Global Regulatory Notes (17)

Canada

Nelson, BC

Nelson’s downtown short-term rental market has contracted sharply following the province’s 2023 legislation, which eliminated the city’s local exemption from principal residence rules.

Previously, 29 licensees with 31 units downtown were allowed to operate without living on-site, but that number has dropped to 17 licensees with 21 units. While some properties remain due to provincial exemptions for fractional ownership, city officials say the change has been disruptive, particularly for a new downtown building where units marketed as STRs are now being resold.

Short-Term Vacation Rentals | Nelson, BC

Click to Home

The Ministry of Housing reports that across B.C., total registered STRs have fallen from 28,000 to 22,000 since the law took effect, with most non-compliance cases resolved through voluntary withdrawal. Officials add that vacancy rates are beginning to improve as many former short-term rentals return to long-term housing.

Hope, BC

Hope is moving to bring short-term rentals under local control, with council voting on Aug. 11 to require operators to hold a business license and register with the province by January 2026.

The bylaw change ends a zoning gap that previously left STRs unpermitted, allowing them now to operate within family residences—either entire units or individual rooms—while limiting stays to 28 consecutive days. Bed-and-breakfasts have been formally removed from the zoning bylaw, and while carriage homes are excluded for now, council signaled they may expand eligibility in future updates.

Calabogie, ON

New short-term rental rules in Greater Madawaska, Ontario are prompting cottage owners like Gabriel Leclerc to sell properties rather than face $300 licensing fees and extensive paperwork.For casual hosts, especially those managing rentals from afar, compliance has become costly and impractical.

Across Ontario, municipalities including Kawartha Lakes and Haliburton are imposing similar regulations to enforce safety and community standards. While guests may gain safer, more reliable stays, fewer listings could increase prices. Owners should understand local rules and consider long-term rental alternatives, and renters should check for licenses and flexible bookings.

Australia

South Australia

Short-term rental advocates are pointing to new research suggesting that restrictions on Airbnbs and similar platforms are doing little to fix housing shortages.

The University of South Australia study found that bans overseas, including in Barcelona and New York, failed to return significant housing to the long-term market and instead reduced tourism accommodation, driving up visitor prices. Author Peter O’Connor argues the measures unfairly shift the burden onto property owners, warning that Australia’s tourism-driven economy could feel the fallout if similar rules take hold.

Hobart, Tasmania

Hobart City Council is turning to artificial intelligence to crack down on short-term rentals operating without permits, after years of complaints that unregulated Airbnbs are tightening the city’s housing market.

Visitor accommodation

Short stay visitor accommodation planning and building requirements.

City of Hobart, Tasmania Australia

The software scrapes daily listings to flag non-compliant properties, replacing a slower quarterly reporting system and already identifying four potential breaches since its launch last week. Council officials say the move will help enforce planning rules and ensure owners pay higher rates on short-stay properties, introduced in 2023 to ease housing pressures.

Spain

Canary Island

Rural tourism operators in the Canary Islands are warning that uncontrolled vacation rentals on rustic land are threatening their survival and the region’s cultural heritage.

The sector, which includes around 800 historic houses, says illegal listings are proliferating in mid-altitude villages despite laws restricting tourist use to restored heritage buildings. Hopes now rest on a forthcoming government study, a new vacation rental law under debate, and the introduction of national registration codes, though rural homes remain exempt.

Ibiza

Ibiza’s housing crisis is deepening as the island’s booming party tourism collides with a shortage of affordable homes.

Behind the famous nightclubs and beaches, seasonal workers, teachers, and health staff are struggling to afford rents that now average €33.7 per square meter, pushing many into trailers, tents, or crowded flats. Locals blame landlords’ preference for lucrative tourist lets, while authorities have stepped up enforcement with heavy fines on illegal listings and agreements with platforms to pull down unauthorized ads.

Dublin, Ireland

Dublin City Council has refused planning retention for a major Airbnb operator running 10 apartments near Dublin Castle and Temple Bar, ruling that continued short-term use would strip housing from the long-term market and undermine the city’s development plan.

Short-Term Letting Rules

Information on the planning legislation that regulates short-term lettings in Dublin city

Dublin City Council

The council argued the scheme, earning up to €350 per night per unit, lacked sufficient justification, risked creating a precedent, and was incompatible with the protected building’s historic character.

Pembrokshire, Wales

Pembrokeshire County Council is consulting on council tax premiums for empty and second homes, but a group representing second-home owners says the process lacks transparency.

The council, which last year reduced the premium on second homes from 200% to 150%, is now seeking views on future rates, how revenue should be spent, and whether holiday lets should face exemptions when switching from business to council tax. The PCC Second Homeowners Legal Group argues that the consultation does not provide enough evidence on whether the premiums have freed up affordable housing or how they have affected tourism, hospitality, and retail. Since introducing the charges, the council says over £18 million has gone toward housing and community programmes, but some of the revenue now also supports the general fund.

Malaysia

Malaysia’s short-term rental accommodation (STRA) market is heading into a new regulatory era as the federal government prepares to make business licences mandatory for all operators.

Tourism, Arts and Culture Minister Datuk Seri Tiong King Sing confirmed that the change, developed with the Housing and Local Government Ministry, is expected by the end of 2025 and will require hosts to first secure approval from local councils before registering as official tourist accommodation premises. The move is being pitched as a way to tighten oversight, raise safety standards, and ensure a fairer playing field across the tourism sector ahead of Visit Malaysia Year 2026.

STRisker News Tracker

Trying to keep up with STR regulations across multiple cities and states? Our News Tracker makes it easier than ever. Filter by location, search a comprehensive database, and sort by impact level—this tool helps you focus on what matters most.

Create Your Watchlist - 14 Day Free Trial

👍 We’d love your feedback.
Which stories hit? Which ones missed?

We're constantly refining Global Regulatory Notes to make it even more useful for you.

✉️ Just reply directly to this email. We read and respond to every message!

-Will McClure
🙋 P.S.
Know someone else who should be reading Global Regulatory Notes? Feel free to forward this along. We'd love to keep them in the loop on the latest short-term rental trends and regulatory updates from around the world.