New York's Airbnb Crackdown Drives Short-Term Rentals Underground

New York's restrictions on Airbnb and other rental platforms are creating an informal black market for short-term rentals.
Hosts are reverting to old methods like Craigslist, Facebook, and word-of-mouth to find guests outside of formal platforms.
Some hosts and tenants rely on rental income, so they'll find ways around the rules despite legal risks.
Officials acknowledge an ongoing black market, but say illegal rentals reduce housing stock during a shortage.
Hosts and guests say informal methods lack protections like reviews and payment systems that platforms provide.

gothamist.com

Relevant topic timeline:

9/3/2023

NYC Airbnb reckoning: New restrictions will make life more difficult for hosts, and some may find their listings banned altogether

New York City will start enforcing a law requiring short-term rental hosts on platforms like Airbnb to register, with new rules including bans on entire-unit rentals and a requirement for hosts to stay in-unit with guests, which could lead to the closure of thousands of rentals, while some operators see it as an opportunity for luxury short-term rentals.

9/4/2023

Thousands of NYC Airbnb listings face removal as city drags feet over...

Thousands of Airbnb rentals in New York City may be delisted due to the city's failure to verify new regulations, leaving hosts uncertain and potentially facing fines of up to $5,000.

9/4/2023

New rule to take effect for NYC's short-term rentals

Starting Tuesday, New York City's new law requiring landlords to register with the city in order to maintain their listings on Airbnb, Vrbo or similar sites is set to nullify thousands of short-term rental listings and could result in fines of up to $5,000 for violators.

9/6/2023

New York City’s crackdown on Airbnb and short-term rentals goes into effect

New rules in New York City require short-term rental hosts to register with the city government, with fines ranging from $1,000 to $5,000 for violations, in an effort to crack down on illegal listings and protect travelers from unsafe accommodations.

9/13/2023

Dave Ramsey Warns Against Risks of Airbnb Real Estate Investing

Dave Ramsey advises against buying property to turn into a vacation rental, warning that running an Airbnb requires a lot of work, can lead to property damage, and may face backlash from certain cities.

9/15/2023

NYC Airbnb Crackdown Leads to Listing Decline, But Housing Market Impact Unclear

The decline of Airbnb due to new restrictions in New York City has raised concerns that it could lead to a collapse in the American housing market, according to financial guru Robert Kiyosaki, who also sees it as a potential financial opportunity for investors and homebuyers.