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Daily Mirror
Daily Mirror
Travel
Milo Boyd

10 cities where holiday let landlords rake it in the most - and can even pay off homes

Holiday let landlords could pay off their mortgage in just ten months of renting out their homes, according to new research.

In recent years Airbnb and other holiday letting companies have been criticised for warping local property markets.

Critics argue that the platforms allow those with enough cash to buy properties or who have inherited one to increase their wealth, while pushing up the price of homes for those trying to rent or get on the ladder.

There is, of course, an art to being a good holiday let host and most properties need a lot of investment to get them up to a suitable standard.

Los Angeles came in at second on the list (Getty Images)

How worthwhile such investments are likely to be vary massively from country and country and city to city, according to a new piece of analysis by CIA Landlords.

The study found that in Las Vegas a property can be bought and paid off in just ten months of renting.

In the world's gambling capital, homes are a comparative bargain to buy, costing £2,340 per m/sq, or £173,173 for an average two bed.

At the same time the holiday let market is huge, with demand to experience all the razzle and dazzle the city has to offer pushing the price of a two bed holiday let to £16,920 a month.

The second most profitable place to be a landlord is Los Angeles, according to the study, where an average two bed can be bought for £572,316.

The famed boulevards, Hollywood sign and chance of seeing celebrities in real life pushed the average two-bed rental cost to £15,806 a month.

It would take a canny landlord 36 months to pay off the price of such a property.

Dubai is in the third spot, with roughly 15 months needed to pay back the £237,028 average cost of a two bed.

London is an expensive place to buy property (Getty Images)

London came in at tenth place, despite being the property on the list with the second highest average cost for a two bed home, at £893,473.

If you're lucky enough to have such digs and are willing to rent it out, you could make £11,397 a month- meaning it'd take 78 months, or roughly six and a half years, to pay off the original investment.

The amount landlords are probable to make from their homes is likely less than the report suggests, due to fees payable to letting companies, local taxes, and the need to repair and renovate.

Inside Airbnb is a project that provides data and advocacy about Airbnb's impact on residential communities.

It collects data from different cities around the world, to show how many properties are now holiday lets, and how many big time landlords there are operating in any given area.

According to its figures there are 69,000 Airbnbs in London which were booked out for an average of 40 nights a year at £177 a night, bringing in £6,116 on average over the year.

There are 14 landlords in London who have more than 100 listings to their names, with 'Veronica' having the most of anyone at 285.

On its website Airbnb has information for landlords with multiple properties about how best to manage them online.

The ten most profitable Airbnb cities in the world

(City, average price of 74.3m/sq two bed apartment in the city centre, monthly cost of a two bed holiday let)

  1. Las Vegas, £173,173, £16,920
  2. Los Angeles, £572,316, £15,806
  3. Dubai, £237,028, £15,587
  4. Miami, £408,352, £10,021
  5. Shenzhen, £1,109,299, £8,715
  6. New York, £926,298, £8,007
  7. Dublin, £484,359, £7,662
  8. Phuket, £187,161, £7,276
  9. Paris, £823,318, £7,325
  10. London, £893,473, £11,397

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