Why Airbnb no longer works for most

[Zander M.]

Hey everyone,

Jumping into something that's been bugging me, and I'm guessing some of you are feeling it too. Let's talk about Airbnb. It used to be the go-to side hustle, but lately, it seems like it's lost a bit of its shine. I know this might be a bit touchy, especially for those of you with stakes in real estate and Airbnb gigs.

Here's a scenario: Your home suddenly needs to be left behind due to life changes. The obvious choice seems to be selling, but then comes the tempting Airbnb pitch: "Turn it into a cash cow." Sounds pretty good, right?

So, you dive in, hoping to hit it big as Airbnb's next success story. But the market's tougher than you anticipated. It's oversaturated, and you find yourself having to cut your prices to stay competitive. The advantage you have? You got your house pre-pandemic at a steal and refinanced at those incredibly low rates, allowing you to undercut the competition significantly. This is precisely what's fueling the saturation issue.

You're not alone in this. Many are entering the market with high hopes, only to find themselves in a crowded space, leading to a race to the bottom on pricing.

This pattern of homeowners turning to Airbnb, thinking it'll be an easy win only to find the need for constant price adjustments, is reshaping the market. For those thinking about making the switch to Airbnb hosting, be warned: the landscape is evolving, and not necessarily to your advantage.

This isn't about scaring you off but rather painting a picture of the current Airbnb scene. The game has changed; being fully aware before jumping in is crucial. While some of you might be doing well with Airbnb, attributing it to the right timing or location, not every story is a success story. And it's worth noting, many of us pushing Airbnb have a stake in its success. The revolving door of homeowners trying and then abandoning Airbnb adds to the platform's challenges.

Like Uber did with drivers' resources, Airbnb is leveraging homeowners' properties. The real winners here are Airbnb and the guests who enjoy lower rates than traditional hotel stays. And let's not forget the ecosystem that supports this—realtors, property managers, cleaners, photographers, stagers, etc.

Let's keep this conversation going. Sharing your views, stories, and insights helps us all navigate the shifting tides of the Airbnb market.

Catch you later!