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Brookhaven Short-Term Rental Regulation: A Guide For Airbnb Hosts

Disclaimer: This article is for informational purposes only and not legal advice. Regulations could have changed since this article was published. Check local zoning authorities and consult a legal professional before making any decisions.

Brookhaven, New York

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Starting a Short-Term Rental Business in Brookhaven

The Town of Brookhaven in Suffolk County, New York has strict regulations on short-term rentals like Airbnb and VRBO. In 2017, the town board voted unanimously to amend the town code and restrict residential property rentals to a minimum of 28 days. The town also established a residential property rental permit and registry program that requires property inspections to ensure compliance with fire safety, zoning, and building codes.

Under the new rules, those who register a short-term rental are charged a fee of $500 for the initial two-year permit and a $200 renewal fee thereafter, with an additional $200 fee for each rental unit on the property. The law prohibits listing properties for short-term rental or as "transient rentals." The town's building department monitors short-term rental booking sites and listings to uncover violations.

Residents have complained that the influx of short-term renters, especially in beach communities like Point Lookout and Lido Beach, has led to problems like loud parties, parking issues, and is threatening to change the character of residential neighborhoods. However, some homeowners argue the law hurts people who need extra income to afford high property taxes. One resident said, "In my house, I am paying over $10,000 a year in taxes. It makes no sense for me not to be able to rent out one or two rooms in the house, to get some extra income."

The Town of Brookhaven code states that no rental occupancy permit shall be issued unless the property is in full compliance with all provisions of the town code, building zone ordinance, state fire prevention and building code, and county and state laws. The building commissioner may deny a permit if there are any existing violations related to the safe use and occupancy of the property.

Homeowners on Long Island forums have shared stories of receiving violation notices and fines from the town for operating short-term rentals without a permit. One new homeowner in Brookhaven said they finished their basement to add a rental unit, only to find out from the town that the basement was illegally finished with no permits on file, and that short-term rentals under 28 days were prohibited. They were told to cease rentals immediately or face fines up to $10,000.

So, in summary, while short-term rentals can provide extra income for homeowners, Brookhaven has decided to prioritize preserving the residential character of neighborhoods by heavily restricting Airbnb and VRBO type rentals under 28 days. Getting a town rental permit, which requires bringing the property up to code, is the only legal way to do short-term renting. With high permit fees and active enforcement, town officials have made it very difficult and risky to casually rent out rooms or illegal accessory units on a short-term basis.

Short-Term Rental Licensing Requirement in Brookhaven

In 2017, the Town of Brookhaven passed a law prohibiting short-term rentals under 28 days and establishing a rental permit and registry program. Under the new rules, all residential rental properties, regardless of the length of the lease, are required to obtain a rental occupancy permit from the town's building department.

To get a rental permit, property owners must submit an application with a $500 fee for an initial two-year permit, plus an additional $200 for each rental unit on the property. Permit renewal fees are $450 for the first unit and $200 for each additional unit. The application requires detailed information about the property owner, the rental dwelling, and certifications that the property is in full compliance with all town codes and regulations.

The law states that no rental occupancy permit shall be issued unless the property is in full compliance with all provisions of the town code, building zone ordinance, state fire prevention and building code, and county and state laws. The building commissioner may deny a permit if there are any existing violations related to the safe occupancy of the property. Properties with outstanding violations must remedy all issues before being eligible for a rental permit.

Rental permits are issued for a period of two years and are non-transferable. If a rental property is sold, the new owner must apply for a new permit within 30 days. Failure to obtain or renew a required rental permit can result in enforcement action and fines up to $10,000.

The stated purpose of the rental permit program is to identify and track rental housing in the town and ensure properties meet all health and safety codes. However, critics argue the law unfairly targets short-term rentals and imposes burdensome fees and requirements on property owners who rely on rental income. Some residents have complained that the permit process is overly complex, the building department is backlogged, and approvals are delayed.

Despite the controversy, the rental permit requirement remains in effect for all residential rentals in the unincorporated areas of Brookhaven. Property owners must carefully review the application requirements and ensure their properties are fully compliant before attempting to rent them out, or risk significant penalties. The law has undoubtedly made it more difficult and expensive to engage in short-term renting in particular.

Required Documents for Brookhaven Short-Term Rentals

Property owners must submit a completed application along with several required documents to apply for a short-term rental permit in the Town of Brookhaven. The application form can be obtained from the town's building department website or office.

One of the key documents is proof of ownership of the rental property, such as a copy of the deed or tax bill. If the applicant is not the property owner, they must provide written authorization from the owner to apply for the permit.

Applicants must also submit a detailed site plan or survey of the property showing the location and dimensions of the rental unit, parking spaces, and any outdoor areas accessible to guests. A floor plan of the rental unit is required, with each room clearly labeled and indicating any proposed changes or renovations.

To demonstrate compliance with fire safety regulations, applicants need to provide certificates of occupancy, smoke and carbon monoxide detector affidavits, and fire escape window affidavits for each sleeping area. Proof of sufficient liability insurance coverage for the short-term rental use is also mandatory.

The application requires the name and contact information of the property owner and any authorized agents or property managers responsible for the rental. If the owner lives outside of Suffolk County, they must designate a local contact person to respond to any issues.

Applicants must sign an affidavit certifying that all information provided is true and accurate, and that the property complies with all applicable town, county, and state laws, ordinances, and regulations. Any false statements can result in permit denial, fines, and legal action.

Finally, the application must be accompanied by the required permit fees, which include $500 for the initial two-year permit and $200 for each additional rental unit on the property. Renewal fees are $450 for the first unit and $200 for each additional unit.

The Town of Brookhaven building department carefully reviews each short-term rental permit application and conducts an on-site inspection of the property before issuing a permit. Incomplete applications or properties with outstanding violations will be denied. Once issued, the rental permit must be prominently displayed inside the rental unit.

So, in summary, obtaining a short-term rental permit in Brookhaven involves submitting a thorough application package with supporting documents to demonstrate ownership, compliance with safety codes, and adequate insurance and local contacts. The town's strict requirements aim to ensure rental properties meet standards to protect renters, owners, and the community.

Brookhaven Short-Term Rental Taxes

In addition to the strict regulations on short-term rentals, Brookhaven also imposes taxes on any permitted rentals under 29 days. Short-term rental operators are required to collect and remit several state and local taxes.

At the state level, New York imposes a 4% sales tax and a 5% occupancy tax on short-term rentals, for a combined tax rate of 9%. Suffolk County, where Brookhaven is located, levies an additional 4.25% sales tax. So the total state and county tax rate on short-term rentals in Brookhaven is 13.25%.

On top of the state and county taxes, the Town of Brookhaven charges its own 3% hotel/motel occupancy tax on all rentals under 29 days. This brings the total tax rate for short-term rentals in Brookhaven to 16.25%.

Short-term rental hosts are responsible for registering with the appropriate state and local tax authorities, and collecting and remitting the taxes monthly or quarterly, depending on the amount of tax collected. Failure to comply with the tax requirements can result in penalties and interest charges.

The high tax rates and strict regulations and permitting requirements make operating a short-term rental in Brookhaven quite challenging and costly. Hosts must carefully consider all the compliance obligations and weigh them against the potential rental income before deciding to engage in short-term renting.

It's important to note that the tax rules for short-term rentals are complex and subject to change. Hosts should consult with a local tax professional to ensure they are meeting all their tax obligations. The town and state tax authorities also provide guidance and resources for short-term rental operators to help them navigate the tax requirements.

Overall, the layers of state, county, and town taxes imposed on short-term rentals in Brookhaven reflect the local government's efforts to closely regulate and derive revenue from the growing vacation rental industry. For hosts, the taxes represent a significant expense that must be factored into the costs of running a short-term rental business in the town.

New York Wide Short-Term Rental Rules

While New York City has some of the strictest short-term rental regulations in the state, there are also statewide laws that apply to Airbnb and other vacation rental platforms. The New York State Multiple Dwelling Law is the primary legislation governing short-term rentals across the state.

Under the Multiple Dwelling Law, buildings with three or more units are considered "Class A" multiple dwellings and are intended for permanent residency only. This means that renting out an entire apartment for less than 30 days is prohibited in these buildings, unless the permanent tenant is present during the guest's stay.

The law does make an exception for "Class B" multiple dwellings, which include hotels, hostels, rooming houses and bed and breakfasts. These types of accommodations are specifically zoned and approved for short-term transient occupancy.

Another key aspect of the statewide short-term rental laws relates to taxation. New York State defines short-term rentals as stays of fewer than 90 consecutive days for tax purposes. Hosts are required to collect and remit state sales tax, New York City hotel room occupancy tax, and other local taxes as applicable.

It's important to note that while the state sets the overall framework, many cities and towns have their own additional short-term rental regulations. For example, Suffolk County requires short-term rental properties to be registered and licensed, with violations subject to fines. The city of Buffalo also has a permit requirement and charges different fees for owner-occupied vs. non-owner-occupied short-term rentals.

So in summary, the New York State Multiple Dwelling Law prohibits short-term rentals under 30 days in most apartment buildings, unless the host is present. Hotels and legitimate B&Bs are exempt. Hosts must also comply with state and local tax collection requirements. However, many local governments impose additional registration, licensing and zoning rules on top of the state regulations. Hosts need to carefully research all state and local laws before listing their property on sites like Airbnb to avoid violations and penalties.

Does Brookhaven Strictly Enforce STR Rules?

Based on discussions in online forums like Reddit and BiggerPockets, it appears that the Town of Brookhaven actively enforces its strict short-term rental regulations. Many hosts and homeowners have shared stories of receiving violation notices and hefty fines from the town for operating unlicensed Airbnbs or other short-term rentals.

One Brookhaven resident on Reddit said they listed their spare rooms on Airbnb to help cover their mortgage, but after a guest accidentally set off their security alarm, the fire department reported the property to the town as an illegal short-term rental. The homeowner was hit with a $500 citation and told to cease rentals immediately or face fines up to $10,000.

Another new homeowner in Brookhaven shared on BiggerPockets that they finished their basement to add a rental unit, only to receive a violation letter from the town stating the basement was illegally converted with no permits, and that short-term rentals under 28 days were prohibited. They were ordered to remove the listing and stop renting or be subject to severe penalties.

Compared to other cities and towns on Long Island, Brookhaven seems to be one of the least Airbnb-friendly. While some areas allow short-term renting with few restrictions, Brookhaven has taken a firm stance against the practice to preserve its neighborhoods' residential character. The town's requirement for STR permits, which come with high fees and rigorous inspections, has made casual hosting nearly impossible.

So, while some hosts are likely still operating STRs under the radar in Brookhaven, the general consensus is that it's very risky and difficult. The town's aggressive enforcement, steep fines, and permit hurdles have pushed many would-be hosts to abandon the idea. The town's strict policies have been very disruptive for those who rely on STR income.

In summary, I believe the Town of Brookhaven is one of the toughest places on Long Island to be an Airbnb host. The town government has made it abundantly clear through its laws and enforcement actions that short-term renting is not welcome. Hosts who attempt to skirt the rules face a high likelihood of getting caught and paying a hefty price. Brookhaven stands out as notably hostile to STRs compared to other LI communities.

How to Start a Short-Term Rental Business in Brookhaven

Unfortunately, starting a short-term rental business in the Town of Brookhaven is not currently possible due to the town's strict regulations prohibiting rentals under 28 days. In 2017, the Brookhaven Town Board unanimously passed legislation banning short-term rentals and establishing a rental registry and permit system.

Here are the key steps an aspiring short-term rental host in Brookhaven would need to follow, though this path is currently blocked:

  • Review the town's short-term rental laws and zoning regulations carefully. Understand that rentals under 28 days are prohibited in all unincorporated areas of Brookhaven.
  • If you believe your property is grandfathered or meets a legal exception, consult with a local land use attorney to assess your options. Virtually all short-term rentals are currently illegal.

If you are eligible to rent your property based on the 28-day minimum, apply for a Brookhaven Rental Registration permit. This involves:

  1. Submitting a completed application with a $500 fee for an initial two-year permit, plus $200 for each additional rental unit. Renewal fees are $450 plus $200 per unit.
  2. Provide proof of ownership, property surveys, floor plans, and compliance with all building and fire safety codes.
  3. Agreeing to property inspections to verify the unit meets town requirements.
  4. Wait for the town Building Department to review and approve your rental permit application. Inspectors will visit the property to check for any violations that need to be remedied before issuing a permit.
  5. Once you have a valid permit, create your rental listing, screening process, lease agreements, and welcome materials in compliance with the town's 28-day minimum rental term. You cannot advertise or list your property anywhere without a permit number.
  6. Begin marketing your rental property through compliant channels, screening tenants, and using a town-approved lease. The town actively monitors short-term rental sites for illegal listings.
  7. Collect and remit all required occupancy taxes. Brookhaven imposes a 3% hotel/motel tax on all short-term rentals in addition to the 4% state sales tax and 4.25% Suffolk County sales tax.
  8. Maintain active compliance with town rental regulations, responding promptly to any issues or neighbor complaints. Fines for violations start at $1000 and can quickly escalate. Your permit can be revoked for repeated violations.

In summary, the Town of Brookhaven has intentionally made starting a short-term rental business within its boundaries extremely difficult and risky. The town's strict laws aim to prevent the proliferation of Airbnb-type rentals in residential areas in order to preserve neighborhood character and quality of life. While some hosts attempt to skirt the rules, the town's active enforcement and steep penalties pose major barriers. For now, the short-term rental business is virtually non-existent in Brookhaven.

Who to Contact in Brookhaven about Short-Term Rental Regulations and Zoning?

If you have questions about short-term rental regulations or zoning in the Town of Brookhaven, there are several key contacts and departments you should reach out to:

Brookhaven Building Division - This department is responsible for enforcing the town's building codes, rental registration requirements, and zoning ordinances. You can contact them at:

Phone: 631-451-9551
Email: BuildingDivision@brookhavenny.gov
Address: One Independence Hill, Farmingville, NY 11738
Hours: Monday to Friday, 9:00am to 4:30pm

Brookhaven Department of Planning, Environment & Land Management - For questions related to zoning, land use, and the town's comprehensive plan as it pertains to short-term rentals, contact:

Phone: 631-451-6400
Email: PlanningDept@brookhavenny.gov
Address: One Independence Hill, Farmingville, NY 11738

Brookhaven Town Attorney's Office - As the town's legal counsel, this office can provide guidance on interpreting the short-term rental law and any pending amendments. Reach them at:

Phone: 631-451-6500
Address: One Independence Hill, Farmingville, NY 11738

Brookhaven Town Board - The Town Board passed the short-term rental restrictions in 2017 and would need to approve any changes to the law. To voice your opinions or concerns, you can speak at a Town Board meeting during the public comment period or contact the Town Supervisor's Office at 631-451-9100.

Before contacting any department, reviewing the relevant town code sections is a good idea. The short-term rental law is in Chapter 82 - Transient Rental Properties. The Building Division or Town Attorney's Office can direct you to the most up-to-date version.

If you are unsure which department to call, start with the Building Division as they handle enforcement and permitting for short-term rentals. Have your address and specific questions ready when you contact them. The town aims to respond promptly to inquiries from residents and property owners on these issues.

By contacting the appropriate town officials, you can get the most accurate information on the current status of short-term rental regulations in Brookhaven and any potential changes on the horizon. The town has made it a priority to address the concerns of residents while considering the rights of property owners.

What Do Airbnb Hosts in Brookhaven on Reddit and Bigger Pockets Think about Local Regulations?

Based on discussions from Airbnb hosts on Reddit and Bigger Pockets forums, there are mixed opinions about the short-term rental regulations in Brookhaven. Some feel the rules are reasonable and necessary to preserve neighborhood character, while others argue they are overly restrictive and hurt responsible hosts. Here are a few key takeaways:

In a Reddit thread about Brookhaven's 28-day minimum rental law, user LIhoststhrowaway shared their frustration as a host who relied on short-term rental income to afford their home. They argued the law unfairly punishes hosts who screen guests and maintain their properties, while doing little to address the real issues like overcrowding and illegal apartments. Many agreed the town should focus enforcement on problem properties rather than blanket bans.

On the other hand, Reddit user Palegic516 supported the regulations, stating that short-term rentals can negatively impact communities when not properly managed. They noted the law still allows for responsible month-to-month renting, which is more stable for neighborhoods. As a Brookhaven resident, they welcomed the town's efforts to crack down on "mini hotels" popping up in residential areas.

A Bigger Pockets thread asked if it was worth investing in Brookhaven rentals given the strict rules. Most respondents advised against it, saying the 28-day minimum severely limits rental potential and income. They pointed out that most vacationers only stay a week or two at most, so it would be very difficult to find month-long tenants consistently. The general consensus was that the laws make short-term rentals unviable.

However, Bigger Pockets user JRinvestor offered a different perspective, suggesting the Brookhaven market could still work for a specific rental niche. They recommended targeting traveling nurses, construction workers, or other professionals who need medium-term housing for a few months at a time. While acknowledging the challenges, they felt a property could still be profitable with the right strategy and tenant pool.

Overall, it seems Brookhaven Airbnb hosts have differing views on the local regulations based on how it impacts their specific situation. Some appreciate the efforts to preserve community character, while others depend on short-term rental income and feel unfairly restricted. Most agree the 28-day minimum poses a major hurdle that limits the viability and profitability of Airbnb rentals in the town. But a few see the potential to adapt and make it work under the rules. The laws are undoubtedly controversial among local hosts.

Disclaimer: While we here at BNBCalc strive to keep all of our city regulation guides updated and accurate with all the latest local laws, we still do not suggest using them as your sole or primary source for local regulations. We also do not recommend you rely on the third-party sources we link to or reference, and we are not responsible for any of the information on these third-party sites. These guides are for entertainment purposes only and only provide basic information and should not be considered as legal advice.

We highly recommend directly contacting the responsible parties for each city and hearing what their officials have to say. Ultimately, it's your responsibility as an investor to ensure you fully comply with the local laws, and it's best to speak with professionals before making an investment decision.

⚡️
Reveal your property’s rental profitability

Buy this property and list it on Airbnb.