- 27 Jul 2023 8:08 AM
- Budapest Business Journal
“Landlords who are looking to buy-to-let need to be aware of the various expenses that renters may face in different cities. Generally speaking, the cheaper the cost of living, the more desirable the place may be for potential tenants,” Richard Wayman, finance director at CIA Landlord Insurance, advises future landlords through a statement shared with the Budapest Business Journal.
OECD Capital City Ranking
The research conducted by CIA Landlords Insurance determined the top 10 cities from OECD countries in terms of cheapest Airbnb accommodations and the average costs of grocery shopping.
Bogota, Colombia topped the list with an average GBP 14.69 cost per grocery shopping, and GBP 203.05 for one week at an Airbnb, while Ankara, Turkey came a close second with GBP 15.6 set aside for food shopping and GBP 214.33 for a week-long Airbnb stay.
Budapest placed 10th on the list, with an average of GBP 20.7 spent at one grocery store trip, and GBP 411.73 for one week at an Airbnb accommodation.
On the other end of the spectrum, Bern, Switzerland, is the most expensive international city for groceries, where an average shopping trip costs GBP 41.88, and the most expensive city for an Airbnb is Washington D.C., where an Airbnb for a week costs GBP 1,049.07.
To determine the international ranking, CIA Landlord Insurance established a list based on the capital cities of all countries that are OECD members, then determined the metrics for calculations.
They based the cost of the grocery shopping on metrics of general household grocery items, such as white bread, milk, a dozen eggs, a mid-range bottle of wine, cheese, and potatoes.
The research also considered the average price of an Airbnb for one week. This was calculated by searching for the relevant city using AirDNA (a short-term rental data analytics system), setting the currency to USD, taking the average nightly rate, converting this to GBP using Google Finance formula, and multiplying this by seven to get the weekly rate.
The full study is available here: https://www.cia-landlords.co.uk/news/grocery-shopping/