Airbnb in London: short let websites are causing havoc in capital's property market by blocking viewings for buyers
Nina Harrison, London specialist executive at buying agency Haringtons, says it’s getting close to impossible to organise viewings in much of Notting Hill and Earl’s Court because flats that are on the market are also filled with holidaymakers who will not tolerate potential buyers interrupting their trips.
At the same time the attractive returns of up to £300 a day for a two-bedroom flat mean that owners who might once have wanted to sell are now happy to sit on their properties and collect the earnings from their lettings.
Latest figures from Airbnb show that two million guests stayed at 64,000 London listings in the 12 months to July 2017, up 49 per cent on the previous year. If properties on other websites such as booking.com and HomeAway are included, the total is likely to run to more than 100,000 across the capital.
Ms Harrison said: “It’s getting very, very difficult because you can’t get in to see flats, there are so many last-minute cancellations. The feeling is that ‘you can’t bother Airbnb people — it is their holiday'.
“Even if we can get an appointment, often the place is a total tip. We had one very nice Airbnb couple who said they didn’t mind me coming in with a client. But of course there were suitcases and clothes everywhere and a man in the bathroom trying to have a shave.
“Agents are apologetic, they are trying their hardest but it is immensely frustrating. I’m very flexible — I can nip around on my scooter. But sometimes the cancellation only comes that morning.”
She says in certain streets in Earl’s Court and Portobello, well over 50 per cent of flats are being used for short-term lets. “The sheer volume of people wandering around with wheelie bags in those areas is staggering.”
Owners in sought-after neighbourhoods can charge £250 to £300 a night, often making more money than they would from a longer-term let.
Ms Harrison adds: “Owners are getting lazy, they are getting a nice income so there is less incentive to sell than they might have had at the height of the downturn.”
Officially there is a 90-day annual limit on short-term lettings and Airbnb automatically stops an owner advertising on its website once that ceiling has been reached.
However, it’s believed many owners simply switch their property to another website to get around the rules, which have proved hard to enforce.
In order to confirm that a letting has broken the 90-day limit, council officers need to speak to the host or their guests in person.
Westminster has a housing enforcement team of only seven, which is having to handle hundreds of complaints.