Brisbane landlords will soon need a council-approved permit before they can list their home for short-term accommodation, including Airbnb, the city’s lord mayor has announced.
The new local law will target landlords who are turning their homes into “mini-hotels” amid an ongoing rental crisis.
Brisbane Lord Mayor Adrian Schrinner says the permits will help put hundreds of homes back onto the rental market.
“[Council will] only issue a permit if they [landlords] have planning approvals in place, and if it’s appropriate, and if it has the support of a body corporate,” he said.
The budget reforms will also include a 10 per cent rate hike for transitory accommodation.
It comes as the lord mayor calls on the state government to allow body corporates to pass by-laws that prohibit and restrict short-stay accommodation in their buildings.
“People in a building will have a view on whether this is a good thing or not, [but] at the moment they don’t have the power to stop it,” Mr Schrinner said.
“We need to work with the state government to get rules in place that will help regulate this and give body corporates more powers.”
Flexibility matters
University of Queensland tourism and accommodation expert Sara Dolnicar said Brisbane’s permit system needed to be flexible.
“My opinion is that the smartest option for policymakers is to put in place rules that allow them a lot of flexibility in responding to the needs of their residents,” Professor Dolnicar said.
“The real power of Airbnb and short-term rental is to bring more business when they’re urgently needed,” she said.
“But the biggest risk of Airbnb is when it goes to places that are already suffering from overtourism and pushing residents out.”‘
Professor Dolnicar said Brisbane’s new permit system would be similar to one used in Barcelona, which offers annual permits that needed to be reviewed and renewed every year.
She said the annual permit system helped give legislators flexibility to adjust to the needs of the city.
“Let’s say we’re building a lot of apartments, and we know the Olympics are coming,” she said.
“During the time of the Olympics, we can push out more short-term permits to accommodate for the thousands of people who descend on Brisbane.”
Airbnb Australia and New Zealand’s head of public policy Michael Crosby said “solutions” needed to “balance the benefits of home sharing”.
“It’s crucial that any permit system introduced by Brisbane City Council doesn’t limit the ability of residents to turn their primary asset into a vital income stream,” Mr Crosby said.
He said a permit system “does not necessarily” put more short-term accommodation onto the long-term market.
“Many properties used for short-term rentals are someone’s own home,” he said.
“It’s critical we get the balance of rules and expectations right, because short-term rental accommodation will be vital to the success of the Brisbane Olympic Games in 2032.”
Properties refused permits
A council report found less than 1 per cent of properties in Brisbane are currently being used as short-term accommodation.
But Mr Schrinner said such properties still needed to be regulated.
“This hasn’t created the housing crisis, but obviously it’s something that needs to be managed,” he said.
“In other [council] areas, we’re looking at amounts that are 5 per cent, 10 per cent of housing … particularly in those coastal communities that are big tourist attractions.”
Brisbane City Council has identified more than 420 properties currently used for short-term accommodation that will not receive a permit under the new system.
“These are properties that are in low-density residential areas and are often standalone houses that won’t be approved for short-term accommodation use,” Mr Schrinner said.
He said landlords will need to return these properties to the long-term market or face fines for operating without a permit.
“We’ll be going through that process to let [those owners] know.”
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