Prohibiting short term rentals

[Joanne--Jo-Jo-0]

There has just been announced a bylaw prohibiting short term rentals in my town. I have guests there now and I am booked for the next 2 months. I was not aware of this occurring and only saw it on a Facebook post . There has been no notice from local government .

What can be done? What should I do? Any suggestions advice greatly appreciated.

thanks

[Robin4]

@Joanne--Jo-Jo-0 

Hi Jo, I am sorry the long arm of officialdom has dealt this blow to you, and Canada (in general) has been hit rather badly as far as STR is concerned since two recent shootings in STR properties in Toronto.

This is why this bylaw has suddenly popped up!

I have just looked up your town bylaws and unfortunately you do fall under the category of banned listings. Here is the relevant bylaw.......

The only allowable properties are those where the guest shares with the host.

There are two reasons they have done this Jo,

1/......Authorities are trying to free up more long term rental accommodation which has disappeared from the market with the popularity of STR.

2/......The authorities are trying to stamp out 'party bookings' which typically take place in entire property listings.

I am so sorry for you that this has happened, and I had hoped when I looked at your listing that it was part of a shared property but, it isn't, it is a stand alone listing! 

I am trying at the moment to get a definition of STR as far as your community is concerned. It may be that if you modify your terms of rental you will be able to get around this bylaw but for the present, you are going to have to contact Airbnb and have your upcoming reservations cancelled. Airbnb cannot hold you responsible, you are perfectly willing to host your confirmed bookings, but legally you can't.

Once again sorry Jo, if I can get a bit more information on allowable rental options in Goderich I will get back to you and post here.

Here is an email I have sent to Jenna ** who is the tourism development officer for Goderich.

All the best.

Cheers........Rob

**[Personal information removed in line with - Community Center Guidelines]

[Joanne--Jo-Jo-0]

Very kind of you thank you for your help Rob

[Mike-And-Jane0]

@Joanne--Jo-Jo-0 You might like to contact other Airbnb hosts and see if you can mutually fund a lawyer to check the legality of the town's action. Specifically mentioning Airbnb when other STR platforms are available feels discriminatory to me.

[Alexandra316]

@Joanne--Jo-Jo-0 Huron County has an Airbnb Host Club: they may already be taking action against this. If you go to Get Local - Airbnb Community (withairbnb.com) you can connect with them.

[Robin4]

@Alexandra316 

Alex, I am trying to get some help here for Joanne and I am doing a bit of local research (as best I can from the other side of the world) but I am running into brick walls. The Goderich tourism development officer did respond to my email with the relevant bylaw of 2013 with an amendment in 2019. It is 80 pages long and has no relationship to the present situation and bylaw. But I am going to keep on trying! I was specific in my request but, my feeling is, that is not going to get me anywhere. I am just going to be treated as an interfering idiot!

I wish we could actually work together, I have a great rapport with my local council, we work well together and the whole community benefits. I have 'Airbnb welcome here' stickers in lots of the business windows here in Mt Barker and the community benefits from the millions of dollars Airbnb listings bring into this area annually! 

Taking action against a local government authority that you live in is a recipe for disaster....they hold all the trump cards. I don't know that following that course would be in Joanne's best interests.

I am going to keep on this though!

Cheers........Rob  

[Alexandra316]

@Robin4 However you want to say it: maybe they're already working on it? I wasn't saying take them to court: I'm saying maybe the local hosting group has more knowledge of how to deal with it or are already on it.

It doesn't seem to me that the council has a great rapport with Airbnb or hosts at this point if they've just straight up banned them. It's probably the local hotel lobby or tourism group that's behind it: it's often the case in smaller communities in Ontario. It's the same in Niagara area: I was a member of the local tourism group - the only Airbnb member in fact - and the hotels and other accomodations were constantly pushing for bans on short-term rentals. 

I wouldn't say that the local government holds all the trump cards. Every ban in Ontario has been struck down, including repeated attempts at bans in Toronto.

[Robin4]

@Alexandra316 

Alex I hope you are right but Canada unilaterally banned STR to under 25 year olds, one night bookings for entire stay properties after those shootings in Toronto.....and my feeling is, a lot of local government authorities are being dragged along in the wake as a knee-jerk reaction!

@Joanne--Jo-Jo-0  said this suddenly came out of the blue, no consultation process....all of a sudden, it is law.

As hosts Alex we stand behind you and want to help in any way we can. I know you know your scene much better than I do on the other side of the world but, I feel for you just the same as if you were part of my family, and I want to help!

Cheers........Rob 

[John5097]

@Joanne--Jo-Jo-0 

In many places, including mine, with STR restrictions ABB will only allow listings of 30 days or longer. To get less  the host needs to go though additional regestration process.

The municipalities also use specialized software to scour the STR sites for potential illegal listings. Host still have all kinds of strategies to evade detection. But once they get summoned to court its pretty hefty penalties. Sometimes I think towns or cities aren't as proactive on finding non permitted STRs, but often say its not easy. Its also common for illegal STR to steal permitting licening # and even outside shots of the a legal STR. 

You would need to check if an existing STR might be grandfathered in, but I'm not aware of any that are. usually whole houses are located in a commercial overlay zoning.

I tend to agree with @Alexandra316 also and check with local chapters or other host in the area. 

[John5097]

Wanted to add there were all kinds of public meetings and it was highly publizied when our city decided to legalize STRs. 

Before this they were illegal but not enforced as there was no funding and tens of thousands.

The mayors wife even got cited for running an illegal one before he became mayor, so I was happy that they would at least be legal, although strictly regulated to balance livability and sustainability concerns. 

It was very contentious and politcal process with groups for and against them. 

Then applying for one there is no guarantee, but at least with our as long as application meets all the requirements they can't be dinied because a neighbor dosn't like them, or some other STR is jealous or just wants to meddle in someone else's buisiness. 

I have a legal one with zero problems. Guest have been very respectful of quiet residential neighborhood. But I also wouldn't want an illegal one right next to my bedroom window.    

[Joanne--Jo-Jo-0]

I’ve sent a letter to a councillor who is backing me 100%… and asked my permission to add the letter to the meeting next week. I’m very much advocating for my guests that have prebooked stays this summer to be allowed to visit…I’m hoping that will put off imposing the 25,000 fine that is set out in the bylaw for Hosts not complying ….and if granted then have the bylaw more clearly defined going forward for how I will manage my bookings.

thanks to all who commented….and advocated for me! Staying positive this will workout in my favour and my local community of hosts.

[Robin4]

@Joanne--Jo-Jo-0 

Jo, in 2018 I did a straw poll amongst my guests. Airbnb were starting to cop a bit of flack, not through anything that happened in my area but through general press releases. The media just love stories where an Airbnb beach house gets trashed and someone ends up in hospital after falling off a first floor balcony!

I asked each guest how much they would have spent while they were staying at my listing. Some were just overnighters, maybe bought a pizza and a few drinks, a local cup of coffee the next morning..... spend around $50. Some where here for a week or more and spent upwards of $1,000. The average per guest stay was $285. Multiply that by the 118 guest stays I had that year that comes to $33,630 that verified Airbnb guests from my listing spent while they were in this area. Multiply that by the 100 + Airbnb listings in our hills area and that comes to $3,363,000 that Airbnb alone brought into this community in that year. 

When local government and traders see figures like that, it softens any resistance there might be to short term rentals.....particularly as there have been no unwanted incidents.

It's a win/win for the community and all concerned.

We of course have no leverage over state and federal laws but, the community are pretty much behind us here,  and because of that we have no restrictions relating to STR. This may be a good angle for you to work on and promote to the Goderich Shire council Jo!

Cheers.......Rob

[M199]

@Joanne--Jo-Jo-0 

Has anyone considered a "Grandfather Clause".  Only existing can remain, no knee allowable STR's after date of bylaw implementation ????

[M199]

Not knee🙄  new

[M199]

@Joanne--Jo-Jo-0 

I just looked up Airbnb , VRBO and Booking.  Total listings is less than 100,  which totally blows me away.  Goderich is one of the best vacation towns.  I can't figure out why they are penalizing such a few taxpayers!