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
Points inside/outside/on a circle | Mathematics I | High School Math | Khan Academy
A circle is centered at the point C which has the coordinates -1, -3 and has a radius of six. Where does the point P, which has the coordinates -6, -6, lie? We have three options: inside the circle, on the circle, or outside the circle. The key realizati…
Will This Go Faster Than Light?
The speed of light is meant to be the ultimate speed limit in the universe. According to Einstein’s special theory of relativity, nothing should move through space faster than light. But that doesn’t stop people from trying. Every day I get a lot of mess…
Into Nicaragua's Masaya Volcano | Explorer
Next up, my journey 600 feet into the crater of a volatile inferno, where scientists are looking for signs that could end up saving thousands of lives. Masaya in Nicaragua is so feared that religious crusaders once tried to exorcise the devil out of its h…
Post-Truth: Why Facts Don't Matter Anymore
This is the challenge of a YouTuber, which is, you know, pushing the record button and actually filming something. Because you never know: “Are people going to hate it?” Or “Is it good enough?” Have you thought through what you’re going to say. I’ve not t…
Nate Blecharczyk at Startup School 2013
[Applause] Wow, there are a lot of you! That’s awesome to see. You know, I got some emails over the last 24 hours from people saying how excited they were to come to this talk. I want you to know I’m humbled by that, and, uh, also a little intimidated. I …
What can change your credit score? | Consumer credit | Financial Literacy | Khan Academy
So let’s talk a little bit about the things that impact credit scores. You might imagine the number one thing, and it indeed is the number one thing that impacts your credit score, is payment history. It is 35% of your credit score, so I’ll put that in pa…