We know people who own condos that would normally rent out for $5,000 per month on the long-term rental market. Instead of having long-term tenants, they have their condos on Airbnb for $1,000 per night. The thing is, they only get booked for 3-4 nights per month. They only make $3,000-$4,000 per month on Airbnb. For the other 26-27 nights per month their condos are sitting there empty when they could be used to house people in them!
WTF is going on here!?
We think for some people who are hosts on Airbnb it makes them feel like brilliant entrepreneurs and it's the trendy thing to do. But also remember, the COVID scamdemic caused many landlords to get screwed over where their tenants were allowed to live there rent free for years and then the courts were too backed up to evict them. Maybe they are happy to get their $3,000-$4,000 per month instead of trying for $5,000 per month and risk getting screwed over again.
America has a housing bubble too just not as bad as Canada. In America you can get a house in Youngstown, Ohio for $500,000 that would cost $40 million in Vancouver.
How much of that money in Canadian Real Estate will soon be allocated into gold stocks? A large portion of it!