As the economy remains turbulent due to many macro challenges such as the pandemic, Russia’s war in Ukraine, and challenges with inflation, investors have had a difficult time figuring out where to put their money. When compared to other investment assets like stocks and bonds, hotels seem to rebound quickly and provide a place for investors to find the returns they’re demanding.

In the first quarter of 2022, more than $12.5 billion worth of hotels were sold, which was the highest first-quarter sales amount since 2016. Since investors feel that hotels are less overpriced vs. many other assets, the hospitality industry is making a comeback in terms of finances and visitors. Aside from the price tag, there are many reasons that investors see hospitality as a good investment. Here’s why.