Airbnb Market in ‘Collapse,’ Analyst Says

Recent analysis shows Airbnb revenues in steep decline in some large U.S. markets. The consequences of such a decline could send shockwaves through the entire residential real estate market.

1 minute read

July 5, 2023, 6:00 AM PDT

By James Brasuell @CasualBrasuell


Woman searchinig Airbnb app on phone

Daniel Krason / Airbnb

The short-term rental market is undergoing a major restructuring, according to analysis posted to Twitter by Reventure Consulting CEO Nick Gerli.

“The Airbnb collapse is real,” says Gerli in the Tweet, citing data showing revenues declining by as much as 50 percent in cities like Phoenix and Austin. Revenues have also declined by at least 34 percent in other cities, like New Orleans, Seattle, and Orlando, according to Gerli’s analysis.

The consequences could have an effect in the housing supply shortages contributing to housing affordability problems all over the country, as noted in an article by Vance Cariaga for Yahoo News.

The implication in the tweet — “forced selling from Airbnb owners” — is that these cities could soon see a lot more homes come on the market, which should lead to lower prices. The implication in the tweet — “forced selling from Airbnb owners” — is that these cities could soon see a lot more homes come on the market, which should lead to lower prices.

Airbnb spokesperson Sam Randall questioned the accuracy of Gerli’s numbers in a soundbite included in a separate article by Andrew Kessel for Proactive Investors.

Tuesday, July 4, 2023 in Yahoo News

Aerial view of homes on beach in Maui, Hawaii

Hawaii Passes First Legislation Regulating Short-Term Rentals Statewide

The new law will give counties the power to limit number or short-term rentals and convert existing short-term rental units back into long-term residential housing.

May 13, 2024 - USA Today

Google office building in Virginia.

Virginia Data Centers Draining State’s Water Supply

Being the world’s largest data center hub is having a severe impact on local water resources.

May 9, 2024 - Grist

Entrance to a drive-through car wash at night with green 'Enter' sign.

Ohio Towns Move to Ban New Car Washes

City officials in northeast Ohio are putting limits on how many car wash facilities can open in their towns.

May 16, 2024 - News 5 Cleveland

Grand Coulee Dam in Washington state.

Northwest Power Demand Could Surge as Data Centers, Transportation Electrification Ramps Up

New estimates project a steady increase in electricity demand due to population growth, data centers, and the shift to electric power in homes, buildings, and transportation.

May 17 - Governing

Blurred traffic speeding by on freeway with Los Angeles skyline in background.

California Testing Per-Mile Gas Tax Alternatives

A summer pilot program will test the fairness and efficacy of collection mechanisms for mileage-based fee options.

May 17 - Newsweek

Close-up of 'Pay rent' note in red marker on day 1 of monthly calendar.

After Months of Decreases, Rents Nationwide Are Going Up

Average rents rose by $12 around the country so far this year.

May 17 - Smart Cities Dive

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.