There has been a case study of New York City and Airbnb following New York City passing law LL18 last year to regulate short-term rentals on the platform. Airbnb has been opposing this law since then.
This law stipulates that property owners for short-term residential rentals of less than 30 days must register with the New York City agency before they can rent out on platforms like Airbnb. The intention behind this law was to lower rental prices in New York City for long-term rentals, as these platforms incentivize property owners to release their properties for short periods at much higher prices, consequently affecting long-term rentals.
After a year, Airbnb reported results showing that the average rental prices in New York City increased by 3.4% in the past year, while the vacancy rates remained the same. Meanwhile, hotel prices per night increased by 7.4%, higher than the national average of 2.1%. Airbnb mentioned that it was not surprised by these outcomes as they had previously expressed that law LL18 did not address rental prices effectively. They suggested relaxing restrictions and allowing homeowners to rent out rooms on the platform as easily as before.
Representatives of New York City provided a different viewpoint, stating that the number of illegal short-term room rentals in the city decreased after this law, making the residents feel safer.
Source: Airbnb and PCMag
TLDR: New York City’s law LL18 aimed to regulate short-term rentals on platforms like Airbnb, but after a year, rental prices increased, leading Airbnb to suggest relaxing restrictions, while city representatives highlighted a decrease in illegal short-term rentals for improved safety.
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