New restrictions coming soon on Airbnbs and NSW vacation rentals starting in November

The NSW government has put in place a new statewide regulatory framework for short-term rental housing, effective November 1.

New legislation will limit the number of days that hosts can rent their property.

In many cases, stays are limited to a total of 180 days per year and no more than three consecutive months.

Short-term rental accommodation (STRA) hosts such as Stayz and AirBnb will also need to register with the NSW government.

The register will record the number of days a property is used for STRA and will be integrated with major STRA reservation platforms, allowing better tracking of police day limits.

The rules boil down to whether short-term vacation letters just rent a room in their own place, or rent an entire place – “hosted” and “non-hosted” respectively.

STRAs housed in housing can be rented 365 days a year, but non-hosted housing such as AirBnb and Stayz private housing can now be rented 180 days a year in Greater Sydney and designated areas of the New Local Government. -South Wales.

A single reservation cannot be longer than three consecutive months.

There are no restrictions in place for accommodation not hosted in all other locations, and different rules apply to different geographic locations as well – explained below.

Hosted and non-hosted, what’s the difference?

  • STRA hosted: “Shall ensure that the host resides in the premises for the duration of the accommodation provided and can be undertaken on any land in an area in which residential accommodation of a type corresponding to the dwelling is permitted with or without planning permission, 365 days a year. “
  • Not hosted STRA: “May be carried out without the host residing on the premises and may be undertaken on any land in an area in which accommodation of a type corresponding to the dwelling is permitted with or without consent, and the use of the
    accommodation for a non-hosted STRA does not entail the use of the accommodation for this purpose for more than 180 days.

Where do the restrictions apply?

Hosts who do not live or do not reside in the premises where the hosts are staying, may not rent their property for more than 180 days per year by:

  • Greater Sydney area
  • The Ballina district
  • The Bega Valley region
  • Newcastle city district
  • Dubbo regional area
  • Some land in the Clarence Valley area
  • Certain lots in the Muswellbrook area.

Byron Shire exempted

The state government treats the Byron Shire Council differently, granting it an extension of the implementation of these rules until January.

“Until January 31, 2022, the new provisions of the STRA will not apply in the Byron Shire LGA,” the NSW government report said.

“After this date, the provisions of the STRA will apply, including a maximum of 180 days per year for the non-hosted STRA.

“Meanwhile, the Byron Shire board is proposing to finalize its planning proposal filed in response to Ministerial Instruction 3.7 issued by the former Minister of Planning, which aims to limit the non-hosted STRA to 90 days in its LGA. . “

The Byron Shire Council exemption is to allow them to conduct an economic impact assessment to measure the impact of short-term accommodation on the area.

The goal is to find a solution that preserves the homes of local residents and supports the economy of our visitors, ”the Byron Shire Council statement said.

“The EIA will look at the economic and social impacts of different vacation rental options. For example, the maximum number of days (cap of days) a property can be rented out in a year could be 90 days or 180 days.

“It will also map areas that can be rented year-round, for 365 days.”

However, the map proposed by the council shows that the government of Byron Shire wants to allow the most expensive properties to be rented year-round.

Properties highlighted in yellow are “proposed areas where a property could be rented for 365 days”.


Source: Byron Shire Council

It remains to be seen how this will reduce long-term residents pushed out of the area.

CoreLogic data published at the end of July showed that the Richmond-Tweed market is the fourth most expensive regional rental market in Australia.

The area has a median rent price of $ 600 per week, which is an increase of almost a fifth in just one year.

Lucy Hastings, who works for Stone & Wood Brewing Co in Byron Bay, moved south from Brisbane more than three years ago, said those who live in the community year round are finding it increasingly difficult to find rentals.

“I’ve definitely noticed a new normal in terms of average rent bills and what my peers are willing to accept as usual. I would say it’s gone from around $ 250 per week to around $ 300.” , she told at in August.

However, this is not just about the “Airbnb effect”, as city dwellers have also been looking for a tree or a more permanent sea change.

Ms Hastings was forced to move late last year after her landlord broke the lease earlier to let a family move from Melbourne seeking to escape foreclosure.

“That one was a bit of a kick in the guts as we felt directly impacted by the regional boom of city dwellers moving to escape blockages,” she said.

How to register as a STRA

To add your property to the NSW Government STRA Registry, follow these steps:

  1. Visit the NSW Government Planning Portal.

  2. Create an account on the portal and log in to complete the online registration form. You can log in using your NSW Service account.

  3. Pay the $ 65 registration fee and submit your request.

  4. After submitting your request, make a note of the registration number provided, as you will need to add it to your listing.


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