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
Ask me anything with Sal Khan: May 8 | Homeroom with Sal
Hey everyone, Sal Khan here from Khan Academy. Welcome to our daily homeroom live stream. If it’s your first time and are wondering what is this? This is a live stream that we started doing every day since school closure started happening ‘cause we realiz…
How NOT to Invest In Real Estate!!
Lots of you guys! It’s great here. So, when it comes to investing in real estate, just like anything else out there, there is a right way to do it too and a wrong way to do it. And since I have a bajillion videos on my channel already about exactly what y…
Worked example: Chain rule with table | Derivative rules | AP Calculus AB | Khan Academy
The following table lists the values of functions f and g and of their derivatives f prime and g prime for the x values negative 2 and 4. And so, you can see for x equals negative 2, x equals 4, they give us the values of f, g, f prime, and g prime. Let …
Harj Taggar - Choosing a Startup to Work At
Hey everyone, I’m Harj. I’m a partner at Y Combinator, and I’m going to answer how do you choose a startup to work at. So the first thing is to be sure you actually want to work at a startup. Working at a startup is not for everyone. It’s a very unique e…
Episode 1 Recap | MARS
Previously on Mars, we knew Mars wouldn’t welcome us with open arms. Warning system offline. Permission was switched from primary to backup. “Do it. Prepare for V’s propulsion.” We were ready to give everything to get there. Mission Control, us in datal…
Millionaire TIk Tok Entrepreneurs Must Be Stopped.
What’s up you guys? It’s Graham here. So, I think it’s no surprise if you’re here watching my channel right now; chances are you’re doing so because you’re interested in making money. I’ve dedicated this channel towards teaching people the intricacies of…