Illegal to Run a Vacation Rental in NY State

Zorba

Lifer
Oct 22, 1999
15,613
11,256
136
Apparently it is illegal to run a short term rental in NY State and they are about to pass a law that would allow for fines of up to $7500 against normal people that rent out their own properties.

New York state may soon enact one of the nation's toughest restrictions on short-term rentals offered on online sites like Airbnb.

Legislation awaiting action by Democratic Gov. Andrew Cuomo would authorize fines of up to $7,500 for listings that violate a 2010 state law forbidding rentals of less than 30 days when the owner or tenant is not present. Supporters of the measure say many listings on Airbnb already technically run afoul of the law, and that steep fines could put an end to what they say is a scourge of black-market hotels.
Full Article

This seem nuts to me. I could understand some zoning restrictions and restrictions imposed by individual complexes, but not a full state wide ban on short term rentals. The article wasn't clear how easy it was to become registered as an official hotel, but I am guessing that it is pretty hard.
 

agent00f

Lifer
Jun 9, 2016
12,203
1,243
86
It's not nutty to find random often drunk people moving in and out living next to you undesirable.
 

fskimospy

Elite Member
Mar 10, 2006
88,250
55,801
136
Apparently it is illegal to run a short term rental in NY State and they are about to pass a law that would allow for fines of up to $7500 against normal people that rent out their own properties.

Full Article

This seem nuts to me. I could understand some zoning restrictions and restrictions imposed by individual complexes, but not a full state wide ban on short term rentals. The article wasn't clear how easy it was to become registered as an official hotel, but I am guessing that it is pretty hard.

It's not a statewide ban on short term rentals, it's a ban on rentals where the owner is not present. The reason for this is primarily NYC, where people are buying up large amounts of properties and converting them into what amount to full time Airbnb hotels. Considering how tight the property market is in NYC this is a big problem. I'm not sure if this is the right solution but something needs to be done.
 

Zorba

Lifer
Oct 22, 1999
15,613
11,256
136
I think most vacation rentals would fall under "where the owner is not present." But for a lot of people the only way they can afford their dream of owing a vacation home is by renting it out when they aren't present.

I can understand the fears on housing shortages in NYC, which is why I would think this would be better handled with zoning restrictions, not state wide bans. I don't see how allowing people to run vacation rentals in say Lake Placid would have much of an affect on housing availability.

I could also see a ban on someone operating multiple short term rentals, or a property they never inhabit themselves. But if someone has a cabin off Lake Ontario that they can only visit a couple weekends a month, what is wrong with them renting it out the rest of the time?
 

sdifox

No Lifer
Sep 30, 2005
101,139
18,184
126
I think most vacation rentals would fall under "where the owner is not present." But for a lot of people the only way they can afford their dream of owing a vacation home is by renting it out when they aren't present.

I can understand the fears on housing shortages in NYC, which is why I would think this would be better handled with zoning restrictions, not state wide bans. I don't see how allowing people to run vacation rentals in say Lake Placid would have much of an affect on housing availability.

I could also see a ban on someone operating multiple short term rentals, or a property they never inhabit themselves. But if someone has a cabin off Lake Ontario that they can only visit a couple weekends a month, what is wrong with them renting it out the rest of the time?

I agree with you, they should put in exceptions for vacation properties not in the city.
 

fskimospy

Elite Member
Mar 10, 2006
88,250
55,801
136
I think most vacation rentals would fall under "where the owner is not present." But for a lot of people the only way they can afford their dream of owing a vacation home is by renting it out when they aren't present.

I can understand the fears on housing shortages in NYC, which is why I would think this would be better handled with zoning restrictions, not state wide bans. I don't see how allowing people to run vacation rentals in say Lake Placid would have much of an affect on housing availability.

I agree with the idea that vacation rentals in places outside the city might be adversely and wrongly impacted. I'm not sure how zoning restrictions in NYC would help though.

It might make more sense to simply make this a ban in NYC, as the tight rental market is primarily a city problem and frankly I don't have a lot of sympathy for people who are financing their dream vacation home in NYC by renting it out with Airbnb when more than half of city residents are rent burdened.
 
Dec 10, 2005
29,634
15,201
136
It might make more sense to simply make this a ban in NYC, as the tight rental market is primarily a city problem and frankly I don't have a lot of sympathy for people who are financing their dream vacation home in NYC by renting it out with Airbnb when more than half of city residents are rent burdened.
Of course, the city and the state continue to exacerbate the problem of the tight rental market by perpetuating rent-control laws, which likely feeds into people renting out their places on Airbnb.

On this specific issue, another thing is that some residents are tired of seeing their apartment buildings becoming de facto hotels because their neighbor or landlord has taken to constantly renting out neighboring units on Airbnb.
 

K1052

Elite Member
Aug 21, 2003
53,789
48,488
136
I think this is overkill statewide but in many cites this should probably be law. Running unregistered hotels in properties not zoned for such a use isn't a right.
 

shortylickens

No Lifer
Jul 15, 2003
80,287
17,082
136
that was probably pushed thru the state senate by those rich fucks from the Hamptons. They dont like minorities and college kids coming out there for the summer.
 

BurnItDwn

Lifer
Oct 10, 1999
26,372
1,881
126
Should be allowed if the area is zoned commercial, agricultural, or mixed, but, not in areas zoned residential.
 

michal1980

Diamond Member
Mar 7, 2003
8,019
43
91
ahh NYC democrats telling the whole state what people can and cannot do with their property. So much for the left pretending they are small gov.
 

michal1980

Diamond Member
Mar 7, 2003
8,019
43
91
I think this is overkill statewide but in many cites this should probably be law. Running unregistered hotels in properties not zoned for such a use isn't a right.

Why? If I own my house, should I not be allowed to allow access to whomever I want?
 

fskimospy

Elite Member
Mar 10, 2006
88,250
55,801
136
Of course, the city and the state continue to exacerbate the problem of the tight rental market by perpetuating rent-control laws, which likely feeds into people renting out their places on Airbnb.

On this specific issue, another thing is that some residents are tired of seeing their apartment buildings becoming de facto hotels because their neighbor or landlord has taken to constantly renting out neighboring units on Airbnb.

While I'm not sure how much rent control has to do with this specifically, rent control laws are stupid and should be done away with. All they do is screw over new people. They are like prop 13 for apartments.
 

agent00f

Lifer
Jun 9, 2016
12,203
1,243
86
Why? If I own my house, should I not be allowed to allow access to whomever I want?

You must love those neighbors who started inviting shady people in when they're gone.

Consider that folks like you are the reason why the gubmint has to regulate the rest of us too out of fairness.
 
Dec 10, 2005
29,634
15,201
136
While I'm not sure how much rent control has to do with this specifically, rent control laws are stupid and should be done away with. All they do is screw over new people. They are like prop 13 for apartments.
I see it as a tangential effect. With rents driven so high, people are compensating by either putting their own place on Airbnb to help with rent or unscrupulous people are turning adjustments into illegal hotels to make even more.
 

sdifox

No Lifer
Sep 30, 2005
101,139
18,184
126
I see it as a tangential effect. With rents driven so high, people are compensating by either putting their own place on Airbnb to help with rent or unscrupulous people are turning adjustments into illegal hotels to make even more.
You can still rent one a room in your primary residence. You are not allowed to turn rental properties into short term rental.
 

dainthomas

Lifer
Dec 7, 2004
14,964
3,952
136
It's not a statewide ban on short term rentals, it's a ban on rentals where the owner is not present. The reason for this is primarily NYC, where people are buying up large amounts of properties and converting them into what amount to full time Airbnb hotels. Considering how tight the property market is in NYC this is a big problem. I'm not sure if this is the right solution but something needs to be done.

Same issue in Portland. Rents have been going through the roof the last several years (thank God I own). Anyway, I guess it's already against the law but the city hasn't been enforcing it.
 

nerp

Diamond Member
Dec 31, 2005
9,867
105
106
Airbnb is killing communities over the loss of hotel tax revenue, among other concerns. It also is a way for people to skirt requirements associated with leasing a dwelling house or running a bed and breakfast. Airbnb enables people who ordinarily would have to meet fire code standards and other inspection requirements to skirt the law. There is a reason for this legislation and Airbnb has gone the route of litigating rather than working with communities to address those concerns about safety, taxes and fairness.
 
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fskimospy

Elite Member
Mar 10, 2006
88,250
55,801
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Same issue in Portland. Rents have been going through the roof the last several years (thank God I own). Anyway, I guess it's already against the law but the city hasn't been enforcing it.

Yeah, I got in while the getting was good and thank god. I bought my 1 bedroom two years ago for $265k, which for NYC is super cheap and the place below me with the same floor plan just sold for $400k a few weeks ago. Bananas.
 

K1052

Elite Member
Aug 21, 2003
53,789
48,488
136
Why? If I own my house, should I not be allowed to allow access to whomever I want?

You're not allowing access, you're selling it. You are running a business out of property not zoned for that use.
 

fskimospy

Elite Member
Mar 10, 2006
88,250
55,801
136
By the way this law is less nutty than advertised. It only affects apartment buildings. Vacation homes are safe.