An unintended consequence of Raleigh’s Airbnb crackdown

Raleigh’s tight restrictions on homestays (or short-term rentals, such as by Airbnb) will take effect beginning next year. With some exemptions, they include:

  • You can’t rent your whole house
  • You can’t rent more than two rooms
  • You can’t rent to more than two adults per room
  • You can’t rent rooms with a kitchen or cooking space
  • You can’t rent rooms with privacy from the main home
  • You can’t rent to anyone unless you are present on-site during their stay
  • You can’t rent at all without first getting a permit for $172 and renewing it annually for $86

The fine for any violation will be $500 per day.

My research brief highlights an unintended consequence of all these can’ts. Unlike this year, next year would-be Raleigh hosts might not be able to help as much with emergency lodging via Airbnb’s Open Homes program. Read the brief for more information.

Jon Sanders / Director of Regulatory Studies

Jon Sanders studies regulatory policy, a veritable kudzu of invasive government and unintended consequences. As director of regulatory studies at the John Locke Foundation, Jo...

Reader Comments