Dubai is the second most expensive city in the world on Airbnb
According to the latest report released by Bloomberg World Airbnb Cost Index, Dubai ties with Boston, USA as being the second most expensive city in the world to rent an Airbnb property.
Leading the way as the expensive is Miami (the average rate is AED700 per night). San Francisco and Reykjavik round up the top five.
The study also found that while the number of properties on Airbnb in Dubai available to book has seen a steady increase, the price of booking a night in a hotel in the city has in fact fallen by 28 percent.
The decrease has been backed by research conducted by consultancy company Knight Frank who found that the prices in Dubai's hotel market are being hit by more than 4,200 active short-term lets available in the city on Airbnb.com.
The real estate firm also found that while hotel operators had previously been dismissive of competition in the form of short-term letting websites, many are now recognising the Airbnb effect.
Airbnb was introduced to the UAE in April of last year. Dubai Tourism signed an agreement with property sharing website and app which allows homeowners to apply for licences without having to commission a third party as a management operator.
Today, guests can rent anything from a five-bedroom beachside villa equipped with a pool and stunning views of the city for AED7,950 per night to a beach-side penthouse for AED1,650 per night. Local and international guests also have the option of booking private guesthouses and single rooms that average from AED250-550 per night.