{"id":34548,"date":"2020-04-30T11:35:42","date_gmt":"2020-04-30T03:35:42","guid":{"rendered":"https:\/\/zegal.com\/?p=34548"},"modified":"2024-01-12T09:24:08","modified_gmt":"2024-01-12T01:24:08","slug":"airbnb-rentals-legality","status":"publish","type":"post","link":"https:\/\/zegal.com\/en-gb\/blog\/post\/airbnb-rentals-legality\/","title":{"rendered":"Airbnb rentals legality around the globe"},"content":{"rendered":"<div id=\"contentsContainer\">\n<div id=\"contents\">\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-large wp-image-34804\" src=\"https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-1024x768.jpg\" alt=\"\" width=\"1024\" height=\"768\" srcset=\"https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-1024x768.jpg 1024w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-300x225.jpg 300w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-768x576.jpg 768w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-1536x1152.jpg 1536w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-2048x1536.jpg 2048w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-640x480.jpg 640w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-1200x900.jpg 1200w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-1920x1440.jpg 1920w\" sizes=\"auto, (max-width: 639px) 98vw, (max-width: 1199px) 64vw, 770px\" \/><\/p>\n<p id=\"E324\" class=\"qowt-stl-Normal1\"><span id=\"E325\">Airbnb apartments have changed the way people book, and think about, accommodation when travelling. Not only are Airbnbs a cheaper option for travellers, and often more convenient, they also offer a more culturally-rich experience. It is no wonder this type of lodging has taken the world by storm. But have you ever wondered if this is actually permitted under the law? Each city and country has its own laws that govern how short term rentals can operate, this article is going to explore some of them.<\/span><\/p>\n<h4 id=\"E327\" class=\"qowt-stl-Normal1\"><span id=\"E328\">Hong Kong<\/span><\/h4>\n<p id=\"E330\" class=\"qowt-stl-Normal1\"><span id=\"E331\">All operations of hotels and short-term guesthouses in Hong Kong are regulated by the Hotel and Guesthouse Accommodation Ordinance (<\/span><span id=\"E332\">\u201c<\/span><span id=\"E333\">HAGAO<\/span><span id=\"E334\">\u201d<\/span><span id=\"E335\">). Under the ordinance, anyone who intends to operate, keep, manage, or control a hotel or guesthouse has to hold a valid licence. The requirement of the license is to ensure that these accommodations are safe and fit for living. To acquire a license, hotels and guesthouses have to satisfy strict requirements, here is an overview of the major features:<\/span><\/p>\n<ul>\n<li id=\"E337\" class=\"qowt-li-4_0 qowt-list qowt-stl-Normal1\">\n<h6><span id=\"E338\">Building safety and sanitation<\/span><\/h6>\n<ul style=\"list-style-type: circle;\">\n<li class=\"qowt-li-4_0 qowt-list qowt-stl-Normal1\"><span id=\"E340\">Follow the Codes of Practice issued by the Buildings Department \u2014 including the provision of , fire-resisting constructions, a means of escape in case of fire and a means of access for firefighting<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Have sufficient lighting, ventilation and sanitary fitments (eg. hand basins, showers, proper water supply and water drainage systems)<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Free from unauthorised building work<\/span><\/li>\n<\/ul>\n<\/li>\n<li id=\"E337\" class=\"qowt-li-4_0 qowt-list qowt-stl-Normal1\">\n<h6>\u00a0Fire safety<\/h6>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">Follow the Fire Services Department\u2019s Codes of Practice for minimum fire service installations and equipment<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Follow The Building (Ventilating Systems) Regulations for installation of ventilation systems<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Follow The Electricity (Wiring) Regulations for fixed electrical installation works<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Follow The Gas Safety Ordinance for the use and installation of gas works<\/span><\/li>\n<\/ul>\n<\/li>\n<li id=\"E358\" class=\"qowt-li-4_0 qowt-list qowt-stl-Normal1\">\n<h6><span id=\"E359\">Choice of location<\/span><\/h6>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">Premise is for domestic or hotel use as approved by the Building Authority or is situated in a domestic use village or has obtained written acceptance from the Building Authority to change the use from non-domestic to domestic\/hotel<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Industrial building, a basement, an unauthorised structure or on upper floors (unless previously permitted) are strictly banned<\/span><\/li>\n<\/ul>\n<\/li>\n<li id=\"E365\" class=\"qowt-li-3_0 qowt-list qowt-stl-Normal1\">\n<h6><span id=\"E366\">Administrative measures<\/span><\/h6>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">A 24-hour manned counter is in place<\/span><\/li>\n<\/ul>\n<\/li>\n<li>\n<h6><span style=\"font-size: inherit;\">Insurance<\/span><\/h6>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">A third party risks insurance policy with a minimum limit of indemnity of HK$10 million per event and cover for unlimited events for any one period of insurance is in place<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p id=\"E375\" class=\"qowt-stl-Normal1\"><span id=\"E376\">Given these stringent and complicated requirements, a regular domestic premise is unlikely to qualify for a license. Nonetheless, unlicensed guesthouses are commonly seen in Hong Kong. <\/span><\/p>\n<p class=\"qowt-stl-Normal1\"><span id=\"E376\">However, the maximum penalty for running an unlicensed guesthouse is a <\/span><span style=\"font-size: inherit;\"><strong>HK$200,000 fine and two year\u2019s imprisonment<\/strong>. The Office of the Licensing Authority under <\/span><span id=\"E377\" style=\"font-size: inherit;\">the Home Affairs Department also dedicates a team to browse the internet for suspected unlicensed guest houses. Each year, hundreds of homeowners are convicted. As such, despite the lucrative returns from renting out your apartment, the legal risks of operating an unlicensed guesthouse are pretty high.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-large wp-image-34798\" src=\"https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-1024x683.jpg\" alt=\"\" width=\"1024\" height=\"683\" srcset=\"https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-1024x683.jpg 1024w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-300x200.jpg 300w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-768x513.jpg 768w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-1536x1025.jpg 1536w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-2048x1367.jpg 2048w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-640x427.jpg 640w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-1200x801.jpg 1200w, https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/stephen-wheeler-hBh9JbyeCtg-unsplash-1920x1281.jpg 1920w\" sizes=\"auto, (max-width: 639px) 98vw, (max-width: 1199px) 64vw, 770px\" \/><\/p>\n<\/div>\n<\/div>\n<div id=\"contentsContainer\">\n<div id=\"contents\">\n<h4 id=\"E380\" class=\"qowt-stl-Normal1\"><span id=\"E381\">Australia <\/span><\/h4>\n<p id=\"E383\" class=\"qowt-stl-Normal1\"><span id=\"E384\">The Australian Residential Tenancy laws apply to tenancies for periods above 3 months. Airbnb short term rentals are therefore not governed by this law. In light of the rising trend for short-term rentals, the <\/span><span id=\"E385\">Fair Trading Act 1987 <\/span><span id=\"E386\">introduced sections 52A to 54E to fill the 3-month gap. <\/span><\/p>\n<p id=\"E388\" class=\"qowt-stl-Normal1\"><span id=\"E389\">The applicability of the new law is as follows: <\/span><\/p>\n<ul>\n<li id=\"E391\" class=\"qowt-li-5_0 qowt-list qowt-stl-Normal1\"><span id=\"E392\">Time period:<\/span>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">Rental not more than 3 months at any one time<\/span><\/li>\n<\/ul>\n<\/li>\n<li id=\"E396\" class=\"qowt-li-5_0 qowt-list qowt-stl-Normal1\"><span id=\"E397\">Premises:<\/span>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">Residential premises used for a commercial arrangement<\/span><\/li>\n<\/ul>\n<\/li>\n<li><span style=\"font-size: inherit;\">Short-term rental accommodation industry participants<\/span>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">Platforms that provide online booking service (eg. Airbnb or HomeAway)<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Agents that carry on this business (eg. <a href=\"http:\/\/ziprent.com\">property managers<\/a> or holiday letting agents)<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Hosts giving another person a right to occupy as a short-term rental<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Visitors occupying for a short-term rental<\/span><\/li>\n<li><span style=\"font-size: inherit;\">Any other person that facilitates short-term rental accommodation arrangements<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p id=\"E414\" class=\"qowt-stl-Normal1\"><span id=\"E415\">If your situation falls within the application of the new law, you must comply with the \u2018Code of Conduct for the Short-term Rental Accommodation Industry\u2019. The code is very comprehensive and aims to ensure safety, honesty, responsibility and social-friendly behaviour from all parties. It sets out the rights and obligations of short-term rental accommodation industry participants. If you are an Airbnb host or a related agent, be sure to familiarise yourself with the code to avoid any breaches. Visit the official government website for detailed provisions of the code. A serious contravention of the code will be a criminal offence, punishable by a <strong>fine of up to AU$1.1 million for corporations and AU$220,000 for individuals.<\/strong> <\/span><\/p>\n<h4 id=\"E417\" class=\"qowt-stl-Normal1\"><span id=\"E418\">Singapore<\/span><\/h4>\n<p id=\"E420\" class=\"qowt-stl-Normal1\"><span id=\"E421\">There are estimated over 7000 Singapore property listings on Airbnb. However, you are likely to be in breach of Singapore\u2019s housing laws when renting your property out. In general, short-term rentals under these circumstances are illegal:<\/span><\/p>\n<ul>\n<li id=\"E423\" class=\"qowt-li-1_0 qowt-list qowt-stl-Normal1\"><span id=\"E424\">Renting out your Housing Development Board (HDB) flat<\/span>\n<ul style=\"list-style-type: circle;\">\n<li><span id=\"E426\" style=\"font-size: inherit;\">HDB flats cannot be rent out to tourists, except foreigners who hold passes such as <\/span><span id=\"E429\" style=\"font-size: inherit;\">Student Passes and Long-Term Social Visit Passes<\/span><\/li>\n<\/ul>\n<\/li>\n<li><span style=\"font-size: inherit;\">Renting out your property for too short a period of time<\/span>\n<ul style=\"list-style-type: circle;\">\n<li>Private residential property owners are prohibited to rent out their property for less than 3 consecutive months unless permission is obtained from the Urban Redevelopment Authority (URA)<\/li>\n<\/ul>\n<\/li>\n<li><span style=\"font-size: inherit;\">Renting out your property to too many people at one time<\/span>\n<ul style=\"list-style-type: circle;\">\n<li><span style=\"font-size: inherit;\">Up to 6 people are allowed to stay in a private residential property at any one time unless permission is obtained from the URA<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/div>\n<\/div>\n<div id=\"contentsContainer\">\n<div id=\"contents\">\n<p id=\"E442\" class=\"qowt-stl-Normal1\"><span id=\"E443\">As can be seen, Singapore\u2019s housing law pretty much forbids Airbnb arrangements given the 3-month rule. Owners found guilty can be fined up to <strong>$200,000 and $10,000 for each extra day of rental after conviction and a possible jail term of up to 12 months. <\/strong><\/span><\/p>\n<p id=\"E445\" class=\"qowt-stl-Normal1\"><span id=\"E446\">The laws and regulations surrounding short-term rentals vary from country to country. Breaching housing laws often come with hefty liabilities. It is advisable to go through your hometown\u2019s laws before listing your premise on platforms like Airbnb.<\/span><\/p>\n<p class=\"p1\" style=\"text-align: center;\"><b><i>This article does not constitute legal advice.<\/i><\/b><\/p>\n<p class=\"p2\" style=\"text-align: center;\"><i>The opinions expressed in the column above represent the author\u2019s own.<\/i><\/p>\n<p class=\"p3\" style=\"text-align: center;\"><span class=\"s1\"><a href=\"https:\/\/register.zegal.com\/\"><b>Start managing your legal needs with Zegal today<\/b><\/a><\/span><\/p>\n<p><a href=\"https:\/\/zegal.com\/blog\/post\/singapores-e-payment-user-protection-guidelines\/\">READ MORE:Everything You Need To Know On Singapore\u2019s E-payment User Guidelines<\/a><\/p>\n<p><a href=\"https:\/\/zegal.com\/blog\/post\/will-singapores-employment-act-affect-your-business\/\">FURTHER READING: Will Singapore\u2019s Changes To The Employment Act Affect Your Business?<\/a><\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Airbnb apartments have changed the way people book, and think about, accommodation when travelling. Not only are Airbnbs a cheaper option for travellers, and often more convenient, they also offer a more culturally-rich experience. It is no wonder this type of lodging has taken the world by storm. But have you ever wondered if this [&hellip;]<\/p>\n","protected":false},"author":51,"featured_media":34804,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_editorskit_title_hidden":false,"_editorskit_reading_time":4,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","inline_featured_image":false,"footnotes":""},"categories":[14278,14281],"tags":[1812,30],"usecases":[],"businesstypes":[],"country":[],"class_list":["post-34548","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-management","category-legal","tag-australia","tag-hong-kong"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v20.8 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Airbnb rentals legality around the globe | Zegal UK<\/title>\n<meta name=\"description\" content=\"How do the laws around short term rental sites differ from Hong Kong, Singapore and Australia? Find out before you put your flat up on Airbnb to rent\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/zegal.com\/en-gb\/wp-json\/wp\/v2\/posts\/34548\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Airbnb rentals legality around the globe\" \/>\n<meta property=\"og:description\" content=\"How do the laws around short term rental sites differ from Hong Kong, Singapore and Australia? Find out before you put your flat up on Airbnb to rent\" \/>\n<meta property=\"og:url\" content=\"https:\/\/zegal.com\/en-gb\/blog\/post\/airbnb-rentals-legality\/\" \/>\n<meta property=\"og:site_name\" content=\"Zegal UK\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/getzegal\/\" \/>\n<meta property=\"article:published_time\" content=\"2020-04-30T03:35:42+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2024-01-12T01:24:08+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/zegal.com\/wp-content\/uploads\/2020\/04\/fabien-maurin-uaOzturxv9c-unsplash-scaled.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"2560\" \/>\n\t<meta property=\"og:image:height\" content=\"1920\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Will Elton\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@getzegal\" \/>\n<meta name=\"twitter:site\" content=\"@getzegal\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Will Elton\" \/>\n\t<meta name=\"twitter:label2\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"5 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/\"},\"author\":{\"name\":\"Will Elton\",\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/#\\\/schema\\\/person\\\/35f6500efc50a6bfea56d0c481815347\"},\"headline\":\"Airbnb rentals legality around the globe\",\"datePublished\":\"2020-04-30T03:35:42+00:00\",\"dateModified\":\"2024-01-12T01:24:08+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/\"},\"wordCount\":997,\"publisher\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/zegal.com\\\/wp-content\\\/uploads\\\/2020\\\/04\\\/fabien-maurin-uaOzturxv9c-unsplash-scaled.jpg\",\"keywords\":[\"Australia\",\"Hong Kong\"],\"articleSection\":[\"Business Management\",\"Legal\"],\"inLanguage\":\"en-GB\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/\",\"url\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/\",\"name\":\"Airbnb rentals legality around the globe | Zegal UK\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/zegal.com\\\/en-gb\\\/blog\\\/post\\\/airbnb-rentals-legality\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/zegal.com\\\/wp-content\\\/uploads\\\/2020\\\/04\\\/fabien-maurin-uaOzturxv9c-unsplash-scaled.jpg\",\"datePublished\":\"2020-04-30T03:35:42+00:00\",\"dateModified\":\"2024-01-12T01:24:08+00:00\",\"description\":\"How do the laws around short term rental sites differ from Hong Kong, Singapore and Australia? 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