IDEAS home Printed from https://ideas.repec.org/p/grz/wpaper/2025-01.html
   My bibliography  Save this paper

Spatial Rent Indices for Cities Around the World: A Comparison of Airbnb and Long-Term Rentals

Author

Listed:
  • Robert J. Hill

    (University of Graz, Austria)

  • Norbert Pfeifer

    (University of Graz, Austria)

  • Miriam Steurer

    (University of Graz, Austria)

Abstract

Housing rents are one of the most important and difficult elements of spatial cost of living comparisons. Difficulties arise from the lack of sufficiently detailed and harmonized data, especially at the international level. The mergence of Airbnb has created a valuable new source of internationally harmonized, micro-level rental data that circumvent these difficulties. In this paper, we combine hedonic regression and multilateral price index methods to construct an Airbnb spatial rent index for 60 cities across Europe, the Americas, Asia, Africa, and Australia. We then use this index to investigate four main issues: (i) How Airbnb rents differ across cities; (ii) The relationship between Airbnb and long-term rents; (iii) The role that rents play in determining spatial price differences across cities; (iv) The dependence of housing affordability comparisons on the extent to which rents are quality adjusted.

Suggested Citation

  • Robert J. Hill & Norbert Pfeifer & Miriam Steurer, 2025. "Spatial Rent Indices for Cities Around the World: A Comparison of Airbnb and Long-Term Rentals," Graz Economics Papers 2025-01, University of Graz, Department of Economics.
    • Handle: RePEc:grz:wpaper:2025-01
    as

    Download full text from publisher

    File URL: https://unipub.uni-graz.at/obvugrveroeff/download/pdf/11462270?originalFilename=true
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Spatial hedonic rent index; City-level comparison; Airbnb rent premium; Housing affordability; Cost of living.;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
    • L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services
    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets
    • R52 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Land Use and Other Regulations
    • Z32 - Other Special Topics - - Tourism Economics - - - Tourism and Development

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:grz:wpaper:2025-01. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stefan Borsky (email available below). General contact details of provider: https://edirc.repec.org/data/vgrazat.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.