Did you know that the short-term rental market has now soared past a $1.2 trillion valuation? This stat comes directly from Airbnb’s recent IPO filing, which we should remind you took place against all odds…in the middle of a pandemic. What is even more staggering is that there is more potential for the valuation of this market to soar even more when you look at the combination of existing demand, the post-pandemic travel boom, and the shift towards remote working. 
Airbnb CEO Brian Chesky recently went on record stating that they are short millions of hosts. If you remember your first year economics class, this means that demand is outpacing supply. So, one might conclude that now may be a great time to start buying some short-term rentals of your own. However, real estate startups are on a historic climb and a look at national and even international Airbnb listings is enough to give anyone sticker shock.
There was a 25 percent surge in demand for short-term rentals in destination and resort locations between 2019 and 2021. This year, the average cost on an Airbnb rental was about $160 a day during the first quarter, a rise of about 35 percent over the same period in 2020. By the third quarter, hosts generated a staggering $12.8 billion through the platform.
It’s all just the latest proof that the age-old path of property ownership is key to investing riches. Of course, that morsel of knowledge is nothing new. Many billionaires hold anywhere from 20 percent to 40 percent of their net worth in real estate. However, real estate investing (especially with short-term rentals) can be expensive and time-consuming, effectively screening out the everyday investor from this lucrative sector. Simply put, it’s much more tricky than just investing in $ABNB stock on Robinhood.
Read all about it below. 
