To Airbnb or Not to Airbnb? With LA28 Four Years Away, the Pros and Cons of Renting Your Home

Do the crowds thronging the Paris Games have you thinking about Airbnb-ing or Vrbo-ing your home in 2028 and making bank off tourists?

If so, you’re not alone, and while your residence might fetch an Olympics premium, the vision of covering your monthly mortgage in a single night could be a gold-plated dream.

So says Jamie Lane, senior vice president of analytics and chief economist at AirDNA, which has tracked the short-term rental industry for a decade. Los Angeles, he says, is a robust and diverse market, with everything from Downtown condos to beachfront homes to mansions in the hills. In April, there were nearly 35,000 local short-term rental units available (down from about 44,000 in late 2018, before government regulations increased). But data from Paris, and from the Super Bowl played at SoFi Stadium in 2022, reveals how the market works.

“What happens during events like the Super Bowl and the Olympics is supply typically increases pretty substantially,” Lane says. “Everyone gets excited and thinks, ‘I’ll make a killing.’ But what actually happens is more people rent their unit than people wanting to stay in those units.”

The Olympics have prompted about a 45% increase in listings in Paris, Lane says, and the L.A. Super Bowl produced nightly rates about 25% above normal. While that margin might be lower than expected, he notes that these mega-events interrupt, rather than piggyback on, traditional travel patterns.

“People who want to visit Paris and see the sights are definitely not coming during the Olympics if they don’t have a desire to go there for the Olympics. So there is some offsetting demand,” he says.

The number of international travelers will help. Lane notes that in Los Angeles, people from abroad account for about 30% of STR users, versus about 15% throughout the U.S. as a whole. But here’s another tip: Just as athletes gunning for the podium must practice, would-be home renters should prepare for savvy travelers.

“For people who want to get something over and above, the Olympics can’t be their first time hosting,” he says. “Just taking some photos with your phone and expecting to put it on Airbnb with no reviews and get $500 a night, people aren’t usually willing to trust that.”

Meanwhile, those fearful of Olympic crowds who want to escape L.A. during the Games can look into home-swapping options. Platforms such as Home Exchange, Kindred and People Like Us have a wealth of domestic and international choices.

This story first appeared in the July 2024 issue of Los Angeles magazine, on newsstands now; click here to subscribe today.