While Airbnb continues to gain traction across South Africa, its presence could lead to legal action within a sectional title scheme. <\/p>\n\n\n\n
Short-term letting in sectional title schemes can conflict with the building’s rules. There are tens of thousands of Airbnb listings, most of which are entire homes or apartments. <\/p>\n\n\n\n
Sectional titles and complexes in South Africa are seeing a massive influx of short-term rentals, which can cause serious issues with scheme rules.<\/p>\n\n\n\n
For many sectional title schemes, this is where the friction starts. In many new developments, short-term letting is often allowed. <\/p>\n\n\n\n
However, in older buildings, it’s a grey area that is beginning to be tested, according to Kayley Leverton, Senior Associate at\u00a0Gillan & Veldhuizen Inc.<\/p>\n\n\n\n
\u201cAt its core, these disputes are rarely about Airbnb itself; they\u2019re about whether owners are complying with the rules they agreed to when they bought into the scheme,\u201d\u00a0said Leverton. <\/p>\n\n\n\n
In a recent matter, a body corporate had clear rules that restricted short stays below a certain number of days. <\/p>\n\n\n\n
Despite repeated warnings and fines, several owners continued operating Airbnb units\u00a0in contravention of the restriction. <\/p>\n\n\n\n
\u201cThe body corporate ultimately had to approach the High Court for an interdict,\u201d Leverton said. <\/p>\n\n\n\n
\u201cThe court granted the order, requiring the owners to stop the short-term letting. If they continue, they face contempt of court.\u201d<\/p>\n\n\n\n
The expert noted that the order is a reminder that ownership rights are never unlimited, and are always subject to the scheme\u2019s rules and applicable law.<\/p>\n\n\n\n
While short-term letting can generate higher returns than traditional leases, especially in tourist-heavy areas, its upside is weighed against very real downsides, like noise complaints and security concerns. <\/p>\n\n\n\n
While the broader conversation seeks to limit short-term lets due to fewer remaining options for long-term tenants, the debate remains outside the courtroom. <\/p>\n\n\n\n
\u201cOur courts apply the law as it stands. The broader housing debate is unlikely to influence outcomes unless and until legislation changes,” she said. <\/p>\n\n\n\n
However, change may be on the way, with proposed amendments to tourism legislation aimed at creating a more balanced framework between economic growth and housing needs.<\/p>\n\n\n\n
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