No more full time Airbnb in residential buildings
10 May 2024
As part of an attempt to alleviate the housing crisis, the Icelandic parliament has agreed to amend the accommodation law, so officials can only grant accommodation operation licences for commercial buildings.
Similar to many popular European tourist destinations, short term rental platforms, such as Airbnb, have led to housing shortages and increased prices for purchasing and renting. This has forced local residents out of the cities. According to the Icelandic minister for culture, whole residential buildings in downtown Reykjavík have been turned into apartment hotels.
With the new rules, individuals will still be able to rent out their apartments for up to 90 days per year or for up to 2 million Icelandic króna (€13,000). This is similar to the regulations other popular tourist destinations have implemented to tackle the problem.
 | Þorgerður Anna Gunnarsdóttir With the amendment, the Icelandic government is reversing its own decision from 2018, when it abolished the clause regarding the issuing of operating licences exclusively for commercial buildings. According to a member of the Reykjavík City Council, without the clause, it was particularly difficult for municipalities to regulate short term accommodation themselves like other European cities, such as Amsterdam, Barcelona, and Berlin, have done. With the amendment, it will be interesting to see if Reykjavík decides to implement further restrictions to tackle the housing crisis in the capital. |
〉https://www.mbl.is/frettir/innlent/2024/05/03/banna_gistirekstur_i_ibudarhusnaedi/">Ban on accommodation operations in residential buildings
〉https://www.mbl.is/frettir/innlent/2023/12/07/sjalfsagt_ad_breyta_reglugerd_um_airbnb_ef_tharf/">Review of law on Airbnb a matter of course
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