Housing activists and opposition politicians want Airbnb short-term rental rules to be strictly enforced in the Republic of Ireland.
They call for the enforcement of Airbnb short-term rental rules to protect the housing and rental market as the economy faces more difficult years.
Short-term rental rules came into effect in July with a “one host, one home” model that is implemented by local planning authorities.
In an interview with CNBC, Eoin O’Broin, a member of parliament and housing spokesperson for Sinn Féin, the main opposition party, said that the policies are sound but fail when it comes to implementation as the planning process is a “very slow and laborious process.”
People renting out second houses, holiday dwellings, and other properties that are not their main residence must get a “change of use” planning approval from the local government. Instilling the regulations aims to encourage more properties back onto the long-term market. The average rent in Dublin has increased to 1,709 euros ($2,010), compared to 1,252 euros in the same quarter five years ago.
“We always knew the regulations, even if they were good, would fall foul of weak enforcement if it was left to the local authorities. That’s not a criticism of the councils, it’s just the nature of planning enforcement,” O’Broin said.
Airbnb's reaction
Meanwhile, Ireland’s Department of Housing, Planning and Local Government said in a statement that the government will “strengthen the regulatory and enforcement mechanisms.”
“Around 2.5 million (euros) has been allocated to Local Authorities for enforcement of the short-term letting provisions up to the end of 2021. It is envisaged that targeted enforcement regimes will be stepped-up as dedicated resources continue to increase on a national level,” the department said.
“Airbnb has worked with hundreds of governments and organizations globally to help hosts share their homes, follow the rules and pay tax, and we want to be equally good partners in Ireland. We have always looked to work collaboratively with Ireland to make its home sharing rules work,” an Airbnb spokesperson said in a statement.
“Since the regulations were announced, we promoted the rules to hosts and sought to work with all levels of government to boost awareness and compliance. We look forward to contributing innovative ideas for the future of home sharing in Ireland and suggestions for tourism revival along with our colleagues in the sector," the statement reads.
According to John-Mark McCafferty, chief executive of housing charity Threshold, the enforcement of Airbnb short-term rental rules is necessary.
He explains that while some properties that are listed on short-term platforms have been to the long-term market, it has not taken place in a significant way.
″(In) Dublin, there’s some change but it’s not hugely significant. It’s still a very challenging rental market for private tenants. Rents are still high, it’s not like they’ve collapsed or even significantly reduced," he said.
Vacation rentails
The vacation rentals sector has seen increased demand for furnished rentals. Some are seeking long-term renters, and some are selling their properties.
According to Zillow’s data, there has been increases in listings for furnished rentals and rentals of six-months or less. Analysts consider this a hint that hosts of Airbnb and other vacation rentals owners have evolved with the residential rental market as the coronavirus pandemic remains unpredictable.
“With travel banned, vacation home owners may be looking to avoid the uncertainty of when the economy might open and look to get a longer term renter in their home,” Zillow Economist Joshua Clark said during an interview with CNBC.
“Conversely, longer term landlords may now be open to three-six month leases to appease renters who don’t want to lock into a year-long agreement.”
