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NY outlaws most Airbnb listings, imposes steep fines on hosts

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Lo-Volt

Member
I'm sure there are people who really needed Airbnb listings to make ends meet in this city (I personally know one or two) and I'm sorry that their residential costs will be even more onerous because the city and state just can't make good policy on this.

But I'm still in favor. I mean, Airbnb in New York City has been a vehicle for a lot of blatant abuse like: affordable housing lottery winners posting Airbnb offers for $500 a night. Airbnb is by no means the cause of New York City's housing woes, but it did exacerbate the problem: people who rented out their apartments for at least three months out of the year might have taken as much as 10 percent of rental units out of the market according to a not-for-profit report. Skeevy owners and even realty companies have been using Airbnb to basically run de facto hotels that cost as much as the real thing, taking housing opportunities away from residents.

And it isn't like Airbnb played nice with New York City or State, either. The state attorney general had to fight for months to get data from Airbnb to see who was violating housing laws in 2014. What did they think was going to happen?
 
Great news. I hope they do this in Los Angeles as well. In housing-scarce markets, cities should be prioritizing and protecting access for residents of those cities, not tourists.
 

Ogodei

Member

FiveThrityEight
says that AirBnB isn't raising rents, though.



I live in the Bay Area. There's no evidence that the housing is sky high out here because of AirBnB. It's just a scapegoat.

High housing prices can have more than one cause. Although yes, tackling the other causes first would have made Airbnb less of a problem, they're still contributing and easier to deal with. Residents who want to "preserve historic neighborhoods" are the big problem as we know, but those folks vote, unfortunately.
 

Syriel

Member
I think Airbnb should go after people who abuse the service.

The previous law didn't specifically target the abusers, but everyone including people who let one room in an apartment while still staying there themselves, and people letting their apartment while on vacation. The previous law was unreasonable, so of course airbnb isn't going to play nice. If the previous law had, with higher precision, targeted the abusers then I would be ok with going after airbnb for undermining a reasonable law.

The previous (and still existing law) made it illegal. If you don't like the law, change the law.

Yeah, same. I've had nothing but good experiences, both as a traveler and as a host. Many of my trips would have ended up being much more expensive if Airbnb wasn't an option. I realize this is a myopic way of looking at things, though.

My awesome Airbnb experiences have been those where the host was present.

My shitty Airbnb experiences have been where the host was not present, multiple rooms were rented out to separate people and we were told to go in a side door so building management wouldn't be made aware we were staying there.

SKETCH AS HELL.

These are businesses so wouldn't you need some form of license to operate these anyway?

Also, AirBNB is great in that it has allowed many people to travel for cheap. Hotels are fucking expensive.

You don't always have to stay at a W.

It's blunt because

It's pretty fair. It's been like that for awhile. If you're there, cool.

You have things to protect yourself against this with home owners associations and such that can ban it in the building. But there are also a lot of places without those where you still have neighbors, so how to deal with that then. The problem is there is no central place to manage this stuff. If you don't have a home owners association, the owner of the home won't do anything and the government can't find them for lack of proof, but you still have problems, what to do. Airbnb won't do anything, you can't even contact them for things like this!

If there are reasonable laws and Airbnb does not help to enforce those (which I think is their responsibility, because they offer people this platform where they don't look after local regulations and don't cooperate with local government to do so) then you need to go after Airbnb and in extension also the people who have good intentions and do not cause trouble. That is on Airbnb, not the government at that point. They can't just allow this to continue.

If Airbnb actually worked with cities, landlords and HOAs from the start to prevent illegal and prohibited uses (such as rent controlled tenants profiting by charging market rate for a rent controlled place) it would have a much different image than it does today.

When Airbnb works as intended it's great. You meet a local and get a cheap place to stay.

When Airbnb is just an investor flipping rooms, it feels like you've been scammed.
 

Carnby

Member
I'm not surprised. Albany already banned Uber and at the same time placed all cab services under the regulation of the public transportation department.
 

TAJ

Darkness cannot drive out darkness; only light can do that. Hate cannot drive out hate; only love can do that.
I see no problem with this. With housing already being scarce due to other factors, I've always seen AirBnB as a net negative.

In the town I was working in today probably half the houses and well over half the condos within two streets of the west end of town are AirBnBs. Basically all of the apartments are, too. It's disgusting.
 
I know people complain about expensive hotels in NYC, but it seems like people are only looking in Manhattan. I mean try an outer borough, or even stay in New Jersey. Depending on where you are you can get to Manhattan in about 20 min.
 

numble

Member
Yes? The primary beneficiary is the hotel industry's now government enforced monopoly on temporary lodging.did you really think that housing will become more affordable?
The government already had an enforced zoning monopoly, prohibiting such activities if the location was not zoned for such activity. The people renting them out illegally were already doing it illegally. This law just makes it illegal to act as an intermediary for illegal activity.

The hotel industry having a monopoly on being hotels is an oxymoron. This is not like an enforced taxi medallion monopoly, these people are not restricted from opening a hotel if they want to engage in hotel activity. It isn't like medallions where they restrict the total number, and it isn't the case of a single hotel company monopolizing the market.
 
T

Transhuman

Unconfirmed Member
Those zoning laws are the past and crowd-shared lodging is the future. Standing in the way of the future is stupid.
 
The government already had an enforced zoning monopoly, prohibiting such activities if the location was not zoned for such activity. The people renting them out illegally were already doing it illegally. This law just makes it illegal to act as an intermediary for illegal activity.

The hotel industry having a monopoly on being hotels is an oxymoron. This is not like an enforced taxi medallion monopoly, these people are not restricted from opening a hotel if they want to engage in hotel activity. It isn't like medallions where they restrict the total number, and it isn't the case of a single hotel company monopolizing the market.
I'm not sure how restating a tautology contradicts anything I said.
 

Tripon

Member
Considering that your entire point was a tautology?

Hotels having a hotel monolopy?


I don't get your point. Yes, companies in the hotel industry are competing in the hotel industry.

The Airbnb people were running hotels as well. They just weren't legally run.
 

Armaros

Member
I don't get your point. Yes, companies in the hotel industry are competing in the hotel industry.

The Airbnb people were running hotels as well. They just weren't legally run.

Because the argument was that banning an already illegal practice is protecting 'big hotels'

i dont call people running illegal hotels in the hotel business.

Anymore you dont call meth labs being a part of the phara industry.
 

numble

Member
I'm not sure how restating a tautology contradicts anything I said.
Please re-read. I clearly explained how oxymoronic it is to claim an industry has a monopoly on its own activity. This is like saying a law prohibiting gas stations in residentially zoned land (and preventing GasBuddy from advertising such illegal gas stations) is giving gas stations a government-enforced monopoly on gas stations.
 
Because the argument was that banning an already illegal practice is protecting 'big hotels'
No, the point was that enforcement of the original ban is what is defacto benefiting large hotel chains, which is the argument I was making. Saying hotels still get to be hotels in the hotel business is completely irrelevant to that point.
 

Tripon

Member
Because the argument was that banning an already illegal practice is protecting 'big hotels'

i dont call people running illegal hotels in the hotel business.

Anymore you dont call meth labs being a part of the phara industry.
Oh yeah, there's no protecting 'big hotels' here. Those establishments were not hurting for clients because of Airbnb.

Anyway, I'm sorry that people are paying more for their potential trip to New York. But there's a housing shortage and converting existing apartments to hotels isn't the solution.
 

Armaros

Member
No, the point was that enforcement of the original ban is what is defacto benefiting large hotel chains, which is the argument I was making. Saying hotels still get to be hotels in the hotel business is completely irrelevant to that point.

You think these laws only exist because of airbnb? You believe that shady landlords haven't tried to make illegal hotels out of residents before Airbnb?

How naive.
 

Bold One

Member
Is this actually a viable business practice? buying up apartments in major cities which can't be cheap and then renting them out as AirBNB..
 
You think these laws only exist because of airbnb? How naive.
No, many zoning and licensing schemes are deeply influenced by close ties to industries or insider groups that directly benefit. This seems incredibly obvious, so I'm not sure what you are attempting to argue.
You think that enforcement of these laws is only altruistic and in this or other cases is for the general welfare?
How naive.
 

Armaros

Member
No, many zoning and licensing schemes are deeply influenced by close ties to industries or insider groups that directly benefit. This seems incredibly obvious, so I'm not sure what you are attempting to argue.

So zoning laws to stop makeshift and unregulated hotels in residential areas is because of lobbying from 'big hotels'?

laughable. And now we are beyond naive, we have hit conspiracy theory mode.
 

Hazmat

Member
Is this actually a viable business practice? buying up apartments in major cities which can't be cheap and then renting them out as AirBNB..

Yes. Have you ever compared what an apartment costs per month to what a much smaller nearby hotel room costs per night?
 

Armaros

Member
Is this actually a viable business practice? buying up apartments in major cities which can't be cheap and then renting them out as AirBNB..

If you buy apartments in places with lots of incoming travelers, you can easily make many times market-rent a month per apartment.

Without all the hangups that come from long term tenants: constant maintenance and tenant laws.
 

D.Lo

Member
Airbnb was supposed to be a way to help pay off your holiday house, effectively a timesharing type situation. That's how it presents itself.

But I've stayed in them all over the world now, and 99% are professional landlords. I really like using airbnb, as you get to be in a real apartment like a local, but they are definitely skirting the law and bad for locals.
 
Has NY done something similar with Uber?

Yeah. Uber and Lyft aren't allowed to operate outside of the NYC area. Here in Buffalo, Uber will occasionally hold promos to gain public support—like delivering free ice cream or free copies of video games—but that's all they are allowed to do.
 

mashoutposse

Ante Up
There's a lot of BS that comes with short term rentals. It's not the easiest money, but it is very profitable if managed competently.

The law mandating that the host be present for sub-30 day stays makes sense. I don't think AirBnb has a leg to stand on if they're going to fight that. The service is just too negative an experience for non-participating locals.

Hotel rooms randomly embedded in non-commercial residential space is unfair to everyone else in the vicinity.
 
T

Transhuman

Unconfirmed Member
Without all the hangups that come from long term tenants: constant maintenance

Maintainence and cleaning would be more expensive in the case of temporary lodgers I would think.
 

Armaros

Member
Maintainence and cleaning would be more expensive in the case of temporary lodgers I would think.

More cleanup, less legally mandated fixes.

Not fixing X won't mean lawsuits because some places make the landlord legally responsible. You just get a bad rating.

With the much faster renevue intake vs actual rentals. You can see why so many landlords would jump at the chance.

The only thing is to not get caught.
 

Stinkles

Clothed, sober, cooperative
Hilarious to see people arguing about whether hotel groups influenced this decision.


The simpler question is, do you think they all just said, "let's let the people decide!"
 

numble

Member
Hilarious to see people arguing about whether hotel groups influenced this decision.


The simpler question is, do you think they all just said, "let's let the people decide!"

AirBnB spends more lobbying against these types of rules than the hotel industry spends lobbying for these rules:
http://www.huffingtonpost.com/entry/airbnb-san-francisco-proposition-f_us_56366676e4b0c66bae5cc3b6

Airbnb has spent more than $8 million and hired a top political operative to defeat a San Francisco initiative on the ballot Tuesday that could threaten the growth of one of the most valuable global technology companies.

...

The Prop. F campaign, which raised about $300,000 from hotel unions and affordable housing advocates, has discussed its proposal with officials and housing advocates in New York - whose city council is weighing restrictions on short-term rentals - Chicago, Los Angeles and other cities, said coalition cofounder Dale Carlson.
 

Brinbe

Member
A friend and I used it when visiting NY last year. Def saved us a bunch of money.

But it really does have tons of drawbacks. I can see why they'd ban it.
 
There is a difference between a person who wants to make a buck or two on an empty room in his or her house from time to time, but whole new corporations cropping to take advantage of this, and basically start renting units for cheap but charge hotel level of prices without the regulation or taxes that real hotels have to go through. It's not only unfair for legitimate hotels, it actually people affects housing availability in the city.

I think Airbnb is a great idea, but there should be regulations that would prevent this sort of abuse.
 

ameratsu

Member
I've posted about Airbnb before where I feel as though I made a point of looking at this from the tourist and local (participant and non-participant) perspectives.

That said, I have a negative opinion of hotels as being overpriced and bundling things I don't need in a place to stay. As much as I agree that Airbnb acting in bad faith regarding local laws is a real problem, hotels pretending like they can just keep phoning it in despite changing consumer preferences is similarly short-sighted.
 

Javaman

Member
Hotels should really start dropping room rates to be more competitive. There's no reason cookie cutter boxes should cost 2x the price per night that entire apartments do.
 
Hilarious to see people arguing about whether hotel groups influenced this decision.


The simpler question is, do you think they all just said, "let's let the people decide!"

First of all, this is America, the business always have large influence compare to other countries.

Secondly, why shouldn't the hotels have more influence than airbnb? They are the law abiding local business that pay proper commercial taxes and dues.
 

mashoutposse

Ante Up
First of all, this is America, the business always have large influence compare to other countries.

Secondly, why shouldn't the hotels have more influence than airbnb? They are the law abiding local business that pay proper commercial taxes and dues.

I'm starting to come around to this way of thinking. Hotels have to deal with regulations, vacancies, taxes, and everything else that comes with doing things legally. Unlike taxi companies, hotels do seem to be sufficiently self-policed by a user-driven feedback system (Yelp, TripAdvisor, etc).

Given the same pricing, I'd rather take an Uber than a tradition cab. That's 10 out of 10 times. Other than savings, I'm not sure the same can be said for AirBnb vs. a properly managed hotel. I think I'd prefer the consistency of a professionally designed and executed user experience over the hit or miss nature of a "sharing economy" living space.
 

Stinkles

Clothed, sober, cooperative
First of all, this is America, the business always have large influence compare to other countries.

Secondly, why shouldn't the hotels have more influence than airbnb? They are the law abiding local business that pay proper commercial taxes and dues.

I was opining on the phenomenon in the thread. But to answer your second question incumbent power and money isn't a position of moral strength.
 

Tripon

Member
I was opining on the phenomenon in the thread. But to answer your second question incumbent power and money isn't a position of moral strength.

No, but the argument that AirBNB is helping to contribute to rising rent for people living in cities is.
 
I was opining on the phenomenon in the thread. But to answer your second question incumbent power and money isn't a position of moral strength.

Did another argue in the moral angle? The legally operated hotels and motels have legal strength not moral strength.
 
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