New Quebec home rental law having little effect
Less than 500 permits issued
Quebec is often held up as a model for other provinces to follow when it comes to regulating the growing home-sharing market, but doubts are being raised over whether recent provincial changes are having any impact.
In April, the provincial government amended its tourist accommodation law in an effort to help level the playing field between people who rent out their homes through services such as Airbnb, and hotels and bed and breakfasts.
Anyone advertising a rental accommodation for tourists for no more than 31 days on a “regular basis” is required to obtain a $250 permit, have at least $2 million of insurance and pay a nightly hotel tax. So far, fewer than 500 permits have been issued across the province, including just 41 in Montreal, according to the province’s Tourism Department.
That represents a fraction of the more than 10,000 units listed on websites like Airbnb, HomeAway and Kijiji.
Department spokesman Guy Simard said an increase in the number of inspectors from two to 23 and fines ranging between $2,500 and $50,000 will “certainly help dissuade illegal tourist establishment operations.”
“These modifications are only five months in the making (and) time is still required to put everything in place,” he said, adding that a campaign was launched in the summer to inform the public of the legislation. “Time will also tell if results are satisfying.”
Inspectors have processed 267 files since April, 200 of which stemmed from complaints. About half were found to be in compliance, while the rest continue to be evaluated. Two have been transferred for prosecution.
A city councillor for the chic Plateau district in Montreal, where there have been many neighbourhood complaints about homes operating as illegal lodgings, said the provincial efforts have had no effect.
“It’s so easy to go around the rule and go on with the illegal activity,” Marianne Giguere said.
Richard Geoffrion, a resident of Giguere’s district, said he has seen guests of neighbours’ homes — homes he believes are rented out illegally to tourists — throw wild late-night parties and misbehave to the point where it has attracted police surveillance.