Florida's Airbnb Crackdown Sparks Anger

A legislative proposal which was recently passed by the Florida State Senate could give state authorities a lot more power to regulate the short-term vacation rental market, including limiting the offer of companies like Airbnb and Vrbo—something which many lawmakers in the state have opposed.

The bill, SB 280, would overrule city and county regulations over short-term vacation rentals approved since 2016 and impose new statewide requirements, while those passed before 2016 would remain in place.

New requirements would include a limit on overnight occupancy, with a maximum of two people per bedroom plus an additional two in a common area, and an obligation for rental owners to register their property with the local government. If they fail to meet registration requirements, rental owners can be fined up to $500 if they have not rectified the issue within 15 days.

Short-term vacation rental would also need to have a person dedicated to responding to complaints from renters or emergencies 24/7.

Florida's Department of Business and Professional Regulation (DBPR) would be tasked with setting up a database of all short-term vacation rentals in the state, while advertising platforms or operators listing the rentals—like Airbnb and Vrbo—would collect and remit specified taxes for the counties.

The DBPR would hire nine additional officers to cover the colossal task of overseeing the vacation rental market in the entire state, a number criticized by Brevard County Republican Randy Fine. "There will be nine people – not in your homes. Not in your neighborhoods, not in your counties. Not in your cities – there'll be nine people here [in Tallahassee]. I know the person who sits in my City Hall cares about problems with vacation rentals. I don't trust that somebody up here will," he said on the Florida State House floor, as reported by the Florida Phoenix.

The controversial measure was passed by the Florida Senate in February and by the state House earlier this month by a 60 to 51 vote.

The short-term vacation rental market is huge in Florida, a state which has attracted over 100 million American tourists per year since 2019. Last year, some 122.89 million U.S. tourists visited the Sunshine State, as reported by CBS, on top of 8.3 million overseas tourists and 3.8 million from Canada.

Read more: 15 Ways to Save Money For Your Next Trip

While some blame short-term vacation rentals for taking homes away from locals and driving up prices, others see it as an occasion to profit from their homes and make some passive income.

In a press release published last week, Airbnb wrote that it has delivered $387 million in tourism taxes on behalf of its host in the state of Florida alone in 2023—the highest number in the entire country, followed by California with $212 million.

Newsweek contacted Airbnb, Vrbo and the Florida Realtors group for comment on SB 280 by email on Monday morning.

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For this and other reasons, including the fact that city and county authorities were already implementing their own form of regulation of the market, many in Florida have shown hostility to the new bill, which shifts much of the authority on the vacation rental market from cities and counties to the state.

Pressure is growing on Republican Governor Ron DeSantis to veto the bill. The governor is yet to receive the bill and has not commented on the measure. Newsweek contacted DeSantis' spokesperson for comment by email on Monday morning.

"Vetoing this bill will allow lawmakers and stakeholders more time to work together towards a better balance of private property rights and local government regulation of short-term rentals," the Florida Realtors Associations said in a letter to its more than 238,000 members, as reported by the Tallahassee Democrat.

The Florida Alliance for Vacation Rentals (FAVR) shared a press release with Newsweek asking DeSantis to veto SB 280, describing the bill as "a unique example of very 'imperfect' legislation."

FAVR "respectfully ask Governor DeSantis to keep the current vacation rental statute intact and VETO this new legislation. Vacation rentals currently generate over 30 Billion dollars each year for the Florida Tourism Economy which employs thousands of our Florida residents and home maintenance-related contractors. Why risk a negative impact on our #1 industry, tourism and hospitality? Veto SB 280, this is the wrong legislation for the industry and Florida."

The new legislation, if signed into law by DeSantis, is expected to take effect as of July 1, 2024.

A spokesperson for Expedia Group, the parent group that owns brands including Vrbo, told Newsweek in a statement: "Expedia Group supports thoughtful and sustainable vacation rental policies that balance community needs, including the economic and cultural benefits that a healthy, diverse tourism economy provides for residents and small businesses.

"We encourage Florida policymakers to continue taking the perspectives and contributions of the Florida vacation rental community into account as they move forward with relevant policy decisions."

"Florida Realtors is urging Governor DeSantis to veto SB 280 due to several main concerns, including the detrimental impact the bill would have on the state's tourism industry and the potential consumer harm it will cause as vacationers fall victim to arbitrary rental suspensions and revocations," Andy Gonzalez, Florida Realtors vice president of public policy, told Newsweek in a written statement.

"A veto of the bill would give stakeholders more time to work on legislation that can better balance the rights of property owners, the needs of consumers and the ability of local governments to adequately regulate vacation rentals in their areas."

Update 3/26/24, 7:32 a.m. ET: This article was updated to include a comment from an Expedia Group spokesperson.

Update 3/27/24, 5:30 a.m. ET: This article was updated to include a comment from Florida Realtors' Vice President Andy Gonzalez.