In the News
Airbnb's impact on UK housing market
26th October 2017
BBC Newsnight analyses the impact of short-term letting apps such as Airbnb. The impact stretches well beyond London to cities such as Manchester and Edinburgh.
TONIGHT: @davidgrossman reports on the Airbnb phenomenon and its impact on the UK housing market – 22:30 on BBC Two pic.twitter.com/msuuc4r7sb
— BBC Newsnight (@BBCNewsnight) October 23, 2017
The main argument is that the Airbnb effect is taking properties out of the local rental sector. And some neighbours fear a loss of security as numerous homes are let out to fleeting guests for a few days. How would you feel if a hotel appeared next to your home?
A number of businesses now run multi-home listings on AirBNB - effectively they are becoming chains of hotels albeit without the tougher regulations that hotels must meet.
Buy-to-let seems to be subsumed by rent-to-let as people respond to above average returns from the holiday-let market. People are legally allowed to sub-let a property for up to 90 days per year without breaching planning controls.
Geoff Riley
Geoff Riley FRSA has been teaching Economics for over thirty years. He has over twenty years experience as Head of Economics at leading schools. He writes extensively and is a contributor and presenter on CPD conferences in the UK and overseas.
You might also like
Government Failure - green homes scheme branded as a ‘slam dunk fail’
2nd December 2021
Housing Industry Profits - Exam Question Walkthrough for Edexcel Economics
Exam Technique Advice
Maximum prices - Why rent control isn’t working in Sweden
27th August 2021
Housing economics - turning 'generation rent' into 'generation buy'
7th February 2021
The return of low-deposit mortgages
20th January 2021
Government Failure (Online Lesson)
Online Lessons