Countries with an increase in inflation saw an increase in the number of new Airbnb Hosts in Q2 2022.
New Hosts alone earned a combined total of over $1.8 billion in 2021, up more than 30 percent from 2019 – with a typical Host in the US earning over $13,800 in 2021, an increase of 85 percent over 2019.
According to a recent survey conducted by Airbnb, 41 per cent of Hosts in the US reported that one of the reasons they host is to earn money to help navigate rising prices.
Airbnb is sharing new findings showing that new Hosts began opening their doors amidst growing inflation in Q2 2022 – as well as new insights into how these new Hosts are sharing their space as well as their ability to earn.
More people start hosting as inflation increases
Inflation has been climbing higher around the world. At the same time, more people have begun hosting, specifically in top tourism destination countries with high growth in inflation. According to Airbnb’s analysis, on average, a one percentage point increase in the inflation rate in a top Airbnb market was correlated with a nearly four percentage point increase in the number of new Hosts in that country for Q2 2022.
In the United States, where inflation increased by 9.1 per cent in June 2022, the number of new Hosts grew by more than 50 per cent in Q2 2022, compared to Q2 2021 – and this same trend was observed around the world, including:
Brazil, with 11.89 per cent increase in inflation in June 2022 and a more than 50 per cent increase in new Hosts in Q2 2022;
Spain, with 10.2 percent increase in inflation in June 2022 and nearly 70 percent increase in new Hosts in Q2 2022;
Ireland, with 9.1 percent increase in inflation in June 2022 and more than 50 percent increase in new Hosts in Q2 2022;
United Kingdom, with 9.4 percent increase in inflation in June 2022 and more than 40 percent increase in new Hosts in Q2 2022;
Canada, with 8.1 percent increase in inflation in June 2022 and nearly 100 percent increase in new Hosts in Q2 2022;
Italy, with 8 percent increase in inflation in June 2022 and more than 60 percent increase in new Hosts in Q2 2022;
Mexico, with 7.99 percent increase in inflation in June 2022 and more than 40 percent increase in new Hosts in Q2 2022;
Germany, with 7.6 percent increase in inflation in June 2022 and more than 70 percent increase in new Hosts in Q2 2022;
New Zealand, with 7.3 percent increase in inflation in June 2022 and more than 30 percent increase in new Hosts in Q2 2022;
Australia, with 6.1 percent increase in inflation in June 2022 and more than 30 percent increase in new Hosts in Q2 2022;
South Korea, with 6 percent increase in inflation in June 2022 and more than 40 percent increase in new Hosts in Q2 2022; and
France, with 5.8 percent increase in inflation in June 2022 and more than 30 percent increase in new Hosts in Q2 2022.
In fact, according to Airbnb’s analysis, in Q2 2022, a $1 rise in the average American’s monthly mortgage payment – due to the hike in mortgage interest rates from three per cent to six per cent – was correlated with a 26-cents increase in a new typical Host’s earnings for the quarter.
New Hosts see the opportunity to earn
Inflation may be rising, but so too is the income Hosts are earning. As Airbnb has reported, in 2021, the typical Host in the US earned over $13,800 – an increase of 85 per cent over 2019. The typical income of $13,800 represents over two months of pay for the median US household.
For those who have begun hosting recently due to the changes in the cost of living, the ability to earn is still strong: New Hosts earned a combined total of over $1.8 billion globally in 2021, up more than 30 per cent from 2019.
And this opportunity has continued into 2022 – including for younger Hosts, many of whom have discovered hosting as a way to fulfil their dreams even as new financial responsibilities and burdens stack up. In the first three months of 2022 alone, Hosts under 30 in the US combined earned approximately $200 million – after earning approximately $775 million total in all of 2021.
Hosts are sharing the space they have to get started now
With these new economic pressures, more people are not only looking to start hosting, but also to do so flexibly – leveraging the space they have to earn, and quickly. New listings that were activated and booked in Q1 2022 are getting booked faster compared to a year ago, with the average time to get the first booking for the majority of new listings being about a week.
In the US alone, the following states have welcomed the greatest increase in new private room listings in Q2 2022, compared to Q2 2021:
- South Dakota
- Indiana
- Connecticut
- Arizona
- Alaska
- Nebraska
- Oregon
- Montana
