INTERNATLIOENGAALL
By Nishad Khan, Esq.
2019 Real Estate Legal
Summit Presenter
“Short-term and Vacation
Rentals”
There are close to 5 million Airbnb
listings around the world, and
Airbnb projects to earn close to
$3.5 billion a year by 2020.
Florida is a major profit center. Earlier
this year Airbnb announced that more than
45,000 Floridian Airbnb hosts earned a combined
$810 million while hosting 4.5 million
guests in Florida.
Airbnb provides an online matching
service for property owners and short-term
renters. Airbnb does not own or operate the
properties; rather, they handle advertising,
owner-renter communications, booking,
and payment processing in exchange for
commission from renters and property
owners. The homeowners act as independent
contractors and are responsible for
cleaning, maintenance, repairs, insurance,
and compliance with regulations and laws.
Most short-term vacation rental websites
use the same model as Airbnb.
In 2011, the Florida Legislature enacted
new legislation that preempted any regulation
of short-term vacation rental units by
any local government that did not have a
regulation adopted prior to the passage of
the law to the State of Florida. In essence,
the legislation barred local governments
from regulating short-term rentals, and
“grandfathered” any regulations adopted
on or before June 1st, 2011. This created
a patchwork of municipalities throughout
Florida with diff erent rules and regulations
controlling short-term
rentals.
The Florida Legislature
recognized the
issue and amended
the statute in 2014.
The current law bars
local governments
from prohibiting or
regulating the frequency
or duration
of short-term rentals.
However, local
governments can
adopt ordinances
to address issues
created by shortterm
rentals such
as noise and parking.
Despite the statute, local governments
have found methods to regulate short-term
rentals. The City of Miami Beach bans shortterm
rentals in all single-family homes and
only allows short-term rentals in certain
zoning districts. Fort Lauderdale recently
enacted an ordinance requiring all vacation
rentals, except timeshares, to off icially
register their property with the city and pass
an inspection. Flagler County regulations
range from the maximum number of occupants
to the minimum number of parking
spaces needed per guest. Orlando limits
short-term rental hosts to one booking at a
time, a maximum of two people per room,
and no more than four non-family members
in a short-term rental at one time.
Additionally, guests are required to pay
certain taxes as part of their reservation.
Airbnb collects and remits on behalf of
hosts sales tax across the State of Florida.
Florida hosts in certain counties must collect
and remit county taxes in accordance
with county law; however, Airbnb also collects
and remits tourism taxes on
behalf of hosts in
certain counties.
Finding a shortterm
vacation rental
requires a bit of
due diligence. Once
a property is identified,
agents should
contact the appropriate
local agencies
to determine
whether the property
is located in an area
that allows short-term
rentals. If so, agents
should inquire about
the registration or
application requirements
at both the local and state level. It’s
also important to understand and abide
by other contracts or rules, such as leases,
condo board or co-op rules, HOA rules or
rules established by tenant organizations.
> Nishad Khan, Esq., Nishad Khan, P.L., will be
presenting “Short-term and Vacation Rentals” at the
2019 Real Estate Legal Summit on September 5 (visit
orlandorealtors.org to register). He can be reached at
nak@nishadkhanlaw.com.
are clearly visible to anyone or have a sign,
perhaps on the entry door, indicating that
the property is under video surveillance.
For your buyer’s agents, it is usually good
practice to ask your clients to wait until they
have left the property to discuss the likes,
dislikes, pros, and cons of the property.
> Andrew M. Fisher, J.D., M.B.A., Fisher Law, P.A., will
be presenting “Audio/Video Recording” at the 2019
Real Estate Legal Summit on September 5 (visit
orlandorealtors.org to register). He can be reached at
afisher@fisherlaw.com.
The Short End
Agents representing a short-term vacation home buyer can avoid a long mess by
contacting regulatory agencies to inquire about registration and application requirements
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