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TREBs LATEST UPDATE on the status of AIR BNB

News

UPDATE: Implementation of Short-Term Rental By-Law is Delayed

April 24, 2018 -- Regulation of short-term rentals in Toronto is being delayed by several months due to an appeal to the Ontario Municipal Board (OMB) of the zoning by-law amendments. The OMB has yet to rule on these appeals, with hearings scheduled to take place on August 30, 2018. As a result of this appeal, the new 4% Municipal Accommodation Tax (MAT) on short-term rentals is also delayed. Short-term rentals are not permitted in Toronto until the zoning by-law and registration and licensing by-laws come into effect, which originally were scheduled for June 1, 2018.

Back in December 2017, Toronto City Council voted to regulate short-term rentals. The regulations would prohibit residents from listing any secondary suite other than their primary residence as a short-term rental. A cap on the maximum number of nights in a calendar year was set at 180 days.

TREB was involved in discussions on regulation of short-term rental housing. We support innovation in the economy and believe that, with fair and equitable regulatory oversight, the home sharing economy can provide valuable economic benefits. TREB did share concerns that have been raised by municipalities, and others, about the impact of the home sharing economy on the supply of affordable rental housing, and potential other unintended consequences such as impacts on surrounding property owners and/or tenants.

The City's decision to limit short-term rental housing to a principal residence is a good start. There are many angles to consider with regard to the sharing economy and the short-term rental market, not the least of which is fair taxation to ensure that all providers of short-term accommodation are treated equitably.

For further details on the current status of the short-term rental legislation, please click here.

Your DEPOSIT is SECURE and THE LANDLORD IS REAL when you use a Real Estate Rep to LEASE PROPERTY ! Just one of the few advantages of leaving it to the professionals.

TREB MEMBER ALERT: Fraudulent Lease Ad

June 20, 2018 -- A Member has reported that a client's property for sale in Barrie was listed for lease on kijiji. She was alerted to the listing by a friend who also noted that the lease price seemed unusually low.

In order to guard against such fraudulent activity, Members may choose to undertake routine Internet searches of their listings. Once alerted to such occurrences, Internet fraud can be reported to local police and to the Canadian Anti-Fraud Call Centre, which is jointly managed by the Ontario Provincial Police (OPP), the Royal Canadian Mounted Police (RCMP), and the Competition Bureau. For more information, visit www.antifraudcentre.ca

Alert your clients looking to lease a property to the fact that not all of the ads are legitimate. They should also be cautious about below-average rental amounts, the request for a deposit or first and last month's rent via wire transfer, or no in-person visits to/inside the property, as these could be indicators of fraudulent activity. They should also be cautious about opening attachments in any emails they receive.