Global Regulatory Notes (4)

Keep a pulse on global regulatory trends. Featuring critical updates and recent news on short-term rental policies around the world, we highlight key developments shaping the industry. 🌐

Canada

British Columbia

The B.C. Supreme Court dismissed a petition challenging the province’s 2024 Short-Term Rental Accommodations Act (STRAA) which restricts short-term rentals to return units to the long-term housing market.

Petitioners argued that the law unfairly devalued properties and harmed businesses, but the court ruled the challenge was premature, as no enforcement actions had yet been taken.

Kelowna, BC

Kelowna City Council has approved bylaw changes to align with British Columbia’s short-term rental (STR) regulations allowing STRs in primary residences and one additional suite, room, or carriage house on the same property.

The updated rules allow new licenses in principal residences, limit bedroom counts per lot, and require operators to reside on-site for at least 240 days annually. The changes take effect by April, with registration in the provincial STR registry required before the peak tourism season.

Saskatoon, Saskatchewan

Saskatoon is preparing to intensify enforcement against unlicensed short-term rentals if it secures $380,000 in federal funding through Canada’s Short-Term Rental Enforcement Fund. The city estimates that while 230 properties hold STR licenses, platforms like Airbnb and Vrbo feature around 850 local listings, suggesting widespread non-compliance.

Saskatoon also imposed a moratorium on new short-term rental (STR) business licenses, allowing only homestays where the owner resides on-site, due to the city's rental vacancy rate dropping below 3%.

Andalusia, Spain

Andalusia has introduced stricter short-term rental regulations under its new Sustainable Tourism Law which significantly increases fines for unlicensed rentals with penalties now reaching up to €600,000.

The law empowers local councils to approve or reject rental applications, mandates stricter guest registration, and reclassifies exempt properties under tourism regulations. Additionally, Spain’s central government has implemented a national rental registry requiring property owners to obtain a listing code for platforms like Airbnb and Booking.com.

Florence, Italy

Florence has officially banned self check-in keyboxes for short-term rentals with enforcement starting on February 25. Property owners found violating the rule could face fines of up to €400. Florence officials led by Mayor Sara Funaro will begin removing non-compliant keyboxes citywide.

Meanwhile, short-term rental advocacy group AIGAB argues that Florence’s 12,000 STR listings are not the primary cause of housing shortages citing government data that 13% of the city’s properties remain vacant.

Marseille, France

Marseille has officially lowered the cap on short-term rentals in primary residences from 120 to 90 nights per year – a move aligned with France’s broader ‘Anti-Airbnb law’ aimed at addressing housing shortages.

Starting January 1, 2025, stricter enforcement measures will take effect, including fines of up to €15,000 for exceeding rental limits and €20,000 for false registration claims. Mayor Benoît Payan, who has vowed to impose “the strictest regulations in France,” argues that short-term rentals are driving up housing prices and displacing residents.

Ireland

Dublin

Dublin City Council has voted to prohibit short-term rental key lockboxes on public structures, with enforcement beginning on 14 April 2025. Property owners using street poles, bike stands, or other public fixtures for key storage will have six weeks to remove them before the city intervenes.

Officials cite aesthetic concerns and safety risks aligning Dublin with cities like Florence, Paris, and Marseille which have implemented similar bans.

Mayo

Mayo councilors are advocating for a tax on holiday homes and stronger regulations on short-term rentals such as those listed on Airbnb.

At a recent housing policy meeting, officials reviewed legal advice on whether the council could introduce such a tax but found it would require national legislation. The committee will now write to the Minister urging regulation of short-term rentals and further discuss the feasibility of a holiday homes tax at their next meeting.

Rotorua Lakes, New Zealand

Rotorua Lakes Council is forming a Short-Term Rental Accommodation (STRA) working group to review its policy applying the Business and Economic Development targeted rate (BEDTR) to STRA properties.

The group will evaluate the policy’s implementation, equity concerns, and business impacts while considering national regulatory changes. Members will meet bi-monthly over 6–8 months, with applications due by March 12, 2025.

Cyprus

The Law Office of the Republic of Cyprus has blocked a proposal that would have capped STR ownership at two properties per individual or company leaving the industry open for continued investment growth.

However, new regulations are still under discussion with the House Commerce Committee set to review further short-term rental rules in light of upcoming EU directives. A key change already confirmed is a mandatory STR registration requirement before properties can be rented or listed, aimed at preventing large-scale investors from bypassing tax and operational standards applied to hotels.

🌐 Emerging Global Trends

Global cities are adapting to the evolving short-term rental (STR) market, implementing stricter regulations, refining policies, and addressing nationwide concerns to balance economic growth with community well-being.

What this means:

🧢 Stricter Regulations and Enforcement on Short-Term Rentals
Governments worldwide are tightening regulations on short-term rentals to curb housing shortages and ensure compliance. British Columbia’s Supreme Court upheld the province’s 2024 STR law, while Saskatoon plans to ramp up enforcement against unlicensed operators. Similarly, Andalusia and Marseille are increasing fines, with Spain introducing a national STR registry and France capping rental nights. These moves reflect a growing global effort to balance tourism with local housing needs.

🏠 Focus on Residency and Primary Home Restrictions
Many jurisdictions are restricting short-term rentals to primary residences to discourage large-scale commercial operations. Kelowna’s new bylaw mandates owner occupancy for 240 days annually. Meanwhile, Marseille reduced rental caps for primary residences, and Saskatoon halted new STR business licenses except for owner-occupied homestays. These policies aim to prevent housing stock from being dominated by investment properties.

🔑 Crackdowns on Key Lockboxes and Property Access Methods
Several cities are targeting key access methods as part of broader short-term rental enforcement. Florence and Dublin banned key lockboxes on public structures, citing safety and aesthetic concerns, with fines for non-compliance. These measures highlight an increasing focus on how short-term rentals operate, not just where they are allowed.