Cape Cod has welcomed a large number of vacationers over the last several weeks. This three-bedroom, one-bath townhouse in Mashpee rents for $2,800 a week in July and $2,000 a week in August.

Vacationers have been flocking to Cape Cod over the last several weeks and several real estate companies are reporting that reservations for rental properties are up from last summer.

Some agents say business has increased by as much as 10 percent from last year.

After a sluggish start to the season, activity spiked significantly at the beginning of June, said Joyce Nadeau, director of vacation rentals for Kinlin Grover GMAC Real Estate in Brewster, a firm that handles 900 seasonal rental properties throughout the Cape.

“We don’t have anything available at the high end,” said Nadeau, noting that properties renting for anywhere from $5,000 up to $15,000 a week are booked for the entire summer.

Kinlin Grover GMAC offered a variety of incentives to entice vacationers before June, according to Nadeau. At one point, the firm advertised a $30 credit for gasoline for reservations made by June 30 and offered discounts for renters who referred friends to the firm.

“People weren’t booking as quickly, so we were trying to stimulate activity,” she said.

But now Nadeau estimates that reservations are up by 10 percent from last year, and more renters are booking properties for longer stays.

Kerry Adams, manager of capecodrentals.com, a division of Coldwell Banker Atlantic Realty, has seen a similar boost in business.

With the exception of the months of April and May – when the region was saturated with heavy rains and many families were busy with school vacations – business has risen 10 percent every month since October, according to Adams.

“We’re getting at least 50 inquiries a day from our Web site,” noted Adams, who said half of the company’s reservations come from the Web site.

Local real estate agents aren’t sure why there’s been a jump in business.

But Adams said that last year’s scare over the red tide outbreak led to many rental cancellations. Even though red tide mostly affects shellfish – making it dangerous to eat – it doesn’t pose a problem for swimmers. But some vacationers, hearing news reports about closed beaches, became nervous and cancelled plans to vacation on the Cape last year.

In addition, Adams said she thinks that travelers have now become more accustomed to higher gas prices – which can have a negative impact on tourism – and doesn’t believe that has deterred vacationers from visiting the Cape.

“I don’t think that’s stopping people from coming down here,” she said.

‘Flexibility All Around’
But not everyone has seen a flood of activity, and some still think that high gas prices are hurting business.

Amy Greene, one of the broker-owners of ERA Martin Surette in West Dennis, said the season has “been off.”

“It is not as busy as it was last summer,” said Greene. “We’re finding that people who have [rented] the same cottages year after year aren’t coming back.”

Greene said there are vacancies in some of the smaller, two-bedroom cottages that rent for just under $900 a week.

ERA Martin Surette rents about 100 properties on the mid-Cape. Despite the slump, Greene said there’s been an influx of business since mid-June.

“We’re still taking reservations today for August,” she said. “[People] didn’t book ahead.”

Like Nadeau of Kinlin Grover GMAC, Adams of capecodrentals.com said she has noticed more renters who are interested in longer stays on the Cape. Capecodrentals.com rents townhouses and garden villas at Ocean Edge Resort & Club, a luxury resort with pools, a golf course and tennis courts in Brewster. Half of the company’s reservations come via the Web site.

In addition to the Ocean Edge properties, the company handles at least 190 seasonal rental properties throughout the lower Cape, with weekly rents ranging from $850 to $4,500.

“In October and November, we had people who booked for two and three weeks at a time,” said Adams.

And Adams said she has rented more properties this year for the entire summer season than she did in 2005. “I’m finding a lot of that this year,” she said.

But Jamie Regan, who owns Century 21 Regan Realtors in Mashpee, said many families are opting for shorter stays. “Families used to go for two weeks at a time. Now they go for one week,” Regan said.

Regan, whose company rents over 100 homes and condominiums in Mashpee and Falmouth, said his firm has had a 10 percent to 15 percent increase in the number of listed rental properties.

“People who were thinking of selling [their homes] see they can get some income [by renting],” said Regan.

Since landlords are competing with many more property owners to get their homes rented, some are being more flexible with the asking rents.

Regan said some landlords are willing to shave 10 percent to 20 percent off the rental rate, especially for last-minute bookings. For them, “some income is better than none,” said Regan.

Nadeau said that while rental rates have remained steady, there are some owners who are willing to consider offers if there’s a week or two when the property is vacant.

“There’s flexibility all around,” she said.

Many agents are reporting that visitors are booking properties only weeks – sometimes days – in advance, when years ago they made arrangements months earlier.

“People are booking a lit bit later,” said Regan.

After a slow start to the season, Regan estimated, business has increased by about 5 percent.