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
Division in context examples
We are asked which problem can we solve with 42 divided by seven, and they explain three different scenarios. Here, we need to pick one of them, so pause this video and have a go at it before we work through it together. All right, now let’s work through…
How to Stop Procrastinating
The greatest hindrance to living is expectancy, which depends upon the morrow and wastes to-day. — Seneca When we procrastinate, we are immersed in future thinking and unable to do the work that we had planned to do in the present moment. The consequence…
All The Times We Were Wrong
If I told you right now that humans are “perfect” organisms, and that in our mothers’ wombs, we first are fishes, who then develop into amphibians, and then reptiles, birds, primates, before finally becoming what we know as human, I’m sure you’d look at m…
The More You Want, the Worse It Gets | The Seven Deadly Sins | GREED
How do you catch a monkey? There’s a simple and effective way to do it without hurting the animal. Once there was a farmer who cut a hole in a coconut, which was just big enough for the monkey to slide in his hand. He tied the coconut to a tree and put a …
Jungle Pilots are Superheroes - Smarter Every Day 152
Hey, it’s me Destin. Welcome back to Smarter Every Day. I’m currently sitting in an airport with my oldest son and we’re on our way to Idaho. Destin: Where does Superman get his superpowers? Son: Krypton. Destin: The planet Krypton. What about Batman? Ho…
Car Trouble - Deleted Scene | Life Below Zero
[Music] Hooked up my generator to my truck. Trucks don’t like to start in these kind of temperatures, so you got to have a way of warming them up. What mine has is an electrical outlet that heats the block heater, the oil pan, and the battery in it to wa…