A number of landlords who use short-term holiday rental sites are reinvesting their earnings in refurbishment work helping to provide much needed support for the slowing housebuilding industry.
According to the latest government data, growth in new housing delivery has dropped sharply to just 2% this year, compared with an average of 17% across the three previous years.
However, money that was previously channelled into the hospitality industry is now lining the pockets of ‘Airbnb-style’ landlords, many of which are reinvesting their rental income in home improvement projects, according to new figures from the Federation of Master Builders (FMB).
The FMB reports that 40% of ‘Airbnb-style’ landlords reinvest some of their earnings in refurbishment work helping to support the housebuilding industry.
Looking at the spending patterns of landlords who use short-term holiday rental sites, the study found that 43% spend the money on holidays; 40% spend the money on home improvement work; 25% put the money towards a new car; 23% spend the extra cash on entertainment, such as ticketed events; 23% save the money; 17% use the money to make ends meet; 10% spend the extra cash on new clothes.
