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

What are Short-Term Rental (Airbnb, VRBO) Regulations in Whistler, Canada?

Whistler is one of Canada's top tourist destinations, attracting over 2 million visitors annually for skiing, mountain biking, hiking, and more. With this popularity comes a booming short-term rental market on platforms like Airbnb and VRBO. However, Whistler has specific zoning and licensing requirements that short-term rental operators must follow. Here's what you need to know about the rules and regulations for running an Airbnb or vacation rental in Whistler.

Starting a Short-Term Rental Business in Whistler

To legally operate a short-term rental (less than 30 days) in Whistler, the property must be zoned for tourist accommodation use. Many residential zones like RS, RM, RR, and RSE do not allow short-term rentals of any length. You can check your property's zoning using the Resort Municipality of Whistler's online mapping tool.

If your property is zoned for tourist accommodation, you'll need to obtain a business license from the municipality. The annual fee is $190 per property, plus a small fee for each additional unit. Marketing or renting a property to tourists without a license is illegal and can result in fines of $1000 per day.

Some tourist accommodation properties have restrictive covenants on the title that limit owner usage:

• Phase 1 covenants allow unlimited owner use and the flexibility to rent nightly or long-term.
• Phase 2 covenants restrict owner use to 56 days per year (28 in summer, 28 in winter). The unit must be in the rental pool and cannot be marketed independently.

It's important to review any covenants on your property's title, as they may impose additional restrictions beyond the zoning. Title searches are available from the BC Land Title and Survey Authority.

Once licensed, you'll need to collect provincial and federal taxes from guests and follow building safety and neighborhood fit requirements. You must include your business license number on all listings.

Illegal short-term rentals are subject to proactive enforcement by the municipality. Violators may be fined up to $1000 per day. Residents can file complaints about suspected illegal rentals with Bylaw Services.

Short-Term Rental Licensing Requirement in Whistler

To legally operate a short-term rental in Whistler, property owners must obtain a business license from the Resort Municipality of Whistler (RMOW). The Tourist Accommodation Regulation Bylaw requires business licenses for all tourist accommodation activity, including marketing properties for short-term rentals.

The annual business license fee is $190, plus an additional $25 per accommodation unit. For example, if an owner is renting out 3 condo units, the total annual licensing cost would be $265 ($190 base fee + $75 for the 3 units).

It's important to note that a business license alone does not guarantee the right to operate a short-term rental. The property must also have the proper zoning that allows for tourist accommodation use. Many residential zones like RS, RM, RR, and RSE do not permit short-term rentals of any length.

If a property is zoned for tourist accommodation and the owner plans to market and manage the rental themselves, they need their own business license, even if they also use a property management company. However, if the rental is solely managed and marketed through a licensed property manager, it can be covered under the property manager's business license.

Enforcement against unlicensed short-term rentals is complaint-based and proactive. The RMOW actively investigates properties suspected of operating without a license. Violators may face fines up to $1000 per day. Residents can file complaints about illegal rentals in their neighborhood with the municipality's Bylaw Services department.

The licensing requirements aim to protect Whistler's rental housing supply for residents and the character of residential neighborhoods not zoned for tourist accommodation. They also help ensure short-term rentals are taxed appropriately and meet building safety standards. While the regulations are strict, obtaining a license is a critical step for owners looking to get into Whistler's lucrative vacation rental market legally.

Required Documents for Whistler Short-Term Rentals

To apply for a short-term rental business license in Whistler, property owners need to provide several key documents. The exact requirements may vary depending on the property type and ownership structure, but generally include:

1. Completed business license application form
2. Proof of property ownership (title certificate)
3. Zoning confirmation showing the property is eligible for tourist accommodation use
4. Strata council approval letter (if the property is part of a strata)
5. Property management contract (if using a property manager)
6. Floor plan of the property indicating the number and type of rooms
7. Parking plan showing designated parking spaces for guests
8. Emergency contact information for a local representative who can respond to issues 24/7
9. Signed Good Neighbor Agreement pledging to follow noise, parking, trash, and other requirements
10. Application fee payment

If a property has a Phase 2 covenant that restricts owner usage, additional documentation may be required to prove participation in a rental pool.

For properties owned by a corporation or partnership, the applicant will need to provide proof of signing authority, such as corporate records or a partnership agreement.

The business license application form requires detailed information about the property, including the address, legal description, number of units, and maximum occupancy. Applicants must also provide contact details for the owner, rental manager, and local representative.

Once all required documents are submitted, the municipality will review the application for completeness and compliance with zoning and other regulations. Processing times vary depending on the season and application volume.

It's important to note that a business license is not automatically renewed each year. Owners must submit a renewal application and pay the annual fee to keep their license active. The municipality may also require updated documents, such as a new strata approval letter or property management contract.

Failing to provide required documents or operating without a valid license can result in significant fines and legal action. The RMOW conducts proactive audits and responds to complaints to identify illegal short-term rentals. Owners should carefully review all requirements and ensure they remain in compliance to avoid penalties.

Whistler Short-Term Rental Taxes

In addition to obtaining a business license, short-term rental operators in Whistler must collect and remit several taxes from their guests. These taxes are a key part of the municipality's revenue stream and help fund local services and infrastructure.

The two main taxes that apply to short-term rentals in Whistler are:

1. Provincial Sales Tax (PST): The PST is an 8% tax on accommodations that must be collected from guests and remitted to the province. Short-term rental operators can register for a PST number online through the BC government's eTaxBC system.
2. Municipal and Regional District Tax (MRDT): The MRDT is a 2% tax on accommodations that is collected from guests and remitted to the municipality. This tax helps fund tourism marketing, programs, and projects in Whistler. Short-term rental operators will receive an MRDT registration number when they obtain their business license from the RMOW.

In addition to these taxes, the federal Goods and Services Tax (GST) of 5% may apply to short-term rentals, depending on the host's revenue. If a host earns more than $30,000 per year from their rental activity, they must register for a GST number and charge the tax to their guests.

It's important for short-term rental operators to keep accurate records of all taxes collected and remitted. The RMOW and provincial government may audit operators to ensure compliance with tax laws. Failure to collect and remit taxes can result in penalties, interest, and legal action.

To make tax collection and remittance easier, many short-term rental platforms like Airbnb and VRBO offer integrated tax collection services. Hosts can enable these features to automatically add taxes to guest bookings and remit them to the appropriate authorities on the host's behalf. However, hosts are still ultimately responsible for ensuring all taxes are properly collected and paid.

Whistler's short-term rental taxes are an important consideration for anyone looking to operate a vacation rental in the municipality. Hosts should factor these taxes into their pricing and budgeting to ensure they remain profitable and compliant with all regulations. Consulting with a local tax professional can help hosts navigate the complexities of short-term rental taxation in Whistler.

Canada Wide Short-Term Rental Rules

While Whistler has its own specific regulations for short-term rentals, other provinces and municipalities across Canada are also grappling with how to manage the growing vacation rental market. Here's an overview of some key short-term rental rules in different parts of the country:

British Columbia

Effective May 1, 2024, British Columbia is implementing new province-wide rules that restrict short-term rentals to principal residences in 65 communities. Hosts will be limited to renting out their primary home plus one secondary suite or accessory dwelling unit on the same property.

Many local governments in BC, such as Victoria and Vancouver, also require short-term rental hosts to obtain a business license. Starting May 1, 2024, hosts in these areas must display their license number on all listings.

While the regulatory landscape varies across the country, the trend is clearly toward tighter restrictions and oversight of short-term rentals. Hosts need to carefully review all provincial and municipal rules to ensure they remain compliant. Failure to follow the regulations can result in steep fines, legal action, and removal of listings from booking platforms.

As Canada's short-term rental market continues to evolve, striking the right balance between preserving long-term rental stock and supporting tourism remains an ongoing challenge for lawmakers. Whistler and other communities will be closely watching to see how new regulations at both the local and provincial levels impact housing affordability and availability in the coming years.

Does Whistler Strictly Enforce STR Rules?

Whistler has some of the strictest short-term rental regulations in Canada and actively enforces them. The municipality is not very Airbnb-friendly compared to other resort towns. Hosts who operate illegally face stiff penalties.

According to discussions on Reddit and Bigger Pockets forums, Whistler takes a hardline approach to illegal short-term rentals. The municipality proactively investigates properties suspected of violating the zoning and licensing rules. Whistler encourages residents to report any suspected illegal rentals in their neighborhood. Violators may be fined up to $1000 per day.

While some hosts still attempt to skirt the rules, Whistler makes it very difficult. The steep fines and active enforcement efforts serve as strong deterrents. Hosts can't fly under the radar like they might in other cities with more lax oversight.

Whistler's goal is to preserve housing for local residents and the character of residential neighborhoods. Tourist accommodation is limited to specific zones. Residential properties can't be used as de facto hotels, regardless of whether they are marketed through Airbnb, VRBO or other channels.

The municipality requires all short-term rental operators to have a business license and include the license number on any online listings. This allows bylaw officers to easily cross-reference listings against licensing records to identify illegal operators. Unlicensed listings may be removed at Whistler's request.

Whistler's strict approach contrasts with some other BC resort towns like Tofino and Ucluelet that have been more welcoming of Airbnb and have a higher proportion of properties operating as short-term rentals. However, Whistler's council believes curbing illegal short-term rentals is essential to addressing the local housing crisis.

While Airbnb can be very profitable for hosts in Whistler, the risks of operating illegally are high. Based on forum discussions, most hosts feel it's not worth jeopardizing their property with large fines. The majority of short-term rental operators in Whistler play by the rules and operate in properly zoned tourist accommodation areas.

Ultimately, Whistler is one of the least Airbnb-friendly cities in Canada from a regulatory perspective. The municipality has prioritized housing local residents over tourists in residential zones. Hosts looking to get into the short-term rental market in Whistler need to carefully review the rules and be prepared for strict enforcement. Operating under the radar is very difficult, if not impossible, in Whistler.

How to Start a Short-Term Rental Business in Whistler

Starting a short-term rental business in Whistler can be a lucrative venture, but it's important to follow the proper steps to ensure compliance with local regulations. Here's a numbered list of the key steps to get started:

1. Research the Whistler short-term rental market to understand demand, competition, and pricing. Use short-term rental calculators to analyze local market data and identify the best areas for investment.
2. Choose the right property that is zoned for tourist accommodation use. Properties zoned as residential cannot be used for short-term rentals of any length. Check the zoning of potential properties using the Resort Municipality of Whistler's online mapping tool.
3. Review any restrictive covenants on the property title, such as Phase 1 or Phase 2 designations, to understand any limitations on owner usage or rental management. Phase 2 covenants restrict owner usage to 56 days per year and require the property to be placed in a rental pool.
4. Obtain a business license from the Resort Municipality of Whistler. All short-term rental operators are required to have a license, which costs $190 per year plus a $25 fee per accommodation unit. Apply for a license online through the municipality's website.
5. Register to collect the 8% Provincial Sales Tax (PST) and 2-3% Municipal and Regional District Tax (MRDT) from guests. These taxes must be remitted to the provincial and municipal governments on a regular basis.
6. Obtain proper insurance coverage for your short-term rental property. Standard homeowners or landlord insurance policies typically do not cover short-term rental activity. Look for a policy that includes liability, contents, and loss of income coverage.
7. Create a detailed property listing on platforms like Airbnb and VRBO. Include high-quality photos, an accurate description, and a list of amenities. Be sure to highlight any unique features that set your property apart.
8. Develop a set of house rules and rental policies, including minimum stay requirements, maximum occupancy, pet policies, and guest screening procedures. Clearly communicate these policies to guests before booking.
9. Implement a dynamic pricing strategy that adjusts rates based on seasonal demand, local events, and other market factors. Consider using a pricing tool to automate this process.
10. Establish a system for managing bookings, guest communication, cleaning, and maintenance. Consider hiring a professional property management company to handle these tasks if you don't have the time or expertise to do it yourself.

By following these steps and staying up-to-date on local regulations, you can launch a successful and compliant short-term rental business in Whistler. While the process may seem daunting at first, the potential for high returns makes it a worthwhile investment for many property owners.

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

If you have questions about short-term rental regulations or zoning for your property in Whistler, there are two main departments to contact at the Resort Municipality of Whistler (RMOW):

Planning Department
Email: planning@whistler.ca
Phone: 604-935-8170

The Planning Department can help you determine if your property is zoned for tourist accommodation use. They can also provide information on the Zoning and Parking Bylaws, restrictive covenants, and the process for obtaining a business license for short-term rentals.

Bylaw Services
Email: bylawservices@whistler.ca
Phone: 604-935-8280

Bylaw Services is responsible for enforcing Whistler's short-term rental regulations. If you suspect an illegal short-term rental is operating in your neighborhood, you can file a complaint with Bylaw Services. They investigate complaints and issue fines to property owners found to be violating the rules.

In addition to these municipal contacts, you may also want to consult with a local real estate lawyer or property management company. They can provide guidance on navigating Whistler's complex short-term rental landscape and ensuring compliance with all regulations.

A real estate lawyer can review the title on your property to identify any restrictive covenants that may limit your ability to offer short-term rentals. They can also advise on the legal implications of operating a rental business.

A property management company that specializes in short-term rentals can handle the licensing, marketing, booking, and management of your property. This can be a good option if you don't live locally or want to ensure full compliance with Whistler's rules.

Ultimately, it's important to do your due diligence before listing your property on Airbnb or other short-term rental sites in Whistler. Contacting the Planning Department and Bylaw Services is a good first step to understanding the regulations and ensuring your property is zoned for legal tourist accommodation use. Working with local professionals can provide additional peace of mind and support in navigating Whistler's strict short-term rental environment.

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

Airbnb hosts in Whistler have mixed feelings about the municipality's strict short-term rental regulations, according to discussions on Reddit and Bigger Pockets forums. Here are a few key takeaways:

Reddit user u/thorskicoach explains that Whistler has "strict zoning on nightly rentals" and many Airbnb listings violate these rules. Hosts who get caught operating illegally can face fines of $1000 per day. Some Redditors advise would-be hosts to carefully review the zoning before listing on Airbnb to avoid penalties.

On the r/Whistler subreddit, user u/Imaginary-Ladder-465 notes that "a lot of Airbnbs out there are in violation" of Whistler's regulations. They suggest some hosts impose strict house rules like no parties or extra guests to avoid neighbor complaints that could trigger an investigation.

Redditor u/Imaginary-Ladder-465 also points out that illegal Airbnbs have "taken a lot of housing off the rental market" in Whistler. Long-term residents are often frustrated by the proliferation of short-term rentals in residential zones. Some will file complaints out of spite.

User u/Zipperboy2008 on Bigger Pockets shares that Whistler requires all short-term rental operators to have a business license, which costs $190 per year plus $25 per accommodation unit. Hosts must include their license number on all listings. Failure to do so can result in fines and removal of the listing.

Bigger Pockets member @Carolinian writes that Whistler's goal is to preserve housing for local residents, not tourists, in residential neighborhoods. While limiting short-term rentals to specific tourist accommodation zones is inconvenient for some hosts, it's seen as necessary to protect long-term rental stock.

Several Redditors note that Whistler also proactively monitors short-term rental listings for signs of illegal activity. Unlike some cities that only respond to complaints, Whistler has staff dedicated to enforcing the rules. This makes it very difficult to fly under the radar.

Overall, while some hosts are frustrated by Whistler's strict short-term rental regulations, most seem to understand the rationale behind them. The municipality has made it clear that protecting housing for residents is the top priority. Hosts who want to operate legally need to do their homework and carefully comply with all licensing and zoning requirements. Those who try to skirt the rules risk facing significant penalties.

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.