Czechia to let cities limit short-term rentals like Airbnb

The Czech Ministry of Regional Development has sent municipalities and other authorities a draft amendment for comment that would give cities the right to decide for themselves whether to limit short-term rentals to tourists — for example, through Airbnb. Municipalities would be able to decide on their own whether to impose such limits and allow flats to be rented to tourists for only a few days a year.

Compliance with the new rules would be checked by regional authorities as well as the European Commission — city councils will be required to inform Brussels of any restriction they introduce, and the Commission may deem it excessively strict. “Without resolving any objections the Commission may raise, the restriction will not be able to take effect,” said Veronika Lukášová, a spokesperson for the Ministry of Regional Development.

How rentals affect local residents

Cities are fighting short-term rentals mainly because of their impact on housing. Flats rented out to tourists year-round disappear from the ordinary long-term rental market, which can push up rents and property prices. Residents of tourist areas also complain about noise, a constant turnover of unfamiliar people in their buildings, and the way familiar shops and services are being replaced by businesses catering only to visitors.

Brussels is preparing its own affordable housing law

In early September, the European Commission presented a draft Affordable Housing Act. Under it, before imposing restrictions, city councils would have to prove that short-term rentals had significantly worsened housing affordability for at least three years and that the situation could not be improved through milder measures.

Landlords believe Czechia should wait for exactly this EU regulation and disagree that a similar option is already emerging in the Czech draft. “Such restrictions don’t work, and that’s clear from the cities that have already introduced them,” said Matěj Koutný, chairman of the Czech Association of Landlords and Owners of Private Accommodation. According to him, it will be difficult for city councils to prove that short-term rentals have a substantial effect on housing affordability.

Prague has the most at stake

Among Czech cities, Prague is likely to show the greatest interest in regulation. In June, landlords in the capital were offering 7,878 whole flats and houses through Airbnb. The area that has long faced the biggest problems from such rentals is the very city centre — the district of Prague 1, where 72.3 percent of residents voted last year in a referendum in favour of limiting short-term rentals.

The district wants the state to give it access to data and the ability to check whether a flat is permitted under building regulations to be rented out for short-term stays. “Without this, the rule won’t be possible to enforce effectively,” said Karolína Šnajdarová, a spokesperson for Prague 1.

Brno and Český Krumlov are in no hurry

In Brno, according to spokesman Filip Poňuchálek, short-term rentals are not yet seen as a pressing problem: the supply of such housing is only now recovering to pre-pandemic levels. Another city popular with tourists, Český Krumlov, also sees no difficulties. “Overall, we’d be glad if municipalities had more scope to regulate this area according to the specific situation in their own city,” added local mayor Alexander Nogrády.

Read also: Brno: what to see and where to go

Source: novinky.cz