License Requirements in Different Cities for Short-term Rentals
Cities worldwide have implemented licensing requirements to regulate short-term rentals to address housing affordability, neighborhood disruption, and public security concerns. Property managers and owners must be familiar with local licensing regulations to operate legally in this market, as requirements can vary based on local priorities and challenges. Hosts should remain informed and compliant at all times.
New York City has imposed strict licensing requirements for short-term rentals to address concerns about housing affordability and availability. Owners must register with the city and follow specific occupancy rules, including hosting a permanent resident during the rental period and allowing up to two guests per apartment. Most cities have banned renting homes for less than 30 consecutive days, with exceptions, to ensure long-term residents have housing and prevent short-term rentals from tightening the housing supply.
Las Vegas, a popular tourist destination, has licensing requirements for short-term rental operators. These include obtaining a business license and special permit, operating within specific limits, and paying room taxes. Operators must also adhere to occupancy limits and pay room taxes. Additionally, a representative from each locality is required to address complaints within an acceptable timeline, balancing economic gains from short-term rentals with protecting residential areas from disturbance.
San Francisco has strict regulations to protect local housing markets from short-term rentals. Property owners must register with the Office of Short-Term Rentals and maintain primary residences for at least 275 days annually. This limits short-term rentals to 90 nights, protecting local housing for residents. The regulations also prevent long-term units from being converted into short-term permanent rentals, preserving housing needs within communities and preserving housing needs among inhabitants.
European cities like Barcelona regulate short-term rentals to protect local communities and limit tourism impacts. The city requires property owners to obtain tourist licenses and has implemented moratoria on issuing new licenses. This aims to preserve the city’s cultural and social fabric, and hosts without valid licenses face fines, demonstrating Barcelona’s commitment to upholding these regulations.
Some cities are still grappling with how best to regulate short-term rentals and the debate continues over which approach will work best. Los Angeles implemented its Home-Sharing Ordinance which required hosts to register as hosts as well as limit short-term rentals to primary residences with 120 rental nights per year being allowed and an extended stay permit application can be filed; Los Angeles seeks an equitable balance that allows homeowners to benefit from short-term rentals while protecting housing stock throughout its city limits.
As short-term rental licensing requirements can differ between cities, it demonstrates how important local context can be when creating regulations. Property managers and owners need to stay aware of local requirements to avoid penalties. Hosts can help expand sustainably the short-term rental market by adhering to them while building positive relationships within the communities they reside. Keeping abreast with compliance changes within cities as they adjust policies in response to short-term rentals is integral in property management.