Connect with us
https://tickernews.co/wp-content/uploads/2023/10/AmEx-Thought-Leaders.jpg

Money

Can regulating Air BNB help alleviate the rental crisis?

Published

on

The emergence of short-term holiday rental platforms such as Airbnb and Stayz has revolutionised travel, offering an array of accommodation options to globetrotters.

However, these platforms have also been blamed for inflating rental prices and aggravating housing shortages in major cities around the world.

In response to these concerns, various regions have initiated regulatory measures aimed at encouraging property owners to transition their listings from short-term rentals to long-term housing for residents rather than catering primarily to tourists. However, the approaches to regulation vary considerably, ranging from outright bans in some cities to the imposition of fees and taxes in others.

Nicola Powell, chief of economics and economics at Real Estate company Domain, recognised that short stay rentals do contribute to housing affordability, but cautioned against regulation that discourages investment.

“When we look at investment properties across Australia, most are owned by Mum and Dad investors,” she said, “we need to boost rental supply overall and we need to have a diverse array of short term leasing.”

The impact

To begin addressing this issue, it’s essential to assess whether providers like Airbnb and Stayz genuinely influence the housing market and, if so, to what extent. Nicole Gurran, a professor specialising in urban and regional planning at Sydney University, has spent nearly a decade researching this sector and asserts that a well-established link exists between short-term rentals and housing dynamics.

Research indicates that when short-term rentals are converted back to the long-term rental supply, rents in the area tend to decrease.

However, short-term rental companies argue that they have become easy targets and are often blamed for more complex long-term housing issues.

Regulatory approaches

Around the world, various cities have adopted diverse regulations to address concerns related to short-term accommodation. Tensions tend to be most pronounced in regions heavily frequented by tourists and residents. While some cities have imposed outright bans on short-stay rentals, others have introduced measures such as limiting the number of nights a property can be used for short-term rentals each year.

For instance, New South Wales has implemented regulations that include a 180-day limit for short-term rentals in Sydney and designated regional areas. These regulations also entail a code of conduct for hosts and guests, an annual fee, and mandatory property registration.

Another prevalent measure, seen in cities like Amsterdam and Toronto, is a “tourist tax” levied on guests or hosts, or as a flat fee for all tourists visiting a city.

While Airbnb expresses support for a nightly fee paid by guests, known as a “bed tax,” Stayz is firmly opposed, characterizing it as arbitrary and arguing against targeting short-term accommodation platforms as a means to address economic challenges.

Both Airbnb and Stayz favor a state government-held registry that provides data on the number and locations of short-term properties to inform public policy decisions. They believe this centralized approach would ensure consistency in regulations across different local councils.

Continue Reading

Money

Nvidia surpasses Microsoft as the most valuable company in the world

Published

on

Nvidia has emerged as the world’s most valuable company, surpassing Microsoft with a market value of over $3.3 trillion.

This shift comes on the heels of Nvidia’s consistent growth in the semiconductor sector and its strategic advancements in artificial intelligence and gaming technologies.

This milestone marks a significant validation of Nvidia’s aggressive expansion and innovation strategies under CEO Jensen Huang, who has steered the company towards dominance in high-performance computing.

Continue Reading

Money

Finance expert empowers his social audience with accessible wealth tips

Published

on

The right strategy can change the game for your financial freedom. Meet the advisor making his tips accessible to all.

Wyld Money dives into the world of financial freedom. Whether you’re a seasoned investor or just getting started, join us for actionable tips and tricks to unlock your earning potential, and retire on your own terms.

In this episode, Mark is joined by James Wrigley, Financial Advisor at First Financial. #wyld money #trending

Continue Reading

Money

It takes a village: coordinated financial teams prove paramount to maximising wealth

Published

on

The pursuit of wealth is often faced by significant challenges including debt, lifestyle costs, and burnout – so what methods can help overcome these challenges?

Maximising financial opportunities involves a suite of tasks, from leveraging favourable loan rates, strategic tax planning, and coordinated financial advising.

Mark Wyld from MW Wealth joins to discuss more. #featured

Continue Reading

Trending Now