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Delayed Vote On LA Short Term Rental Bill Removed Up To 2,500 Homes Or More From City’s Permanent Housing Stock

An increase of 2,589 entire home/apartments listings on Airbnb since May depleting housing options for city residents.

Renters say urgent action is needed as delays to Airbnb ordinance exacerbating affordable housing crisis in LA.

Based on a recent analysis released today of official Airbnb data, up to 2,500 homes or more have been converted to Airbnbs over the last six months, reducing housing stock for Los Angeles residents, while a lengthy review process of the city council’s short-term rental ordinance has been constantly delayed.

According to data from InsideAirbnb.com which pulls data sourced from publicly available information from the official Airbnb site, short-term rental listings on Airbnb of an entire house or apartment increased by 2,589 listings since the Los Angeles city council unanimously approved a proposed short-term rental ordinance last May.

AirbnbWATCH, an affordable housing advocate and consumer watchdog group, released a report earlier this fall with concerning statistics and trends regarding short-term vacation rentals in Los Angeles but a positive analysis of the recent proposed short-term rental ordinance.

The report includes several concerning statistics regarding Los Angeles’ short-term rental problem including the fact that the number of short-term rentals in Los Angeles has been growing more rapidly than the general housing supply.

the number of short-term rental units in Los Angeles jumped by approximately 9.7 percent or 200 listings per month from mid-2016 to 2018. New data released today shows Airbnb listings are growing at a much higher rate in Los Angeles at an average of 417 entire home or apartment listing per month over the last six months which means less housing options for permanent city residents.

Unlike other U.S. cities which typically see investors controlling 20 percent of short-term listings, the report points out that Los Angeles is seeing more than 45 percent of its short-term rentals being controlled by investors city-wide and more than 50 percent in coastal neighborhoods.

Twice the average of other major cities.

“These scary trends showcase Los Angeles has a real crisis on its hands in reining in short-term rentals and the city council must act now to stop the out-of-control downward spiral of the city’s permanent housing stock,” stated Lauren Windsor, spokesperson for AirbnbWATCH. “Los Angeles’s lack of regulation up to this point has made short-term rental ownership more a business than a residential pursuit in many neighborhoods, making it advisable to follow the lead of other cities and eliminate professional short-term investor rentals.”

While the report raises concerning trends regarding the negative impacts of short-term rentals on Los Angeles’s housing, the analysis showed the proposed ordinance passed by City Council back in May would have a positive impact in protecting the city’s permanent residential housing.

The report illustrates that under the current growth trend, the approximate 27,957 of current short-term vacation rentals in Los Angeles would rise to more than 33,000 rentals by July 2020. Removing another 4,800 or more residential homes from the city’s housing stock.

If the Los Angeles ordinance is enacted, the number of short-term vacation rentals in Los Angeles would be reduced to under 20,000 rentals.

The gap between Los Angeles’ number of short-term vacation rental listings under the “as-is” status quo versus the expected reduction effect of the proposed short-term ordinance could be 11,000 or more within the next two years.

The It’s Time, LA coalition, who released the updated data this week is comprised of several local groups including:

“The LA City Council needs to finalize the law they passed in May to protect affordable housing because every month of delay means more than 400 homes are taken off the market for short-term rentals.” said Judy Goldman with Keep neighborhoods First.

Goldman said city residents in neighborhoods across the city will continue to feel the negative impacts of short-term rentals until the proposed legislation is finally enacted.

“The issue of short-term rentals has been debated for years by city leaders and now it’s time to act to safeguard our city’s affordable housing,” said Cynthia Strathmann PhD, Executive Director of SAJE. “Commercial investors are buying homes and landlords are evicting families to convert to short-term rentals. With Los Angeles facing a housing crisis and growing homeless population, the trend of commercial Airbnb investors taking homes away from permanent residents has got to end.”

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For more information contact: www.itstimela.com

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