Written Answer by Ministry of National Development on short-term accommodation listings online

Jul 8, 2019

Mr Chong Kee Hiong: To ask the Minister for National Development regarding listings of Singapore residential properties for lease periods shorter than the legally permitted durations on websites such as Airbnb

(a) what measures are in place to prevent such listings;

(b) how rigorous are the enforcement measures;

(c) whether penalties should be increased; and

(d) whether the Ministry will consider penalties for websites which host such illegal listings including temporary bans.

Answer:

The listings on websites like Airbnb typically do not contain specific information on the property and its owner, or the terms of the rental arrangement. So the key to effective enforcement against illegal short-term accommodation (STA) is not so much by targeting the listings, but by conducting investigations against all suspected cases and taking action against the STA hosts.

Over the past year, URA has been stepping up its investigations of residential units suspected of STA use.  Where there is evidence of illegal STA operations, URA will take enforcement action and impose penalties on the perpetrators. For those renting out their homes on a casual basis, and caught for the first time, URA will impose a composition fine, of up to $5,000. Since May 2019, URA has issued 7 such fines. For repeat offenders and those who undertake STA operations on a commercial scale, URA will prosecute them in court, and seek higher penalties. So far, URA has secured 4 convictions in Court.  With the increase in investigation and enforcement actions, we can expect more cases to be fined and prosecuted in Court over the coming months.

There have been a few cases of estate agents who were complicit in illegal STA activities. Besides the financial penalties imposed by URA or the Courts, the CEA will separately bring these errant agents to task by revoking their registration and debarring them for a period of time.