Understanding Law Regarding Vacation Rentals NYC

My husband and I own a 4 story brownstone, and we would like to have a vacation rental on the ground floor. We are a two family dwelling and live on the premises. I seem to get varying replies to my question if it would be legal. It appears that the bill Cuomo just signed regarding advertising vacation rentals is in regard to multiple dwellings – 3 units and more. I’ve called numerous city offices and can’t get a clear answer. Any help is appreciated.

andreastrauchler

in General Discussion 8 years and 8 months ago

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stuyheights | 8 years and 8 months ago

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Ive wondered the same thing

fiordiligi | 8 years and 8 months ago

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However, I do have a question that I’ve never seen addressed in any of the AirBnb discussions, as follows: in the link above, the City maintains that it will enforce against a homeowner using a building in contravention of its last-issued C of O. What if the two family house doesn’t HAVE a C of O, and never did? This is a very common occurrence in brownstone Brooklyn, and doesn’t make living in the structure illegal at all. It just means that the house was built prior to the commencement of the City’s issuance of Certificates of Occupancy, and was never renovated to an extent that would require a change in its use designation substantial enough to warrant the City requiring that it get a C of O. The only documentation on record with respect to its use would be its tax classification (to which banks also refer when making mortgages on these properties). So is the City just going to reach even further, and when the issue comes up, say, “well, we meant either it s last-issued C of O, OR its current tax classification”? With no law on the subject, how can the City just make this stuff up as it goes along?

fiordiligi | 8 years and 8 months ago

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http://www.wnyc.org/story/think-private-homes-are-safe-list-airbnb-think-again/

trudylou | 8 years and 8 months ago

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There are multiple laws you have to comply with, not just the local housing laws. For example, if it’s considered a hotel room, you’d need to meet the various health and safety requirements as well as collect and pay hotel taxes. There are also zoning rules. I’d read something recently that said the state believes even short term rentals are illegal but I can’t recall why. Air b and b is working on getting things clarified – I’d suggest contacting them for guidance. They’ve hired lobbyists in NYC and might tell you what’s what.

We used to rent out our garden apartment this way but I got nervous about if the insurance would cover any accidents if the rental is possibly illegal. At the end of the day, when you factor in the expenses of keeping it in tip top shape, we didn’t actually make much more than renting it the normal way. We thought family and friends would use it but discovered the apartment was booked so far in advance, it was never available when we wanted it for personal use.

daveinbedstuy | 8 years and 8 months ago

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I’m staying one in a multi-unit building at this very moment.

neilw | 8 years and 8 months ago

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My understanding is that there is some disagreement between state and local laws with regards to 1-2 family homes renting out units. The state law says they are exempt from multiple dwelling laws, the city says no. This article is helpful: http://www.wnyc.org/story/think-private-homes-are-safe-list-airbnb-think-again/

That said, from what I can tell, the city for now is only going after the most egregious offenders, so something small-scale like yours would fly under the radar unless someone calls 311 to complain.

CarmenR | 8 years and 8 months ago

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My understanding is that it is illegal to offer a short-term rental on a unit in which you do not reside, even if you reside in the building.