yego.me
💡 Stop wasting time. Read Youtube instead of watch. Download Chrome Extension

How AirBnb will Crash the Housing Market


less than 1m read
·Nov 7, 2024

Here's how Airbnb could crash the U.S. housing market.

There are over 1 million properties listed on Airbnb here in the United States. In recent years, there's been a huge trend of small investors buying single-family houses to then list on short-term rental sites like Airbnb. Owners of these properties have made a ton of money over the past two years as demand for travel has been strong.

Oh, but things are changing. Consumers are getting hit with inflation, and consumers have less savings to spend on luxuries like travel. Many owners of these properties use a special type of loan to make this investment: a vacation property loan. These loans only require as little as five percent down compared to the normal investment property loan of 25 percent down.

If bookings slow down from historical highs, these small-time investors could quickly drain their reserves. Assuming even one-third of the million Airbnb properties have to be sold, that will more than double the supply of housing units on the market from Spring of 2022 levels.

This much inventory flooding the market, combined with the highest mortgage interest rate in decades, will put downward pressure on the housing market. Check out the full video on my channel for more. It's linked in the comments and video description here.

More Articles

View All
A Fun, Animated History of the Reformation and the Man Who Started It All | Short Film Showcase
[Music] A most precise and nuanced look into the life of the man, legend, and visionary Martin Luther. One day, when Luther is 21 years old, he experiences something which will affect him for the rest of his life. Suddenly, a thunderstorm—a wild, violent…
Water potential example | Cell structure and function | AP Biology | Khan Academy
We’re told that six identical potato core cubes were isolated from a potato. The initial weight of each cube was recorded. Each cube was then placed in one of six open beakers, each containing a different sucrose solution. The cubes remained in the beaker…
See How Syrian Zoo Animals Escaped a War-Ravaged City | National Geographic
[Music] This is what we hoped for because this was a dangerous mission. This was people who risk their lives to go in and help these animals. These animals really suffer not only from lack of food, medicine, and water, but also from the military conflict …
Watch Scientists Catch Crocodiles—in the Dark | National Geographic
The morti crocodile. They’re powerful, they’re prehistoric, yet their biosphere is very delicate. Teaching locals and teaching tourists about this type of crocodile is very important for projects of conservation that Amigo Deanan is spearheading and for e…
Don't Suffer More Than Needed | Buddhist Philosophy on Pain and Suffering
When we think of pain and suffering, we usually think about more or less the same thing. When there’s pain, there’s suffering. And we can only be free from suffering if we eliminate pain, right? Well, even though these two experiences are interconnected,…
Heritage | Vocabulary | Khan Academy
It’s time to explore our roots, wordsmiths, our backgrounds, where we came from, because the word I’m bringing you in this video is “heritage.” Mind you, we’re always exploring our roots when it comes to vocabulary, huh? All right, “heritage” is a noun. …