COVID and the Short term Rental Market!
What Happens Now?
The World Health Organization (WHO) declared the outbreak of the coronavirus (known as COVID-19) to be a global pandemic on March 11th. Since then we’ve been monitoring the situation as it has rapidly changed and we all collectively take action to slow the spread.
During these challenging times, we want to remind our Airbnb community that we’re in this together.
If you have an Airbnb, you have probably seen some changes in your market? Most likely, you’ve already noticed changes to the short term rental market
Here’s what we have experienced in Ottawa for the Airbnb Market:
1. Furnished rentals are in high demand compared to unfurnished rentals
2. Short term rental guests are now booking between 14 days to 3 month durations through the platform
3. The Airbnb platform is helping both guests and landlords stay protected. Airbnb guests can use the platform to book for longer durations with flexible end dates. Landlords as well are providing flexible end dates through airbnb instead of a traditional rental lease.
4. Students, global affairs, contract workers and hospital workers are traditionally staying in the airbnbs now
5. Short and Suite’s occupancy rate for the Airbnb’s has increased for the same time period. From March 1-May 1, 2019 our occupancy rate was 78%. For the same time period in 2020 our occupancy rate is at 85%.
6. Average night price point has decrease $4 across the portfolio
7. We currently have 56 listings occupying guests who are staying more than 30 days
8. Guests are slowly starting to book short stays again (5 days plus)
The short term rental market has quickly moved over to the “medium term market”