It’s been two years since the appeal of Toronto’s short-term rental regulations and three months of waiting for their ruling. The verdict is in and the Local Planning Appeal Tribunal (LPAT) has approved the regulations for short-term rentals in Toronto.


If you’re the host of a short-term rental through Airbnb, VRBO or other similar platforms, be sure you’re familiar with the new rules. The City of Toronto will soon be enforcing the following rules and regulations surrounding short-term rentals in Toronto:

  • Eligible short-term rental properties must be owned by the host and it must be their principal residence.
  • Tenants can participate as long as it is approved by the owner/landlord of the property.
  • A short-term rental is considered anything fewer than 28 days.
  • Hosts can rent up to three rooms or their entire home.
  • Secondary suites, such as in-law or basement units, are eligible for short-term rental as long as they are the host’s principal residence.
  • Hosts can only rent their property for a maximum of 180 days of the year.
  • Hosts will have to pay an annual $50 fee and register with the city.
  • Hosts will have to pay a 4% Municipal Accommodation Tax (MAT) on rentals fewer than 28 days.
  • Short-term agencies, like Airbnb, pay a one-time licence fee of $5,000 and $1 per night that’s booked.

The City of Toronto is expected to roll out their plan for implementing the new rules along with the timeline and how the licensing and registration of short-term rental units will work in December. Those who wish to register for e-updates regarding the plan can do so on the City of Toronto website.


For those who live in Toronto condos, it’s worth noting that most condo buildings do not permit short-term rentals which means condo owners can’t rent out their units on Airbnb or the like. There are a few downtown Toronto condos however that do allow their condo owners to list their units on short-term rental platforms. If you’re after AirBnB friendly buildings in Toronto check out this list of Toronto condos that allow short-term rentals.

It’s important to note that only the condo owners of these buildings are permitted to rent out their units as short-term rentals. Tenants who wish to do so must have the approval of their landlord before listing their rentals on platforms like Airbnb or VRBO.