Eve is here. The original „Economy for All“ headline reflects some of the problems with this article, so I’ll leave it as is. Of course, the problem isn’t vacation homes (outside metropolitan areas, it’s not uncommon for middle-income families to own modest cabins in privileged areas), but rather the problem with allowing homeowners and renters to run unlicensed hotels. This is AirBnB. And in at least some cities, that means undermining unionized hotel workers.
Unsurprisingly, I find this author ranting to justify his past AirBnB usage. Oh, and going to hotels was dangerous in the pre-vaccine Corona era. Huh? You really were one of the few people traveling at the time because you needed butt treatment and eventually surgery, but I didn’t (correctly) believe in local options. , I was flying to New York more often than I would like. At the time, hotels were deserted and airplane sales were dire, despite the reduction in flights. In other words, the dangers of travel were not hotels but planes and airports.
By award-winning multimedia journalist Sonali Kolhatkar. She is the founder, host, and executive producer of „.Rise with Sonali” is a weekly television and radio program broadcast on Free Speech Television and Pacifica stations. Her latest book is Standing Up: The Power of Stories in the Pursuit of Racial Justice (City Lights Books, 2023). she, An economy for everyone Project of the Independent Media Institute and Editor of Racial Justice and Civil Liberties yes!magazine. She is co-director of the nonprofit Solidarity Organization. afghan women mission He is also a co-author of bleeding afghanistan. She is also a member of the Board of Directors. Justice Action Center, an immigrant rights organization.produced by An economy for everyone Independent Media Institute Project
Americans are Vacation binge drinking Record numbers of leisure trips have occurred since the easing of the coronavirus disease (COVID-19) lockdown, causing a major boom in the tourism industry. Vacation rental company Airbnb, in particular, was built on the euphemistic-sounding idea of “.“sharing economy” is booming. In the third quarter of 2023, the company will Record profit On record.
However, urban areas are increasingly seeing rising rents, soaring housing prices, and an increase in homelessness. Authorities have partially linked this housing crisis to Airbnb. pass strict regulations.
I have rented several homes over the 15 years since Airbnb was founded. In the early days, staying in someone else’s home was a kind of rebellion against corporate hotel chains. During the scariest months of the COVID-19 pandemic before vaccinations, concerns over whether the deadly airborne virus could spread among unmasked crowds in elevators and hotel lobbies Despite the concerns, short-term home rentals felt much safer than hotels. Privacy, convenience, and low costs now allow travelers on a budget to enjoy family vacations with members of their choosing. pandemic pod.
But while Airbnb rentals may provide economic respite for budget travelers, their peers in the neighborhoods they visit are often negatively impacted by rising home prices and rents. In addition, Airbnb hosts increasingly professional landlords– Wealthy elites and corporate entities who make huge profits by amassing large amounts of real estate and renting it out to tourists.
Nowadays, even individuals managing a single property are encouraged to expand vacation rental management into a full-time business. „Becoming an Airbnb property manager can be a fulfilling career path, and you can make a lot of money doing it.“ claimed One company We specialize in training professional hosts. “This is a relatively low-risk, low-investment venture that can be very lucrative.”
Indeed, just as companies like Uber were once touted as a way for car-owning workers to earn a little extra cash, Airbnb promised extra income to those who renovated an extra room or garage. . But now the market is becoming increasingly dominated. A small number of corporate “hosts” and professional property manager.
Airbnb homes are available all over the world, but the United States is the most affected. Airbnb CEO Brian Chesky said in late 2023, „Our penetration rate in the U.S. is significantly higher than our penetration rate in many other countries. If we can achieve even some of these, we think we can see significant growth.“ In other words, the U.S. is a model that Airbnb wants to emulate elsewhere to pursue profits.
Stephanie Sinclair, a 41-year-old black mother who recently arrived from Atlanta, is a fitting symbol of what Airbnb has done in the United States. made the news For being a home buyer in Sicily rather than in my hometown. Despite language and cultural barriers, Sinclair bought a home on the other side of the world. One reason for this was that I found Sicilians warm and welcoming, but the main reason was the huge price difference. Even though he had a modest budget of $450,000, Sinclair was unable to buy a house in Atlanta, where real estate is very plentiful. most expensivedomestic. She now plans to retire in her $62,000 home in Palermo, Sicily.
Atlanta’s housing market is dominated by investors and deep-pocketed companies. Scoop almost every house They are listed for less than $500,000, many of which are then turned into Airbnb listings for tourists. precious spliceThe Atlanta-based host initially saw Airbnb as a way to build wealth, especially for Black entrepreneurs like her who faced racism from the financial industry. . But Price soon realized that her rental property was part of the housing crisis her beloved city was experiencing, according to a profile in the New York Times. Since then, she has pivoted to a long-term rental business that caters to residents rather than vacationers, a less profitable but more ethical business.
Airbnb isn’t just fueling the urban housing crisis, it’s fueling it along racial lines.a 2017 survey A New York City investigation by watchdog group Inside Airbnb concluded that the company’s model fosters racial discrimination in the housing market. Inside Airbnb analyzed the demographics of rental hosts in the city and concluded, among other things, that „across all 72 Black-majority neighborhoods in New York City, Airbnb hosts are five times more likely to be white.“ I’m wearing it. Additionally, „Loss of housing and neighborhood destruction due to Airbnb is six times more likely to impact Black residents.“ White New Yorkers benefit from renting out their homes as hotels, while Black New Yorkers benefit from renting out their homes as hotels. New Yorkers are disproportionately affected.
To curb such inequities, New York City already had strict rules on its books regarding short-term rentals and subleases. passed the law In 2023, Airbnb will be required to ensure hosts have permission to rent out their homes. Failure to comply will result in heavy fines for both the host and the company.
of new york times explained, „In order to collect fees associated with short-term stays, Airbnb, Vrbo, Booking.com and other companies must verify that a host’s registration application has been approved.“ „Hosts who violate the rules could be fined up to $5,000 for repeat offenders, and platforms could be fined up to $1,500 for transactions involving illegal rentals.“ There is.”
This was an admission that the previous set of rules were simply not being enforced, as we continue to see in cities such as: Los Angeles—When a host ignores the rules with little consequence. But now, at least in New York City, the onus is on organizers as well as companies to comply.
This could mean higher hotel costs for out-of-town visitors, but potentially free rent for long-term residents. According to the GuardianThis may already be happening, just a few months after the law took effect in September. „Rental costs in the city are retreating from all-time highs as vacancy rates rise to levels not seen in three years. This is good news for people“ looking to sign rental leases. ”
While cheap vacation stays are certainly desirable for those of us who love to travel, taking a vacation in the United States is a privilege. According to the 2023 survey, it is unlikely that you will take a summer vacation. And more than half of them said they simply couldn’t afford it. 2019 Research by Economic Policy Research Institute „While Airbnb may reduce the growth in travel and lodging costs, as has been argued, these costs are not a primary concern for American families.“what teeth The first issue is affordable housing.
And while regulating Airbnb won’t alleviate all the economic inequities Americans face, such as wage suppression and a lack of government-funded health care, it will move the needle in the right direction. It is certain that it will become.