$10k incentive to put Airbnbs on long-term rental market ‘may not be not enough’: Dandaragan president

Dandaragan Shire president Tony O’Gorman has doubts residents who own Airbnb properties will take the carrot being offered by the State Government — a $10,000 incentive to turn them into long-term rentals. Regional markets were a particular focus for these State Government reforms to short-stay accommodation, after local councils reported an inundation of short-term rentals in recent years, with Dandaragan no exception. “I imagine this incentive will make people reconsider, but I’m not sure how many bites it’ll get,” Cr O’Gorman said. He believes there are about 85 short-term rentals in the shire which includes popular holiday destinations Jurien Bay and Cervantes. Cr O’Gorman said he had seen a particular boom in the last three to five years, but the Shire had adopted policies to keep the short-term market at bay. Owners of prospective Airbnb homes must apply through the Shire first, during the application process, neighbours are consulted and council will then approve the property based on their findings. All short-term rental homes in Dandaragan must have a “manager” that can attend the property in 30 minutes in case of complaints or emergencies. Mr O’Gorman said the Shire did not receive many complaints but acted as quickly as possible when one was received. He said its policies had meant the short-term market had worked in the Shire’s favour. “We have a lot of holiday homes, but we’d like more long-term rentals available,” he said. Mr O’Gorman conceded the situation was difficult as the tourism industry was important to the Shire, and region, and while there was plenty of commercial accommodation available peak season would see these options exhausted. “Short-term accommodation gives us the opportunity to bring in more tourists, give us those extra beds and more people which is important for our tourism infrastructure,” he said. Under the Cook Government changes, every short-stay property in WA will have to be registered by the start of 2025 as part of a new government database that will track the exact number and location of both hosted and unhosted properties. Premier Roger Cook said the long-awaited reforms — which have been in consultation for nearly two years —struck a balance between what has become a popular form of tourist accommodation and the amenity of local neighbourhoods. “I encourage owners of short-term rental accommodation to consider the new incentive and other benefits of transitioning their property to the long-term market,” he said. The $10,000 incentive payment would be split in two parts for any owner willing to switch an existing short-term rental accommodation property to the long-term market. To qualify, the entire home must have been available for rent on a short-stay platform like Airbnb or Stayz in the past six weeks. The owner must then enter into a minimum 12-month lease agreement with new, long-term tenants. An initial $4000 payment will be made once an application for the STRA Incentive Scheme is approved and the home is leased to long-term tenants. The remaining $6000 will only be paid after a long-term tenancy in the qualifying home reaches 12 months. The scheme will only be in place for six months and is expected to launch at the end of the year.