95% acceptance rate for booking rates in the prior 12 months, Must be “Entire Home” listing or private bedroom with its own bathroom. Airbnb’s rebound continued through the summer and early fall. As more landlords and owners convert their properties to short-term rentals, this takes them off the market for long-term renters or owner-occupiers in an area. Many New Zealanders have spent way too much money on housing, so why not accept them using the asset productively as being a sensible choice? Find statistics about accommodation capacity, occupancy rates, and numbers of guest nights for the commercial accommodation industry. Are there excessive fees involved in licensing or obtaining a permit? For full functionality of this site it is necessary to enable JavaScript. The most popular cities for booking experiences are: As of 2019, there are over 40,000 Airbnb Experiences worldwide. Is it true you are allowed one boarder, does renting out a room with Airbnb classify as a boarder? However, the scope of the background checks is limited. + The MUA rules apply to properties owned by individuals, partnerships, look-through companies, trusts and other close companies and therefore capture the most common investment or … Most Airbnbs are nothing like traditional hotels or hostels. New Zealand Look at how regulations could affect your bottom line as far as occupancy- are there constraints on how long or when you are able to rent your property? According to Airbnb statistics, the following cities are expected to be the most popular destinations in the coming year, based on a year-over-year (YoY) increase in booking percentages. Really am not sure what we should be doing. Over 50% of Airbnb users in 2016 used Airbnb to replace a traditional hotel stay. If Airbnb has enough identifying information they will check databases for criminal records and national sex offender registries within the U.S., and to the extent permitted by the law in that host’s country. Popularity often coincides with major national or international events, festivals, and gatherings. 49% of Airbnb users in 2016 used it as an alternative to hotels. In 2019, Airbnb became heavily regulated, restricted or made illegal altogether in many cities where it previously had very high numbers of listings and bookings: Airbnb statistics indicate that COVID-19 lockdowns and quarantines have taken a massive toll on the company’s revenue. In some U.S. markets, Airbnb can be 6% to 17% cheaper than hotels, The hotel industry loses approximately $450 million in direct revenues per year to AirBnb, Hosts with 10 or more properties generate a quarter of, 81% of Airbnb’s revenue ($4.6 billion) in 2017 comes from whole-unit rentals where owner is not present during the guest’s stay, Revenue growth for whole-unit rentals has increased by an average of 76% each year in most markets except those where cities are enacting strict regulations, the percentage of. A 2016 study suggested that a 10% increase in Airbnb listings led to a 0.42% increase in rent prices being asked in that area. Reservations for stays and Airbnb Experiences made on or before 14 March 2020, with a check-in date within the next 45 days from today, are covered by the policy and may be cancelled before check-in. We have 30+ years experience delivering insights and data on NZ's industries and regions. While the city has since tightened the regulations around vacation rentals, there are still many countries and cities around the world that are keeping Airbnb on a short leash to protect their stock of affordable housing and reduce the external effects on neighbors living near short-term rental properties. And in some countries, tourists encroach on local neighborhoods and disrupt “local” life. Plimmer Towers Guests should always read reviews, message hosts if they have questions and protect themselves: Pay only through Airbnb’s secure payment platform to protect financial information, Do not share identifying personal information and utilize the platform to message others, Check public databases and sex offender registries for those you may interact with offline, Share travel plans with a family member and allow your mobile phone to be tracked, Report suspicious activity, hostile users, fraudulent information and other problematic behaviors to Airbnb immediately. There are now around 20,000 listings on Airbnb in New Zealand and hosts earned a total of $55m over the March 2017 year. 12.2% of the issues were caused by a misleading listing. In fact, hotels that cater to niche audiences or guests tend to be some of the most expensive places to stay in popular tourist destinations. Is there a certain amount you are allowed to earn before declaring? Airbnb has contributed to raising median rent by as much as 1.4% or $380.00 and in some pricier neighborhoods such as Manhattan by as much as $700.00. Dec 17, 2020 - Rent from people in Queenstown, New Zealand from $20/night. Users spend an average of 11 minutes and 31 seconds on the Airbnb app. The problem is that P2P accommodation providers are treated to a predictable chorus of complaint from the commercial accommodation sector who argue an unregulated market place will deliver inferior experiences. Instead of fighting a movement that is already making a valuable contribution to the New Zealand economy, the tourism sector needs to get over itself and extend an olive branch to P2P accommodation providers. These results are summarised in the following table. Level 20 New Zealand hosts rented out their houses or rooms for an average of 26 to 27 nights a year. Government statistics show that one in five visitors to New Zealand stay in Airbnb accommodation. Key stakeholders in the tourism sector, such as visitor experience operators, regional tourism organisations, and government departments (such as MBIE) could also work together to draw up a framework for supporting private accommodation providers. We both have 9-5 jobs etc. Private accommodation, on the other hand, makes use of an accommodation resource that is already there, but is simply underutilised. And judging by the barrage of complaints I have seen in the media, commercial accommodation providers don’t like it one bit. Do your homework on who your hosts are. purposes (Airbnb) then the Mixed Use Asset (MUA) rules may apply to apportion the costs. You might like to subscribe to our newsletter and receive the latest news from Infometrics in your inbox. 10 stocks we like better than Airbnb, Inc. 1 Bath. The top 10 destinations of outbound guests are the United States, France, the United Kingdom, Germany, Australia, Canada, China, Spain, Italy, and the Netherlands. © 2020, iPropertyManagement.com. Airbnb was founded as a company in August 2008, after an experience that the cofounders Nathan Blecharczyk, Brian Chesky and Joe Gebbia when renting out space in their apartment for travelers. Airbnb is a great platform for finding a nice place to stay. Europe is a hot market and the money made on vacation rentals there is impressive, even in heavily-regulated areas. Some neighborhoods are experiencing or are at risk of gentrification due to Airbnb’s popularity and the locals can’t afford to frequent all the new businesses that are there to cater to tourists. Wellington, PO Box 25309 Even if you buy an investment property in one of the cities listed above with high occupancy rate and the Airbnb laws allow you to rent it out as you please, you still have to find a good neighborhood for short term rentals. These properties earn up to 400% more than standard listings and due to Airbnb’s marketing and algorithms, are more likely to be seen by guests. Analyze Airbnb occupancy rates, revenue, and pricing. Airbnb Statistics 2020 (Growth, Revenue, Hosts + More!) But it is about time that P2P accommodation platforms like Airbnb are embraced as a sensible part of the solution to carefully managing future growth in the tourism sector. Guests who cancel will have cancellation and refund options, and hosts can cancel without charge or impact to their Superhost status. This article profiles the market position of private accommodation provided through Airbnb in New Zealand’s two biggest visitor destinations, Auckland and Queenstown. The question now is where to from here? Taking the total revenue estimates outlined above, in conjunction with average Airbnb listing prices per effective room (calculated using data from Airdna) and the assumption that occupancy per room is similar to commercial accommodation, we found some startling results. Looking more closely at other statistics provided by Airbnb shows that the typical host in Queenstown-Lakes earns a higher average yield ($8,600 per annum) than Auckland hosts ($3,200pa). For Airbnb, that means there's plenty of upside potential in the stock even as the company has already disrupted the hotel industry. December 7, 2020 December 3, 2020 While some Airbnb properties are extremely lucrative when rented out short term, some markets do better with long-term tenants than guests. community cancel. In 2018, the top 10 countries that saw a direct economic impact from Airbnb based on host income and estimated guest spending were: Guests staying at Airbnb properties tend to spend money in the local area. Use heat map to find the best areas to have a listing. In New Zealand, over 70 per cent of Airbnb hosts are female, and have an average age of 48 years old • Tourism is integral to New Zealand’s economy, with the industry contributing around $26 billion or 10.5 per cent to gross domestic product. Summary. Some areas are affected more. Many cities are cracking down on short-term or vacation rentals due to the effect Airbnb tends to have on the housing market. Some hosts are allowed to require their guests to complete identity verification in order to book their experience or property. While Airbnb does collect and pay taxes, analysis suggests that illegal listings and improper accounting results in local municipal authorities not seeing the return in lodging tax. Total guest nights in New Zealand fell 1.8 percent to 2,268,000. Use our Airbnb first booking coupon to get a $55 discount on your first stay. In New York alone, it’s estimated $110 million should have been paid in taxes but was not collected. But Infometrics calculations in the following table shows that both destinations are higher yielding than other parts of New Zealand (just over $1,500pa). Airbnb: direct economic impact of Airbnb in North America, by country 2018 Number of sharing economy users in the U.S. 2016-2021 Number of Airbnb users in the U.S. 2016-2022 Infometrics is a leading NZ economic consultancy. In percentage terms, the number of Airbnb listings was equivalent to 14% of the size of the commercial accommodation sector at a national level. Welcome to Airbnb Stats, a near real time site that tracks listings statistics on Airbnb. From Until Guests +-AirDNA Score: 100. The U.S. is facing an unprecedented housing shortage. In addition to our tips for staying safe online when booking an Airbnb, we recommend taking your time to do some research, especially if you are heading out of the country. As a result, it is difficult to gauge how much more other P2P accommodation providers add to guest nights. There are no studies indicating that Airbnb expansion in an area results in increased construction of housing. Find Deals. The company has 728,000 Twitter followers, 14,384 employees work directly for Airbnb, Only 12.3% of Airbnb’s US-based employees are from underrepresented populations, 75% of Airbnb employees felt their pay was fair, In preparation for an IPO in 2020 or 2021, Airbnb has $6.4 billion in cash raised across 22 funding rounds, 400,000 companies directly engage with Airbnb to manage travel, In 2018, 58% of hosts and booking guests worldwide were millennials, As of 2016, 44% of Americans have participated in some way in the “sharing economy”. Some Airbnbs have self-check-in, and others require you to meet up with the host who will then give you access to the property. The following table shows that total Airbnb guest nights are equivalent to just 2.6% of the commercial accommodation total in New Zealand. As a result, the company will postpone its IPO. Airbnb Occupancy Rate for Neighborhoods. If, on any given night, all Airbnb hosts were willing to let out their rooms, then the 19,000 listings would compare to an average of 137,544 commercial stay units that were available each night during the March 2017 year. We use it a lot and have just a good experience. 6 guests check into an Airbnb listing every second, There have been over 500 million Airbnb stays since the company started, There are over 7 million listings worldwide in over 220 countries and regions, There are AirBnB listings in over 100,000 cities. By comparison, commercial operators are always aiming to fill their rooms to maximise their return on investment. And remember Airbnb isn’t the only place to find private accommodation. Belong anywhere with Airbnb. According to AirDNA’s data, these are the top 10 Australian cities tipped to see a good 2019 for new Airbnb investors: 1. To qualify for a listing, the Host must have: Plus homes are available in 41 cities around the world, twice as many since launch. We are not GST registered. Most hotels making checking in and out a breeze. Save money on your trip by finding the biggest discounts for top-rated Airbnb rentals in Auckland. Depending on the tech-savviness of the Airbnb host, checking in might be a complicated process. P2P providers already self-regulate themselves, with a peer reviewing system that effectively pushes private households into ensuring they deliver a quality experience. Due to increasing regulations, growth is slow or not occurring at all in some of Airbnb’s former top cities: Sampling of cities that previously saw high numbers of listings but are now heavily regulated with most listings considered illegal: Airbnb’s valuation decreased 48.6%, from $35 billion to $18 billion, in a matter of months, Airbnb stands to lose 54% of its revenue due to the novel coronavirus, Investors are optimistic, contributing an additional $2 billion to the company’s IPO fund after March of 2020, In August of 2020, the company enacted a global ban on gatherings of more than 16 people at AirBnB listed properties “until further notice”, The company also adjusted its policies to allow for hosts to make last-minute cancellations under “etenuating circumstances” without incurring a penalty. Authenticity is overrated. For a more home-away-from-home experience, most Airbnbs will be better than a hotel. About 13.45% of guest issues are caused by unsafe or unpleasant conditions, such as bug infestations, broken appliances, hostile/intimidating hosts, or hidden cameras in the unit. For larger groups, an Airbnb is likely to offer significant savings on nightly rates. For example, regular regional training workshops could be run for households looking to list via a P2P accommodation provider that focus on what is needed to offer a high standard of service to visitors. Hosts and commercial operators listing multiple properties for rent represent one of Airbnb’s fastest-growing segments. After all, hotels are an extremely capital intensive investment and, apart from peak summer months, have relatively low occupancy the rest of the year. In the 10 cities with the largest Airbnb market share in the US, the entry of Airbnb resulted in 1.3 percent fewer hotel nights booked and a 1.5 percent loss in hotel revenue. The $1 billion-dollar Airbnb Host Endowment launched in October 2020 with the purpose of providing emergency funds, educational grants, and other support to hosts and their families. 1 Bed. Airbnb guests like to flash their cash, statistics indicate that guests staying in a San Francisco hotel spend just over $800 on a 3.5-day trip. But these complaints have little substance. 16 Dec 2020 - Rent from people in New Zealand from $28 NZD/night. Consider that 13,500 units of housing in New York City have been lost through Airbnb. Sure, some dwellings may have multiple Airbnb listings, but even so, Airbnb’s claim of 2,000 listings translates to about 10% of Queenstown-Lakes’ dwelling stock. Of the $55m spent on Airbnb accommodation in New Zealand over the past year, $22m was spent in Auckland and $17m was earned by hosts in Queenstown-Lakes District. There have been over half a billion Airbnb stays since the company started What are the zoning rules, building/housing standards and taxes like in the area? If you will be driving a vehicle, check to see if parking is available. Those staying at an Airbnb … There are several other P2P platforms providing private accommodation in New Zealand, such as Bookabach and Holiday Houses. In a study by Morgan Stanley, they … Here are the, 390,000 Airbnb guest nights in Auckland, 180,000 in Queenstown, Threatened migration clampdown would lead to economic slump, Low wage growth amidst tight labour market, instructions for how to enable JavaScript in your web browser, New suite of construction products in the pipeline, Filling gaps in local area data for transport decision-making. But Airbnb’s relative size appears much smaller when you work out how total Airbnb guest nights stack up against commercial accommodation guest nights. The majority of guests are younger adults: When guests were asked why they chose Airbnb: 22% of hosts indicate they chose to host after first being an Airbnb guest. Unforgettable trips start with Airbnb. Amenities can save (or cost) you money. Airbnb and co-founders Brian Chesky, Joe Gebbia and Nate Blecharczyk commit 400,000 Airbnb shares and $6M to new community-focused non-profit. Taking time to understand the area, its residents, unique challenges and getting to know your host ahead of time can make your Airbnb stay memorable and make a difference in the local economy. If you are looking at a property in another country are there rules about foreign nationals operating there? The Airbnb platform has resulted in an increase of guest arrivals to the least visited destinations in the world between 2016 and 2018: In 2016, Airbnb supported 730,000 annual jobs, 92% of Airbnb listings in Jersey City are located within .5 miles of public transit to New York City, increasing the likelihood that economic benefit of guests will not be realized locally, 75.7% of listings are multi-listings in Jersey City and more likely to be owned by a business than private owner, In 2019, New Jersey residents who rented out properties received over $175 million, 34.1% of listings are multi-listings in NYC and more likely to be owned by a business than private owner, In 2014, the New York Attorney General’s report determined that 72% of Airbnb units studied were in violation of the New York State Multiple Dwelling Law or New York City’s Administrative Code, 13,500 units of housing in NYC have been lost through Airbnb, Airbnb has contributed to raising median rent by as much as 1.4% or $380.00 and in some pricier neighborhoods by as much as $700.00, In 2017, 72% of the population in neighborhoods at the highest risk for gentrification were not white. By comparison, Auckland’s 7,000 listings represent approximately 1.3% of the 540,000 dwellings in our biggest city. Guests spent approximately $25 billion at restaurants and cafes in 2018, 84% of hosts recommend local restaurants and cafes to guests, 42% of guests indicate they spend primarily in the neighborhood where they are staying. Over the year to March 2017, we estimate that there were just under 1,000,000 Airbnb guest nights in New Zealand. That amounts to 8.8 million nights or 18 per cent of … Find unique places to stay with local hosts in 191 countries. Some Airbnb properties have a kitchen allowing the guest to save money by cooking their own meals vs. having to eat out when staying at a hotel. Many properties will also have their own website with more in-depth information, photos, and location. Note: statistics on entire vacation rental industry found here. In Boston, where the study was conducted, rent had increased by $178.o0 due to Airbnb activity. There are many variables when comparing the hotel experience to an Airbnb booking but here are some general guidelines: While many users tout Airbnb listings as far cheaper than hotels, this may or may not be true depending on the location. The average Airbnb host isn’t necessarily looking to have visitors year-round. In Europe, Airbnb is anywhere from 8% to 17% cheaper than a regional hotel’s average daily rate. Price Range. Hotels are usually predictable and large chains go out of their way to make the branding, rooms, amenities and other parts of the stay consistent across all of their facilities around the country or world.  This could lead to your surroundings feeling homogenized and disconnected from the character of the city where you are staying.  For short stays when you just need somewhere to crash between meetings or flights, a hotel is best. Michael, Kat, and Amol were Airbnb’s first three guest arrivals; now, a decade later, three guests check into an Airbnb listing every half-second. A curated resource for journalists & consumers on the latest data and insights behind Airbnb's rapid growth. Solely putting focus on constructing new commercial accommodation is not necessarily the most efficient way to accommodate visitors. Find unique places to stay with local hosts in 191 countries. It’s about time the internet had a single place with all of the most up-to-date information from leading experts in property management, investing and real estate law. Like it or not, private accommodation is here to stay. Instead hosts may only be filling up spare rooms at peak times, or renting out their house periodically when they are out of town. Are they fronts for a large company with a huge portfolio of properties or are you truly supporting a resident where you’re planning to visit? Launched in February 2018 for exceptional in-person verified properties: Plus homes are available in 41 cities around the world, twice as many since launch, Plus homes earn up to 400% more than standard listings, Plus home listings are more likely to be seen by guests, As of February 2020, there are over 26,000 Plus listings, 43% of guests indicate functionality is their top valued amenity, 58% of millennials indicate social media worthiness is a major factor in booking decisions, 59% of US guests, 46% of Australian guests and 39% of Italian guests value air conditioning over wi-fi, Guests from the US, Australian and Canadian tend to value free parking over a pool, Hotels such as Marriot International are adding home-rental offerings to their portfolios. Airbnb today revealed the average host age in New Zealand is 47 years old and almost half are over 50. Belong anywhere with Airbnb. The reason for Airbnb having a smaller relative number of guest nights is due to lower occupancy rates. Airbnb is a community based on connection and belonging—a community that was born in 2008 when two hosts welcomed three guests to their San Francisco home, and has since grown to 4 million hosts who have welcomed over 800 million guest arrivals to about 100,000 cities in almost every country and region across the globe. Important factors in booking an Airbnb Experience: Experience hosts earn an average of $10,000 per year with top-earning Experience hosts earning $800,000 a year. High rental demand can be understood by assessing the annual occupancy rates and increase in listings for the area you are looking at. Not only you can usually find comfortable apartments for the same price as shared hostels, but you will also meet nice people who could you talk to and have a nice evening together. Even in Auckland and Queenstown these proportions are just 5.2% and 4.2% respectively. Will local laws prevent you from carrying out maintenance on your property or will you have to hire a professional to do so? Airbnb Plus, launched in February 2018, is for exceptional properties meeting stringent guidelines and inspected and photographed by an Airbnb representative. Most hotels do not offer the range of options that Airbnb hosts do. This proportion was even higher in Queenstown-Lakes (19%) and Auckland (38%), while in the rest of New Zealand the proportion was only 9.2%. Airbnb shares opened at $146 (€120.3) on the Nasdaq on Thursday, far above the initial public offering (IPO) price of $68 apiece. The verification process is growing increasingly important for the company. Airbnb listings constitute 19% of the total demand for lodging in the U.S. If something goes wrong with your room at a hotel, it’s not hard to get hold of somebody to fix it or move you to another room. Clearly hotels, motels, and other commercial options will always play a key role in New Zealand’s visitor infrastructure. However, these companies are understandably cagey to release commercially-sensitive data on their market positions. All Rights Reserved. AirDNA tracks the performance data of 10M Airbnb & Vrbo vacation rentals in 120K global markets. Compare the rates vacation rentals are bringing in vs. what the median rent is in the area.