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NYC cracks down on hundreds of Airbnb hosts over illegal rentals

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The Big Apple is cracking down on hundreds of rogue Airbnb hosts who legally registered their apartments for home sharing – but who have since run afoul of strict rules that were imposed by the city in 2023.

Some rented out their entire apartments for less than 30 days — a typical Airbnb arrangement outside the city — or rented them out to more than two people at a time, among other violations of the city’s nearly two year-old regulations, the Office of Special Enforcement announced. 

Warning letters were sent to 500 of the 3,000 registered short-term rental hosts here while another five were notified that they will have their licenses revoked, according to OSE.

Some 500 home-sharing hosts were sent warning letters by the city’s Office of Special Enforcement. deberarr – stock.adobe.com

The agency did not identify the five hosts or disclose the nature of their violations.

OSE discovered the violations by looking at the host’s listings on sites including Airbnb, spokesman Noah Pransky told The Post.

Hosts could face fines of up to $5,000. Fines are “on the table” for the five hosts who will have their licenses revoked, but the 500 hosts were issued their first warning.

“Some hosts didn’t know they had violated the regulations,” Pransky said. “And we are giving them a chance to get into compliance.”

Airbnb’s presence in NYC dropped by more than 90% since Local Law 18 was implemented nearly two years ago. Diego – stock.adobe.com

Most registered hosts appear to be following the law, but nearly 20% of them have been bending the rules.

The short-term rental rule, known as Local Law 18, went into effect in September 2023. It requires hosts to register with the city and to certify that their homes meet rigorous building, zoning and other codes.

Airbnb sued New York City over what it described as the most restrictive home-sharing regulations in the country, including no locked doors inside apartments and giving guests unrestricted access to common areas. It also limits the number of guests to two at a time.

Airbnb claims that NYC’s short-term rental law is the most restrictive in the US. TTstudio – stock.adobe.com

Airbnb has seen its listings plunge by 90% in New York City since Local Law 18 was implemented. Before the law there were some 22,000 home-sharing hosts in New York City.

“We are committed to protecting New York City’s housing stock for the people who call this city home – not for those seeking to profit at the expense of our communities,” Mayor Eric Adams said in a statement. “Illegal short-term rentals reduce the supply of permanent housing, drive up rents and threaten the stability and affordability of our neighborhoods.”

Airbnb argues that Local Law 18 has only helped the hotel industry, which lobbied for the regulation. Hotel rates have risen by more than 5% and are double the national average, according to Airbnb research.

NYC officials say that home-sharing apps are partly responsible for a housing shortage here. Timon – stock.adobe.com

OSE also announced that it’s simplifying its application process to “speed up the process for people who want to register with the city,” Pransky said.

In May OSE sued a property in Greenwich Village – known as the first gay Inn in Manhattan – that was renting out rooms on Airbnb, alleging that the property is an illegal hotel.

[Notigroup Newsroom in collaboration with other media outlets, with information from the following sources]

Tags: affordable housingairbnbBusinesshotelslaw enforcementlawsuitsMetroNew York Cityrentals
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