For anyone looking to rent out their home in Toronto on a short-term basis, there's a new bit of news for you. You need to register with the City of Toronto, and you can short-term rent only your principal residence.
FYI, short-term rentals are homes or rooms rented out for any period of time that’s less than 28 consecutive days. A principal residence, on the other hand, is the home where you live and the address you use for bills, ID, taxes or insurance.
But before you allow renters into your home for short-term stays, you'll have to ensure that you've registered with the City of Toronto. You can easily register and pay the $50 registration fee on the City's website.
Getting registered is super easy — and it's a mandatory step to be able to legally rent out your home for short-term stays within the city of Toronto.
After you're registered, you'll need to include your City-issued registration number in all your ads and listings. And, starting in January 2021, you'll also need to collect and submit a 4% Municipal Accommodation Tax on your short-term rental.
You can read the rules and check out more registration details on the City's website, but here are a few noteworthy highlights:
- You must be at least 18 years or older to short-term rent your home or room.
- Remember, you can only short-term rent your principal residence in Toronto. This is the home where you live and the address you use for bills, ID, taxes, and insurance.
- You can rent up to three bedrooms in your home for an unlimited number of nights each year or your entire home for a maximum of 180 nights each year.
- Your home must be eligible to be a short-term rental (meaning you need to make sure that short-term renting is not against any relevant tenancy act, condo agreement, or other rules and legislation).
The City of Toronto's website has a ton of information available for people who want to short-term rent their home, so you can check your eligibility and learn more about the rules at toronto.ca/ShortTermRentals.