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
FRENCH KISS A ROBOT! Mind Blow #16
The N64 upside down looks like a koala’s face. And here’s a wall that changes color when you pee on it. Vsauce. Kevin here. This is Mind Blow. This jet pack of sorts just set a record by flying for seven straight minutes. The company claims their current…
National Geographic digs into the history behind Indiana Jones and the Dial of Destiny | Nat Geo
HELENA SHAW: Dad told me you found something. A dial that could change the course of history. HARRISON FORD: With Indiana Jones, I always thought that what would be interesting, is to see this educator adventurer fooling with the nature of science. JAME…
It grows from the barrel of a gun
Chairman now said every communist must grasp the truth: political power grows out of the barrel of a gun. The power of the state is, of course, political, so Chairman Mao could have said that the power of the state grows out of the barrel of a gun. Is thi…
McCulloch v. Maryland | Foundations of American democracy | US government and civics | Khan Academy
Hey, this is Kim from Khan Academy, and today we’re learning about McCulloch versus Maryland, a Supreme Court case decided in 1819 that helped to define the relationship between the federal government and the states. The question at issue in this case wa…
15 Money Secrets from the World's Wealthiest People
What do you think would happen if someone decided tomorrow to take all the money in the world and divide it amongst the global population equally? Some say the world would be a better place and everyone would be happy and prosperous. Others say that money…
Binomial variables | Random variables | AP Statistics | Khan Academy
What we’re going to do in this video is talk about a special class of random variables known as binomial variables. As we will see as we build up our understanding of them, not only are they interesting in their own right, but there’s a lot of very powerf…