Palm Springs Crackdown on Airbnb Is Crashing Parts Of The Housing Market
3,192
Published 2024-03-15
In Jan 2020- the median home price in PS was 420,000.
As of today, it stands at 665k. That’s a nearly 60% increase in 4 years.
In this video, we will discuss how rule changes on short-term rentals are crashing parts of the housing market.
Since the days of Elvis, Palm Springs has always been a playground for the rich and famous from all over the world.
The safety of buying in PS was that you could rent out your home for big bucks when you weren’t using it.
During the pandemic, prices in Palm Springs were easily 1,000/night for some houses.
When you can get prices like this, you can guess what happened next.
There was an explosion of 2nd home buyers in the area who had the intent of turning their homes into short-term rentals.
A lot of the buyers had never done short-term rentals before.
Here we are post-pandemic and things have changed.
Palm Springs is still as popular as ever with tourists, but the city has imposed strict new rules regarding short-term rentals.
Specifically, the city voted to limit short-term rental certificates in any neighborhood to 20%.
If you live in a neighborhood that’s already capped, this has caused a huge free fall in the value of your home.
All Comments (2)
-
Local resident are sick of out of town investors and realtors turning neighborhoods into their parks. These Airbnb motels shouldn’t have been allowed in the first because they are commercial uses in the middle of areas that are zoned for residential.
