Depending on which circles you roll in, you might well know a friend or two that Airbnb’s their place out to help pay the bills.

Nothing wrong with that, but according to some in the local real estate game the blossoming business has a knock-on effect for those who live here all year round.

Andre de Villiers, “a well-known Cape Town real estate personality” according to Private Property, had this to say about supply and demand in action:

“I rent out a number of fully furnished properties in my personal capacity and although the demand has always been high, I was flabbergasted by the response I recently received when I advertised one of my properties. I wasn’t actually expecting too much because I considered the amount I was charging to be fairly high. However, I quickly realised that I had underestimated the demand and eventually raised the rent to a more market related figure”…

“I don’t have any inclination to transform my properties into an Airbnb model at this stage, mainly because I wouldn’t have the time to manage them,” says De Villiers. “However, although I’ve always thought that there wouldn’t be much in the way of demand in the Southern Suburbs, many of my friends who live in these areas have switched to the model and are earning at least double the amount they would have had they chosen the long term rental route”…

“At this stage it’s basically a win-win for both the Airbnb model and permanent rentals because demand is always going to determine price. There is a level of desperation linked to those looking to secure permanent accommodation and as the pool of long-term rental properties shrinks, the more tenants will struggle to find a reasonably priced rental.”

Well, ain’t that a bitch for those of us renting.

It’s not panic stations just yet, but if you consider what’s happened over in Amsterdam perhaps there’s real trouble brewing. Estimates say that one in six residents of the city rent out rooms, and if you ask Siri Veracruz, an urban planner, that has serious repercussions:

“At first I thought it was a great idea, but I now realise there are side-effects that we didn’t foresee. Airbnb can be a threat for cities. I think it’s obvious that Airbnb contributes to gentrification,” Veracruz says. “It drives up real estate prices that are already soaring in Amsterdam. Neighbourhood businesses which create ties between residents are being replaced by businesses which focus only on tourists. Bike rental companies replace local grocery shops, and apartments that are continuously rented out to tourists are lost to people who actually want to live here.”

As if the likes of Woodstock and Observatory weren’t already in the grips of some serious gentrification – if you’re intrigued by that give THIS excellent article a read, too.

Ever heard of a site called Airdna? Nah, probably not, but how’s this for a handy little tool?

Let’s get in closer on the CBD:

Yeah, people aren’t messing about.

You can do your own snooping around Cape Town HERE, and if you happen to be happy with your current rental you might want to lock in a long-term release before your tenant pulls the trigger.

The price you pay for living in the most beautiful city in the world…

[sources:privateproperty&airdna]