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Australia: Airbnb has opposed proposals by the City of Sydney to tighten short-term rental regulations, as councillors explore measures aimed at easing pressure on the city’s housing supply.
A Greens-backed motion will investigate whether stricter controls should be introduced in suburbs where rental vacancy rates fall below three per cent.
The review will also assess whether NSW’s existing 180-day cap on non-hosted short-term rentals is effectively returning properties to the long-term rental market.
Among the options under consideration are suburb-level restrictions or bans on non-primary residence short-term rentals in areas experiencing housing shortages.
Airbnb said further restrictions would unfairly penalise hosts who rely on short-term rental income and argued that the sector is not responsible for Sydney’s housing affordability challenges.
A company spokesperson said most Airbnb listings are primary residences or homes used periodically by their owners, making them unsuitable for the long-term rental market.
The platform urged policymakers to focus on increasing housing supply and enforcing existing regulations rather than introducing additional restrictions.
The City of Sydney said the investigation forms part of broader efforts to address housing pressures, with councillors examining how short-term rentals may be affecting the availability of long-term housing.
The proposal comes as the NSW Government separately reviews its short-term rental framework, including the effectiveness of the statewide 180-day cap and whether local authorities should be given greater planning powers.
Highlights
- Sydney councillors are considering tighter short-term rental restrictions
- Proposals include suburb-level limits linked to rental vacancy rates
- Airbnb says additional restrictions will not solve housing shortages
- NSW is also reviewing its existing 180-day cap on non-hosted rentals
- The debate reflects wider housing affordability pressures across Australia
