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Are you a landlord wondering how to get around Airbnb 90-day rule in London? You’re not alone. When the 90-day limit was established, property owners wondered how they could continue to maximise their rental income without compromising local regulations.
Since January 2017, London has enforced a 90-day limit on short-term rental listings in London. Airbnb and other short-term rental platforms were quick to implement it by automatically blocking calendars of London rental properties once they hit the limit. This means guests can no longer book a stay on your property for the rest of the calendar year.
With short-term bookings, hosts enjoy higher nightly rates, leading to greater profits. If the 90-day rule in London limits their ability to get more short-term stays, how can they maximise their properties’ earning potential?
In this article, you’ll learn how the 90-day rule apply to your London property on Airbnb. You’ll also discover 4 legal strategies that can help you get around this limitation so your rental property can enjoy a profitable performance all year round.
What is the 90-Day Rule in London?
The 90-day rule applies to all entire home listings in Greater London. It’s part of the Deregulation Act 2015 that aims to manage the benefits of the home-sharing industry while minimising the impact of the short-term rental sector on the housing market.
The regulation states that property owners can’t rent out their property for more than 90 days in one calendar year, unless they get permission from the local council. Multiple platforms like Airbnb have to automatically close the calendars of rental properties once they reach the 90-day limit, so guests can no longer book a stay.
Does the 90-Day Rule Apply to Every Airbnb Property in London?
Yes. The 90-day limit on Airbnb and other platforms for short-term rental properties is only applicable to entire home listings in the Greater London Area. It won’t affect private rooms or shared accommodations.
Staying compliant means being vigilant with your bookings so you only get a maximum of 90 days booked for every calendar year.
In case you’re not sure about this rule, check with your local council. You can also get in touch with a reliable property management company specialising in London properties.
How Can I Legally Get Around the 90-Day Rule?
There are profitable strategies that will allow you to continue letting your London property beyond the 90-day limit.
Here are four legal ways you can get around the Airbnb 90-day rule.
Switch to Medium or Long Term Rentals
Instead of just letting your property on a short-term basis, you can convert it into a medium or long-term rental. Although the longer-term rental won’t give you the same nightly rate as a shortlet, it gives you a stable rental income.
You don’t have to permanently turn your property into medium or long-term rentals. You can use a flexible letting strategy where you can smoothly switch between short, mid or long-term letting to maximise your property’s income potential. Once you reach the 90-day limit, you can turn your property into mid to long-term rentals so it can stay profitable throughout the year.
Don’t Rent the Entire Property
The 90-day limit does not apply to rooms or shared accommodations. It’s only applicable to entire home rentals.
Instead of accepting just one booking, you can let multiple individuals book a stay in your property. If you have a 3-bedroom unit, get 3 different bookings. This is considered a shared accommodation. If you market to the right set of guests, you can keep your property booked and profitable despite the 90-day limitations.
Apply for Planning Permission for Short Lets
If the longer-term letting strategy is not appealing to you, you can always apply for planning permission from your local council. This will allow you to change your property’s use class so you can continue operating your short-term rental property beyond the 90-day limit.
Of course, this approval isn’t guaranteed. Some won’t approve if there’s a shortage of housing supply in the area. You also need to abide by all the local regulations so the local council will approve your application.
Work With Professional Management Companies
If you’re not sure how to work around the 90-day regulations, partner with property management companies. There are companies that specialise in managing all types of letting strategies. They can help you switch between strategies with ease.
Property management companies like City Relay can help you unlock the full potential of your property while keeping it compliant. Your property will be prepped and ready to switch from short, mid to long-term letting when necessary.
These experts will also help you stay on top of new laws so you can always keep your properties 100% compliant with local regulations.
What Happens If I Ignore the 90-Day Rule?
Failing to comply with the 90-day regulation could result in penalties and charges from the local council. They might also decide to revoke your right to let your property as part of their enforcement action.
It’s better to be proactive in tracking the days your property is booked as a shortlet. If you don’t have the time to monitor these, it might be better to work with a property management expert. Apart from managing the daily rental property operations, they have the manpower and technology to monitor bookings across multiple platforms.
They can help you maximise your property’s earning potential while staying compliant with local rules.
Maximise Your Earnings Despite the 90-Day Rule
The 90-day rule in London does not have to keep you from maximising the income potential of your property. With strategic planning and the right letting strategy, you can continue to rent your property throughout the year while staying compliant with local regulations.
If you want to beat the 90-day limit legally and efficiently, partner with a reliable and trustworthy property management company like City Relay. We specialise in flexible letting, so your property can switch to short, mid or long-term letting when necessary. We’ll handle guest communications, maintenance, check-ins and more. We’ll help you stay compliant with the local rules and manage your property listing across multiple platforms.
Get a free rental estimate and find out how City Relay’s property management services can help maximise your rental income despite the 90-day rule.
