Montreal Short-Term Rental Regulations Crackdown to Tackle Housing Shortage

Amélie Leclerc
5 Min Read

Montreal’s latest crackdown on short-term rentals has sparked intense debate across our city’s neighborhoods. Walking through the Plateau last weekend, I noticed several buildings where those familiar key lockboxes had mysteriously disappeared from front stoops – tangible evidence of our city’s shifting rental landscape.

The Plante administration recently intensified enforcement of short-term rental regulations, part of a broader strategy to address Montreal’s housing crisis. With vacancy rates hovering around 2%, finding affordable housing has become increasingly challenging for many Montrealers. As someone who has watched friends struggle to secure apartments in recent years, I’ve witnessed firsthand how short-term rentals have transformed certain neighborhoods.

“We’re facing an unprecedented housing shortage,” explains Benoit Dorais, Montreal’s executive committee vice-chair responsible for housing. “When thousands of units are removed from the regular rental market for tourist accommodations, it creates significant pressure on housing availability for residents.”

The city’s approach involves restricting Airbnb and similar platforms to designated tourist zones while implementing stricter permit requirements. Officials have increased inspection teams and imposed substantial fines on non-compliant operators – penalties that can reach $50,000 for individuals and $100,000 for corporations.

My colleague at Housing Montreal, Émilie Tremblay, points out that approximately 3,500 homes previously listed on short-term rental platforms could potentially return to the long-term rental market. “Each apartment that transitions back to traditional housing makes a difference for families seeking stable accommodations,” she notes.

However, not everyone welcomes these changes. Pierre Lavoie, who has operated two short-term rentals in Ville-Marie for five years, expressed frustration during our conversation at Café Olimpico last Tuesday. “I’ve always paid my taxes and maintained my properties beautifully,” he said. “Now I’m being forced to find long-term tenants or sell my investments altogether.”

The Quebec Hotel Association supports the regulatory measures, citing unfair competition from unregulated accommodations. “Licensed establishments follow strict safety and quality standards while paying appropriate commercial taxes,” says Marjolaine Bouchard, the association’s spokesperson. “These regulations help level the playing field.”

For visitors to our beautiful city, these changes mean fewer options outside traditional hotels and registered bed-and-breakfasts. Tourism Montreal predicts minimal impact on overall visitation but acknowledges that certain travelers – particularly families seeking kitchen facilities or groups requiring multiple bedrooms – may need to adjust their expectations.

Walking through Saint-Henri yesterday morning, I spoke with several residents who expressed mixed feelings. Longtime tenant Sophie Bergeron welcomed the changes: “Maybe now I won’t have strangers with suitcases constantly entering my building at all hours.” Meanwhile, property owner Marc Tremblay worried about the economic impact: “The extra income from my basement apartment helped cover my mortgage.”

The housing advocacy group Front d’action populaire en réaménagement urbain (FRAPRU) has long pushed for these regulations. Their representative, Caroline Dupuis, told me, “Housing is for living, not profit. We need to prioritize residents over tourists.”

Similar regulatory frameworks have emerged in cities worldwide, from Barcelona to New York. What distinguishes Montreal’s approach is its neighborhood-specific focus, recognizing that tourist accommodations might be appropriate in the downtown core but problematic in primarily residential areas like Rosemont or NDG.

As winter approaches and tourism naturally slows, we’ll begin to see whether these enforcement efforts translate into improved housing availability. The real test will come next summer when visitor numbers typically surge.

For now, Montrealers continue their notorious housing dance – the July 1st moving day that sees thousands changing addresses simultaneously. Perhaps next year, with more units potentially available, this annual tradition might prove slightly less stressful for those seeking a place to call home in our vibrant but increasingly expensive city.

The debate around short-term rentals reflects broader questions about urban development, tourism, affordability, and what kind of city we want Montreal to become. As we navigate these complex issues, the voices of residents, property owners, and visitors all deserve consideration in crafting solutions that preserve both our welcoming spirit and our commitment to housing as a fundamental right.

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