Shouldn’t Airbnbs be cheaper than hotels? When the room-sharing app hit our phones, it was described as the world’s largest hotel without buildings And An economical way to travel in a shared economy. Now, renting Airbnbs can also mean paying for a five-star hotel!
So what gives? Was it a bad idea to start renting Airbnbs or was it a good idea that was corrupted by the changing market or increased regulation? Grab your suitcase and travel with us as we investigate this changing landscape.
Hotels do not cancel just for you for a half-cooked reason.
– Tom Sevens (@RVAgooner) 18 May 2021
Rules, Rules, Rules
First thing to understand about renting Airbnb: Someone is essentially giving you a room in your house, a guest house, or a summer house for a fee. Unlike a hotel, they do not necessarily employ cleaners. Like the rest of us, they have the strange realities of homeownership / renting to deal with HOAs and noise ordinances. They also set their own rates, which means they control your Airbnb price, including fees and fines.
Therefore the rules are laid down to ensure that you, the tenant, do not trash their dome. Many of these are common knowledge: for example, no noise after 10 pm because people have to work. Don’t make a big mess is another – the latter has given rise to horror stories about Airbnbs being completely trashed, Airbnb hired guests to use as a pop-up escort service, and A lot (only Google Airbnb horror stories if you dare).
And the hosts are not the only ones dealing with horror stories. Guests have reported receiving security cameras in their Airbnbs. An Airbnb tenant was arrested in Florida on charges of vandalizing his smoke alarm with a security camera!
Airbnb: What a steal, $ 79 per night.
Also, AirBNB: Total: $ 11,577.21
– .: RiotGrl:. (@RiotGrlErin) 18 May 2021
Sometimes, Airbnb hosts are at the forefront of security cameras in their home. In their listings, they state that their stated purpose is to ensure that you follow the rules and don’t smoke, make a ton of noise, etc. That way, if you do, they have receipts to fine you or show them to your insurance agent if you have done a lot of damage (who may charge them more for converting their pads to Airbnb).
Talking about insurance, Airbnb has a host protection insurance policy that people can buy by renting their homes as Airbnbs. However, it is not free, meaning hosts will have to pay more for coverage. Obviously, the landlord’s insurance of the hosts may also be included in the escalating costs.
I was never an Airbnb person, but yes, I refuse to drive a cab all summer lol https://t.co/sAohpjEn5f
– 69th Ward Alderman (@ 69th Wardeld) 18 May 2021
Fees, fees, fees
However, undocumented guests who could potentially ruin an Airbnb like a rock star, ruin a hotel room, are not just the costs of raising Airbnb prices. How does Airbnb make money on its own? Fees, of course! Your rental cost has increased from 14% to 15% in January 2021. Airbnb community forums are reporting that these fees for renting with Airbnb in the US have actually increased by 16.6%. Oh, is that so!
Like increased insurance, increased fees increase the price you pay to rent an Airbnb. Water is wet in other news. Worse, users have reported a fee for Airbnbs that they plan to rent, going up and up even after booking!
Half of the apartments in my city’s downtown are Airbnbs. People cannot live there. Are they zoned for commercial use? No, but Airbnb violates your local rules.
Airbnb eats accommodation that would otherwise have been, you know, lived.
– Rose Red Fox (@ComradeMythic) 18 May 2021
As Airbnbs is trending, netizens on Twitter are taking time to remind you that Airbnb’s craze is also potentially bad news for poor, urban areas. UCLA Law Review Discussed the topic of how short-term rentals such as Airbnb are allegedly contributing to gentrification and neighborhood displacement.
Citing a study on rising rents in Los Angeles, the article explained: “AirBnB, by facilitating the use of accommodation as a tourist accommodation, leads to a decrease in the housing stock, leading to an increase in housing prices , Which in turn makes it more difficult. Residents to stay in their current housing, sometimes as a result of displacement. “
In short, people do not want to spend their dough on a good hotel or B&B during their stay in a big city. They rent cheap apartments and go to Airbnb. However, apartment rent increases, which also increases the rate of Airbnb so that the host can make a profit. What’s more, since Airbnbs moves, it raises prices due to supply and demand, possibly driving out locals.
So are you still standing with Airbnb, or are you planning to rent somewhere else on your next vacation? Tell us in the comments!