A Post-Airbnb Era: What’s Next For Travelers, Hosts and The Hospitality Industry?

Could restrictions in the city that never sleeps usher in a new era for boutique hotels and open the door to new models?

When the Airbnb model first entered the scene, NYC became a paradise for travelers and a side hustle haven for residents. But with heated debates over cleaning fees and apartments resembling IKEA showrooms, platforms are being turned into the very thing they sought to disrupt.

Now, with Law 18 updates all but decimating Airbnb and similar sites, here’s how the short-term space is shifting:

What We Know So Far

In a nutshell, New York City authorities have cracked down on short-term rentals, enforcing strict regulations that have substantially affected Airbnb’s presence.

Essentially, it bans rentals lasting less than 30 days without hosts present, requiring registration and a limit to two guests, in an attempt to prevent property owners from turning residential spaces into unofficial hotels. You can read more details on Secret NYC.

The impact? Over 70% of Airbnb listings have been wiped out since September 5th, according to Inside Airbnb. And as some 13,000 unregistered hosts line up at the Office of Special Enforcement, an Airbnb “Black Market” is on the rise.

Relics like Craigslist have been resurrected while Facebook Marketplace, WhatsApp groups and other social platforms are saturated with a fair share of former Airbnb listings.

What Does This Mean For You?

Visitors to the Big Apple can bid farewell to vibrant family-friendly lofts in Brooklyn and group getaways in luxe apartments in Manhattan. Accommodation options will be limited to having your Airbnb host as a roommate or expensive hotel rooms few can afford.

Meanwhile, for many residents, it’s a sigh of relief as eye-watering rental prices should begin to stabilize (in theory) with fewer raucous bachelorette parties happening next door. On the other hand, hosts are now grappling with a major income blow.

How to get the Airbnb Experience without Airbnb

While listings are in short supply, the demand hasn’t gone anywhere. Enter housing exchange platforms, where New Yorkers and travelers swap abodes or barter. Here are our alternative platforms to explore:

• Houfy
• Kindred
• Home Exchange
• The Listings Project

The Rise of Boutique Hotels

As hotel listings populate the void of homes on Airbnb and travelers search for the authentic touch of life in the city, boutique hotels will have their moment. Although nothing will replace having exposed brickwork and handmade quilt over the bed, these are the hotels that are filled with character and offer reasonable rates:

• The Jane
• The Ace Hotel
• The Hoxton Williamsburg
• The Crosby Street Hotel

Find more of our favorite NYC hotels here.

So what’s next? Here’s our guess…

Globally, major cities are closing in on platforms as a means of addressing housing shortages and their effect on communities. Perhaps it’s a necessary measure, sparking an opportunity for reinvention. It’s clear that customers want a local experience that caters to their unique preferences, landlords want to make money and governments want to maintain the fabric of their communities. While Airbnb isn't going anywhere how we use it may change. Here’s what we see happening:

• Smaller, Community-Centric Accommodation: platforms that grow with the community at a more sustainable rate will lead the way.
• Boutiques That Blur The Lines: Boutique Hotels will start to look even more like personal apartments with local experiences weaved into the mix.
• The Rise of Co-Living: Affordable housing shared by individuals with common interests could gain momentum, inviting a greater mix of locals and internationals.
• The Airbnb Arbitrage Renaissance: Those aiming to make money out of the market will need to adjust to the tighter rules.
• AI-Powered Platforms: We’ll see platforms (including Airbnb) that are even more nuanced, trained exclusively on our preferences.