Airbnb’s market share of overnight stays soared in Budapest from 10.2% in 2016 to 14.3% in 2017. As a result, Airbnb market share is among the highest in Budapest compared to other major European cities. Its market share is 15.2% in Paris, Barcelona 13.2%, Amsterdam 11.7%, Madrid 10.1%, London 6.9% and in Berlin 6.5%.

Currently, the Airbnb letting market is mostly concentrated within the downtown area – District V, VI and VII – followed by districts VIII, IX, XIII and I. While Airbnb room demand is still insignificant in the rest of the districts. The top 3 neighbourhoods account for 69% of the total Airbnb supply in Budapest, where the room rates are also higher than in other less popular and non-central districts.

In Budapest, the majority of listings are offered by hosts with more than one listing, as around 65% of listings are offered by hosts that have at least two listings, which is much higher than the 40-50% average multilisters ratio across most other European cities. Similarly, to the previous years, in 2017 the entire home rentals with one room were the most popular choice, as 55% of all bookings were made in this segment.

“We expect that the Airbnb market will continue to grow further in line with the expanding tourist market. However, we note that the development pipeline in the hotel segment is quite strong for the upcoming two years that may offset the increasingly larger market share of Airbnb.” – added Tamás Steinfeld, Associate Director and Head of Research at Colliers International Hungary.

About the cooperation between Colliers International and Hotelschool The Hague

A few years ago, Colliers International and Hotelschool The Hague have started a cooperation in which Airbnb activity was researched. Together, we are first European research team which conducts exhaustive research into the quantitative impact of Airbnb development in the main European capitals. So far City reports have been issued on key cities such as Amsterdam, Berlin, London, Barcelona and Madrid. During our research, we work with the data provider AirDNA. AirDNA obtains the data directly from Airbnb, hence it has an authentic source.