Santa Monica Cuts Air BnB Short Term Rentals – Santa Monica Real Estate
Santa Monica has just passed some of the strictest laws around for Airbnbs and other short-term rentals. They voted to entirely ban anyone from renting out full units for less than 30 days and to allow home-sharing (in which an occupant rents just a room or a couch) only if the occupant registers and pays taxes on the unit. It is said that this move could slash the number of Santa Monica listings on Airbnb from 1,700 to just 300.
By eliminating full units for use as vacation rentals, Santa Monica has taken one of the strongest stances of any city against the practice of professional landlords hoarding all their properties for tourists instead of for actual renters, keeping housing off an already crunched and expensive market.
A study from the Los Angeles Alliance for a New Economy, released in March, showed that Santa Monica was Airbnb’s second highest revenue-generating neighborhood, after neighboring Venice. They stated that 70 percent of Santa Monica’s listings on Airbnb are for full units, and full units are responsible for 87 percent of the money generated by Airbnb in Santa Monica. Airbnb takes a 3 percent commission from hosts and between 6 and 12 percent from renters.