After several weeks of discussion, lawmakers are close toagreeing a bill regulating the operation of short-term Airbnb-style propertyrentals. The key remaining question related to short-term rentals of apartmentsin residential areas.
The House commerce committee said it had narrowed down threescenarios. Under the first, rentals in residential buildings would be permittedin all cases, with the owner/landlord free to charge whatever he or she wants.
Alternatively, the renting out of a flat in a residentialbuilding would be subject to the approval of the majority of the tenants.
The third option, which seemed to be gaining ground, wouldbe to give a say to the management committee of a communal building. In thisway, a management committee would either approve or reject the use of a flatfor short-term rental if this practice were deemed to cause problems to theremaining tenants. Where a building lacks a management committee, the matterwould be resolved by a vote among the tenants, requiring a majority. Thecommerce ministry as well as the Cyprus Tourism Organisation appeared to be onboard with this latter proposal.
MPs will decide which is the preferred option at the nextsession of the committee so that the final draft of the bill can be written upand then tabled to the plenum. The legislative proposal aims to create adedicated registry for short-term self-catering accommodation and then taxingthat income, bringing cash into state coffers. The bill covers villas,residences and apartments used for tourism purposes. Earlier, the committee hadheard there are an estimated 40,000 accommodations across the island being usedfor short-term rentals that are unlicensed and thus not subject to thelegislation governing tourist lodgings.
Each property thus registered is to be assigned a number,which will be used in online advertising platforms so that punters may knowwhether the property in question is registered or not.