What is the Airbnb 90 day rule?

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In some areas, the Airbnb 90-day regulation regulates how many days a year hosts are permitted to rent out their full residence on the platform.

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Local governments in certain well-known tourist areas have enacted laws to restrict the effects of short-term rentals on the housing market and neighbourhood communities. In accordance with these rules, hosts may be restricted from renting out their whole residence on Airbnb for a period of 90 days.

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Why was the 90 day rule introduced?

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In response to worries about the effects of short-term holiday rentals on the local housing market and communities, the 90-day limit was implemented in several cities.

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Landlords were turning their houses into full-time vacation rentals in several well-known tourist spots, which decreased the supply of long-term rental property and increased rents in other areas. Short-term vacation rentals can result in a transitory population, decreasing the feeling of community and making it more difficult for individuals to set roots in the region. This tendency has had a detrimental effect on the social fabric of the town.

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Local governments adopted rules like the 90-day rule, which caps the amount of days per year that hosts may rent out their whole property on websites like Airbnb, to allay these worries. The 90-day regulation aims to achieve a balance between the advantages of short-term rentals for tourists and the requirement to maintain the supply of long-term rental accommodation for local inhabitants.

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The 90-day rule has generated debate in some communities, with some hosts complaining that it restricts their ability to make money from their rentals. However, supporters of the policy assert that it preserves the community's long-term rental housing supply and promotes a healthy balance between the needs of visitors and locals.

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What are the pros and cons of the 90 day rule?

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The Airbnb 90-day rule, which limits the number of days per year that hosts can rent out their entire home on Airbnb, has both pros and cons. Here are some of the potential advantages and disadvantages of the 90-day rule:

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1. Pros

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Preserves long-term housing availability: The 90-day rule can help to ensure that long-term rental housing remains available for local residents, rather than being converted into full-time vacation rentals.

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Reduces rents: By limiting the supply of vacation rentals, the 90-day rule can help to reduce rental prices in certain areas.

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Mitigates disruptions to community: Short-term rentals can lead to a transient population, which can disrupt the social fabric of a community. The 90-day rule can help to mitigate these disruptions.

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2. Cons

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Limits host income: For hosts who rely on income from short-term rentals, the 90-day rule can be a significant limitation on their ability to earn money.

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Impedes tourism: Limiting the number of vacation rentals can reduce tourism to certain areas, which can have a negative impact on local businesses that depend on tourism.

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Encourages Illegal Rentals: Some hosts may choose to flout the 90-day rule and continue to rent out their properties illegally, which can create a regulatory headache for local governments.

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How does the 90 day rule affects all short-term lets in London?

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In London, the 90-day rule applies to all short-term lets, not just those listed on Airbnb. This means that hosts who want to rent their property for short-term stays for more than 90 days per year must apply for planning permission from their local council. They may be subject to fines and other penalties if they do not receive approval.

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The 90-day rule is part of the Greater London Authority's efforts to regulate short-term rentals and ensure they do not hurt the local housing market and communities. The policy aims to strike a balance between the benefits of short-term rentals for tourism and the need to preserve long-term rental housing availability for residents.

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By applying to all short-term lets, the 90-day rule ensures that hosts cannot simply switch to other platforms or renting out their properties to circumvent the regulations. It also helps to create a level playing field for all short-term rental hosts in London, regardless of the platform they use.

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Does the 90 day rule applies outside of London?

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In the UK, rather than being imposed at the national level, the 90-day rule is implemented locally. As a result, even while it is in effect in certain locations, like London, it might not be in other places.

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For instance, Scotland has different laws governing short-term rentals than England and Wales have. There is no particular 90-day restriction in existence in Edinburgh, but hosts must get a licence to run a short-term rental there. Nonetheless, hosts must abide by some rules, such as making sure their property is secure and safe and that they have the necessary insurance.

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The laws governing short-term rentals may differ in other UK towns and areas as well. While some locales might not have any explicit rules in place, others could limit the number of days per year that a property can be rented out on a short-term basis.

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Make sure you are in compliance with local laws and standards by doing your research on the rules in your region if you intend to rent out your home for a brief period of time.

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Conclusion

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In conclusion, the Airbnb 90-day rule is a policy that has generated both support and criticism from various stakeholders. While the rule is intended to address concerns about the impact of short-term rentals on local housing markets and communities, it can also have negative consequences for hosts and local businesses. 

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As such, policymakers must carefully weigh the potential benefits and costs of the 90-day rule and other short-term rental regulations to ensure that they achieve their intended goals without undue harm to hosts or local economies.

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Ultimately, the success of short-term rental regulations like the Airbnb 90-day rule depends on striking the right balance between promoting tourism and preserving affordable housing for local residents. As the debate over short-term rental regulations continues, it is clear that finding this balance will be an ongoing challenge for policymakers, hosts, and communities alike.

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