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Tenants run risks in renting rooms

Published: December 11, 2011 10:09 p.m.
Last modified: December 11, 2011 10:13 p.m.
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This month, thousands of New Yorkers will hand over their apartment keys to strangers, making a few extra bucks by renting out their homes when they head out of town.

But they might not know they’re actually breaking a city law. A law that went into effect this past May bans renting out apartments for fewer than 30 days.

The law was created to target residential buildings illegally converted into makeshift hotels, but still applies to those who rent out their room for a night or two on popular sites like Airbnb.com.

Enforcement is based on complaints, so the city can issue violations and fines — but only after a neighbor calls 311 and complains, said city spokesman Marc LaVorgna.

And New Yorkers who rent out their rooms on Airbnb have indeed been fined, said LaVorgna. One Clinton Hill youth hostel, Loftstel, which advertised on Airbnb, was slapped with a full vacate order in May, he said.

Fines for illegally renting out rooms can range from $800 to $2,500, but it's not the renter who pays, it's the landlord.

Tomorrow, the City Council will mull increasing the penalties to illegal hotels, said City Councilwoman Gale Brewer, upping the fines to as high as $25,000.

Airbnb.com encourages hosts to investigate local laws and make sure they are in compliance.

“Given the growing number of people who rent their extra space, there's obviously a demand in New York that’s not been met,” said Airbnb spokeswoman Kim Rubey.

Which one would you choose?

A Midtown hotel room will set you back $300 a night, but a Bed-Stuy studio was advertised last week on Airbnb for $69 a night. One Park Slope couple, who asked to remain anonymous, told Metro they plan to rent out a spare room in their apartment for about $100 a night later this month while away visiting family. They have used Airbnb since May, usually charging $150 a night for the entire apartment, or $85 for just the spare room. They’ve made $10,000 since May.

More about local , tenants , landlords , rent


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