Topic 8: What about ‘Airbnb’ Accommodation?

Let's talk more about if we're getting long-term benefits from short-term rentals.

Airbnb and other short-term rentals have been popping up in the Waitaki District, especially around Ōamaru and the little towns up the Waitaki Valley. This boom is thanks to regional efforts to draw visitors to New Zealand’s Deep South, along with the development of our valued Alps 2 Ocean Trail running from Aoraki Mt Cook to Ōamaru.

This surge in short-term rentals has its pros and cons for the Waitaki district.

On the plus side, these rentals bring in valuable tourism dollars, boosting local businesses like cafes, restaurants, and shops. But on the downside, they can enhance a housing shortage by taking away long-term rental options.

In Waitaki, Airbnb and Bookabach listings include whole homes, apartments, and private rooms. This means up to 200 homes might be off the market for long-term rentals, which contribute to our housing shortage and higher rent prices. (Airbnb & Bookabach websites January 2025)

What started as a way for homeowners to make some extra cash by renting out a spare room in their house, is now turning into a business model where investors are buying multiple properties just for short-term rentals.

This shift can create inequality as it reduces the availability of long-term rental housing, drives up rent prices. This hits low-income residents the hardest, who are already struggling with rising costs of living.

Our local traditional accommodation providers (hotels and motels) might also find it tough to compete with other short-term accommodation options, leading to financial challenges and job losses in the industry.

Local councils set the rules for short-term rentals based on commercial activity, so the regulations vary depending on where you are. For instance, Auckland and Queenstown Lakes District Councils have specific rules for properties used for short-term rentals for more than 28 days a year.

In Waitaki, we could, like other districts, apply a Commercial fee to properties rented out as residential short-term accommodation providers through platforms like Airbnb or Bookabach.

Funds raised through fees could be used to support tourism and manage the impacts of visitor numbers on the district.

We need a fairer system for everyone. These regulations aim to balance the impact on the housing market with the benefits of tourism. We need to get the balance right to ensure that there’s enough accommodation for everyone living in and working in Waitaki.

What are your thoughts on Airbnb’s? Should we introduce a commercial fee on properties used for private accommodation? We welcome your feedback.