What’s Next for Airbnb?
Airbnb was founded on the principle that anyone could sublet extra space in their own home and generate passive income with ease, but within the last few years, Airbnb has grown to become a nuisance. The increase in short-term property owners has contributed to the lack of affordable housing and rental prices increasing. The increase of short-term property owners registered with Airbnb has also single-handedly disrupted the entire hotel industry causing fewer people to book stays at hotels, motels, or any other form of lodging. A majority of Airbnb listers have also increased their prices significantly, charging excessive fees, and are not able to uphold a high level of professional cleaning, customer service, or overall safe experience as their hotel counterparts. As Airbnb continues to grow in this ever-changing market, I anticipate that there will be more internal and external changes to address these rising challenges.
Here’s what may happen next
- With the growing safety concerns of Airbnb, users you will see more safety rules and regulations put in place by Airbnb to not only protect users and listers but also prevent lawsuits.
Airbnb Experiences
There have been many cases of tenants, ex-tenants, or squatters illegally operating Airbnb listings from properties that they do not own and homeowners never see any of the profit.
Airbnb users who book stays and never leave or pay for additional nights’ stay
Increase of Airbnb home break-ins in the less safe areas of certain cities
Airbnb listers and users leave hidden cameras in private spaces such as the bedroom and bathroom
Airbnb listings that haven’t been properly maintained, are severely damaged, and not up to safety code
and much more…
- To combat the lack of affordable housing and increase in short-term property ownership, more states will eventually limit the amount of short-term rental properties a person can own or impose additional taxes/fees similar to Atlanta, Georgia
Atlanta, GA Rental Ordinance
Atlanta, Georgia is establishing a new ordinance that will allow people to have 2 Airbnb units and one must be their primary residence. Short-term property owners must file for a $150.00 yearly permit and are subject to an 8% rental tax. The ordinance is also working to decrease noise complaints by increasing penalties to $500.00, as many Airbnb listings have been used for users to throw extremely loud parties. If a property owner commits three or more violations, their rental permit will be revoked for a year. Learn more here!
- Airbnb listings located further away from metropolitan cities, beaches, and other popular vacation destinations will likely be converted back into long-term rentals or listed for sale.
Short-term to Long-term rental
Inflation has encouraged many Americans to delay big purchases and sales to monitor the economic impact of the ongoing recession. Traveling for leisure and work has significantly decreased as more people choose to accept remote positions in-over person roles that may require workers to travel across states and commute to offices. Essential workers, such as traveling nurses, EMTs, and paramedics still depend on Airbnb listings for extended stays.