Airbnb host guide: Regulations in Cardiff

Welcome to Cardiff, a vibrant city known for its rich history, stunning landscapes, and thriving cultural scene. As the capital of Wales, Cardiff attracts a significant number of tourists throughout the year.

With a range of attractions and annual events, this city has become a sought-after holiday destination for many travelers. If you're considering becoming an Airbnb host in Cardiff, it's important to understand the regulations that govern short-term rentals. In this blog post, we'll provide you with practical insights into the Airbnb regulations in Cardiff, helping you navigate the process smoothly.

This article was correct, to our knowledge, as of June 2023. Nonetheless, we recommend consulting a professional or Cardiff Council before starting an Airbnb business.

Short term rental market in Cardiff - overview:

Before delving into the regulations, let's take a quick look at the state of the short-term rentals market in Cardiff. According to data from AirDNA, the average daily rate in Cardiff is £133 per night, with an average occupancy rate of 59%. This indicates a healthy demand for short-term rentals in the city. Hosts in Cardiff can expect to generate an average revenue of £1720 per month from their listings. With these promising figures, investing in a short-term rental in Cardiff can be a rewarding venture.

Is Airbnb legal in Cardiff?

Yes, Airbnb is legal in Cardiff, but there are regulations in place that hosts need to comply with. Cardiff City Council has implemented specific regulations to ensure responsible and sustainable short-term rental operations in the city.

By understanding and following these regulations, hosts can operate their Airbnb listings in compliance with the local laws.

What are the main policies for Airbnb rentals in Cardiff? Do you need planning permission or any other legal status of the property?

The main policies for Airbnb rentals in Cardiff include:

Planning Permission:

In Cardiff, if you plan to rent out your property as a short-term rental for more than 90 nights per year, you will require planning permission. This requirement ensures that properties in residential areas maintain a balance between long-term residents and short-term rentals. To obtain planning permission, you will need to apply for a "change of use" from the Cardiff City Council.

Business Rates:

If you are operating your Airbnb rental as a business, you may be liable to pay business rates. Business rates are a tax on non-domestic properties used for commercial purposes. It is advisable to check with the local council regarding the business rates and determine if your rental property qualifies.

Taxation:

As an Airbnb host in Cardiff, you are responsible for declaring your rental income to HM Revenue and Customs (HMRC) and paying any applicable taxes. It is important to keep accurate records of your rental income and expenses to ensure compliance with tax regulations. Seeking professional advice from an accountant or tax specialist is recommended to navigate the tax obligations effectively.

Health and Safety:

Cardiff has health and safety regulations that apply to short-term rental properties. These regulations include ensuring fire safety, electrical safety, and gas safety compliance. Hosts should conduct regular safety checks, maintain necessary certifications, and provide a safe environment for their guests.

Noise and Nuisance Control:

Hosts are expected to manage noise levels and prevent any nuisance to the surrounding neighbors. It is important to respect the tranquility of the neighborhood and communicate clear expectations to guests regarding noise restrictions.

Waste Disposal and Recycling:

Hosts should educate their guests about the local waste disposal and recycling practices. Clear instructions should be provided on how to properly dispose of rubbish to maintain cleanliness and adhere to waste management guidelines in Cardiff.

It is important to note that regulations and policies can change over time. Therefore, it is recommended to consult with the Cardiff City Council or seek professional advice to ensure you have the most up-to-date information regarding the legal requirements for Airbnb rentals in Cardiff.

Compulsory landlord registration & licensing in Cardiff

Under the Housing (Wales) Act 2014, it is mandatory for all landlords in Cardiff to comply with the compulsory landlord registration and licensing requirements. Landlords with properties in Cardiff are required to register with Rent Smart Wales and choose between obtaining a license if they self-manage their properties or engaging a licensed agent to manage them. This ensures that landlords meet the necessary legal obligations and maintain the standards set by the act.

The Welsh Government is planning to introduce controls to limit the numbers of second homes and holiday lets, as well as a licensing scheme for anyone wanting to list units on booking platforms such as Airbnb.

Should I pay business rates on my short-term property in Cardiff?

Whether you need to pay business rates on your short-term rental property in Cardiff depends on the number of days you let it out in a year. The specific criteria for business rates can vary, so it is essential to check with the Cardiff City Council or consult with a local authority to determine your eligibility.

In general, if you let your property on a short-term basis for a significant portion of the year, you may be classified as operating a business and therefore liable for business rates. The threshold for the number of days can vary, but typically, if you let your property for more than 140 days per year, you may be subject to business rates.

It is crucial to note that the regulations and thresholds can change, and it is always recommended to seek professional advice or consult with the local council to understand the specific requirements and obligations regarding business rates for short-term rental properties in Cardiff.

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In Cardiff, we have established a robust network of KeyNest points, ensuring that you'll find one conveniently located just a few minutes away from your property.

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