Airbnb and other short-term vacation rental sites have massively distorted the rental market in Los Angeles as landlords take units off the regular market so they can rent them out short-term. A report out earlier this year showed just how that works in the top Los Angeles Airbnb markets—all have very low vacancy rates, make tons of money for Airbnb, and, concurrently, skyrocketing rents. Now Pillow, a company that charges landlords 15 percent to professionally manage their short-term rentals, has released an infographic showing just how staggeringly much more landlords can charge for vacation rentals in several LA neighborhoods.
For some reason this is presented as a good thing: "LA homeowners are getting as much as twice the return with short-term rentals than long-term. Accordingly, LA County's number of vacation rental properties has swelled to around 30,000 homes." Why rent out a place in Hollywood for $2,802 to a long-term tenant who works in LA and will be invested in the neighborhood long-term when you could rent the same place out for $4,396 to someone who's in town from Austin for a couple nights?