Airbnb crackdown backed by housing minister

By John Kehoe and Bonnie Campbell, published on afr.com

Federal Housing Minister Julie Collins has signalled support for further regulatory “interventions” in the short term rental market, arguing Airbnb is reducing the availability of homes in regional and tourism areas.

Australia has fewer homes per 1000 people than the average of nations in the Organisation for Economic Co-operation and Development, she said.

Ms Collins, who said the Greens’ call for rent freezes or caps “don’t work” and could reduce housing supply, was more favourably disposed towards tougher state government rules for Airbnb-type arrangements.

“They are having a significant impact, particularly in regional towns and regional areas where tourism is high,” she said on ABC television on Sunday.

“We’re looking at the different interventions by states and territories and what’s working.

“They obviously hold, again, all the levers and the powers around this. Some of them are doing some quite inventive things.”

The National Housing Supply and Affordability Council, led by former Mirvac boss Susan Lloyd-Hurwitz, was also looking at “quick wins” to expand housing supply, Ms Collins noted.

In Melbourne’s Cheltenham, single mother-of-two Bessie Dossetor agreed short-term accommodation was taking too big a chunk of available rentals.

“I think there has to be a better balance,” Ms Dossetor said. “At the moment it’s essentially unregulated, while people can’t find a place to live.”

Ms Dossetor is searching for a new rental with her two sons, aged five and two, following fire damage to her current $510 weekly rental.

“It’s scary. The only way to get a rental is to offer well above the asking price, and most properties are getting snapped up before the first inspection,” Ms Dossetor said. “We don’t know where we are going to go.”

Ms Collins pointed to research from the Australian Housing and Urban Research Institute on the short-term rental market, which singled out the sector as one of the driving forces behind unaffordable and unavailable rental housing along with migration and population growth.

Piecemeal

Australia’s Airbnb regulations appear lenient compared to overseas counterparts. Cities like Amsterdam, Toronto and Boston impose tourist taxes on short-term rentals, while San Francisco and London have placed an annual 30-90 night cap on short-stay rentals.

Nationally, controls are piecemeal, with state-based planning laws driving regulation.

In NSW, a 180-day limit applies to short-term rentals in Sydney and nominated regional local government areas including Newcastle, Ballina, the Bega Valley, and parts of the Clarence Valley.

Read the full article at https://www.afr.com/property/residential/airbnb-crackdown-backed-by-housing-minister-20230625-p5dj8s