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
DON'T SHOOT THE PUPPY!! .... and more: DONG #23
Hey, Vsauce. Michael here. And the Internet is a big place. So, let’s take a safari through the World Wide Web and find some cool things to do online now, guys. Size it up with iruler.net. This website detects your monitor size and resolution and render…
15 Reasons You’re Lost With NO Direction
So it’s 2024, 2025, 2044, and you’re lost. You’ve got no idea where to go, what you want to do, what you should be doing, and how to move forward. But why is that? What is stopping you? Realizing what is holding you back can help you finally move forward,…
He Hears Music in the Quietest Place on Earth—Can You? | Short Film Showcase
I like to say that silence is the think tank of the soul. Listening is something different. Listening means taking all sounds in with equal value. So instead of listening for a sound, I simply listen to the place. Today it’s the echo of the whole river br…
How does minimum wage hurt workers? (again)
After watching Edgar the Exploiter, some people still don’t follow exactly why we should suppose that raising or introducing the minimum wage will result in a greater number of workers judged to be capable of only low productivity by their employers end u…
The Power of Transportation | Origins: The Journey of Humankind
[music playing] [motor revving] JASON SILVA: What does it take to power a global civilization to connect billions of people across continents? It takes the power of transportation. From the beginning, speed and strength were paramount in the hunt, on the…
Warren Buffett's BIG Warning for Investors (2021)
I would like to, uh, just go over two items that I would like particularly new entrants to the stock market to, uh, ponder just a bit before they try and do 30 or 40 trades a day, uh, in order to profit from what looks like a very, uh, easy game. So, uh, …