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NSW government supports changes to short-term letting

21 April 2017 Sasha Karen

The NSW government has released its response to the regulation of short-term holiday letting, giving mum and dad investors using services such as Airbnb a boost.

The decision, published on Wednesday follows the government inquiry ‘Adequacy of the regulation of short-term holiday letting in New South Wales’, which proposed 12 changes, including:

  • Amend The Standard Instrument – Principal Local Environment Plan and The State Environmental Planning Policy (Exempt and Complying Development Codes) 2008 to include short-term rental accommodation;
  • Develop a compliance system for short-term rental accommodation under the Environmental Planning and Assessment Act 1979;
  • Give local councils more advice and responsibilities in relation to short-term letting; and
  • Give owners more power to manage and respond to the results of negative short-term letting on properties.

The NSW government backs all the proposed changes, with additional amendments to explored at a non-specified fate through a consultation paper on potential regulatory approaches to short-term holiday letting.

Some property managers have welcomed the government’s response.


“There are now greater opportunities for mum and dad property investors to boost their investment prospects. Airbnb and other short-term rental platforms provide thousands of individual property investors access to higher rental revenue,” general manager of property management firm and chill, Billy Hade, said.

“Today’s decision strikes an appropriate balance between property owners seeking to rent out their homes on Airbnb with neighbouring properties content [with] long-term rentals. This is the most suitable solution.

“I’m sure the debate will continue. Yet, you only need to look at the NSW Rental Tenancy report released earlier this month that found short-term rentals have not on average increased the rents paid by long-term tenants.”

Residential Property Manager earlier published a story about Airbnb wars getting nasty. Concerns were raised regarding the possibility that short-term letting could result in security risks, over-crowding, noise, anti-social behaviour, and increased wear and tear on common property in apartment blocks.

NSW government supports changes to short-term letting
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