By tf-lawyer.com Airbnb’s login screen showcases a narrative of ambition and resilience in the face of adversity. Kyrylo Yulov, a Ukrainian who became an exchange student in the U.S. at just 20 years old, shared his journey on a now-deleted Instagram video. After taking on various low-wage jobs in Ohio while learning English, he eventually moved to Los Angeles, where he invested his entire savings into his first Airbnb property. Unfortunately, his venture was short-lived, lasting less than two months.
However, Yulov persevered. By the age of 29, he had transformed into a millionaire, managing 28 short-term rental properties that brought him a consistent monthly income of over $20,000 through Airbnb and other platforms. He even monetized his success by offering an online course titled “Airbnb Hosting Academy,” showcasing how he helped his students earn significant profits from properties that weren’t even theirs.
In a post on Instagram, he detailed how he guided his students to turn thousands of dollars in profit. Yet, just four weeks after this post, Yulov found himself embroiled in legal trouble with the Los Angeles city attorney.
On June 20, City Attorney Hydee Feldstein Soto filed a lawsuit against Yulov and his companies, Skysun and Hugs & Smile, along with two partners, alleging that they profited over $4 million from illegally renting out over 30 properties since 2020, many of which were subject to rent control laws.
The legal complaint stated that Yulov and his associates violated the city’s short-term rental regulations by leasing properties they didn’t even live in, thereby undermining the rental market’s supply. Many customers reported issues with their bookings, stating they were misled about the property’s location and ended up in undesirable areas, prompting the city to seek $15 million in damages.
Following the lawsuit’s announcement on July 10, Yulov’s Instagram account was made private, though his TikTok channel remained active with content unrelated to rentals.
Yulov’s business strategy included falsely claiming properties were located outside Los Angeles to avoid scrutiny. In at least 14 cases, he used fake addresses and employed bait-and-switch tactics, revealing the true address only after bookings were made, justifying this as a means to evade the city’s licensing regulations.
The new “Home Sharing Ordinance” mandates hosts register with the city and occupy their primary residence for at least six months each year to qualify for short-term rentals. Additionally, properties subject to rent control cannot be listed on short-term rental platforms.
Skysun had previously filed a preemptive lawsuit against the city on May 1, seeking a ruling of compliance with the Home Sharing Ordinance, but the case remains unresolved. Yulov and his legal team have not publicly commented, and as of July 26, there was still no response to the city’s lawsuit.
Advocacy group Better Neighbors LA had previously reported Yulov’s fraudulent listings. They later discovered, in a March 2024 analysis, that at least 180 short-term rentals in Los Angeles had misrepresented their registered addresses, revealing a widespread issue.
During their investigation, city attorneys posed as renters and discovered the truth behind a listing called the “Marina Del Rey Sunset Suite.” The actual location was revealed to be a rent-controlled area known as Marina Tower.
After placing a booking, investigators were instructed to enter through a side entrance, bypassing conventional channels to retrieve keys hidden in a lockbox on a utility pole. The property, however, was not eligible for short-term rentals due to rent control regulations.
Since October 2020, Yulov and his associates have allegedly used pseudonyms to lease units in Marina Tower, making substantial rental profits through deceptive practices.
Some renters reported harrowing experiences with Yulov’s listings, including one family who arrived to find their supposed home occupied by a homeless person, leading them to demand a refund, which was only issued after they threatened to involve law enforcement.
Other customers also voiced their concerns about Yulov on Airbnb, warning future renters of the potential pitfalls of booking through him. Despite being flagged multiple times, Yulov continued operating without correcting his listings.
Besides Marina Tower, other properties linked to Yulov include those near Los Angeles International Airport and the Crypto.com Arena.
Prior to the lawsuit, he had received multiple cease-and-desist letters from the city, claiming he would cease short-term rental activities. Instead, he shifted his properties to different Airbnb accounts, continuing operations covertly.
Randy Renick of Better Neighbors LA pointed out that the core issue lies in the inability of platforms like Airbnb to verify all listings effectively, leading to widespread complicity in misrepresentation.
While Airbnb and Booking.com did not respond to inquiries, VRBO confirmed that they had removed all listings associated with Yulov following notifications of the lawsuit.
Moreover, Yulov’s group is also suspected of defrauding Airbnb for repair costs. An investigation revealed that Yulov’s email accounts submitted 23 fraudulent invoices from May 2022 to February 2024 to collect funds for damages caused by guests.
Yulov had claimed on Instagram that he could pocket $2,000 to $4,000 monthly through such reimbursements.
City officials reiterated that although Airbnb and the city had a contract that didn’t require background checks, repeated violations could lead to penalties, including permit suspensions.
City Attorney Soto explained that the city is taking these actions firmly to deter malicious behavior and ensure that affordable housing remains its intended purpose.
In a previous Instagram post celebrating his 30th birthday, Yulov reflected on his journey, expressing gratitude for his growing following while implying that this drama is just the beginning of a larger saga.
