This is because we assume such units are withdrawn from the housing market. The natural assumption is that in cities where Airbnb is active, rental accommodation and housing would be relatively more expensive. The most popular places for short-stay rentals are Goa, Bengaluru, Karnataka, Pune, Hyderabad, Dehradun, Jaipur, Raigarh, Ernakulam, New Delhi and Nainital.

Indian cities are also experiencing a severe affordable rental housing crisis, with a steady decline of the market share of rental housing from 54 per cent in 1961 to 28 per cent in 2011, as per the Census of India.īased on the Airbnb website the nightly price of an Airbnb stay in an Indian city is about Rs 4,800 (USD$58). Some studies estimate that more than two-thirds of the urban housing shortage is due to overcrowding in households. This is because there are already many affordable housing problems in Indian cities, as pointed out by the India Infrastructure Report which documents that approximately 19 million urban households face a housing shortfall, despite 11.1 million houses being vacant in cities.įurther, fewer than 1.8 million houses have been constructed as a result of various programs initiated by the government. Domestic bookings rose 80 per cent in the third quarter of 2022 over pre-pandemic levels, while hosts collectively made over $12 million from bookings with families in 2022.īut there are serious questions about the effect this explosion in short-term rentals might have on housing and rents across the country. There are at least 70,000 properties listed on the site in India, as per The Economic Times (July 7, 2021).

Airbnb long stay