Tuesday 24 July 2018

Short Term Holiday Letting Update

The State Government has announced changes to Short Term Holiday Letting in a media release dated 5th June 2018, extracts of which are quoted below

The Minister for Planning and Housing, Anthony Roberts, said new state-wide planning rules would come into force, including:

  • Allowing short-term holiday letting as exempt development 365 days per year when the host is present. 
  • When the host is not present, a limit for hosts to rent out properties via short-term holiday letting of 180 days in Greater Sydney, with 365 days allowed in all other areas of New South Wales. 
  • Councils outside Greater Sydney having the power to decrease the 365 day threshold to no lower than 180 days per year. 
  • Certain planning rules will apply to properties on bushfire prone land. 
  • Councils outside Greater Sydney can decide if permitting short-term holiday letting for the entire year is acceptable for their local communities. This recognises the importance of tourism in some regional communities. 
  • The changes will include a mandatory Code of Conduct for online accommodation platforms, letting agents, hosts and guests which would address impacts like noise levels, disruptive guests and effects on shared neighbourhood amenities. 
  • The Code will also include a new dispute resolution process to resolve complaints, and NSW Fair Trading will have powers to police online platforms and letting agents. 
The Minister for Better Regulation, Matt Kean, has stated that “Under our ‘two strikes and you’re out’ policy, hosts or guests who commit two serious breaches of the Code within two years will be banned for five, and be listed on an exclusion register.”

At this point in time the community should carefully consider implications of changes particularly the ability for Local Councils to limit the use 180 days in instances where the host is not present on site.

When more information and detail is given we will provide further advice.

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