New York City has implemented strict measures against short-term rentals, such as those on Airbnb and Vrbo, causing notable repercussions for the industry and travellers. The implementation of Local Law 18, initiated in September 2023, has substantially reduced the number of short-term rental listings.
Bram Gallagher, a spokesperson from AirDNA, reports a 33.7% year-over-year decrease in listings for stays lasting less than 30 days. This decline is particularly evident for standalone properties, potentially indicating a shift towards shared spaces and hotels.
Travellers like Roger Tran from Ontario, Canada, have observed increased prices for short-term rentals compared to hotels. The repercussions on New York’s lodging industry are still unfolding, with the city’s short-term rental supply deviating from the national growth trend.
Melanie Brown, an analyst at Key Data, highlights that New York City ranks third from the bottom in demand growth among the top 50 short-term rental markets. The law also influences how hosts present their properties, with some opting for long-term rentals to circumvent legal requirements, thereby limiting options for short-term renters.
The impact of the law extends beyond New York City, as travellers are now exploring accommodations across the Hudson River, leading to heightened demand in places like Jersey City and Newark.
As the city undergoes these changes, travellers may need to explore alternative lodging options and locations due to the evolving landscape of New York City’s short-term rental market.