Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
It may be that way in other areas, but in NYC the city will come down like the Hammer of Thor on anyone who does short term rentals in residential buildings. So, no.
And AirBnB is getting pushback all over. I know Barcelona is cracking down on them. Closer to us, Jersey City, which was AirBnB friendly just passed and anti-short term rental ordinance.
Really, with all the pushback, I think they've peaked, and are likely to crash.
AirBnB is limited by unfair rules in many cities, but market mechanisms favor them, and they will be doing business as long as they'll have customers. The demand for AirBnB remains steady, why would it decrease? I certainly do not see them crashing.
It may be that way in other areas, but in NYC the city will come down like the Hammer of Thor on anyone who does short term rentals in residential buildings. So, no.
And AirBnB is getting pushback all over. I know Barcelona is cracking down on them. Closer to us, Jersey City, which was AirBnB friendly just passed and anti-short term rental ordinance.
Really, with all the pushback, I think they've peaked, and are likely to crash.
I doubt they will crash Airbnb growing at alarming rate faster than big box hotels it Uber of hotels.
I hate that NYC hotel employees will lose their job as this continues. On the other hand, hotel room rates falling today, I hope housing and rental rates follow suit tomorrow. Good people, good families have been pushed out of NYC for decades now due to exorbitant housing and rental costs. Hopefully, this is going to follow suit of hotel rates.
It will be profitable again give it time to clean up and re-brand
Part of what made it profitable was a lot of landlords that were scammers though, and the issue has been growing. There are a lot of shifty scamlords on the site with chains of fake accounts that give each other positive reviews and often bait and switch people. Complaints to Airbnb are really poorly addressed, because the whole thing is that the low prices that are attracting to people to these lodgings are from the people doing these scams with relative ease and those low prices are Airbnb's competitive edge.
This is a pretty well-written attempt to track just one scam, but there are others like it:
Right now Airbnb is 25% of market share I will say in 2 years it will 40-50% hotels will be shutting their doors especially NYC
If AirBnB/short term renting is increasing in demand, then, whoever is taking point with that unit, is not paying their fair share of taxes. If govt wants their cut, they will legalize, and perhaps rezone these AirBnB spots. When that happens, LL will undoubtedly take advantage, and not rent to long term tenants, unless at a rate that is competitive with the short term. That will probably make rent much more expensive for non regulated apt than is currently.
If is a rent stabilized unit, LL cannot get rid of tenant, nor raise rent according to the market which now includes short term. LL cannot take advantage of that unit as he will prefer to. Now if the regulated tenant gets bold and decides to short term sublease at a profit, LL is going to be highly upset. And it still not legal for tenant to sublease like that. Is still going to be a pile of poo poo no matter what.
If tourism is down while short term is legal, may not be worth it for LL to make their units into hotels. Hotels normally give lower rate longer you stay anyways for that fixed cash flow. LL are in that business for the fixed cash flow. LL dont want vacancies like a hotel has.
Hotels/motels/inns etc created in the first place to meet the demand for short term renting/stays. If demand is not enough to support hotel industry, there is likely not enough demand for LL to become pseudo hotels concurrently either. And remember LL will want to get as much as they can like hotels do.
AirBnB, in NYC at least, is only useful to tenants breaking terms of contract to make a few bucks on the side. No LL will accept this, and will always push against it. And there will always be greater demand for long term stay like living somewhere for a year rather than short term/transient as in vacations. If a location is not worth living in for long term, than its not a great place to vacation either.
Last edited by NJ Brazen_3133; 02-22-2020 at 12:10 PM..
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Housing is next!
