Skift Take
A growing number of governments are seeking to regulate their short-term rental markets -- but increased regulations don't have to be a death knell for the industry, and in some cases can actually help operators.
The Australian state of Victoria this week moved to give its local governments the power to limit short-term rentals in their regions.
It comes as the state moves to implement a 7.5% tax on all short-term rental listings – set to take effect Jan. 1, 2025.
It’s just the latest example of the global pushback to platforms like Airbnb, Vrbo and Booking.com, as a wave of cities have in recent years implemented a range of regulations seeking to curb the growth of short-term rentals.
The Spanish city of Valencia just this month instituted strict new regulations on short-term rentals. That follows Barcelona’s announced crackdown earlier this year, which would eliminate all short-term rentals in the city by 2029. New York City last year imposed new regulations so strict, Airbnb has called it a “de facto ban.”
Prompted by concerns over affordable housing and overtourism, new efforts to regulate or curb major platforms appear to create new setbacks for the growing short-term rental industry. But some experts say the reality is more nuanced: regulation isn’t inherently a death knell for the industry, and in some cases can actually help short-term rental operators