Why host are leaving Airbnb and why Airbnb is so expensive!

[Jessica134]

Good morning, 

I started my Airbnb in 2016 in an effort to offset my extremely high property cost.

Since then a few things have destroyed this business for middle-class Americans'

1) Airbnb wastes time and money on constantly changing the app as if we will get bored making money therefor,  they need to constantly keep us engaged!

Every time they make major "December" app changes the algorithm is terrible and 

we all have to work 3 times as hard to restore your "good-faith" algorithm!

For most host this is extra money not their full-time job.......so turning it into a career just to stay booked is unacceptable for most 

every day hosts.

We don't need app changes we need money!!

2) A large percentage of hosts legally had to move to "mid-term" rentals and forfeit our short-term businesses.

This is a completely different business! 

- Less money

-More damage - Working more with customer service which is a nightmare most of the time.

- More downtime if you don't have overlap bookings ahead

-Completely no algorithm support

The algorithm is not set up to support Mid-term rentals.

The system works against the host because the algo is set up to respond to clicks and bookings.

If you have a guest for 3 months, your calendar is blocked, and the algo thinks no one likes the listing!!! 

3)  Airbnb needs to improve the algorithm for long-term stays and rebrand making middle-class noncorporate property owners their own category separate from hotels, and corporate hosts.

Categorize host that  rent or own over 6 listings as "corporate hotel owners" with higher costs and newer accommodations.

(Not Co-host)

And have a : traditional Airbnb helps your community" category for folks who want to spend a little less and have the "staying at a friend's house" original Airbnb experience in exchange for the high cost.

So people don't think all hosts are charging or earning a  million $$. 

This will also create an appropriate expectation for guests.

BRING BACK THE ORIGINAL CULTURE FOR GUEST. IF YOU WANT A HOTEL EXPERIENCE BOOK THIS CATEGORY, IF YOU WANT A STAYING-WITH-A-FRIEND IN A REAL HOME EXPERIENCE, BOOK THIS CATEGORY!

4) POLITICS DID WHAT IT ALWAYS DOES:

2019 BANNING OF MOST MIDDLE-CLASS OWNERS FROM SHORT-TERM using us as the scapegoat for failed local policy.

This Lost each middle-class owner at least 10K per year And cities over 100 million in tax revenue that could have gone to building housing for low income!

if you had a property built after approximately 1975 with more than one unit, 

You were legally robbed of the right to do short-term!

5 years later we have a worse housing crisis and rental/housing prices are higher! In LA lost over 80% of the short-term market at one point.

Then media lied about Illegal units knowing without a registration number the app blocks you if you don't set the availability to 30 days or more!

This caused Airbnb to look for other ways to maximize profits. So they added hotels and their own Airbnb-owned properties in addition to outsourcing all customer service outside the USA.

YOU ARE  NOT ONLY COMPETING WITH OTHER HOSTS YOU ARE COMPETING WITH HOTEL VENDORS AND AIRBNB!

The connection to the housing crisis was always a scam that media and Officials promoted in bad faith.

Homelessness is the same or worse and housing prices have increased since short-term bands.! Additionally, the economy for the middle class has tanked thanks to the false narrative.

As usual the wealthy with new buildings that are exempt from the short-term ban are doing fine. 

ONLY THE little guy and middle class were robbed by these policies.

in 2019 Airbnb complete closed all USA customer service and moved it outside the countries where they read from a script and often lack comprehension and cultural awareness making every single process very difficult.

They also drag out all situations with "I'll be gone for the weekend" ex

please feel free to add to this list!

[Mike-And-Jane0]

@Jessica134 Our experience with Airbnb since 2018 has been very good. Sure we don't always come top of the search engine but another host, just as deserving as us, does.

Now Airbnbs are being challenged in some areas as there is no housing left for the locals. There does need to be a balance here as no locals means no cleaners, plumbers, roofers etc so our properties would collapse over time.

Anyway thanks for the offer to add to your list.

[Elaine701]

@Mike-And-Jane0 

We too are subject to some of the now trendy "anti-tourism" movement which has to a large extent, been aimed at Airbnb, only because it's the icon of STRs.

However, some of those subscribing to the theory that STRs cause housing prices to be unaffordable aren't and have never been in that business, and fail to realise that running STR is nothing resembling "passive income" that's making them rich. To be successful at it requires work and investment. It costs money to run that business. If you treat it as "passive income", you'll be relegated to page 122 of search results (or be delisted) and not make any money at all. 

So, to presume that Airbnbs are the root cause of unaffordable housing is to assume that everybody's doing it and making a fortune at it. But they're not.

There's other factors. The main elephant in the room is the increase in the cost of living everywhere. Inflation. That's where it begins, where it lives, and where it stays.

Another driver (at least in my patch) is squatter rights and the protections they have under the law, which makes property owners averse to long term letting, because tenants can just quit paying, and it can take years to get them out - entirely at the homeowner's expense. So many elect for short term lets. And then they find out it's not a doddle, and many of those drop out of that too, and simply sell up at current market prices - no, not reduced market prices - but whatever the current rate, which isn't falling.

Two of the most visible examples of banning STRs - New York City and Barcelona - neither have statistically been able to exhibit any measurable impact on affordable housing - or availability of it - in fact, it only continues to worsen in both of those examples. Even without STRs.

It's easy to blame STRs for the cost of living, but STRs aren't the only contributor - in fact, it appears they may be only a minor one. 

Nonetheless, in my patch, they do seem to be considering the root causes and reality of the problem rather pragmatically (despite the over-sensationalised public outcry from a minority of voters). So, I'm not too concerned yet. Besides, there's other, more effective ways to attack this problem. It just needs to be carefully thought through, rather than "ready-fire-aim".

[Helen3]

Do you really think Airbnb will make a category for 'middle class Americans' @Jessica134 

All digital disruptors will constantly  be evolving and developing their offer as their brand and business develops - it's how successful businesses evolve .

most multinationals use overseas call centres 

if Airbnb is no longer working as a platform for your STR business I'd suggest you look at other marketing channels that better fit your needs .

when you say Airbnb is expensive what other STR platforms are you comparing it to ? 

My experience with Airbnb has been largely positive with year on year growth . 

I think your assumption that the majority of Airbnb hosts are middle class Americans on longer let's is incorrect.

[Helen3]

Just to add 85% of airbnb hosts are outside of the US

[Frances3408]

@Jessica134 . Some good points but I suspect the middle class is shrinking worldwide so our customer base is smaller. I suspect thats why Airbnb has changed its mode of operation. 

Airbnb works well for me in certain circumstances only so I choose to control the rest.