Local Law 18: A Dramatic Change  to Short-Term Rentals in New York City

New New York City rules on Airbnbs and short-term rentals went into effect on Tuesday, September 6th with tens of thousands of illegal short-term listings expected to be affected.

The new legislation bulks up enforcement of existing rules on how short-term rentals are allowed to operate. Passed in January, the measure known as Local Law 18 mandates that short-term rental hosts register with city government.

Legal short-term rentals are properties with no more than two people hosted. The host has to reside in the dwelling unit, and guests must have access to all parts of the home.

Under the tighter regulations, eligible hosts must prove they live in the dwelling they are renting out and that the home is up to municipal safety codes and other regulatory requirements. Hosts in violation of the new legislation could face fines from $1,000 to $5,000.

Platforms like Airbnb and Vrbo are required to make sure anyone using their platform in New York follows city rules.

There are currently more than 40,000 Airbnb listings in New York, according to Inside Airbnb, a housing advocacy group that tracks listings in US and world cities.

The latest regulations are expected to dramatically shrink the number of available listings.

Supporters of the new law have long pushed for tighter regulation of Airbnb in New York and other cities, especially amid New York’s housing shortage. Those living near short-term rentals complain that the dwellings bring disruption to local communities, including noise, parties and pollution.

Hosts have rejected the enforcement and said that the most recent crackdown could hurt families attempting to make ends meet by renting out their homes.

Other US cities have severely restricted Airbnbs. Santa Monica, California, banned renting apartments for less than 30 days, the Los Angeles Times reported, in addition to implementing other rules to regulate short-term dwellings.

Philadelphia has also passed restrictions on short-term rental sites, removing unlicensed short-term dwellings from Airbnb and other platforms. You can read more here.

Short term rentals in NYC have always been a polarizing topic. As always, it is our goal to keep you informed of all goings on in our fine city!