This week brought noteworthy updates from the BC Government, specifically the introduction of the Short-Term Rentals Accommodations Act. Here’s a breakdown of key points you should be aware of:
The act introduces a new principal residence requirement that limits short-term rentals to:
The host’s principal residence, which is the dwelling where an individual resides for the majority of the calendar year.
One additional secondary suite within that principal dwelling, or
One accessory dwelling unit on the same property, often known as a garden suite, laneway home, carriage house, or garage suite.
The legislation also revises the maximum fine structure, elevating it to a uniform $50,000, up from the previous $2,000 limit.
In addition, there will be new requirements for business licenses, provincial registration, platform accountability, and enhanced enforcement measures. Furthermore, confidential data sharing between platforms and regulators is set to be implemented. For more in-depth information, you can read the full details HERE.
As for the timeline:
Immediate actions post-Royal Assent include increased fines and extended business licensing authority for regional districts.
By May 1, 2024, the principal residence requirement will take effect.
Data sharing is expected by the summer of 2024.
The provincial registry will likely launch by the end of 2024, requiring platforms to remove listings that lack valid provincial registry numbers.
This legislative change will have far-reaching implications for investors across BC. We’ll continue to keep you informed as more details emerge.