Skip to main content

Study Finds More Reasons to Worry About Airbnb's Effect in the Housing Market

The new study, published by the Urban Politics and Governance research group at McGill University, comes with a major disclaimer: it was funded by the Hotel Trades Council, AFL-CIO, among other.

2 minute read

February 1, 2018, 9:00 AM PST

By James Brasuell @CasualBrasuell


sitthiphong / Shutterstock

Sally Goldenberg reports on a new report titled "The High Cost of Short-Term Rentals in New York City," which finds that Airbnb "exacerbates income inequality, benefits white hosts who own homes in predominantly black and Hispanic neighborhoods, and renders thousands of apartments unavailable in a city starved for housing."

More specifically, the study "concludes that Airbnb hosts are responsible for removing between 7,000 and 13,500 apartments from the city's long-term rental market, driving up rents by contributing to a housing shortage and threatening to gentrify neighborhoods that have historically been affordable to non-white residents."

A team from McGill University's School of Urban Planning performed all the analysis and crafted all the findings and conclusions of the report, with funding from the Hotel Trades Council, AFL-CIO, as well as New York-based housing and tenant advocacy organizations like New York Communities For Change, Housing Conservation Coordinators, Goddard Riverside Law Project, St. Nick’s Alliance, Cooper Square Committee, Mobilization for Justice (formerly MFY Legal Services), West Side Neighborhood Association, and the Hell’s Kitchen Neighborhood Association.

Inside Airbnb followed up on the news of the new study, placing it in a chronology it launched a year ago, when it published a study titled "Faces of Airbnb: NYC, Airbnb as a Racial Gentrification Tool." Murray Cox of Inside Airbnb writes that post, offering an explanation of that study's findings and a chronology of the ongoing controversy and debate over the effects of Airbnb.

The McGill University study isn't the only news worthy development in scientific study into the effects of short-term rental companies, though the following crop of news originates from the West Coast as a result of regulatory changes. As we reported earlier this month, the city of San Francisco's short-term rental market has been completely upended after new regulations took effect in recent months. A new study by the Bay Area Council Economic Institute [pdf] explains the recent policy changes and examines their impacts. 

Monday, January 29, 2018 in Politico

Study Analyses the Airbnb Effect in the New York City Housing Market

Less "sharing economy" and more normal economy for New York City in New York City, according to the findings of a recent study.

March 7, 2018 - CityLab

Stakeouts and 'Private Eyes': Monitoring Short-Term Rentals for Tenants' Rights

The constantly moving legal lines between regulators and short-term rental companies like Airbnb have taken on some distinctly noir activities.

December 27, 2016 - Bloomberg

Will New York’s Strict Short-Term Rental Rules Work?

Some owners are reluctant to put short-term rental units back on the long-term rental market, but the number of permitted units has dropped dramatically.

December 5, 2023 - Stateline

The Mall Is Dead — Long Live the Mall

The American shopping mall may be closer to its original vision than ever.

March 21, 2024 - Governing

The Paradox of American Housing

How the tension between housing as an asset and as an essential good keeps the supply inadequate and costs high.

March 26, 2024 - The Atlantic

Report: Las Vegas, Houston Top List of Least Affordable Cities

The report assesses the availability of affordable rental units for low-income households.

March 22, 2024 - Urban Edge

News from HUD User

HUD's Office of Policy Development and Research

Call for Speakers

Mpact Transit + Community

New Updates on PD&R Edge

HUD's Office of Policy Development and Research

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.