- European cities are implementing rental restrictions due to housing shortages, including reducing caps on short-term rentals.
- Cities like Cape Town and Barcelona are implementing new regulations on short-term rentals due to housing shortages.
Cape Town drafts by-law mandating registration for short-term rentals
What happened
Cape Town has introduced a draft by-law requiring all properties used for short-term letting to be registered with the municipality. The regulation states that any property listed for rent for more than 183 days per year will be classified as commercial rather than residential. This commercial classification could subject the property to rates up to three times higher than residential rates.
From groundup.org.za
Why it matters
The by-law seeks to regulate the short-term rental market, which currently includes over 27,000 listed properties on Airbnb alone. The imposition of commercial rates could significantly increase operating costs for property owners in the city.
Cities like Cape Town and Barcelona are implementing new regulations on short-term rentals due to housing shortages, with European cities also reducing caps on these rentals.
From groundup.org.za
Who's involved
- Cape TownThe city introducing the draft by-law to regulate short-term rentals
- AirbnbAn online platform where short-term rentals are listed in Cape Town
- booking.comAnother online platform where short-term rentals are listed in Cape Town
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- AirbnbSpeculative
Could see changes in listing costs and demand as property owners face higher commercial rates.
- booking.comSpeculative
Could see changes in listing costs and demand as property owners face higher commercial rates.