An Airbnb rental in HCM City. City authorities are considering lifting a ban on short-term rentals such as Airbnb in residential complexes. — VNS Photo Bồ Xuân Hiệp

HCM CITY — HCM City authorities are considering lifting the recently imposed ban on short-term rentals in residential apartment complexes following feedback from short-term renters and industry experts.

The Department of Construction is collaborating with the Department of Tourism and the HCM City Real Estate Association to gather opinions on future regulations.

Currently, only tourism-specific developments, known as “condotels,” are allowed to operate as short-term rentals, while standard residential apartments are prohibited from such usage.

Compliance with legal requirements, including guest registration with local authorities, is necessary for short-term rentals.

The recent Housing Law classifies daily or hourly rentals as hotel operations, requiring appropriate licences.

The city’s People’s Committee has tasked the Department of Construction with evaluating the management of short-term rentals to balance resident safety with economic growth and tourism.

In February, the city imposed the ban on short-term rentals, including those of Airbnb, due to tensions between long-term residents and short-term renters.

While some residents support the ban, opinions among apartment owners vary, with many expressing concern over potential financial losses.

Experts suggested that rather than banning short-term rentals, the city should explore their benefits, as they could boost tourism and generate revenue.

Currently, nearly 10,000 apartments in the city operate as short-term rentals, contributing significantly to homeowners’ incomes and the city’s budget, according to a recent survey.

These short-term rentals reportedly generate an average monthly revenue of between VNĐ15 million and VNĐ60 million (US$630-2,520) for homeowners, which also contributes to the city’s budget.

Short-term rentals have emerged as a thriving business model in many countries. In case of violations, guests may be prohibited from utilising the service in the future.

However, the increasing popularity of Airbnb rentals has resulted in complaints from long-term residents regarding noise disturbances and the misuse of shared facilities. — VNS