Is Airbnb legal in Perth?

In Perth, Australia, new short-term rental regulations have been introduced to manage the growing popularity of Airbnb and similar platforms. Here is a brief overview of these regulations:

1. Registration Requirement: Starting January 1, 2025, all short-term rental (STR) properties in Western Australia will need to be registered with the state government's Short-Term Rental Accommodation (STRA) register. This registration system is expected to open in mid-2024. Hosts must obtain a unique registration number before advertising or accepting bookings for their properties.

2. Development Approval: For hosts planning to rent out an entire un-hosted property for more than 90 days a year in the Perth metropolitan area, obtaining development approval from the local council is mandatory. However, hosted STRs, where the owner resides on the property, are exempt from this requirement.

3. Safety Compliance: STR operators must comply with local fire safety standards and provide necessary safety equipment, including smoke alarms and fire extinguishers. An evacuation plan is also required to ensure guest safety.

4. Taxation: Hosts must declare rental income to the Australian Tax Office (ATO) as part of their taxable income. While Goods and Services Tax (GST) generally does not apply to residential rents, hosts earning above a specified revenue may need to register for and charge GST.

5. Local Council Regulations: Adherence to local council regulations, including occupancy limits, parking rules, and noise restrictions, is essential. Non-compliance can lead to penalties, although enforcement of these regulations can vary.

6. Documentation: In order to register, hosts must provide proof of identity, evidence of meeting safety standards, and details about maximum occupancy. If the property is part of a strata scheme, written approval from the strata company may also be necessary.

The implementation of these regulations reflects a broader trend across Australia to regulate the short-term rental market, balancing the interests of hosts with concerns over housing availability and community impact. As enforcement measures are expected to strengthen over time, prospective hosts in Perth must stay informed about the evolving legal landscape and ensure compliance to avoid fines and operational disruptions.