Starting next year, new regulations will affect hundreds of family cottages and vacation homes that depend on short-term guests to help pay the bills in Grand Bend, Port Franks and Ipperwash Beach.
Here are the highlights of the new bylaw passed by council this week:
- Limit of 10 guests: All short-term rentals now have a limit of two guests per bedroom, plus an additional two guests to a maximum of 10 guests per home.
- $500 annual licensing fee: Owners must submit a yearly application and pay a $500 fee that goes toward supporting the policing of short-term rentals by municipal authorities. The licensing application must include garbage, fire safety plans, plans of the building, proof of ownership and regular septic system maintenance and pump-out servicing.
- Minimum parking requirements: Each short-term rental must have a minimum of two parking spaces for every five to 10 guests.
- $2 million in liability insurance: Owners must prove they have no less than $2 million in liability insurance in case of catastrophic injury on their property as tighter regulation makes owners legally vulnerable like never before.
In a news release this week, municipal officials said the system will also use demerit points, the accumulation of which will lead to the revocation or suspension of an owner’s short-term rental license.
Owners must also designate a person who is responsible for the property in case emergencies or complaints about the way the rental property is being used.