Los Angeles Affordable Housing is in Crisis

Los Angeles is facing an affordable housing crisis with a severely limited stock of rental housing, and the Short-Term Rental Platforms, like Airbnb, are exacerbating the problem.

Thanks to the platforms, the greater Los Angeles region is losing desperately needed housing as commercial operators convert long-term residential housing into short-term rentals for tourists.

The equation is simple: short-term rental companies invade a city, take long-term housing off of the market to convert to short-term options, and restricting the available housing supply for both buyers and renters. When the supply of housing goes down, rent goes up for all.

Study after study confirms that the majority of short term listings come from commercial operators, causing cities like Los Angeles to suffer from a loss of affordable housing and attack on the nature of communities.

Based on Home Sharing Ordinance (CF 14-1635-S2), home sharing is permitted in Los Angeles only if the listing is the owner’s primary residence, which often is not the case.

We must fight back to protect affordable housing stock and maintain the integrity of the neighborhoods from short-term, transient rentals.

AIRBNB from UNITE HERE Local 11 on Vimeo.

Housing Impact

  • There is a direct correlation between neighborhoods with rents well above the citywide average and a high density of short-term rental listings. A report by LAANE found that neighborhoods with a high concentration of short-term rental listings boast rental prices over 20% higher than the citywide average.
  • In Los Angeles, the latest study said about 22% of Airbnb operators rent their properties for at least 180 days a year, while 4% offer the homes for at least 360 days a year.[1]
  • The 7,316 units of housing that have been taken off the rental market by AirBnB is equivalent to seven years of affordable housing construction in Los Angeles.[2]
  • Only nine LA neighborhoods account for 73% of the money Airbnb makes in the entire region. [3]

Racial Discrimination

Two Harvard Business School studies show that Airbnb hosts are 16% less likely to rent to guests with African American sounding names, and African American hosts make 12% less than white hosts with identical listings.

Public Safety

Fire safety and building code violations and hazards are rampant in short-term rentals because residential buildings do not meet the same fire and safety code standards as commercial hotels.

Quality of Life Issues

Short-term rentals can undermine the character of residential neighborhoods through increased traffic, loss of parking, noise and wild parties at night, littering, and extra wear and tear on building public areas.

What can you do?

Report illegal short-term rentals in your neighborhood by calling our secure hotline.



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 [1] http://www.latimes.com/business/la-fi-airbnb-los-angeles-study-20160330-story.html

[2,3] http://la.curbed.com/2015/3/11/9981836/airbnb-neighborhoods-los-angeles