Plans to regulate the short-term rentals market in Toronto will go ahead following the dismissal of an appeal.

It means that short-term rentals through platforms such as Airbnb will be allowed in all housing types across the city but only in homeowners? principal residences.

Secondary suites are also permitted to be used for short-term rentals but only where it is a principal residence.

Also Read: Surging home prices mean Canadians will have more spending money in 2020

Companies such as Airbnb will be required to pay $5,000 per year to the City plus $1 for each night booked through their platforms.

Those doing short-term rentals will also have to pay a new Municipal Accommodation Tax (MAT) of 4% on all rentals that are less than 28 consecutive days.

“This is good news for Toronto residents and a step in the right direction when it comes to regulating short-term rentals and keeping our neighbourhoods liveable,? said Mayor John Tory. ?When we approved these regulations in 2017, we strived to strike a balance between letting people earn some extra income through Airbnb and others, but we also wanted to ensure that this did not have the effect of withdrawing potential units from the rental market.?

Also Read: Canada?s housing market will end 2019 stronger than before

Right balance
The Mayor added that he believes the policy achieves the right balance in falling more on the side of availability of affordable rental housing and the maintenance of reasonable peace and quiet in Toronto neighbourhoods and buildings.

The City of Toronto approved the regulation of short-term rentals of homes in December 2017 and January 2018; but an appeal to the Local Planning Appeal Tribunal followed.

On November 18, 2019, the Tribunal dismissed the appeal, allowing the City to proceed with its plan. Further details are expected in December.

Also Read: Steady home sales recorded in October ? CREA

Are you looking to invest in property? If you like, we can get one of our mortgage experts to tell you exactly how much you can afford to borrow, which is the best mortgage for you or how much they could save you right now if you have an existing mortgage. Click here to get help choosing the best mortgage rate

source: Canadian Real Estate
by Steve Randall
0 0 votes
Article Rating
Would love your thoughts, please comment.x

Join our mailing list to receive the latest news, product updates, Discounts.

You have Successfully Subscribed!

Pin It on Pinterest

Share This

Share This

Share this post with your friends!