The story
The noun is a blend of stay (at home) + vacation. The verb is derived from the noun.
First known use, by meaning
- from mid 20th c., but rare before 21st c. A vacation spent at or close to home.
- from mid 20th c., but rare before 21st c. A vacation spent at one's own home without other overnight accommodation.
- from mid 20th c., but rare before 21st c. A holiday spent in one's own country without travelling abroad.
Etymology from Wiktionary, CC BY-SA 4.0.