Landlords will soon be required to register their properties with a new online portal. The portal being launched by the department of tourism, hopes to bring 12,000 short term rentals to the rental market.
What happens if I don’t register?
Landlords who neglect to register their properties will be subject to a fine of €300, which can be raised to up to €5000 if a case is referred to the district courts.
Short term property rental sites can also face prosecution if they list properties which are not registered with the portal.
For a property to be listed on any website for the purpose of short term rental, it must have a valid Fáilte Ireland registration number.
What qualifies as a short term property?
The plan will focus on properties being rented out between 1 – 21 days. If you own a property and are letting it within this time frame, then it will be a legal requirement for you to register it with Fáilte Ireland.
Why the change?
Many believe that the increase in demand for short term rentals properties is a major factor in the housing shortage. The long term housing sector has become increasingly regulated in the last few years.
By introducing similar regulatory measures in the short term sector, ministers estimate that as many as 12,000 properties being used for short term lets will revert to long term rental properties.
This in turn will reduce the housing shortage and help to stabilise rising rents.
When will this plan be implemented?
There are currently around 27,000 properties with an estimated 135,000 beds in Ireland being advertised for short term rental. An astounding 20,000 of these properties are full private accommodations (Houses, flats and holiday homes).
All sources suggest that the plan is to be actioned via the Oireachtas and European Union procedures by the end of March next year.
Will this change deter short term rental websites?
Airbnb, a market leader in short term accommodation, has welcomed the change. In a statement released by a company spokesperson for the tech giant, Airbnb commented that they wanted to do everything in their power to ensure stability in the Irish rental market and that it wants to make “existing home sharing enforceable and effective”
Airbnb also noted that they recognised the turbulence in the Irish property market and endeavoured to be part of the solution, not the problem.
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