Is Airbnb legal in New Orleans?

New Orleans has implemented a comprehensive framework for regulating short-term rentals (STRs), particularly focusing on platforms like Airbnb and Vrbo. The City Council has passed a new ordinance mandating that these platforms verify that all listings possess valid city-issued STR permits before they can be booked. This law, which will take effect in March 2025, requires platforms to establish an electronic system for permit verification and to reverify listings regularly, with the added obligation of providing monthly reports to the city.

Key regulations include:

1. Permit Requirements: Hosts must obtain both an Operator permit and an Owner permit to operate legally. Non-Commercial STRs are limited to one permit per square block, while Commercial STRs have different allowances based on zoning.

2. Compliance and Enforcement: Platforms face penalties of up to $1,000 per illegal listing per day for noncompliance, underscoring the city's commitment to enforcing these regulations.

3. Lodging Taxes: STR operators are required to adhere to various lodging tax obligations, inclusive of state and local taxes. While Airbnb collects some taxes on behalf of hosts, other platforms like Vrbo do not, which necessitates hosts’ due diligence in tax reporting.

4. Moratoriums and Controversies: Amid ongoing debates over STR regulations, including limits on permits and oversight of special exemptions, the City Council has placed a moratorium on allowing additional permits until clarified administrative processes are established.

These regulations aim to strike a balance between the investment potential of STRs and the concerns of local communities regarding housing availability and neighborhood integrity.