AirBnB to hosts “fuck y’all, we out”
In the biggest cover-their-ass move AirBnB has stopped their lawsuit against NYC in exchange for NYC not going after AirBnb directly. You can fine our hosts, just don’t come after our paper thin business model.
I love the AirBnbs of the world, but like most good things people (and businesses) find a way to game the system and ruin it. There’s studies about the effects AirBnb on the rental market and I’ve seen it first hand where friends routinely rent out their apartment (sometimes a rent-controlled apartment) to make an extra buck. One friend even went so far as to move out of her affordable Hollywood apartment so that she could rent it out permanently.
Lack of inventory….prices go up…..prices go up people want to get in on the game and the local guy gets screwed with raging inflation. People can only see as far as the few bucks they are making but when the same game turns around and bites them in the ass they cry foul. Subletting is against most rental agreements so they get kicked out of their affordable rental. They no longer make an extra $500-$1000/month and can’t afford the new place they are in. Inflation and lack of inventory has made new local rentals more expensive than when the cycle started. Basically they fucked themselves.
This house of cards and AirBnb’s business model will come to an end in a crash.