Airbnb, housing, and the District of Columbia

EXECUTIVE SUMMARY

Airbnb is a platform that empowers ordinary people to open their homes to travelers looking for authentic experience and connection. In recent years, District of Columbia residents have turned to hosting through Airbnb to supplement their income while sharing what they love about the city.

In light of this trend, we were asked by The Coalition for Nonprofit Housing and Economic Development (CNHED) to study the potential impact of home sharing on the residential housing market of Washington, DC (N.B. CNHED has not taken a position on the impact of short-term rentals, or proposals to regulate the short-term rental market).

We engaged in a comprehensive analysis of Airbnb and housing market data, and present the following key findings in this report:

●  “Entire home” Airbnb listings represent a very small fraction — only 2% — of the District’s housing stock.

●  Most of these listings are only shared occasionally — nearly 60% of “entire home” listings are rented less than 90 days per year.

●  A tiny fraction of “entire home” listings — a fifth of one percent of the city’s housing stock — have hosted enough to reach plausible long-term rental rates.

●  Across District of Columbia neighborhoods, Airbnb presence is uncorrelated with growth in rent prices , across both single-family and multi-family housing.