Contradicting accepted wisdom, an SGS Economics and Planning report has found Airbnb has had little impact on Melbourne’s housing market.
The report, which used official Airbnb data, found the number of AirBnB listings in Melbourne in 2017 was equivalent to only 0.5 per cent of all dwellings in Melbourne.
Report co-author Terry Rawnsley, Principal and Partner at SGS Economics and Planning, said the hosting rate of Airbnb listings averaged less than 50 per cent of the time they were available.
In Melbourne, the median number of nights hosted per year has increased from 42 nights to 66 nights per year. Of the listings that have hosted guests, over 35 per cent of listings host guests for up to 30 nights per year. Approximately 27 per cent of listings host guests for more than 180 nights per year.
Mr Rawnsley says, broadly speaking, it is not financially beneficial to host a property on Airbnb instead of renting to a long-term tenant, unless the property is in the City of Melbourne, where the hosting rate averages 70 per cent.
‘In only a small number of cases, it is more profitable to list a property on Airbnb full time rather than on the rental market.’