This piece originally appeared on Livemint.com
Mumbai is yet to embrace the Airbnb culture and model—renting out homes, in part or full, to travelers—in the same way as other prominent global cities. But even in its limited expression in this aspect of the sharing economy, Mumbai is showing its real estate colours: high to middling tariffs that are tempered only by cheap and abundant labour.
Availability: It offers the fewest properties and prefers giving out rooms rather than entire houses
Of the 10 cities studied here, Mumbai offers the fewest listings, and London, Paris and New York the most, though it can’t be established from the data when Airbnb first entered each of these cities. There’s also a difference in the type of property offered: Mumbai, more than any other city here, prefers renting out private rooms than entire houses.
Within Mumbai, clusters of listings can be seen in the suburban localities of Bandra West, Pali Hill, Andheri East and Powai.
Reviews: It is not scoring big on user reviews
User reviews are a driving force of the sharing economy, a key metric for a listing’s acceptance. Airbnb claims 72% of its guests review its listings and it only accounts for those properties here that have had at least one confirmed booking that month. Still, nearly half of Mumbai’s properties are yet to be user-reviewed, which is much higher than developed cities but in line with some other emerging cities.
Tariffs: It is more expensive than Shanghai, Istanbul and Moscow
It’s a reflection of Mumbai’s expensive real estate that the city ranks sixth among these 10 global cities in terms of its median rate for entire homes and private rooms, and seventh for shared rooms. In all three categories, it is more expensive than Shanghai, Istanbul and Moscow.
Overheads: Its real estate is costly, but its labour is cheap
When it comes to overheads, the pricy nature of Mumbai real estate comes to the fore again, figuring in the top five in charges for extra guests and the security deposit.
But on housekeeping charges, at $15 per day for an entire home and $8 for a private room, Mumbai’s housekeeping rate is the lowest among the 10 cities both in absolute and relative terms.
Amenities: It is a middler in offering general and value-added services
This graphic maps cities on each amenity on a colour spectrum that goes from green (high value) to red (low value). Singapore offers the best bouquet. Mumbai, on the other hand, is a middler in some and below-average in others.