How do I list my home on Airbnb? 

Are you thinking about leasing your home for short term stays? You are not alone, due to the continued rising cost of living and interest rates, it is becoming more common for Australians to rent out their properties, with many using Airbnb and similar platforms. As a platform for short-term rental accommodation, Airbnb has specific laws and regulations in NSW that you must comply with to list your property.  If are thinking about listing your home on a short term property rental site, there are several important steps and considerations to take into account:

1. Check Local Regulations:

Verify the short-term rental regulations in your area. The NSW Department of Planning and environment requires all properties being used for short term rental to be registered via their short term accommodation register. Registration is essential to confirm compliance with the short term rental fire safety standards click here for more information.  Additionally, some councils have specific laws, licensing requirements, or restrictions on short-term rentals. These laws vary by location and can affect your ability to use your property for short-term rentals.

2.  Permits and Approvals:

Depending on your location, you may need to obtain certain permits, licenses, or approvals before you can start renting out your home on Air BnB

3. Strata By-Laws:

If your apartment is in a Strata building, you may find some Owners Corporations may pass by-laws which would prohibit short term rentals.  Some by-laws are restricted by Section 137A of the Strata Schemes Management Act 2015 (NSW). 

4. Insurance: 

Ensure you have appropriate insurance coverage. Standard homeowner policies may not cover home business activities, including short-term rentals like Air BnB. It’s crucial to ensure you have the correct level of insurance for damage to property and public liability for injuries to persons.

5. Tax Implications:

Obtain accounting advice regarding the tax implications of earning income through Airbnb. This may include reporting rental income and potentially collecting occupancy taxes. It may also have Capital Gains Tax (CGT) consequences converting your residence from a CGT exempt asset to an asset liable to CGT on its sale.

6. Preparation:

Clean and prepare your home for guests. This includes ensuring safety features like smoke detectors and providing amenities such as clean linens and toiletries.

7. Guest Management:

   – Be prepared to communicate promptly with potential guests.

   – Establish house rules and communicate them clearly to guests.

8. Maintenance and Upkeep:

Regularly maintain your property to ensure it meets guests’ expectations and remains in good condition.

NSW Fair Trading released a Code of Conduct for the short term rental accommodation industry in December 2020.  The Code establishes rights and obligations that all parties involved in short-term rentals must follow. It also introduces a complaints and enforcement process.  For more information about the Code of Conduct please click here.

Once you have thoroughly researched listing your property for short-term rental and feel ready to proceed, you are ready to sign up with Airbnb (or your chosen platform), create your listing, and publish your property!

If you have any questions about your property, please contact our Property Team at Solari and Stock on 8525 2700 or click here to request an appointment with one of our experienced Solicitors.

Article by Kate Allenby (topic inspired by Mondaq article Can I put my home on AIrbnb?)
Photo by Logan Nolin on Unsplash