The number of Airbnbs in Prague halved

Almost seven thousand apartments with a total of 18,732 beds were offered last July by owners in Prague. Or half of the apartments compared to July 2019.

It emerged from the analysis published by the Institute of Planning and Development Authority (IPR).

It’s no surprise that the majority of beds on Airbnb are mostly in and around the city center. The reasons are obvious – it is mainly used by tourists who prefer accommodation within walking distance of tourist destinations.

The largest selection provides:

  • New Town (1,696 units)
  • Old Town (957)
  • Vinohrady (726)
  • ižkov (616)
  • Smichov (459).

Another surprising result is that there is a drastic reduction in tourism. Many short-term leases on Airbnb, typically used by tourists, have moved to long-term leases since 2018.

“The owners of these houses in Prague reacted to this and decided to switch from short term rental to long term rental. ”

“Currently the rent is at a similar level to the pre-pandemic level and we can expect it to continue to grow,” said Peter Višňovský of real estate agency Lexxus. According to him, only a minority of owners have decided to completely abandon the market and sell the property.

Housing prices are rising in the city

Compared to 2018, the last year has reduced the overall share of apartments and houses in the building stock in Prague. While in 2018 this supply is occupied 1.4% of the housing stock in 2019 rose to 1.6%, in 2020 rose to 1.4%. Last year then saw a further reduction in the proportion of apartments and houses on Airbnb, which fell to 0.7% in July.

The cause of this condition is once again the travel restrictions. A number of apartments and houses went unused, and as the analysis shows, almost half of them came from Airbnb listings were removed completely.

According to the analysis, the recovery in tourism should return, hence the return of short-term accommodation, especially in the city center.

New laws introduced mean it would allow the city to regulate the supply of housing. So far, the authorities have succeeded in imposing on all short-term accommodation providers the obligation to pay residence fees, online platforms are also obliged to exchange with the authorities to share information on the residents.

However, the change in laws allows governments to regulate directly. For example, the number of days in the year that the property can provide tourists.

“We have asked parliamentarians to amend the Small Business Act to limit the number of overnight stays per year or the maximum number of people. The regulations will make it fairer to tenants of all types of accommodation.

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