Personally, I think best days of Airbnb are behind us! Era of low interest rate isn’t coming for years. Most of the time Airbnb property owners have multiple properties which I don’t think they can hold longer if they have to refinance. Biggest threat to business model is regulation by cities on short term rentals. I’m already seeing condo board putting restrictions on short term rentals. Apart from that growing dissent among public because Airbnb has accelerated rent inflation in the cities. Pricing which was main advantage over traditional hotels is almost negligible now. When you book an hotel, you are treated like a VIP on the other hand if you book an Airbnb. You clean up after yourself! Some owners have very strict rules and they often place stickies on refrigerators etc to dictate the house rules. If you are paying cleaning fees then why guest has to clean up after themselves? Lack of trust on host as there has been growing incidents of host putting camera in the property and some are even recording their guest showering. It started with good intention and a unique idea but now is just a leech to the society and this company should die soon or should be banned to do any business in metropolitan cities to avoid rent inflation. Now problems from host perspective: - it’s painful to sustain with growth of listing in the area as it decreases the profit margins - it’s hassle to deal with random guest vs long term tenant where you can vet applicants applying to your home as a tenant. - Always worry about ratings, if ratings goes down then hard time getting the traffic into your place. - Actively maintaining house after each guest Pros & peculiar use cases where Airbnb is a good option: - when you wanna group travel and want to book a place where you have 5+ people. (Hotels usually have 2 person per room limit) - when you are traveling in out-beat destination. Then you can stay there for an experience. #airbnb
I have a flat in London, UK, that I listed on AirBNB, because I moved to a lower COL area, since my work is remote. Each month I'm losing money, after taxes between £100 and £500, sometimes more. I still hold onto the flat in case one day I get an on-site role, but it's crazy how unsustainable this is. Also damn UK taxes.
How's the TC? We really don't care about the companies
What’s a mailchimp
Regulations are only in major cities, there is a ton of airbnbs in cities that won’t likely ever regulate these. Also for every spot on your list there is an equivalent city where the revenues have been growing, so this doesn’t tell the full story. Net overall what you’re saying might still be true but it’s not that clear cut
I used to use airbnb passionately as I travel a lot, but I absolutely hate it now. The combination of insane prices and terrible commercial landlords has eaten away at the core of what used to be a really awesome service. There are very few use cases for airbnb nowadays, and where there are, you can typically book the same on other platforms which put the onus on the host to provide a good experience, without having to worry about being rated poorly because you ask for something as essential as toilet paper or soap.
Yea it’s a tough model because it’s based off people offering up their most valuable asset (property) to strangers. Things are bound to get weird/overbearing with guests. I no longer stay at Airbnb because of a few creepy/nosey experiences I’ve had recently. I know not all hosts are like that, but I’d rather not take the risk and have it ruin my vacation.
Even with prices same as hotels main advantage is the space which comes in handy if you have kids. Guess everyone tries to kill the golden goose that is why we can't have good things.
May only make sense when you have kids. Even then, you could get premium hotels or resorts for more space. For those without kids, the value proposition for airbnb is too weak.
Pricing which was main advantage over traditional hotels is almost negligible now. Airbnb are more expensive now! Plus clean the damn place after paying cleaning fees
Buy PUTs on ABNB