The Municipality of Central Elgin has implemented a new bylaw that requires property owners to get a licence to list on short-term rental platforms like Airbnb and Vrbo, and it’s receiving mixed feedback from landlords.
This bylaw was approved over the summer and became effective on January 1st. Local officials report they’ve already received around 40 applications from landlords in Port Stanley, which attracts thousands of beachgoers, tourists, and cottage visitors each year.
“We are well on our way processing and certainly there are more units that will come online as we get closer to the summer,” said Delany Leitch, Central Elgin’s clerk.
Owners must now secure a valid licence before they can advertise, market, or rent out their property. The initial application fee is $300, along with an annual charge of $650 per unit. A fire inspection is also necessary, alongside a written statement confirming that the building meets the Building Code Act standards.
While some property owners have expressed worries about costs and potential declines in tourism, others believe the safety aspects of the bylaw will ultimately benefit both renters and operators.
“Initially, I thought more government interference is not what we need but after being on a panel when they were planning it, they convinced me that it’s not the worst thing; it’s just making sure our guests are safe and have proper egress,” remarked Jeff West, a local realtor who rents out his three-bedroom cottage in Port Stanley.
“It’s good to have them check and make sure those things are done properly to keep everybody safe who is staying in your place.”
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Jeff West rents out his three-bedroom cottage in Port Stanley. While he was initially against the bylaw, West says he realizes its safety component will be beneficial to both renters and landlords. (Submitted by Jeff West)
The bylaw describes a short-term rental as any dwelling rented to the public for less than 28 consecutive days, including bed and breakfasts, hostels, as well as rooming and boarding houses.
About 150 private homes in the municipality serve as short-term rentals; this number can rise up to 250 during peak season.
Applicants need to provide exterior photos of their rental properties along with site and floor plans showing details such as location, number of bedrooms, egress points, parking areas among other requirements.
“We all want to make sure there are basic standards and requirements that everyone can expect when you stay at a unit in Central Elgin similar to those followed by our hotel and motel operators,” explained Leitch.
Christopher Evans has been renting his Port Stanley cottage through Airbnb for three years now. He feels that these added fees contribute further financial strain on many homeowners especially since rentals tend to be seasonal here.
“It’s just so tight these days; more fees turn into more headaches especially for property owners who already face extremely high property taxes,” he stated.
“And since these properties aren’t rented throughout the year we often struggle with mortgage payments during off-seasons. Summer brings business but most of the year is quite slow.”
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Many of Central Elgin’s short-term rental listings are in Port Stanley; meanwhile municipal officials say they’re trying to attract more operators from London St. Thomas and Belmont areas. (Andrew Lupton/CBC)
Centrally located officials indicate this program should be revenue-neutral for them but Evans foresees some landlords may raise rental prices due to increased costs involved.
“I still struggle with understanding why we’re paying licensing fees intended for enforcement when we already cover those expenses through taxes,” said West who wants clarity on whether additional bylaw officers will specifically handle short-term rentals.
West welcomes this initiative stating it’ll enhance transparency for renters while helping promote available listings too; however he knows several property owners opting not apply for licences might choose instead sell their properties due regulations imposed through this law.
Centrally located Elgin aims take an “education-first” stance moving forward encouraging landlord feedback according Leitch adding her team seeks connect broader pool operators beyond municipal borders towards nearby cities such London St Thomas.
This makes Central Elgin partaking alongside London Kitchener Windsor along various lakeside municipalities including Amherstburg Bluewater Lambton Shores implementing regulations concerning short term rentals altogether.
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Municipality launches online directory of rentals
Central Elgin has also rolled out an interactive online map where visitors can check if a property holds a licence that complies with municipal rules simply by entering an address.Citizens can report issues like unauthorized short-term rental activities noise complaints or parking problems either online or via a 24-hour hotline.
West welcomes this initiative stating it’ll enhance transparency for renters while helping promote available listings too; however he knows several property owners opting not apply for licences might choose instead sell their properties due regulations imposed through this law.
Centrally located Elgin aims take an “education-first” stance moving forward encouraging landlord feedback according Leitch adding her team seeks connect broader pool operators beyond municipal borders towards nearby cities such London St Thomas.
This makes Central Elgin partaking alongside London Kitchener Windsor along various lakeside municipalities including Amherstburg Bluewater Lambton Shores implementing regulations concerning short term rentals altogether.
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