The French capital is about to put a ban on Airbnb rentals for short-term stays.
The officials of Paris have proposed a ban that might shake up Airbnb, having in mind that Paris is one of the most acclaimed tourist destinations, and therefore market, in the world.
According to expert research, there are over 60, 000 homes for rent in Paris that are offered on Airbnb which makes this European city to be one of the most popular for short-term renting.
The largest group of people who push this initiative is the Communist Party, led by Ian Brossart, a member of the Paris City Council, along with the Deputy Mayor and the head of the City Housing.
As Brossart has stated, the City Council is mainly concerned for the rising price of the rent in the center which makes a great impact on areas that have been residential for more than a century and this makes people relocate.
Vacated homes and flats are therefore used only as short-term rentals.
Furthermore, Brossart said that he wanted to prevent the whole city to become an “open-air museum”.
He explained that Airbnbs spread and policy is a threat to the soul of the city and that if they do not put restrictions, soon Paris will have no inhabitants in the central neighborhoods.
To sum up, it will become a city reserved for the high class, leaving no place for “ordinary” citizens.
How Airbnb Responded
Airbnb faced the recommended ban but was ready for a bold response on their side.
They said that the suggestion of the Deputy Mayor will cut the opportunities for the middle class.
Also, Airbnb added that the Deputy Mayor does not make great efforts for the local community, unlike their company which has built a platform used by many Parisians who want to earn more and cover the rising living expenses in the community where the housing for a long has been an issue.
If the ban is implemented, the First, Second, and Third District of Airbnb, which are the main tourist spots, will be eliminated.
Nevertheless, Airbnb has already gone through a number of regulations even before the Paris issue.
In a time period of 5 years, around 20, 000 homes were turned into short-term stay rentals and now their owners will have to register their locations or risk getting fined.
Brossart would like to transfer the fines from the owners to Airbnb and other rental companies.
The ban will also restrict renting the home for more than 3 months per year.
How the Parisian Ban Impacts the Whole World
Paris is not the only city that is facing this issue, as the local community management in a lot of cities is also trying to limit short-stay vacation rentals.
The previous year, Airbnb received $700, 000 fines from Barcelona for unregistered homes due to the new law which hunted unlawful rentals.
New York is also facing the same problem as the state law has put a limit of 30 days per rental.
Berlin, on the other hand, has a rule of 90 days per year when it comes to renting flats to tourists.
Also, the headquarters of Airbnb, San Francisco, has put restrictions on rentals.
Brossart has concluded that the new bans will concern only the renting of entire units.
The renting of separate rooms will be still allowed and, meanwhile, Airbnb and other similar sites will continue fighting for their services.