What Airbnb does to the housing market (August 2020)

• What Airbnb does to the housing market (€)

• By Benitez-Aurioles, Beatriz and Tussyadiah. Published in Annals of Tourism Research, in August 2020

• https://doi.org/10.1080/13683500.2020.1786027

• Abstract:

  • This paper examines the effect of Airbnb in rents and house prices, using borough-level data from the city of London between 2016 and 2019.

  • It confirms that Airbnb presence has an upward effect on the prices of both house purchases and of rentals, even disaggregating by categories; but the effect is stronger on house prices than rents, as theorized by the model.

  • The conclusion is that Airbnb affects the housing market by increasing the value of real estate properties.

• Keywords: UK, London, Airbnb, financialisation, financialization, rental prices, house prices, rents, housing prices.