With the summer almost over, everyone’s talking about how relaxing and fun their vacations abroad were…
But foreign cities are so fed up with tourism that more and more are looking to ban Airbnb altogether.
Critics argue that short-term rentals such as Airbnb and Vrbo hurt citizens of foreign cities by raising rent and home prices…
And it seems like the short-term rental kings agree.
Why Ban Airbnb?
Global tourist cities have been struggling with the heightened cost of living since the pandemic…
And Airbnb is not helping.
In the summer of over-tourism…
More cities are implementing severe regulations against short-term rentals to help curb rent and home prices for those living there.
Anti-tourist protests across Europe heightened this issue…
With Spanish citizens spraying tourists with water guns to emphasize their dissatisfaction.
To deal with the increase in home prices…
BARCELONA ANNOUNCED THAT THE CITY WILL EFFECTIVELY BAN AIRBNB AND ELIMINATE ALL LISTINGS BY 2028.
This decision follows a partial ban that occurred in the city in 2021. The Mayor of Barcelona called the city’s extreme increase in rent prices the biggest problem they face.
And it’s not just a distaste for tourists that sparked the decision…
A 2020 study found that in Barcelona neighborhoods where Airbnb operated, rent increased by 7% and home prices by 17%.
This decision has created some of the most extensive and severe Airbnb bans yet. But Barcelona is not alone…
OTHER CITIES ARE FOLLOWING SUIT.
New York City, most notably, issued a de facto ban on Airbnb in 2023 due to the service pricing residents out of their neighborhoods.
Other cities like Lisbon and Amsterdam have also issued severe regulations on short-term rentals…
And in the case of these two cities, the bans on new Airbnb licenses have helped keep housing costs down for residents.
But how has the company itself responded to their new limitations?
Airbnb’s Response
After attempting to sue New York City for its blanket ban of the service, Airbnb has actually been open to the new regulatory standard.
In an article by Business Insider, an Airbnb spokesperson stated the following…
“FOR THE LAST TWO YEARS, THE COMPANY HAS CALLED FOR AN EU-WIDE APPROACH TO SHORT-TERM RENTAL RULES THAT WILL HELP MAKE REGULATIONS MORE CONSISTENT ACROSS THE BLOC,”
While these regulations may end up hurting the company in the long run…
Right now, Airbnb has bigger fish to fry.
Even with the spike in tourism this summer, the company recently reported that demand for their service is starting to flatten out.
Trunks out that demand for this once-hot short-term rental app is cooling because travelers are put off by…
Excessive fees…
Long check-out lists…
And lack of quality control…
Because of customer dissatisfaction…
More travelers are choosing to side with the company’s largest competitor…
Hotels.
What’s Next For Vacation Planning?
Now, travelers are looking for amenities that will make their stay even more memorable.
Sleep tourism, for example, is a new niche within traveling…
And its helping hotels bring back the customers they lost to short-term rental sites.
While the company has had its fair share of controversies…
This new set of challenges and excessive bans might be what brings Airbnb back down to earth.
Be Great,
GCTV Staff
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