Starting Sept. 5, it became much harder to book an Airbnb rental in New York City. That’s because new rules took effect that require all hosts to register with the city, ensuring their listings comply with strict rules on occupancy and building codes. After years of sparring with the city and a failed lawsuit earlier this year, Airbnb has run out of options and is expected to lose thousands of listings in one of its biggest markets.

New York already had some of the most restrictive regulations, but the city says they were widely flouted. Rules in place for years prohibit people from renting out their apartments for fewer than 30 days without the host present and stipulate that a host can’t rent to more than two guests. Units made available as short-term rentals must also abide by building and fire codes, including one that prohibits placing locks between rooms and having certain sprinkler and fire alarm systems on the property. In a legal filing last month, the city claimed that about half of Airbnb Inc.’s $85 million in net revenue from New York rentals last year was derived from illegal listings. The new Local Law 18, adopted in January 2022, requires rental hosts to register with the Mayor’s Office of Special Enforcement and prohibits platforms like Airbnb, Expedia Group Inc.’s Vrbo and Booking.com from processing transactions for units that aren’t registered. In a lawsuit against the city earlier this year, Airbnb called the new rules a “de facto ban” against the company. It also said the crackdown appeared to be intended to drive short-term rentals out of the New York “once and for all.”

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Why Renting an Airbnb in NYC Just Got a Lot Harder