Effects of location on Airbnb apartment pricing in Málaga

Abstract

The relatively recent social movement known as the “sharing economy” is becoming increasingly visible in online peer-to-peer platforms. One such platform is Airbnb; an accommodation marketplace which provides access to tourist accommodation. These platforms are having an important social and economic impact on tourist destinations such as Málaga, Spain. This paper presents a spatial econometric hedonic model that explains the pricing strategy of Airbnb tourist apartments in Málaga using factors such as host, guest, structural characteristics, and location. In relation to locational factors, the model in this study confirms the impact of spatial spillover effects, accessibility to certain amenities, traffic noise, walkability, and the ethnicity of residents in the neighborhood where the listing is located.