As a real estate agent with Coldwell Banker Horizon Realty, I, Karen Mustard, often get asked about the rules surrounding short-term rentals (STRs) in British Columbia. With significant changes recently implemented, it's more important than ever for property owners to understand their obligations. This article provides a practical overview of the new provincial regulations.

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A Province-Wide Shift

For years, many BC municipalities have had their own bylaws governing short-term rentals, often requiring business licenses for listings on platforms like Airbnb and VRBO. Now, however, the province has introduced a provincial registration system, adding another layer of compliance for STR operators. This isn't a replacement for local rules; it's an additional requirement.

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The Provincial Registration Number

The core of the new regulations is the mandatory provincial registration number. Without this number, you simply cannot legally advertise your property on short-term rental platforms after May 1, 2025. The province is taking a firm stance on enforcement, with significant penalties for non-compliance. The Short-Term Rental Accommodations registry was launched on January, 20, 2025.

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Crucial Deadlines

The provincial government established a clear timeline, and missing these deadlines has financial consequences:

• May 1, 2025: This is the cut-off date for having your provincial registration number displayed on your online listing. Without it, your property will be invisible to potential renters.
• June 1, 2025: After this date, the consequences escalate. Not only will your listing remain hidden, but any existing bookings will be automatically cancelled. This could lead to lost revenue, potential platform fees, and damage to your reputation as a host.

Early registration was incentivized with discounts:

• A 50% discount on the registration fee was available until February 28, 2025.
• From March 1 to March 31, 2025, a 25% discount was offered.

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Registration Fees

The annual registration fee varies depending on the type of short-term rental:

• $100: For properties where the owner resides (e.g., renting out a spare room or the entire home while away).
• $450: For properties where the owner does not reside (e.g., a secondary suite, vacation home, or laneway house).
• $600: For strata hotels (properties operating similarly to hotels or motels, with individually owned units).

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The Rationale

The BC government has stated that approximately 19,000 entire homes are consistently listed as short-term rentals. This figure underscores the government's concerns about the impact of STRs on the availability of long-term housing, particularly in areas with high demand and limited supply.

The new regulations, including the "principal residence" requirement in many communities, are designed to return some of these properties to the long-term rental market. This rule generally restricts short-term rentals to an owner's primary residence plus one additional unit.

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Strict Enforcement

The province has established a dedicated Compliance and Enforcement Unit (CEU) within the Ministry of Housing to ensure adherence to the new rules. The penalties for violations are substantial:

• Platforms: Online platforms face fines of up to $10,000 per day for failing to comply with regulations, such as verifying registration numbers.
• Compliance Orders: The Director of the Short-Term Rental Branch can issue legally binding compliance orders.
• Local Government Fines: Regional districts can now impose fines of up to $50,000, and local governments can levy fines of up to $3,000 per day for each infraction.

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Platform Responsibilities and Data Sharing

Short-term rental platforms like Airbnb have specific obligations under the new legislation:

• They must register with the province.
• They must designate a representative for communication with the provincial government.
• They are required to share monthly data on listings, including owner information, booking details, and business license numbers (where applicable).
• They must display provincial registration numbers on all listings.
• They must verify registration numbers against the province's database.
• They must remove listings that lack valid registration numbers.
• They must remove listings that violate local bylaws upon request from a local government.

This data sharing is crucial for ensuring compliance and allows the province to share information with local governments to assist in enforcing their own regulations.

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Essential Steps for STR Owners

1. Register Immediately: If you haven't already, obtain your provincial registration number without delay.
2. Update Your Listings: Ensure your provincial registration number (and any required local business license number) is prominently displayed on all your online listings.
3. Stay Informed: Regularly check for updates and changes to the regulations.
4. Seek Professional Guidance: If you have any doubts or questions, consult with a real estate professional or legal advisor.

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Navigating the Changes

The landscape of short-term rentals in BC is evolving. As your dedicated real estate professional at Coldwell Banker Horizon Realty, I am committed to providing you with the most up-to-date information and guidance. Contact me, Karen Mustard, with any questions or concerns. I'm here to help you navigate these new regulations and ensure your short-term rental operation remains compliant and successful.

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Source: MustardHomes