A new code of conduct to better regulate short-term rentals
Short-term rental accommodation hosts, guests, letting agents and online booking platform operators will soon be subject to a new regulatory framework, with a mandatory Code of Conduct to be introduced on 18 December 2020
Owners corporations and investment property owners across New South Wales have experienced some years of inconsistent governance and industry regulation compared to the traditional accommodation sector.
Industry has watched more than two years of NSW Government Parliamentary inquiry and industry consultation into industry regulation. There have also been a troubling few months following the withdrawal of the Code of Conduct for the Short-Term Rental Accommodation Industry, by the NSW Government in April 2020. Property owners, owners corporations and peak industry bodies have been actively lobbying the state government to address industry regulation and control.
On 31 October 2020, owners corporations and strata property owners welcomed the announcement of a new state-wide planning framework, mandatory Code of Conduct for the Short-Term Rental Accommodation Industry (Code) and changes to strata legislation to be introduced from 18 December 2020.
The declaration will apply to short-term rental hosts guests, letting agents and online booking providers. Of particular interest are the implications of the new Code and the implementation of a premises register.
The premises register is a register of short-term rental accommodation hosts and premises administered by the Department of Planning, Industry and Environment.
Also, the Commissioner for Fair Trade must maintain an exclusions register for those whose breach of the Code is such that they are placed on the exclusions register.