Navigating Airbnb Regulations in NSW: A Comprehensive Guide for Hosts

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The Insider @ Houst
Last updated on
July 31, 2023
February 6, 2024

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Navigating Airbnb Regulations in NSW: A Comprehensive Guide for Hosts

I hope you enjoy reading this blog post.

If you want my team to just manage your Airbnb for you, click here.

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As an Airbnb host, you should know the local laws for short-term rental accommodations. While Airbnb provides a platform and marketplace, it's essential to note that they do not offer legal advice. However, they do provide some information to assist hosts in understanding the primary laws and regulations relevant to short-term rentals (STRA) in New South Wales (NSW).

Staying informed about these rules will help you navigate your hosting journey confidently and ensure compliance with the guidelines for a smooth and successful hosting experience.

In this article, we’ll discuss Airbnb regulations NSW in detail! 

Table of Contents

Regulations & Requirements 

NSW Short-Term Rental Accommodations - Airbnb Regulations

In New South Wales (NSW), short-term rental accommodations (STRA) are governed by a comprehensive regulatory system that includes a statewide planning framework and an STRA register. Also, there is a mandatory Code of Conduct that applies to all participants involved in STRA, including hosts, guests, letting agents, property managers, and booking platforms. Strata by-laws further impose restrictions on certain types of short-term rentals. It's important to be aware that the NSW STRA policy framework will also extend to accommodations in Byron Shire LGA from January 31, 2022. Hosts in Byron Shire LGA can register their STRA dwellings on the NSW STRA register starting from December 5, 2021. Staying informed about these regulations and requirements ensures that hosts can operate within legal boundaries and contribute to a responsible and well-managed STRA ecosystem.

NSW STRA Planning Framework and Register

In line with the NSW Government's commitment to regulating short-term rental accommodations (STRA), a comprehensive statewide planning policy was introduced, complemented by a mandatory Code of Conduct. The policy, implemented on 1 November 2021, aims to enhance the STRA landscape, promoting responsible hosting practices across the state. Key changes were introduced to bolster compliance and safety measures, impacting hosts in various ways.

Registration and Compliance Requirements

Hosts must register their STRA dwellings on the NSW Government's official STRA register to operate within the STRA ecosystem. As part of this registration process, hosts must adhere to the newly introduced STRA Fire Safety Standard, ensuring that their properties meet essential fire safety guidelines for guests' well-being. Moreover, a registration fee of $65 for the first 12 months and an annual renewal fee of $25 apply, contributing to the sustainable management of the STRA sector.

Operational Guidelines and Day Limitations

Whether hosted or unhosted, STRA listings can operate all year round throughout most of NSW. However, in Greater Sydney and designated regional NSW local government areas, unhosted STRA listings are restricted to 180 days per year. Notably, bookings exceeding 21 consecutive days are exempt from this day limitation, offering greater flexibility for longer stays.

Fire Safety Compliance and Additional Information

Fire safety standards are paramount for STRA hosts, and compliance is a prerequisite for registration. Hosts must confirm their adherence to the prescribed fire safety requirements upon registration. 

The NSW Government offers vital information about STRA rules, including eligible dwellings, nominated areas, and exemptions. Certain accommodations, like boutique hotels and serviced apartments, are not considered STRA. Penalties may lead to registration suspension, revocation, or fines. For more details, visit the NSW Government’s website.

NSW Code of Conduct

NSW Code of Conduct - Airbnb Hosting Guidelines

As part of the NSW Code of Conduct for the Short-term Rental Accommodation Industry, all stakeholders, including Hosts, guests, property managers, booking platforms, and letting agents, must adhere to specific guidelines. Additionally, under the Code, Airbnb and other booking platforms are required to provide "relevant information" to the NSW Government daily. As a responsible Host of an STRA listing, it is essential to know this data reporting requirement and ensure compliance with the applicable day limits under the new STRA planning rules. Embrace the Code of Conduct to foster responsible hosting practices and contribute to a well-managed and sustainable STRA ecosystem.

Airbnb Host Responsibilities

As an Airbnb Host in NSW, adhering to the Code of Conduct is essential to ensure responsible hosting practices and a positive guest experience. The Code of Conduct, effective from 18 December 2020, outlines specific obligations that Hosts must fulfil:

  • Act honestly and in good faith in managing bookings and addressing any complaints or disputes that may arise.
  • Ensure your accommodation's listing description accurately represents the property's features and amenities.
  • Hold Airbnb insurance covering liability for third-party injuries and death. While Airbnb's Host Protection Insurance meets the minimum requirement, additional coverage may be considered.
  • Be available for guest management, premises oversight, and neighbourhood complaints during ordinary hours (8:00 am-5:00 pm daily) and outside these hours to handle emergencies.
  • Provide guests with essential contact details, including your own, your Co-Host's, or the property management company's, and contacts for emergency electricians, plumbers, and Australian emergency services (000).
  • Provide guests with a Code of Conduct and explain their obligations. Guests are expected to treat the listing and community respectfully and refrain from disturbing neighbours during their stay.
  • Inform your neighbours about your hosting activities and provide them with your contact details or those of your Co-Host. Notifying the owner's corporation or community association is mandatory if you live in a strata or community scheme. Address any neighbour concerns regarding possible code violations promptly and reasonably.
  • Consider adding essential contact numbers and the Code of Conduct to your house manual, which can be sent to guests after reservation or provided as a paper copy in your Airbnb listing.

Complaints and Penalties

In a breach of the Code of Conduct, both Hosts and guests have the right to complain. Airbnb encourages Hosts and guests to attempt direct communication before involving NSW Fair Trading to promote resolution. Please refer to the NSW Government website for comprehensive guidance on filing a complaint.

It is vital to uphold your obligations under the Code of Conduct, as any breach can lead to severe penalties for Hosts and guests. Penalties may include being banned from hosting or booking short-term rental accommodations (STRA) for up to five years. 

The Exclusion Register

The Exclusion Register is a crucial mechanism to enforce compliance within the short-term rental accommodation industry. It comprises a list of guests and Hosts who have been excluded from participating due to non-compliance with the Code of Conduct.

Operating on a "two-strike" system, the Exclusion Register identifies individuals who have committed two serious breaches of the Code within two years, as determined by NSW Fair Trading. In such cases, exclusion from the industry for five years is imposed. These breaches of the Code may also entail violations of Airbnb's Terms, Additional Legal Terms, Policies, or Standards.

A Host can be listed on the Register as a general exclusion or with a specific listing, depending on the nature of the breaches. Moreover, NSW Fair Trading reserves the right to record a host or a guest on the Exclusion Register if they have been charged with or convicted of a criminal offence. This stringent approach reinforces the importance of adhering to the Code of Conduct and upholding responsible practices within the industry.

Airbnb’s Expert Rental Management at Your Service

Are you looking to maximise the potential of your Airbnb rental while ensuring seamless and stress-free management? Look no further than Houst, your ultimate partner in property rental management. Our unrivalled expertise and comprehensive services make us commit to elevating your Airbnb rental to new heights. From handling guest communication and Airbnb maintenance to optimising your rental income and ensuring compliance with local regulations, Houst is the trusted solution that allows you to reap the Airbnb revenue of your investment hassle-free. Let us handle the details while you enjoy the benefits of being a top-notch Airbnb host.

The Insider @ Houst

The Insider @ Houst

The Insider team at Houst is dedicated to providing up-to-date and relevant information on short-term rentals. If you have hosting inquiries, please write to us at expert@houst.com. For guest inquiries, reach out at guest@houst.com. We are here to help you navigate the world of short lets and look forward to assisting you with your needs.

The Insider @ Houst

The Insider @ Houst

The Insider team at Houst is dedicated to providing up-to-date and relevant information on short-term rentals. If you have hosting inquiries, please write to us at expert@houst.com. For guest inquiries, reach out at guest@houst.com. We are here to help you navigate the world of short lets and look forward to assisting you with your needs.

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David
Account Manager

"I have a philosophy in life called keep it simple. I don't live to work, I work to live. This is the first time I've leased this property on Airbnb. A house allows me to have vision of all the revenue and all the expenses associated with the apartment. They work as a well-oiled machine. They strive very hard to keep both myself and the tenants happy."

Jules
Sales Director

"Honestly, if I didn't have Houst, I don't think I'd have this house anymore. With Houst's help, I can focus on my busy life while they manage my Airbnb listing. Guests call this place the 'magic cottage', and Houst makes it possible to share its special charm without any stress."

Charlotte
Musician

"Houst has been a game-changer for us, enabling my husband and I to expand our property portfolio effortlessly. Their personalised service lets us be hands-off yet fully in control, making property management seamless while we pursue our careers as musicians."

Ahmed
Software Engineer

"Houst has been a game-changer for my Airbnb rentals, significantly boosting my income. Their user-friendly platform and comprehensive management services, covering everything from cleaning to guest interactions, make property management stress-free."

Jim
Construction

"Finding Houst has been like a godsend for my Airbnb venture. It's made the entire process really easy, from the onboarding to managing guests. Their seamless service has enabled me to host successfully without needing to invest my limited time. If it weren't for Houst, I wouldn't be hosting on Airbnb."

David
Account Manager

"I have a philosophy in life called keep it simple. I don't live to work, I work to live. This is the first time I've leased this property on Airbnb. A house allows me to have vision of all the revenue and all the expenses associated with the apartment. They work as a well-oiled machine. They strive very hard to keep both myself and the tenants happy."

Jules
Professional Landlord

"Honestly, if I didn't have Houst, I don't think I'd have this house anymore. With Houst's help, I can focus on my busy life while they manage my Airbnb listing. Guests call this place the 'magic cottage', and Houst makes it possible to share its special charm without any stress."

David
Account Manager

"I have a philosophy in life called keep it simple. I don't live to work, I work to live. This is the first time I've leased this property on Airbnb. A house allows me to have vision of all the revenue and all the expenses associated with the apartment. They work as a well-oiled machine. They strive very hard to keep both myself and the tenants happy."

Jules
Sales Director

"Honestly, if I didn't have Houst, I don't think I'd have this house anymore. With Houst's help, I can focus on my busy life while they manage my Airbnb listing. Guests call this place the 'magic cottage', and Houst makes it possible to share its special charm without any stress."

I hope you enjoy reading this blog post!
If you want my team to just manage your Airbnb for you, just book a call.
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