Navigating the Legal Landscape of Short-Term Rentals in Queensland

Introduction:

Queensland's dynamic property market, particularly in Brisbane, the Gold Coast, and the Sunshine Coast, is witnessing a surge in short-term rentals (STRs). Understanding the legalities governing these rentals is essential for property management companies like Lane Property. This article explores the legal framework, economic impacts, and the latest trends in Queensland's STR market.

Panoramic view of Queensland's coastline, showcasing popular areas for short-term rentals.

The Current State of Short-Term Rentals in Queensland:

With approximately 19,773 active short-term rentals as of early 2023, Queensland's STR market is a significant sector, especially in tourist-rich areas. Despite the tight housing market, with Brisbane's rents increasing significantly over the past year, a state government review found that short-term rentals have a limited impact on rental affordability.

Legal Requirements for Short-Term Rentals in Queensland:

In Queensland, short-term rental accommodation is regulated by a combination of planning and zoning legislation, industry codes of conduct, strata scheme by-laws, and other contractual agreements. Local councils, under local planning laws, can regulate short-term letting, which may include obtaining development approval under Queensland planning legislation. Notably, the Body Corporate and Community Management Act 1997 (Qld) confirms that short-term letting is a type of residential use and cannot be restricted or prohibited by Bodies Corporate. However, agreements such as mortgages, leases, and insurance contracts must be considered as they may have conditions that prohibit short-term letting.

Economic Impact and Future Prospects:

The proliferation of STRs has had a limited impact on rental affordability, contrary to common misconceptions. The Queensland government is considering implementing a short-term rental registration system to better monitor and regulate this sector.

Conclusion:

For companies like Lane Property, understanding the complex legal landscape and staying informed about market trends is key to successfully navigating Queensland's STR market. Adherence to legal requirements and strategic market engagement are critical for capitalising on the potential of short-term rentals.