The Hidden Housing Market: Second Homes and Airbnbs in the Tri-Cities Region

While much attention focuses on traditional home sales in the Tri-Cities region, there's a significant but often overlooked segment of our housing market: second homes and short-term rentals. Recent Census data and web services counts reveal that approximately 8,000 properties in our region serve as either second homes or Airbnb rentals, representing about 2.5% of our total housing stock.

The landscape of second homes across our nine-county region tells an interesting story. Johnson County leads with the highest concentration, where 5.4% of all housing units are second homes. Scott County, Virginia follows with 3.4% of its housing dedicated to seasonal or recreational use. Sullivan County, while not having the highest percentage, boasts the largest raw number with 1,404 second homes.

This trend gained significant momentum during the pandemic when urban dwellers sought refuge in our region's semi-rural setting. The Tri-Cities became particularly attractive thanks to our affordable housing market, lower tax rates, and high quality of life – factors that earned us recognition in several national reports.

The short-term rental market adds another layer to this picture, with nearly 3,000 Airbnb properties spread across the region. Sullivan County leads with 592 rental properties, followed closely by Washington County, Tennessee with 513, and Washington County, Virginia with 454 units. While the market has evolved since the peak demand during Ballad Health's visiting nurse program, it remains a vital component of our growing vacation industry.

At Collins and Company Realtors and Auctioneers in Elizabethton, we've observed firsthand how these market segments impact overall real estate dynamics. Under the leadership of principal auctioneer and real estate broker David Collins, along with auctioneers / realtors Jacob Force and John Brookshire, agents Ashley Eastridge, Hobie Hyder, Libby Hoilman, Julia Adams, Brenda Henry, and Stacey Whitson, we've helped numerous property owners navigate both traditional and investment property sales.

Whether you're considering purchasing a second home, investing in a short-term rental property, or selling an existing investment property, understanding these market dynamics is crucial. The auction process can be particularly effective for investment properties, offering a quick, transparent solution that often attracts motivated buyers from both local and out-of-market areas.

Looking to buy or sell in this unique market segment? Contact Collins and Company Realtors and Auctioneers to discuss how our expertise in both traditional real estate and auctions can help you achieve your investment goals in the Tri-Cities region.