In 2009 the condo rental market seems to be coming more competitive.  Here are some reasons why:

1)  With the economy struggling many homeowners are doing whatever it takes to get the most out of their condo.  In the slow times you will see prices reduced almost in half because they are looking to just get whatever they can versus it staying unoccupied.

2)  In 2006 and 2007 many people purchased condos in speculation.  When they found out they were going to be unable to sell them they put them on the vacation rental market causing more competition.

3)  The last reason is not as big of a reason as others, but it still has caused the market to become more competitive.  Some owners that have owned condos have let them sit vacant rather than renting them out.  When the economy became soft they looked for additional income and thought it would be better to generate it from their vacation rental property rather than let it sit empty.