The Chinese home sharing is on rise reaching the market value around $680 billion (4.5 trillion yuan).
This home sharing industry will grow at a rate of 40 percent annually in the next five years. The growth in homesharing is spurred by several factors, one of which being an increased interest in customized, independent travel experiences in the Chinese domestic tourism market.
China’s largest home sharing company Tujia, noted that his company provides services to 130,000 landlords and operators.
Home sharing in Chinese market has promoting for the development of its shared-accommodation industry. The real estate prices in China have been soaring in recent years, although there is some speculation that the market is slowly “cooling.”
This home sharing service has led to millions of vacant homes across the country and a seemingly endless rise in the price of homes, despite the fact that housing supply is largely on the rise.
There is substantial debate over the exact number of “vacant” homes and what constitutes such a property, although some estimates put this figure at well over 50 million.
It has serious implications for the Chinese economy as a whole and arguably places an unfair burden on consumers, both renters and home buyers who are looking for affordable housing, while others are simply buying as much property as possible and inflating prices.
The homes haring companies like Tujia and Airbnb bring an extra income to the home owners in most of the vacant properties. Unlike in many Western countries, home sharing is becoming a more a mainstay source of income for many Chinese homeowners, instead of a supplement income.
Tags: Airbnb, china, home sharing
