B.C.'s short-term rental regulations: here's what to know (2024)

Travellers who have made short-term rental bookings in B.C. this summer might want to take a closer look at how the province’s new regulations could impact them and their travel plans.

The new rules are in effect May 1 and are intended to return short-term rental units to the long-term rental market.

Potential guests are beginning to wonder if their bookings could be cancelled, leaving them without a backup option. Some operators and hosts are doing their best to answer questions. Both sides are seeking to understand the changing landscape and the fine print of the legislation, which includes steeper fines and the launch of a provincial registry and enforcement unit.

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Here’s what we know so far:

What are the new short-term rental regulations in B.C.?

Beginning May 1, 2024, new rules come into effect that restrict short-term rentals to principal residences and either a secondary suite or what is known as an “accessory dwelling unit,” such as a laneway house, in 65 B.C. communities.

Which B.C. communities are affected by the short-term rental regulations?

The 65 communities in B.C. that will have to meet new regulations are ones with a population of more than 10,000 people or that are very close to one or more larger communities. The province has identified smaller communities and some tourist destinations that are exempt from the new regulations. These include mountain resorts, B.C. Parks resorts, trust areas under the Islands Trust Act, and farm land. Certain types of accommodation that wouldn’t easily be converted into permanent housing because of their ownership structures are also exempt.

What’s the reaction to the new short-term rental regulations?

Local governments can apply to be exempt from the list if the community has a rental vacancy rate of three per cent or more for two consecutive years. This year, the deadline for applying for an exemption was Feb. 29, 2024. In future years, any changes will be implemented on Nov. 1 and the deadline for applying for them will be on March 31.

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In Parksville, owners in an area of 300 short-term rental suites near Rathtrevor Beach, known as Resort Drive, voiced opposition to being included on the list and advocating for an exemption.

“People are confused as to what to do until then,” said Judy Thomas, who manages rentals for owners of units that were built and have long existed under municipal tourism zoning.

Earlier this year, she started reaching out to people with bookings to let them know of the situation and of efforts to press for an exemption.

One of the people she informed was Rob Lennox, who made a booking months ago for a two-week stay this summer, as he has done for his family for more than 35 years.

“All of a sudden, that that booking might be in jeopardy causes me concern,” said Lennox.

Questions are also being raised by owners in a few other areas of Victoria and Kelowna, where there are purpose-built, strata units used by owners as vacation properties and rented out the rest of the time, said Walt Judas, CEO of the Tourism Industry Association of B.C., which supports the government’s legislation.

“We have been working with government on further exemptions for those owners to continue to accommodate visitors, but in the meantime, we’ll see how the broader regulations affect visitation, and if, in a year, adjustment is needed, it can be looked into,” said Judas.

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What are the fines?

The province is increasing the maximum fines that regional districts can set for prosecution of bylaw offences from $2,000 to $50,000. It’s also increasing the maximum ticketing fine that a local government can set from $1,000 to $3,000 an infraction, per day.

How will the short-term rental regulations be enforced?

The province will set up a short-term rental registry starting in late 2024 or early 2025. This will allow the province to see which short-term rental hosts and platforms are following the rules and give the province and local governments information for enforcing the rules. A provincial enforcement unit will track compliance, issue orders and administer penalties.

This summer, local governments will start to share information with the province so it can enforce rules when there are ads for short-term rental listings that don’t have business licences.

The terms for cancelling a booking and returning of deposits vary widely. Many bookings take a deposit and require the balance to be paid 60 or 90 days ahead of the booking so for bookings in July, this next step would begin in early April or May.

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What do big players in the short-term rental market predict will happen this summer?

Airbnb says it’s too early to tell. It’s pointing questions from hosts and guests to the government’s website outlining the new regulations.

“We’re working to minimize the impact strict regulations will have on travellers in B.C. While it’s too soon to know exactly what the landscape will be in May, we do know the people who will be impacted the most are B.C. residents with a record 1.1 million British Columbian guest arrivals within the province last year,” said Nathan Rotman, policy lead for Canada at Airbnb in a statement.

New short-term rental rules affect these 65 B.C. communities:

• Abbotsford
• Anmore
• Belcarra
• Burnaby
• Campbell River
• Central Saanich
• Chilliwack
• Coldstream
• Colwood
• Comox
• Coquitlam
• Courtenay
• Cranbrook
• Cumberland
• Dawson Creek
• Delta
• Duncan
• Esquimalt
• Fort St. John
• Highlands
• Kamloops
• Kelowna
• Lake Country
• Langford
• Langley (City)
• Langley (Township)
• Maple Ridge
• Metchosin
• Mission
• Nanaimo
• Nelson
• New Westminster,
• North Cowichan
• North Saanich
• North Vancouver (City)
• North Vancouver (District)
• Oak Bay, Parksville
• Penticton
• Pitt Meadows
• Port Alberni
• Port Coquitlam
• Port Moody
• Pouce Coupe
• Powell River
• Prince George
• Richmond
• Qualicum Beach
• Saanich
• Salmon Arm
• Sechelt
• Sidney
• Sooke
• Squamish
• Summerland
• Surrey
• Terrace
• Vancouver
• Vernon
• Victoria
• View Royal
• West Kelowna
• West Vancouver
• White Rock
• Williams Lake

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