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I think the loophole is that Airbnb is profiting massively by renting all of these properties, but each property owner individually is not making significant pr

I think the loophole is that Airbnb is profiting massively by renting all of these properties, but each property owner individually is not making significant profits. I would guess the intention is to tax Airbnb appropriately as one of the biggest hotel services out there, without affecting actual independent BnBs.

vladvasiliu 3y ago
> I think the loophole is that Airbnb is profiting massively by renting all of these properties, but each property owner individually is not making significant profits. While I do think that the government would like more tax revenue from AirBnB and other "foreign tech", I think that in touristy areas property owners are making a killing. Aside from the "loophole" discussed here, another one is that, for example in Paris, these rentals aren't covered by the rent control laws. So even though you need to put in a bit more work for short stays compared to long ones, you're practically guaranteed a good occupation rate for your apartment and can cash in on the much higher rate you can charge. I don't know how true this is, as opposed to a knee-jerk reaction by locals, but it would seem that in other touristy places there's been an influx in "holiday-rentals" pushing locals who can't afford the rising prices out of the market. These areas have more of a season effect (think seaside resorts, only popular in the summer). So, the way they "measured" it was that during the low season people would find rentals, but no-one would want a long-term contract covering the high-season, when all the properties would be put on the short-term market. Another regulation which these rentals can side-step is having to provide an apartment with a certain minimum "energy grade". The goal of the scheme was to push landlords to improve the insulation of their properties to lower heating costs (broadly speaking). The issue is that rents being fixed, this had to come fully out of the landlord's pocket. Which, of course, they'd rather avoid. Bonus points for having to add this insulation on the inside, which reduces the area of the property, so the rent they can ask. This is compounded in "tense" markets, such as Paris, by the fact that many of the flats are concerned by this, or will soon be.

vladvasiliu 3y ago

> I think the loophole is that Airbnb is profiting massively by renting all of these properties, but each property owner individually is not making significant profits. While I do think that the government would like more tax revenue from AirBnB and other "foreign tech", I think that in touristy areas property owners are making a killing. Aside from the "loophole" discussed here, another one is that, for example in Paris, these rentals aren't covered by the rent control laws. So even though you need to put in a bit more work for short stays compared to long ones, you're practically guaranteed a good occupation rate for your apartment and can cash in on the much higher rate you can charge. I don't know how true this is, as opposed to a knee-jerk reaction by locals, but it would seem that in other touristy places there's been an influx in "holiday-rentals" pushing locals who can't afford the rising prices out of the market. These areas have more of a season effect (think seaside resorts, only popular in the summer). So, the way they "measured" it was that during the low season people would find rentals, but no-one would want a long-term contract covering the high-season, when all the properties would be put on the short-term market. Another regulation which these rentals can side-step is having to provide an apartment with a certain minimum "energy grade". The goal of the scheme was to push landlords to improve the insulation of their properties to lower heating costs (broadly speaking). The issue is that rents being fixed, this had to come fully out of the landlord's pocket. Which, of course, they'd rather avoid. Bonus points for having to add this insulation on the inside, which reduces the area of the property, so the rent they can ask. This is compounded in "tense" markets, such as Paris, by the fact that many of the flats are concerned by this, or will soon be.