What is the 90 Day Rule?
The 90 Day Rule which was formerly called the Airbnb’s 90-Day Limit in London, is currently effective only in the city of Greater London. The 90 Day Rule is simply a rule that applies to property owners setting default limits on their entire space. Such property must be registered on Airbnb listings before the rule can be effective. Property owners are required by Airbnb to put a limit of 90 days of occupied nights per calendar year. It was introduced by Airbnb in January 2017, in the city of Greater London.
Airbnb has put a limit on the number of nights people (for lets) can occupy your apartment per year to 90. In other words, a property on Airbnb listing can’t be let out for more than 90 days of occupied nights per calendar year. Once the 90-day limit has been reached, bookings for your property will be automatically closed by Airbnb until the end of the year.
The 90 Day Rule does not apply to you if you are able to confirm that you have the necessary permit to rent your space for a longer period i.e. more than 90 Days on a consecutive let. However, anyone that does not satisfy the above condition and thereby go against the Airbnb rule may be penalized and pay a fee of £20,000.
Why Did the 90 Day Rule come into Action and its Purpose?
Two years ago, AirBnB evaluated that approximately 2 million visitors stayed at London’s 64,000 active listings spread across the capital city. This ever-increasing large number of guests is having an impact upon London’s housing supply. It is categorically true that since 2017, AirBnB has chosen to voluntarily support the 90 Day Rule that was made legal in 2015 by the Government’s Ministry of Housing, Communities & Local Government.
The Airbnb’s 90 Day Rule was put into practice with the focus of legalizing short lets in London. To its effect, property owners were required to apply for planning permission so as to rent out their homes for vacation lets (a short time lets)
This is because of the Greater London Act in 1973, which put into practice a London-specific rule that meant it was not possible for home owners to have any short lets of less than 90 days in any area of the city of Greater London. With effect of the Greater London Council Act in 1973, a flourishing home-sharing firm has emerged through such websites as Airbnb. The Deregulation Act 2015 also supports the benefits that the home-sharing industry brings to homeowners and the economy.
Another purpose of or say benefit of the Airbnb’s 90 Day Rule is that it reinforces homeowners to rent out their space without stress. This means that homeowners can now rent out their space without requiring a planning consent from the local council. Airbnb also added a feature on their online platform to support the Deregulation Act 2015. This was done in early 2017.
How to Work with the 90 Day Rule?
There are several questions as regarding how the 90 Day Rule works or as how to apply for the Planning Permission. In this section, we shall quickly consider some common frequently asked questions on how to work with the Rule below:
Q1: Does the AriBnB Rule apply to me if I rent out part of the rooms or the entire building?
ANS: The 90 Day Rule applies to everyone – whether you’re renting out the entire property or just some rooms out.
Q2: Can I let for more than 90 Days, despite the warning by AirBnB?
ANS: It is advisable you get the Planning Permission. If otherwise, AirBnB may take an effect with removing your property from a long-term lets private-rented sector, and placing them into a short-term lets listings.
Q3: How do I get the AirBnB Change of Use Planning Permission?
ANS: You should be aware that the Change of Use Planning Permission by AirBnB is just meant to support and guide homeowners so as not ta fall victims of the £20,000 fine that applies to anyone who rents a space for more than 90 days per year.
AirBnB 90 Day Rule benefits both the Homeowners and the Customer simultaneously. This
means that the property owners make income for the rented property while providing a good
worth of services for property users.
Finally, AirBnB is also one of the firms in the world that have a very low flat fee for reservations
made on its online platform (3% fee)