Landlords in the Ontario beach town of Port Stanley are expressing mixed reactions after new rules regulating short-term rentals officially came into effect on Jan. 1. The bylaw, introduced by the Municipality of Central Elgin, now requires property owners to obtain a licence before listing homes on platforms such as Airbnb and Vrbo.
Under the new regulations, landlords must pay a $300 application fee and an annual licence fee of $650 per unit. In addition, properties must undergo a fire inspection and owners must submit written confirmation that their rental complies with Ontario’s Building Code. Municipal officials say around 40 applications have already been received, with more expected ahead of the busy summer season.
The bylaw applies to any dwelling rented for less than 28 consecutive days, including cottages, bed and breakfasts, and other short-term accommodations. The municipality estimates there are about 150 short-term rentals year-round, a number that can rise to 250 during peak tourism months.
Municipal leaders say the goal is to create consistent safety standards for visitors while ensuring fairness between short-term rentals and traditional hotels and motels. Applicants are also required to submit exterior photos, site plans, floor layouts, and details about bedrooms, exits, and parking.
Some landlords support the new rules, particularly the safety requirements. Local realtor Jeff West, who rents out a cottage in Port Stanley, said his initial concerns eased after learning more about the bylaw. He believes fire inspections and safety checks will ultimately protect both guests and property owners.
However, other landlords worry the added costs will place extra strain on homeowners in a seasonal rental market. Christopher Evans, who has operated his cottage as an Airbnb for three years, said the fees come at a difficult time when property taxes and mortgage costs are already high. He noted that many rentals are busy only during the summer months, making it harder to absorb new expenses during the off-season.
Despite concerns about affordability and potential impacts on tourism, Central Elgin officials say the bylaw is designed to balance economic activity with community safety and accountability. The municipality expects applications to increase steadily as summer approaches.
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