Condos struggle to stop illegal rentals

Mar 17, 2018

Managers are limited in enforcement action as errant subletters find loopholes in rules

Derek Wong


Illegal short-term rentals are a gold mine for recalcitrant home owners but a bugbear for residents dealing with disruptive holidaymakers.

A battle is ongoing between errant subletters and condominium managers, who are trying their best to prevent illicit stays but are limited in their enforcement action.

Unwitting vacationers are caught out when they realise that their bookings are unauthorised as private homes here are subject to a minimum rental period of three consecutive months. It is six months for public housing.

On March 9, a New Zealand family, with young children and luggage in tow, was turned away from a four-night Airbnb stay at Caribbean at Keppel Bay. Rejecting jetlagged children is hard to do, said a concierge staff member at a Marina Bay condo. "We feel sorry for them, but it is part of our job," she added.

Such incidents used to be far more rampant and blatant two years back as the condo rejected vacationers who turned up with their booking confirmations at the counter, she said. Then, the authorities did not disallow short-term private home rentals yet, but it was in the condo's by-laws. Warning notices and case studies of homeowners being prosecuted were put up, along with high-tech rotating security cameras to capture evidence of visitors with luggage.

Mr Jim Lee, 37, manager of Spottiswoode Residences, said: "Airbnb hosts are getting smarter. They will inform tenants to tell us they are friends of residents here."

This may render security guards powerless to stop them from entering. "We cannot just accuse them of being on a short-term lease," he said.

In one such case last year, the owner of a unit complied only when the management e-mailed the owner and informed the Urban Redevelopment Authority.

While listings on the Internet do not identify the buildings, photos will reveal which development it is, said a property officer from a condominium at Keppel Bay. He requested not to be named.

For now, the management of condos here can only refer cases to the authorities for investigation, leaving residents to bear with the inconvenience of intruders.

A resident at Orchard Towers condominium who gave her name as Ms Mary R. said units in her block are being bought to be rented out through platforms like Airbnb.

Ms Mary, 72, believes her neighbour divided a four-bedroom apartment into eight rooms to rent out.

"Such set-ups are ultimately going to ruin our living standards here," she said, adding that the excessive use of lifts, public toilets and common areas due to the many visitors will result in higher maintenance fees that owners like her have to bear.

Property expert Nicholas Mak, executive director of real estate investment firm ZACD Group, believes residents like Ms Mary are right to feel frustrated. "It is just not fair for residents to bear these negative externalities," he said. "It is inconveniencing the majority for the benefit of the minority."

• Additional reporting by Cheryl Tee