Short-term rental law threatens 25% of New York’s Airbnb listings
- A New York law due to take effect in January requires Airbnb hosts to prove they reside at the property.
- It is estimated that 10,000 – or 25% – of Airbnb rental units in the city could be closed as a result.
- It’s part of efforts across the United States in other cities to crack down on short-term rentals.
A new law set to take effect next month could close about 25% of Airbnb rental listings in New York.
The bill requires Airbnb hosts to register with Mayor Eric Adams’ Office of Special Enforcement and prove they reside at the rental location and follow local zoning and safety rules. Failure to comply could result in between $1,000 and $5,000 in fines.
There are around 40,000 Airbnb listings in New York, according to the unofficial database Inside Airbnb. Christian Klossner, executive director of the mayor’s enforcement office, said New York Daily News earlier this month that 10,000 of them could “either be closed or come into compliance”.
The new rules are set to come into effect on Tuesday, January 9.
“Airbnb agrees that regular New Yorkers should be able to share their homes and not be targeted by the city, and we urge the administration to work with our host community to support a regulatory framework that helps responsible hosts and targets illegal hotel operators,” Airbnb said. the spokesperson said NPR. Airbnb did not immediately respond to Insider’s request for comment before publication.
New York isn’t the only city cracking down on short-term rentals recently.
Some real estate investors have turned to short-term rental properties during the pandemic, with short-term rental listings up 19% from September 2019 to September, according to AirDNA.
But some city governments, including San Diego and Atlanta, have sought to regulate the number of short-term rental properties these investors can buy.
Like looming New York City rules, Atlanta requires short-term rental landlords to register with the city. San Diego is capping short-term rental properties at 1% of local housing to deter the surge of properties being scavenged and turned into short-term rentals. And there is many more cities in the United States and Canada that make it harder to own short-term rental space.
Airbnb is still seeking to fight the new law in New York. The company emailed some users this week with a form to fill out if they wanted to complain directly to the municipal authorities.
“The New York City Council has proposed rules that would significantly restrict lodging and reduce lodging options for travelers like you,” the company said.