The Key Takeaways
- Airbnb, according to recently released estimates generated economic activity in the United States of $90B by 2024.
- The influx of visitor spending helped support more than one million estimated jobs nationwide last year – a new record – helping to generate over $52B in labor income.
- While many communities continue to benefit from tourism on Airbnb, a new study finds that strict short-term rental rules led to major cities potentially losing as much as $2.4B in economic activity annually combined – including $1.6B in forgone guest spending at local restaurants, shops, and entertainment venues.
Airbnb celebrated a major milestone in 2024. 2 billionth guest arrival When Wisconsin retirees Tim & Theresa spent a week in a spectacular hotel Guest Favorite The family stayed in Sandy, Utah at an Airbnb. Airbnbs are being booked by travelers across the nation to reconnect with their loved ones and discover new destinations. In doing so, they’re also supporting local economies – from small towns to big cities – and driving meaningful economic impact into every corner of the country.
New estimates have been released. Travel on Airbnb generated over $90 billion of economic activity in the United States In 20241 – a record figure reflecting the total contribution driven by guests, hosts, and the businesses guests support.
Airbnb travel has helped to support more than one million jobs in the U.S. for the first time.
According to findings, by 2024, the average US guest will spend over $775 per trip in other goods and service such as entertainment, dining, shopping and other local businesses.2. This influx of visitor expenditures helped to support over one million jobs in the United States last year. It also generated more than $52 billion worth of labor income.
These benefits are spread out because Airbnb listings are often located outside of traditional hotel zones. Nearly half of all guest spending took place in the immediate vicinity of their Airbnb.3 – helping generate economic activity in places that might not otherwise attract tourism dollars.
Local governments also benefit from the benefits. Airbnb has generated more than Taxes totaling $25 billion Revenue across the U.S.4The. $2.4 billion in tourism-related taxes Airbnb collects and pays the fees on behalf of its hosts, at a moment when governments face budget cuts.
Over-regulation in major cities puts $2.4B worth of economic activity at Risk
Airbnb is a great way to bring tourism into many communities. new study The leading economic consultancy firm Charles River Associates Airbnb has commissioned research that shows excessive regulation may cost major cities millions of dollars.
In New York City, Philadelphia, Boston, and New Orleans, strict short-term rental rules led to these cities potentially losing as much as $2.4 billion in economic activity annually combined – including $1.6 billion in forgone guest spending at local restaurants, shops, and entertainment venues5.
Local businesses that support home sharing – such as cleaners, maintenance providers, and laundry services – are also missing out, having potentially lost an estimated $150 million annually in revenue in these cities.
The report also finds that hotels were the primary beneficiaries of strict short-term rental laws – at the expense of nearly everyone else: renters, visitors, local residents, and local governments. Ultimately, as travel demand remained strong, fewer accommodation options, particularly in New York City pushed hotel prices higher – forcing many guests to spend more on lodging and less in the communities they came to explore – all without a meaningful impact on housing affordability or availability.
According to the report, local governments may have lost nearly $200 million in tax revenue each year, with New York City alone forfeiting $82 million – money that could have been used to build more affordable housing and help alleviate the ongoing housing crisis. The regulations that were supposed to increase housing affordability and availability haven’t had the desired results. Rents in New York City have increased since the Local Law 18 was passed. reached record heightsThe rate of vacancy remained unchanged.
These lost economic opportunities come at a time when cities are experiencing growing deficits that put jobs and municipal services in danger.
Airbnb’s economic impact spans all 50 states
The economic contributions of Airbnb travel are felt in every corner of the country – helping to boost local economies, support small businesses, and generate critical revenue for state and local governments. Click here Use the map below to understand the impact of Airbnb guests and hosts in all 50 States.
Notes on legal and methodological aspects
The analysis was performed using the IMPLAN model, which takes into account three levels of impact.
- Direct: Refers to the immediate consequences of an activity. The direct economic impact of tourism is the first expenditure made by tourists for goods and services. These expenses include items like accommodation, food, transportation, attractions and souvenirs.
- Indirect: Refers to the indirect effects that are generated by initial expenditures on industries related to the primary sector, such as those that provide goods and/or services. These industries supply inputs or services to support the primary industry.
- Induced: The tertiary effect is the increase in household spending caused by direct and indirect affected industries. This includes income that employees generate from economic activity.
IMPLAN, a regional analysis software program, is designed to estimate the impacts or ripple effects (specifically indirect linkages) a given economic activities within a geographic area. This is done by applying its input output matrix and social account model. The assumptions made by researchers about the modelled event or data are reflected in the studies, reports, and results based on IMPLAN. Unless otherwise stated by an IMPLAN representative, this study is not endorsed or validated by IMPLAN Group LLC.
The percentages and economic data in this release were derived from internal data collected by Airbnb during 2024 as well as studies prepared or commissioned to analyze the impact of digital tourism on the US economy. This release is only for informational purposes and does not represent a guarantee, commercial representation, or guarantee of quality, availability, characteristics, or other aspects of the spaces listed.
IMPLAN:
As the leading provider for economic impact data, we’ve spent years serving the needs of researchers and policymakers.
IMPLAN has been redefining economics for more than forty years. It was originally created by academics for the U.S. Forest Service. Now, it is a solution provider that helps anyone understand their economics.
1. Estimated Economic Impact based on an Internal Analysis using the IMPLAN Economic Impact Model which assesses indirect, direct and induced economic activity. 2. Internal survey of US guests between January 1, 2024 and December 31, 2024. 3. A survey conducted by an internal company of guests to the US in 2024. 4. Estimated taxes based on economic activity generated from Airbnb stays. Further information is provided in the Methodology section. 5. Estimated annual economic losses calculated based on data from September 2023 – August 2024.
Airbnb
Airbnb was founded in 2007 by two hosts in San Francisco who welcomed three guests into their home. Since then, the company has grown to 5 million hosts in over 200 countries. Everyday, hosts offer guests unique experiences and stay-overs that help them connect to communities in an authentic way.
Airbnb.org
Airbnb.org It is a non-profit organization that facilitates temporary accommodations for people who are in crisis situations around the globe. Airbnb.org works independently, leveraging Airbnb, Inc.’s technology, service, and other resources for free to achieve Airbnb.org’s charitable goal. Airbnb.org’s inspiration began in 2012 when a host named Shell opened her home for people affected by Hurricane Sandy. The Airbnb program was born from this movement, which allowed hosts to offer accommodation for those in need. Since then the program has evolved into a focus on emergency responses and helping provide stays for evacuees. Since then hosts have opened up their homes in order to help provide accommodations for 100,000 people who are in need. Airbnb.org, a separate, independent entity, does not charge fees for Airbnb.org-supported stays.
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