Toronto’s Short-Term Rental Bylaw Under Review

The City of Toronto is evaluating its short-term rental bylaw to identify areas of improvement.

Specifically, the City is considering strengthening the primary residence requirement, streamlining the operator registration revocation process, introducing additional measures to curtail rental activity by unregistered operators and altering the program’s fee structure, among other items.

City council approved new short-term rental rules in early 2018; however, it took years for them to be implemented, hampered by an appeal to the bylaw and then the COVID-19 pandemic.

A short-term rental — commonly booked through an online platform like Airbnb and VRBO — is defined as less than 28 consecutive days. Homeowners can rent up to three rooms in their principal residence for an unlimited number of nights per year or the entire home for a maximum of 180 nights per year.

Short-term rental operators are required to pay a $50 registration fee each year or face a fine up to $100,000. They are also taxed a 4% municipal accommodation fee on rentals that are less than 28 consecutive days.

The public is invited to provide feedback on the bylaw during virtual and in-person consultation meetings on Oct. 17 and 24, respectively. The in-person meeting will take place at Metro Hall.