B.C.’s new short-term rental regulations 2024

B.C.'s new short-term rental rules

The British Columbia Government has introduced new regulations that significantly impact travelers and short-term rental operators alike. Effective May 1, 2024, B.C.’s new short-term rental regulations restrict such rentals to principal residences and secondary suites. The primary objective is to redirect more short-term rental units back into the long-term rental market, addressing the BC’s housing needs.
B.C.'s new short-term rental

What are the new short-term rental regulations?

Most urban communities in B.C. will be affected by a provincial principal residence requirement that became effective on May 1,2024. Both principal residences (where a host lives for the majority of the year) and secondary suites (accessory dwellings units) will be restricted to short-term rentals. This will help balance the need to create more long-term homes to those who live in British Columbia, on the other hand the number of short-term rental unities in these areas will decrease.

People will still be able to stay in short-term rental however only in units that follow local and provincial rules. The new rules will require short-term rental hosts to have a business license in areas where they are required by a local government. Those who do not follow these new regulations will be penalized with a fine.

WHAT IS A SHORT-TERM RENTAL?

According to the provincial regulations, short-term rentals are defined as accommodations offered to the public either on or inside a host’s property, in return for payment, for a duration of less than 90 consecutive days. It’s important to note that short-term rentals specifically exclude stays at hotels, motels, or strata hotels.

Which communities are affected?

65 communities will be affected by the new short-term rental regulations, specifically targeting those with populations exceeding 10,000 or those in close proximity to larger urban centers. However, the province has exempted smaller communities as well as select tourist destinations from these regulations. This exemption encompasses mountain resorts, B.C. Parks resorts, trust areas governed by the Islands Trust Act, and agricultural land.

What are the fines?

Regional districts can now set higher fines for breaking bylaws, going from $2,000 to $50,000. This matches what municipalities can already do. Also, local governments can now give bigger fines for breaking rules, going from $1,000 to $3,000 per day. These fines apply in cities, regional districts, and Islands Trust areas. The province is making it tougher to break the rules by letting regions and cities charge bigger fines.

Will guests be fined if they stay at a non-compliant short-term rental?

Guests staying in short-term rentals that don’t adhere to provincial regulations won’t be subject to fines. However, it’s the responsibility of the host and the short-term rental platform to ensure compliance with the new rules. Guests can continue to stay in short-term rental properties that adhere to local and provincial guidelines. To ensure a smooth experience during your stay, you can also directly inquire with your short-term rental host to confirm their compliance with government regulations.

TIMELINE

Increased fines and business licensing authority for regional districts
Principal residence requirement (including exempt areas and accommodations), changes to legal non-conforming use protections, and requirement to display valid local government business licence numbers, where business licences are required
Data sharing between the Province and local governments
Provincial registry launch and requiring platforms to remove listings without valid provincial registry numbers

How will these regulations impact the housing market in Vancouver?

The introduction of the new regulations in affected areas is poised to reshape BC’s housing market, especially regarding primary residences and secondary suites. With these properties no longer open for rental, we can expect an increase in listings, thus expanding the availability of long-term rental units. However, the impact on rental and property prices remains uncertain. It’s prudent to observe market trends over time to understand how they react to these regulatory adjustments.

If you are planning to sell your property or rent, you can rely on WesTech Appraisal’s expertise and local market knowledge. We are your trusted appraiser of choice, offering you a high-quality service and a professional experience. Contact us today to learn more about our appraisal services and how we can help you.

Beyond Property Valuation

WesTech’s Key Strengths:

Experienced company established in the local market for over 30 years

Brick and mortar local Vancouver Office where appraisers collaborate

Dedicated client care team offering excellent customer service and professional businesslike interactions whether by phone or email

100% of our appraisers are designated

Boutique firm focussed only in our local market serving Whistler to Chilliwack

Management still actively completing appraisals and are in tune with the market