On the Boulevard des Italians, in the heart of Paris, the presence of tourists with their suitcases surprises no one. In recent years, travelers have moved into the Haussmann-style apartments along the thoroughfare. These vacationers are now avoiding hotels and have gotten into the habit of renting an apartment online. To do this, they reserve an individual’s vacant accommodation on one of the specialized platforms.
Signs of their increased presence of these properties rented for a short period, small secure black plastic boxes have flourished in the entrances and on the landings. They allow visitors to collect the keys to the apartment. “It’s non-stop“sighs a neighbor, referring to the comings and goings of tourists. “We have been seeing them regularly in the neighborhood for several years now.“notes, resignedly, another neighbor.
In several large cities, Airbnb’s growth has benefited an increasingly commercial offering. Gone are the spare rooms rented three weeks a year, now some of the landlords present on the platforms have become professionals in tourist rental. By making apartments and houses available to tourists for a large part of the year, these rental companies are helping to dry up the real estate market. We are far from “Air mattress” (“airbed” in English) which gives its name to the leading short-term rental company, Airbnb.
“It is the most fragile who are concerned”
This situation particularly affects tourist destinations. Besides Paris, cities like Bordeaux or La Rochelle are affected. These accommodations, which are devoted a large part of the time to vacationers, are properties that no longer allow permanent residents to be accommodated. In his report (PDF) dedicated to housing, the NGO Oxfam noted the“direct impact on the number of available long-term housing units” of these platforms. “It is the most vulnerable who are affected by these crowding out effects, such as students or seasonal workers”explain Sylvain Dejean, economist specializing in digital technology.
There is no precise estimate of the number of these homes which are no longer in the traditional market in France. In Paris, a 2018 senatorial report explained that “the Ministry of Territorial Cohesion estimates that the number of homes diverted from the traditional rental stock by irregular rental on Airbnb is close to 20 000″.
As shown by the Airbnb rental observation platform in Ile-de-France set up by researchers from Paris-Cité University, several indicators reflect this dynamic: the growth in the number of entire homes rented, increase in the number of advertisements from certain hosts or even the rental duration per year.
“Now, short-term tourist rental has become a segment of the tourist offer in France”, summarizes Francesca Artioli, urban planner. Today, Airbnb alone has nearly 750,000 listings, according to AirDNA, a company specializing in Airbnb data for rental companies. In 2019, the start-up Trackeet estimated that in Paris, Airbnb represented 76% of short-term rental advertisements, recalled the Paris region Institute in a report (PDF) in 2021.
More and more multi-tenants
In many cities in France, this market continues to grow, thanks to a handful of multi-renters. They often have several apartments, most of the time entirely dedicated to this activity, rented on Airbnb. In certain districts of the capital in June 2023, according to data from Inside Airbnb, an association which collects all online advertisements on the sitemore than half of the ads came from hosts who are multi-tenants.
Still according to data from Inside Airbnb, in the historic center of Lyon, in June, nearly 45% of offers were posted online by someone managing several accommodations.
A situation that is often true in large tourist cities, particularly on the Atlantic coast. In the city center of La Rochelle, nearly one in six housing units is dedicated to tourist rentals, according to the program “Complément d’investigation” broadcast in January. “In Bordeaux too, this phenomenon has become very important”also notes Victor Piganiol, geographer.
Because if the platform did not invent the short-term tourist rental system, it made it “more efficient” And “more profitable“underlined in 2019, the authors of a study published in the scientific journal Environment and Planning A: Economy and Space. For its part, Airbnb states that in France, only 8% of furnished tourist accommodation is dedicated exclusively to tourist rentals. “The vast majority of properties offered on Airbnb are rented occasionally by French families when they are away, and whose rental has de facto no impact on the accommodation”adds the company.
The largest multi-renter has nearly 2,300 listings
However, on the platform, we find more and more private households investing in one or more homes that they manage themselves and especially specialized companies. Some of these hosts who have hundreds of listings are in reality rental management companies.
“Behind ‘Cédric’ or ‘Géraldine’ there are sometimes professional concierge services, who manage these accommodations on behalf of the owners.”
Francesca Artioli, urban plannerat franceinfo
In Paris, in June 2023, the largest multi-renter is “Cocoonr”, an agency which has nearly 2,300 advertisements throughout France, according to data from Inside Airnb analyzed by franceinfo. These companies are responsible for publishing advertisements on the site, welcoming tourists, taking care of housekeeping, etc.
However, this commercial activity is not always brought as such on the platform. “Emilie”, who presents herself for example as an individual in Lyon, is responsible for the management of 24 housing units. She is also the manager of an SME specializing in tourist accommodation and other short-term accommodation.
Prices driven up
In a (admittedly limited) number of areas of French metropolises, the breakthrough of professional multi-renters does not only reduce the accommodation supply. “This creates an effect of scarcity, which also drives up prices“, observes Julie Le Gallo, teacher-researcher in economics. EHe also notes a development “for tourists, by putting trees, creating parks… All this increases the value of a property and is reflected in its price“.
These high prices maintain the phenomenon. More lucrative, short-term tourist rental helps increase the income of these multi-renters, who are then all the more able to invest in new accommodation to be put online on the site. “And this structuring of the market has very clear political consequences, because it is much more difficult to regulate something that is very large and very institutionalized than a barely emerging system.“analyzes Francesca Artioli.
Most large cities nevertheless attempt to regulate these practices. Municipalities have a few tools at their disposal: establishing quotas, limiting the number of rental days, forcing owners to compensate for housing removed from the main residence stock, etc.
But their prerogatives could be expanded thanks to a bill soon to be examined in the Senate. Voted by the National Assembly in January, it aims to “supervise furnished tourist accommodation”, including less advantageous taxation for landlords and expanded powers for town halls. A European bill dealing with the transparency of platform activities is also under study.
“The question of data is central to this, because there are a lot of housing and few people to control them.”
Francesca Artioli, urban plannerat franceinfo
Since 2019 and the Elan law, platforms have been required to communicate data on rentals in their territory to town halls which request it. Apart from this system, there are few means to get a precise idea of the phenomenon on a national scale. These issues are heightened by the prospect of the Paris Olympic Games in July and August. “Major events are accelerators for the marketing of short-term tourist rentals. But sometimes also, as a result, regulation accelerators“shade Fransceca Artioli.
For its part, Airbnb says “support, through concrete actions, the regulations in force and wish to collaborate with more French cities in the implementation of local rules in order to protect the housing supply and the ability of families to supplement their income“. But according to Oxfam, the American company’s lobbying spending has increased fivefold over the last ten years.