European Commission to Propose Rules for Short-Term Rentals
The European Commission is set to intervene in the short-term rental market, an area that has traditionally been managed by individual member states but has seen local and national governments fail to control its impact. In an interview in Brussels, the Commissioner for Housing, Dan Jørgensen of Denmark, stated that he sees scope for the EU executive to propose rules to address what he calls "a big problem in many cities."
As reported by Expresso, the Commissioner declined to provide specific details on the proposals currently being considered. However, he assured that his office will "present policies," including legislative measures, to manage the consequences of the growth in short-term rentals. This market, dominated by platforms such as Booking.com and Airbnb, has been widely cited as a contributing factor to the declining availability of affordable long-term housing, a problem acutely felt in Portugal.
"We must recognize that the situation is so serious that we now have a social crisis in Europe," Jørgensen stated. He emphasized the need for all levels of government to "wake up" and "take responsibility," asserting a new role for the European Commission in this process. The intervention is framed as a necessary step to address a problem with continent-wide implications.
The move is also positioned as a political imperative to counteract the rise of populism. "If we, as politicians, do not take this problem seriously, do not recognize that it is a social problem that requires action, then the anti-EU populists win," Jørgensen argued. This connects the housing crisis directly to the political stability of the European Union.
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As part of the planned intervention, the Commissioner promised to "ensure that tenants' rights are taken seriously." This suggests that the forthcoming proposals may include measures aimed at strengthening protections for long-term residents in cities heavily impacted by tourism. For property owners, this could mean new compliance obligations and a shift in the regulatory environment for tourist accommodations.
The planned EU-level rules could introduce a more harmonized approach to regulating the sector, which is currently a patchwork of local and national laws. This might involve standardized registration processes for rental properties, data-sharing requirements for online platforms, and potentially limits on rental activity in certain areas. Such regulations would directly affect the business model of many 'Alojamento Local' operators in Portugal.
The announcement signals a significant policy shift, as housing has historically been a matter of national sovereignty. The Commission's willingness to step in reflects a growing consensus that the challenges posed by the platform economy require a coordinated European response. Investors and property owners in the short-term rental market should monitor these developments closely, as they are likely to have a substantial impact on the sector's future. Understanding the upcoming legal updates will be crucial. Discover rental property opportunities and regulations at realestate-lisbon.com.