The City of Toronto has released two reports recommending short-term rental regulations, one dealing with zoning by-law amendments and the other recommending a registration and licensing program for short-term rentals.
Recommendations from Report on Zoning By-law Amendments to Permit Short-Term Rentals
- Short-term rentals (rentals that are less than 28 consecutive days) will be permitted in the principal residence of both owners and tenants.
- If less than the entire principal residence is being rented on a short-term basis, no more than three bed-sitting rooms in one dwelling unit may be rented on a short-term basis.
- Not more than one secondary suite (a self-contained living accommodation with food preparation and sanitary facilities for the exclusive use of the occupants) in a principal residence may be rented on a short-term basis. Only lawful secondary suites that have obtained building permits and comply with zoning by-laws, the Ontario Building Code and the Ontario Fire Code can be rented on a short-term basis.
- Short term rentals are not permitted in a vehicle.
The report indicates that the reason for limiting short-term rentals to principal residences is to decrease negative impacts relating to nuisance and safety issues by ensuring more hands-on oversight of the property by the host.
The report considered and refused to create an exemption from the principal residence requirement in condominiums whose declarations specifically permit short-term rentals:
“While the contents of a condominium corporation’s governing documents are intended to help regulate uses and activities, condominium rules and by-laws must follow all municipal by-laws. The rules and by-laws of a condominium corporation can be more restrictive than a municipal by-law (for example, prohibit a short-term rental), but cannot be more permissive.”
This report will be considered by the Planning and Growth Management Committee on November 15, 2017 and by City Council on December 6, 2017.
Click here to read the full report.
Recommendations from Report on Licensing and Registration Regulations for Short-Term Rentals
- Hosts advertising or offering short-term rentals in their principal residences must be registered with the City and pay an annual registration fee of $50. The City-issued registration number must be posted on all short-term rental advertisements.
- Hosts renting their entire principal residence on a short-term basis while they are away, are limited to a maximum of 180 nights per year.
- Hosts must make a declaration that the short-term rental address is their principal residence and that the property is in compliance with all laws, including the Ontario Building Code and the Ontario Fire Code. Hosts are not required to submit proof of principal residence upon registration, but are required to provide proof upon request by the City Municipal Licensing and Standards department. Government-issued documents indicating both the name and address of the host as well as personal tax documents will constitute proof.
- Hosts must keep records of short-term rental activity and provide them to the City upon request.
- Hosts must provide emergency information to guests and contact information for a person available by phone 24/7.
- Short-term rental companies must be licensed and pay a one-time licence application fee of $5000 and a fee of $1 for each night booked through the company.
- Short-term rental companies must ensure that all listings have a valid registration number.
- Short-term rental companies must develop a procedure to mitigate neighbourhood nuisances.
- Short-term rental companies must provide the City with information about short-term rental activity.
This report will be considered by the Licensing and Standards Committee on November 16, 2017 and by City Council on December 6, 2017.
Click here to read the full report.