Many Airbnb guests staying in New York City during the upcoming holiday season are now looking for other accommodations.
According to the report, the company announced that it plans to withdraw and refund the remaining invoices after December 1. It was decided to respond to new regulations from September 5 to limit short-term restrictions in the city.
The law, which has sparked controversy among tourists and short-term rental property owners, requires owners to stay on the property for 30 days or less and allow two guests at any time. Additionally, hosts must be registered and approved by the municipality, and if they fail to comply, both hosts and booking platforms can face heavy fines.
Travel industry, website Skift estimates that the number of Airbnb listings in New York City dropped 77% in the short period from June 4 to September 10, which may lead many people to look elsewhere.
JLL Hotels & Hospitality Americas CEO Kevin Davis Shares Asia on Monday He said last week they see more growth in the next six months than at any time since 2015. The list is based on these. It is higher than this month.
Additionally, when searched on Google last week, it was noted that there was a 24 percent increase compared to the last 60 days, especially for New York City hotels. This detail shows great interest. From people who want to stay in New York City hotels.
Hotel Rate Increases in New York City and Falling Airfares
CEO Davis noted that hotel prices in New York City are expected to increase. He noted that 10,000 more rooms will be added starting in 2020 and another 10,000 next year, making the city an unprecedented source of new hotel rooms. This increase in hotel rooms means that more rooms are available to meet the needs of all visitors planning to visit New York City.
But despite the large number of short-term vacancies, Davis said hotel prices will likely continue to rise.
He advises viewers that if they’re considering going to New York City, it’s best to make a reservation as soon as possible. According to him, the price should increase, especially as time passes.
Additionally, demand should be supported by the decline in air ticket prices across the United States. Airlines are working to increase the desire to travel in the fall.
Airfares, in New York City were 14% lower in August than in July, according to Davis. Additionally, when car prices are examined from major cities in the USA to New York City, it is seen that car prices have decreased by approximately 17%. This means customers now benefit from lower prices.
Knock-on effect
Cities around the world, including London, Paris and Dubai, are implementing short-term retail policies. But New York City’s policy is more comprehensive than other cities, raising concerns that other metropolitan areas may consider similar measures.
Davis said there’s a real possibility other cities will follow York City’s lead. But he said municipalities will likely monitor the results of the regulation and evaluate its impact on their communities over the next six to 12 months before making a decision.
Davis stated that the USA is considering stricter rules for short-term residences, especially in cities such as Atlanta, Dallas and New Orleans. Similar debates have occurred around the world in places such as Florence (Italy) and Melbourne (Australia).
During the global pandemic, many hosts are turning to platforms like Airbnb to take advantage of the high demand for short-term rentals from travelers’ tours. “explained Davis.
He also explained that the current situation in the short-term rental market is a correction and a return to the old model. The fact that flights now start at lower levels causes short-term demand to decrease. Cross-trade.
Conclusion
The upcoming holiday season in New York City is seeing Airbnb guests seek alternative accommodations due to the company’s decision to cancel bookings after December 1, responding to new city regulations. These regulations have caused a 77% drop in NYC Airbnb listings.
JLL Hotels & Hospitality Americas CEO Kevin Davis anticipates rising hotel rates and advises early reservations. Falling airfares in the US are expected to boost demand. Cities worldwide are considering similar regulations, but they may observe New York City’s enforcement before taking action. Overall, the short-term rental market is undergoing a correction amid changing travel trends and regulations.
