Airbnb and landlords work together to fill apartments with new program
Airbnb rolled out an apartment listing service that will include buildings where short-term subletting is permitted. Owners who partner with the service will get a reduction in total booking revenue, typically 20%.
So far, the service offers short-term occupancy apartments in more than 175 properties managed by a dozen major apartment owners in more than 25 markets, including Residential Equity and Greystar Real Estate Partners, The Wall Street Journal reports.
The service is an effort by Airbnb to increase the number of apartments it can offer for short-term rental, which was down 4.9% in October from 2019. according to peer-to-peer data specialist AirDNA. During the same period, the total number of Airbnb listings increased by 22.9%.
Airbnb is charging for the new service as a way for apartment renters to manage inflation.
“As the cost of living continues to rise, renters can use the extra income generated from part-time accommodation on Airbnb to contribute to their rent, save for a home, or pay for other living expenses,” said Nathan Blecharzyck, co-founder of Airbnb. said in a press release.
The new service isn’t the only step Airbnb has taken recently to shore up its business.
Earlier this month, the San Francisco-based company announced it would increase the amount of liability coverage for hosts to up to $3 million, to better attract homeowners to low-cost markets. raised, ABC News reporting. Airbnb also promised to make hidden cleaning fees — a major complaint among renters — more transparent.