"AirBnB Owners Are About To Be Forced Property Sellers"

[HandyGrandpap]

Interesting article, in summary over supply of Airbnb due to investors and current home owners riding the trend. Resulting in investors needed to sell their properties. Very interesting graphs to support the narrative.

Do you think that will be the trend in TV's??

Why AirBnB Owners Are About To Be Forced Property Sellers | ZeroHedge (https://www.zerohedge.com/economics/why-airbnb-owners-are-about-sell)

[Papa_lecki]

Air BNB market will soften in many markets, due to 2 primary reasons.
1) work form home is becoming less favorable, so the 25 to 35 year olds who travelled from city to city to work in Air BNBs are returning home and in the office
2) summer vacation travel is softening, due to inflation and high airline prices.

These 2 reasons are less likely to impact us in TV.
We still will have:
1) children/grandkids who rent AirBnb’s,
2) weekly visitors trying to feel out TV for the long term
3) friends coming to visit us.
4) snowbirds who are renting.

[JGibson]

It may be a demographic thing as folks don't want to live in lawless communities anymore.
They're all moving to States that have some law and order.

[Normal]

The Villages is no different than anywhere else. ABNBs will be outnumbered by the rental glut being constructed in Wildwood etc. The numbers speak for themselves. A renters market is already developing here.

[dewilson58]

AirBnB Owners Are About To Be Forced Property Sellers

Fake New headline................no body being forced.

:oops:

[golfing eagles]

Interesting article, in summary over supply of Airbnb due to investors and current home owners riding the trend. Resulting in investors needed to sell their properties. Very interesting graphs to support the narrative.

Do you think that will be the trend in TV's??

Why AirBnB Owners Are About To Be Forced Property Sellers | ZeroHedge (https://www.zerohedge.com/economics/why-airbnb-owners-are-about-sell)

One can only hope.....

[tophcfa]

One can only hope.....

I was about to post the exact same four words………..

[New Englander]

One can only hope.....

:agree:

[Normal]

:agree:

One can only hope this rental crash comes sooner than later.

[Happydaz]

One can only hope.....

I agree. Too many new homes are being sold and turned into short term rentals. Just check short term rentals in The Villages. Many homes can be rented for $95 to $200 per night. Some neighborhoods down south of 44 appear to have a large number of these rentals.

[vintageogauge]

I agree. Too many new homes are being sold and turned into short term rentals. Just check short term rentals in The Villages. Many homes can be rented for $95 to $200 per night. Some neighborhoods down south of 44 appear to have a large number of these rentals.

Some of the neighborhoods down south of 44 have zero rental units as in some neighborhoods downs south of 44 rentals are not allowed. I've lived here for 6 years and only heard of one short term rental in our neighborhood but I've never seen it and don't know where it is.

[Happydaz]

Some of the neighborhoods down south of 44 have zero rental units as in some neighborhoods downs south of 44 rentals are not allowed. I've lived here for 6 years and only heard of one short term rental in our neighborhood but I've never seen it and don't know where it is.

AirBnB now lists 306 rentals in The Villages. I believe we are up to 100 Villages now so on average each neighborhood has 3 daily rentals. Of course, some neighborhoods could have none and others 15.

[Bill14564]

AirBnB now lists 306 rentals in The Villages. I believe we are up to 100 Villages now so on average each neighborhood has 3 daily rentals. Of course, some neighborhoods could have none and others 15.

306 rentals out of 70,000+ homes doesn't seem like a lot. Even three rentals in all of Hillsborough doesn't seem like a lot. And, of course, AirBnB does not mean daily rental, it might be but it also might be a 3+ month rental.

[justjim]

“Not in my back yard”. In The Villages, AirBnB is not a particular issue to many residents unless a daily or weekly rental is next door or in your backyard. Apparently there are no restrictions that prohibit this type of rental arrangement in The Villages. However, the exact number of available rentals on a daily/weekly basis is speculative at best.

[BrianL99]

306 rentals out of 70,000+ homes doesn't seem like a lot. Even three rentals in all of Hillsborough doesn't seem like a lot. And, of course, AirBnB does not mean daily rental, it might be but it also might be a 3+ month rental.


Do your homework. AirBnB's market share is around 20%.

Anyone who thinks there's only 306 STR's in The Villages, is dreaming.

[oldtimes]

Do your homework. AirBnB's market share is around 20%.

Anyone who thinks there's only 306 STR's in The Villages, is dreaming.

The search I did says there are over 1000 and that is just airbnb. There are also other listing sites.

search results (https://www.airbnb.com/s/The-Villages--Florida--United-States/homes?adults=2)

[BrianL99]

The search I did says there are over 1000 and that is just airbnb. There are also other listing sites.

search results (https://www.airbnb.com/s/The-Villages--Florida--United-States/homes?adults=2)


Considering that AirBnB has about 20%-25% of the overall market, that would suggest there are 4000+ STR's in The Villages.

I suspect there are close to 7500, (+/- 10% of the total units) but that's just an educated guess.

[HandyGrandpap]

Considering that AirBnB has about 20%-25% of the overall arket, that would suggest there are 4000+ STR's in The Villages.

I suspect there are close to 7500, (+/- 10% of the total units) but that's just an educated guess.

I believe your estimates are very conservative.
The site below for renters has 4.6K members at 3 rooms/homes each that gets you 12K alone. I suspect there are 10 different non AirBnb sites for the Villages that provides a portal for short term rentals like Airbnb.

Log into Facebook | Facebook (https://www.facebook.com/groups/287786596630588)

[OrangeBlossomBaby]

I agree. Too many new homes are being sold and turned into short term rentals. Just check short term rentals in The Villages. Many homes can be rented for $95 to $200 per night. Some neighborhoods down south of 44 appear to have a large number of these rentals.

The Villages not only condones rentals, but they own The Villages Property Management, and rent out properties on behalf of property owners all over the community. Summer prices run between $600 and $1000 per week, considerably less than $200 per night. Comes with the morning paper too.

[Craig Vernon]

The Villages is a retirement resort with many thousands of second homes. Most who purchased homes in the last three years paid a large premium, increases in insurance, maintenance costs and amenity fees are requiring a higher rent to make ends meet. Longer term is a lower per day and is pricing out of the market and struggles to meet the cost increases. Yes, the shorter term is harder on property and neighborhoods but if you are just trying to hang on to your investment this is why short terms are increasing rapidly. If this short-term philosophy does not work, then these homes will be sold most likely at a loss. IMHO

[Pugchief]

The Villages not only condones rentals, but they own The Villages Property Management, and rent out properties on behalf of property owners all over the community. Summer prices run between $600 and $1000 per week, considerably less than $200 per night. Comes with the morning paper too.

TVPM only does monthly rentals and I'm pretty sure there are age requirements. There is a big difference between monthly rentals and weekend rentals; they attract a different clientele.

[Bill14564]

TVPM only does monthly rentals and I'm pretty sure there are age requirements. There is a big difference between monthly rentals and weekend rentals; they attract a different clientele.

Their website returns 172 properties for a weekly rental from 9/1 to 9/8 and 175 for the weekend 9/1 to 9/4. The website also shows a weekly rate. There is no mention of an age requirement though maybe that comes up when filling out the paperwork.

[coconutmama]

It may be a demographic thing as folks don't want to live in lawless communities anymore.
They're all moving to States that have some law and order.

Florida ranks 25th, including the District of Columbia, for crime. I don’t think people move to Florida because of “some law and order”, just saying. I’m thinking that it is because of the weather & that FL is one of 7 or so states with no state income tax.

But we need to dispense with the ABNB’s here pronto.

[JGibson]

Florida ranks 25th, including the District of Columbia, for crime. I don’t think people move to Florida because of “some law and order”, just saying. I’m thinking that it is because of the weather & that FL is one of 7 or so states with no state income tax.

But we need to dispense with the ABNB’s here pronto.

C'mon do you realize how big Florida is and how cities like Miami, Jacksonville, Tampa and Orlando bring the crime numbers up relative to counties like Sumter and Lake.

The OP specifically said The Villages which is one of the lowest crime areas in the country.

[Robnlaura]

“Not in my back yard”. In The Villages, AirBnB is not a particular issue to many residents unless a daily or weekly rental is next door or in your backyard. Apparently there are no restrictions that prohibit this type of rental arrangement in The Villages. However, the exact number of available rentals on a daily/weekly basis is speculative at best.

Just learn how to look !! AllTheRooms: Historical Intelligence (https://analytics.alltherooms.com/investor/historical/820520?utm_source=home&utm_term=bar&utm_content=home_bar)

[tophcfa]

The Villages is a retirement resort with many thousands of second homes. Most who purchased homes in the last three years paid a large premium, increases in insurance, maintenance costs and amenity fees are requiring a higher rent to make ends meet. Longer term is a lower per day and is pricing out of the market and struggles to meet the cost increases. Yes, the shorter term is harder on property and neighborhoods but if you are just trying to hang on to your investment this is why short terms are increasing rapidly. If this short-term philosophy does not work, then these homes will be sold most likely at a loss. IMHO

My interpretation of what you’re saying is that many recent homebuyers overextended themselves financially and have turned to being bad neighbors to try to bail themselves out for their poor decisions. It’s sad that the hope is that so many homebuyers made the same poor decision the market will eventually flush out the bad neighbors and the rest of us can enjoy the 55+ retirement community we thought we were buying into. Wouldn’t it be a lot easier to simply prevent the short term rentals in the first place?

[MX rider]

My interpretation of what you’re saying is that many recent homebuyers overextended themselves financially and have turned to being bad neighbors to try to bail themselves out for their poor decisions. It’s sad that the hope is that so many homebuyers made the same poor decision the market will eventually flush out the bad neighbors and the rest of us can enjoy the 55+ retirement community we thought we were buying into. Wouldn’t it be a lot easier to simply prevent the short term rentals in the first place?

Very well said. I agree 100%

[oldtimes]

The Villages is a retirement resort with many thousands of second homes. Most who purchased homes in the last three years paid a large premium, increases in insurance, maintenance costs and amenity fees are requiring a higher rent to make ends meet. Longer term is a lower per day and is pricing out of the market and struggles to meet the cost increases. Yes, the shorter term is harder on property and neighborhoods but if you are just trying to hang on to your investment this is why short terms are increasing rapidly. If this short-term philosophy does not work, then these homes will be sold most likely at a loss. IMHO

I think this has less to do with second home buyers and more to do with the proliferation of investors looking to make money

[CoachKandSportsguy]

Wouldn’t it be a lot easier to simply prevent the short term rentals in the first place?

Yes, but there are several reasons why investors have been looking at retirement locations:

Amenities
untapped locations / limited competition previously
Location relative to Orlando / amusements
Availability/price versus beach locations
Declining bookings / revenue at metropolitan areas
people are traveling / vacationing again. . .


LI communities imposed minimum stay requirements of 30 percent and if less, then imposed the state hotel tax, and those are enforceable, as tax evasion is a felony

But the CDD structure and other govt structures make that local statute unlikely to get passed, especially with the developer's rental company being taxed as well.

So the Villas are the prime target as the cheapest to buy to get a return. . .
friends just bought a gardenia with pool and outdoor kitchen this week, owners moved into assisted living, they have been looking since 2019 and finally got to a situation where they can buy it, and found something very appealing. . . in the northern section near spanish springs where there are very few ABnb's as the prices are difficult to make a profit. .

BTW, I have picked out an alternative to TV to which to move, if the area becomes unappealing, with 3 18 hole courses, 10 minutes to the beach, 30 minutes to many different courses. . . cheaper house prices. .

But i don't want to move, I want to make ABnbs unappealing and unprofitable

[JGibson]

My CYV block is about 75% Airbnb.

It would be nice to file a class action lawsuit against the developer for not enforcing the not using your house as a business rule.

Especially when almost all of these houses are owned by folks who own other homes in TV.

The developer and TV sales are misleading folks that this is a retirement community. Because in reality It's slowly but surely becoming some type of vacation resort.

The only thing that is going to put this AirBNB pandemic to a rest is a court of law or else those who live in any type of villa may want to start looking for alternative retirement communities that don't turn homes into a bunch of time shares.