Airbnb started in 2008 during the Great Recession, at a moment in which people across the US and around the world were looking for new ways to earn extra income. Now, in the midst of a potential economic downturn, hosting is once again proving to be a vital tool to earn. 

 

Along with existing Hosts using hosting to keep up, we are also seeing more people turning to hosting for the first time. 

 

Today, 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 Australia, where inflation increased by 6.1 percent in June 2022, the number of new Hosts grew by more than 30 percent in Q2 2022, compared to Q2 2021 and this same trend was observed around the world, including:

 

• New Zealand, with 7.3 percent increase in inflation in June 2022 and more than 30 percent increase in new Hosts in Q2 2022; 

• USA, with 9.1 percent increase in inflation in June 2022 and more than 50 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;

 

For new Hosts, it’s mortgages on their mind

Hosts around the world have long shared that hosting helps them to afford their home – with the need to pay for their mortgage or rent even serving as a reason why many began hosting in the first place. According to an Airbnb survey, 38 percent of Australian Hosts said that the income earned through hosting has helped them stay in their home in 2021.

 

Hosting also continues to provide a lifeline to those facing reduced employment, with almost a third of Hosts surveyed (28 percent) indicating that they or someone in their household took a pay cut or reduced hours, with 11 percent saying they had lost their job completely. 26 percent of Hosts in Australia consider hosting to be their primary occupation.

Beyond paying their mortgage, almost half of Hosts (47 percent) said they used the money earned through hosting to improve their homes – perhaps tackling that needed new roof or long-desired new kitchen. That’s also great news for tradies, businesses and the broader economy.

Similarly, 44 percent of Hosts said that they enlisted the services of a professional cleaner to help them maintain and manage their listing, providing a welcome jobs boost for their local community. 

New Hosts see the opportunity to earn

Inflation may be rising, but so too is the income Hosts are earning. For those who have begun hosting recently due to the changes in cost of living, the ability to earn is still strong: New Hosts earned a combined total of over $2.5billion AUD globally in 2021, up more than 30 percent from 2019.

 

And this opportunity has continued into 2022 – including for younger Hosts, many of whom have discovered hosting as a way to fulfill their dreams even as new financial responsibilities and burdens stack up. Hosts in Australia also indicated that they expect that income earned through hosting will become more important, with 19 percent saying they expect to become more reliant on Host income in the next year. 

 

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 a first booking for the majority of new listings being about a week.

 

While these changes in cost of living may be recent, hosting has long served as a resource for people around the world amidst personal shifts in financial situations. Take Host Lucy in Birmingham, England, who decided to convert her barn’s outhouse into a tiny home when she was furloughed from her job in the hospitality industry at the height of the COVID-19 pandemic. It was a leap amidst the uncertainty of losing her paycheck, but as she saw the demand for staycations across the United Kingdom as lockdown continued, she knew that her backyard could fill a need while paying off the investment needed for renovations in time. And just over one year into her hosting journey, Lucy has begun to see that return – earning £43,205 ($73,618 AUD) to date – especially as events have returned: She most recently welcomed the family of a New Zealand athlete during the Commonwealth Games.

 

And for those with more limited space to share, private room listings – which offer singular rooms to travelers in a Host’s home – are also a simple (and increasingly popular) way to earn. 

 

To learn more about hosting, go to airbnb.com/host and get started.