This month the future legality of Airbnb in NSW became clearer when some details of the report prepared for the Baird government, after an 18-month parliamentary inquiry, were released.

As is often the case, there will be some clear winners and some losers if the recommendations are implemented by the government of NSW and Liberal MP Mark Coure, the chairman of the NSW parliament's Environment and Planning Committee, said that the report gives the green light to home-sharing operators. He said in a statement to media:

"The sharing economy is booming in NSW as more people are finding creative ways to turn unused things into income. This report is about giving certainty. Not everyone is a winner, but we have tried to get the balance right for consumers, home owners and the wider community."

The report will recommend that hosts renting out their principle place of residence will not need to seek council approval, although those wishing to rent out an empty property for short stays will need to abide by a "code of conduct" and seek council approval.

So is this good news for Citysleepz and our customers?

Absolutely! Clarity is often a concern for our customers and the report and recommendations aim to make the requirements clear. For people renting out their whole property, owners will need to do 2 things:

1. Apply for council approval which, according to details released so far from the report, is going to be a relatively quick and simple process, and
2. Comply with the relevant Code of Conduct. The Code of Conduct outlines the standards that Owners and Property Managers – including companies and individuals providing Airbnb Management services - will need to comply with. As an example, the requirement for the Owner and Property Manager to have the relevant insurance in place. For us, and all other Property Managers, this means having Professional Indemnity insurance which can only be obtained by those with the relevant real estate license. As outlined in our June blog - about avoiding being burnt by an Airbnb Property Manager - all of our processes are designed using the principles of the Code of Conduct and we’re also licensed and insured.

The report has also rejected calls to allow owner's corporations to ban Airbnb Hosts from strata buildings, a common concern for many Airbnb Hosts.

So what does this all mean for the customers of other Property Managers?

Quite simply, if someone is using a Property Manager – including an Airbnb Property Manager - and they’re not suitably licensed and insured then neither party will be adhering to the new proposed legislation and therefore both operating illegally (the Property Manager already is without the required insurance and license under current legislation).

On average it takes 6 to 12 months to complete the required real estate training and another 3 months to acquire the license so that’s further bad news for any Property Manager operating without a license.

How to check if your Airbnb Property Manager is licensed and potentially operating legally

The best bit is that it will take you 30 seconds to see if your Property Manager is licensed. You can do this by using the following government register. Simply type in the name of the company, or the license holders name, and you’ll see the result.

If they are licensed it is a good idea to ensure that they also have the required Professional Indemnity insurance and your Property Manager should be able to provide you with a copy upon request.

Get in touch knowing that we have you covered

Why not get in contact with us to see how we might be able to help with your property management needs and having the confidence that we’ll be abiding by current and future legislation.

Want to know more?

Previous blog

You can refer to our blog How to avoid being burnt by an Airbnb Property Manager for a lot more information on why we decided to become licensed and insured (to protect our business and our customers).

Other quality measures we have in place

Read about what other steps we have in place to ensure that you have Peace of Mind when gaining the benefits of the short-term letting industry and using the services of Citysleepz.

What could your home be worth

If you want to see what you might be able to make from your home why not get in contact with us, we’d love to hear from you and would be happy to help.

*While it hasn’t been made clear exactly what Code of Conduct will be used, or if it will be developed from new, it’s very likely to be based upon the Holiday and Short Term Rental Code of Conduct, written by the Holiday Rental Industry Association in conjunction with Airbnb and other relevant organisations.

It should be noted that details of the recommendations in the report haven’t been completely released at this stage and all information contained in this article are as accurate as possible based upon the information available.

Sources of information: pedestrian news, smh, government news.