Quebec's new Airbnb rules are in full effect: here's how it works

Hefty fines coming for illegal Airbnbs New hefty fines for illegal short-term rentals go into effect in Quebec today.

Quebec's new rules for short-term vacation rentals are in full effect as of Friday, with platforms like Airbnb facing hefty fines if they don't comply.

Bill 25, An Act to fight illegal tourist accommodation, puts the onus on platforms to ensure Quebec listings are registered with the province and that these registrations are valid.

The aim is to prevent hosts from setting up shop in neighbourhoods where short-term rentals are banned and to ensure the maximum number of beds or units per lodging is respected.

Quebec made registering short-term rentals a requirement in 2021, but a lack of oversight meant this rule was widely skirted, with some hosts using fake or recycled registration numbers on their listings.

Airbnb has repeatedly insisted it's the government's responsibility to verify the validity of registration numbers, but Quebec says otherwise, making its position clear with Bill 25.

A NEW REGISTRATION CERTIFICATE

As of Sept. 1, it's Airbnb's job to ensure registration numbers are the real deal. Additionally, platforms must verify that online listings include a "registration certificate" expiry date.

These new registration certificates, issued by Quebec's tourism authority (CITQ), go beyond a simple registration number: they also include an expiry date, the establishment's category and the number of units inside.

Bill 25 also requires hosts to display this certificate at their establishment's main entrance.

FINES GALORE

The first wave of Bill 25's changes took effect in June. Chief among them gives the Quebec government the power to impose fines of up to $100,000 per illegal listing and $50,000 for listings with registration numbers that are falsified or inaccurate.

As of June, platforms were also required to designate a Quebec representative of their company or face penalties of up to $20,000.

WHY NOW?

Illegal Airbnb listings have long been a concern among Quebec lawmakers, but the issue was catapulted into the nationwide spotlight in the spring of 2023.

In March, a fire tore through a building in Old Montreal, killing seven people, most of whom were staying in illegal Airbnb units.

Reports revealed the building had been flagged for safety concerns, and a lawsuit later claimed that at least one of the units was windowless.

Earlier this week, Montreal police officials divulged that the fire was criminal in nature, with traces of "accelerant" found on the scene.

WHAT IS MONTREAL DOING?

Airbnb crackdowns are also happening at the municipal level. In Montreal, a new squad is targeting illegal listings in the Plateau-Mont-Royal, Ville-Marie and Sud-Ouest boroughs, where most short-term rental listings are located despite being illegal in many neighbourhoods.

These inspectors can issue fines between $1,000 to $2,000 for individual offenders and $2,000 and $4,000 for corporations.

The goal is not only to curb unlawful listings, but to help ease the strain short-term rentals place on the housing market.