The Town of Huntsville is implementing changes to its Short-Term Rental Accommodation (STRA) Bylaw and Community Planning Permit Bylaw (CPP).
In a release issued this morning, the municipality noted that the changes are aimed at improving the supply of long-term rental units and affordable housing, creating a more connected community, and providing more oversight of short-term rentals.
The STRA bylaw governs short-term rentals in the Town of Huntsville, and all STRA providers must hold an STRA licence.
The changes to the STRA Bylaw, effective immediately, include:
- STRA owners must own the property for a year prior to renting it out on a short-term basis. Property owners are permitted to use their property for personal use or for long-term rentals (30 days or longer) in the first year of ownership. 2025 STRA licence holders who are within their first year of property ownership are exempt from this regulation.
- A licence cap of 250 STRA units in Huntsville has been implemented. In 2024, Huntsville approved 224 STRA licences. Licences will be issued on a first-come, first-served basis.
- The number of non-compliance strikes permitted before revoking a licence is increasing, but the Town is counting all strikes issued within a 2-year period instead. Previously, STRA licence holders were able to retain their licence if the total number of strikes (penalties) was no more than two strikes a year. Moving forward, the enforcement will extend to three strikes within a two-year period. This is to discourage repeat offenders, as the short strike policy of one year has, in some instances, led to the same offences and strikes being issued annually.
The Community Planning Permit Bylaw is being amended to no longer permit STRAs in the Urban Low Density Precinct (UR1). This change will come into effect in the near future. All existing STRA uses within the UR1 zone may continue, even if the property changes ownership. However, if the property does not operate as a licensed STRA for more than two years, the exception will lapse and the STRA will no longer be permitted.
For existing STRA licence holders, the licence renewal application opens on November 1 annually. The renewal applications must be submitted no later than the first weekend of February. Licences will be granted on a first-come, first-served basis.
New STRA licence applications may be submitted at any time. If the licence cap has been reached, the property owner will need to wait until November 1 to apply. All STRA licences expire on December 31 of the calendar year. If an STRA licence application is rejected, the applicants are able to appeal the decision at the Appeals Committee.
All STRA owners are required to collect Municipal Accommodation Tax (MAT), and submit it through the online portal quarterly. The 4% MAT applies only to accommodation revenue, not other incidental charges (ex, cleaning, security deposits, or other taxes/fees). Funds collected through this program are used for tourism promotion and development, and programs, projects, and initiatives that improve residents’ quality of life.