As of December 10th, Santa Monica reached a settlement with Airbnb requiring all short term rental listings to become compliant with the City’s Home-Sharing Ordinance in the hopes of eliminating illegal listings.
The new agreement includes the following guidelines:
- Airbnb will require all listings to have a City License number. License numbers are provided to hosts who register to home share and acquire a business permit and license.
- Airbnb will only allow each host to list one home or dwelling. Airbnb will remove listings that are in violation of this requirement after January 20, 2020.
- Airbnb will collect and pay the City $2 for each night booked at any listing in Santa Monica.
- Airbnb will provide regular reports to the City to ensure compliance and to support City enforcement efforts.
Residents overall agree that this creates a reasonable system to protect the City’s housing supply. City Attorney Lane Dilg says, “This agreement with Airbnb will make the City’s enforcement efforts less costly and more effective; most importantly, it will preserve housing for our residents. This is a positive outcome for Santa Monica.” In Santa Monica alone there are 351 registered Short Term Rentals. It is no wonder the City hopes to establish an agreement with Airbnb.
Glendale is also in the midst of enforcing Short Term Rental regulations. View the complete short-term rental ordinance here. The City removed the proposed 180-day rental cap, leaving rental periods to the hosts’ discretion. According to a city report, Short Term Rental listings in Glendale have grown by 33% over the past year, from 510 to 679 listings.
Local hosts provided varying responses to regulations and while hesitant over requiring a licensing process, the hosts overall supported compliance surrounding guidelines for parking, trash, or noise concerns. Certain hosts suggested cameras or sound-monitoring equipment to monitor their properties.
Protecting Your Short Term Rental Business
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Proper Insurance partners with many companies in the short term rental market to provide top rate products for Short Term Rental hosts. Our partnerships include those with companies such as Autohost, NoiseAware, and Phyn.
Contact Autohost to discuss their guest screening process. Many hosts don’t have time to screen every guest who books their property, especially if they operate the business from another state. Along the same lines, NoiseAware is a device that monitors the noise level in your home and automatically alerts you to a party or nuisance guests. Phyn is a water monitoring system that automatically shuts off the water if a leak is detected. Each of these systems will assist in protecting your property and allow your attention to rest on building a profitable business.
Additionally, hosts should make sure they have the correct insurance coverage to respond to their business. Safety features won’t matter if a claim is ultimately denied because a host is covering their business with a traditional homeowner’s policy.
Contact Proper Insurance to discuss the unique risks of Short Term Renting and receive an in depth policy comparison – (888) 631-6680!