A new report has found no evidence linking increasing numbers of properties listed on Airbnb and falls in new tenancies in the wider rental market.
The study by the Economic and Social Research Institute says its findings do not mean that the short-term letting platform has not had a detrimental effects on the rental market in certain areas, but it did not appear to be the root cause of the drop in accommodation available for tenants.
It says there is a very strong correlation between current Airbnb listings and previously recorded holiday homes in rural areas, and lower correlation in urban areas.
It says it cannot be assumed that many of the short-term lets in non urban areas would be likely to switch to the private rental sector in the absence of Airbnb.
It adds that short-term property lettings are highly concentrated in tourist hotspots along the west coast, as well as in inner city Dublin and Galway city.
The report, funded by the Department of Housing, says Airbnb represents 10% of the rental market in 38 out of 166 local electoral areas.
The highest ratios in proportion to long-term lets are in key coastal tourist locations which typically have small rental sectors, as well as some larger coastal towns.
It represent one in three lettings Westport in Co Mayo, one in six in Killarney, Co Kerry, one in ten Dublin’s southeast inner city, one in 17 in the Dublin’s north inner city and one in 14 in Galway city centre.
The report says that Government measures to restrict the use of Airbnb may have discouraged some hosts but appears to have been “largely ineffective.”
It adds that the numbers which applied for either voluntary registration or change of use planning permission, which were 91 in 2023, were relatively small relative to the number of Airbnb listings of 9,142 in rent pressure zones.
The report says that international experience suggests that in the Irish case enforced regulations may not result in a movement of properties from the short-term letting sector to the wider rental sector but it says some localised effects may occur.
