marcus Rader, Saber Kordestanchi, and Mikko Nurminen launched the platform in 2015.
"Unicorn status has always been part of the trajectory we set for Hostaway," said Rader, who serves as CEO. "This is a huge recognition of the dedication of our team and the power of the software we've developed."
The company has invested heavily in AI technology, launching AI tools designed to streamline operations for property managers and hosts. Hostaway's platform serves users ranging from individual hosts managing a few properties to enterprise managers overseeing thousands of listings across more than 90 countries.
Operating as a fully remote company with staff in 44 countries, Hostaway was recently named to G2's list of the 100 fastest-growing software companies globally in 2025.
The valuation arrives as the STR industry experiences rapid growth. The market, valued at $124.5 billion in 2024, is projected to reach $344 billion by 2034, representing annual growth of approximately 10.7%.
Property managers increasingly demand scalable, AI-powered solutions to meet rising guest expectations, and Hostaway plans to capitalize on the industry's expansion. "The first 10 years have been about building a product to revolutionize the vacation rental industry," Rader said. "Now, we want to supercharge that growth and improve the lives of even more property managers all over the world."
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