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
The World Has Changed! Here are the NEW RULES
The world of today and that of tomorrow is radically different than that of yesterday. We’re going through the biggest transfer of wealth and the biggest societal and cultural change in modern history. By the end of this video, you’ll understand what’s on…
Homeroom with Sal & John B. King Jr. - Tuesday, August 25
Hi everyone! Welcome to the Homeroom live stream. Very excited about the conversation we’re about to have. But before we jump into that, I’ll make a couple of my standard announcements. First of all, just a reminder that Khan Academy is a not-for-profit …
Relating number lines to fraction bars
We are asked what fraction is located at point A on the number line, and we can see point A right there. Pause this video and see if you can answer that. All right, now there’s a bunch of ways that you could think about it. You could see that the space b…
Indoor air pollutants| Atmospheric pollution| AP Environmental science| Khan Academy
Let’s talk about indoor air pollution. I remember when I first heard about indoor air pollution in my AP Environmental Science class, I was a little confused. When I used to think of pollution, I would think of images like this or this. But pollution is o…
How To Travel The World For Free: Credit Cards 101
What’s up you guys? It’s great in here. So, I realized the title of this video sounds like I’m about to pitch you on some weird timeshare opportunity in the Bahamas, and all you got to do is sit through an exciting two-hour seminar to unlock your free rew…
Using matrices to transform the plane: Composing matrices | Matrices | Precalculus | Khan Academy
So what I have here is two different transformation matrices. What we’re going to think about in this video is: can we construct a new matrix that’s based on the composition of these transformations? Or, a simpler way of saying that is a new transformati…