Updated 5 August 2026
The NSW short-term rental framework
Sydney short-term rental accommodation is regulated through NSW planning rules, a premises register, fire-safety standards, a mandatory industry Code of Conduct and strata legislation. Local planning controls and property-specific approvals can also matter.
The rules distinguish between hosted and non-hosted STRA. Hosted STRA generally means the host occupies the dwelling while guests stay. Non-hosted STRA generally means guests occupy the dwelling while the host lives elsewhere. This distinction affects the annual day limit in Greater Sydney.
- Confirm whether the proposed use is hosted or non-hosted STRA
- Check the NSW Planning Portal and current council requirements
- Review title, lease, strata and insurance documents
- Do not rely solely on what another property in the building is doing
The Greater Sydney 180-day limit
Under the current NSW exempt-development framework, non-hosted STRA in Greater Sydney is restricted to a maximum of 180 days within the property’s 365-day registration period. The listed Greater Sydney councils include City of Sydney, Waverley, North Sydney and Willoughby, covering the six Homelobby focus areas.
Hosted STRA is not subject to the same annual day limit. The NSW framework also states that bookings of 21 consecutive days or more are exempt from the non-hosted day-limit count. Owners should check the current rule and how days are recorded for their individual property before setting an availability strategy.
- Non-hosted Greater Sydney STRA: generally up to 180 days per registration year
- Hosted STRA: not restricted by this annual day limit
- Bookings of 21 consecutive days or more: currently exempt from the day-limit count
- Rules and mapped areas can change, so confirm before relying on them
Registration and fire-safety standards
Most STRA dwellings must be registered on the NSW Government STRA Register before operation. Registration is linked to compliance with the applicable fire-safety standards and helps authorities monitor the use and day limits of STRA properties.
NSW Planning identifies requirements including an evacuation plan and interconnected smoke alarms. A checklist should be completed for the actual dwelling; apartment layouts, bedrooms and building access vary, and a generic online checklist does not replace property-specific compliance work.
- Register the premises before accepting stays where registration is required
- Confirm required smoke alarms and interconnection
- Prepare and display the required evacuation information
- Keep registration and safety details current after property changes
The mandatory Code of Conduct
The NSW Code of Conduct applies to industry participants including hosts, guests, booking platforms and letting agents or facilitators. It establishes behaviour and complaint requirements and supports disciplinary action for serious or persistent breaches.
For owners, practical compliance starts with accurate listing information, lawful occupancy, guest rules and a clear contact process. Complaints about noise, parking, waste, common property or safety should be taken seriously and documented rather than treated only as a customer-service issue.
- Set clear occupancy, visitor, party, smoking and quiet-hour rules
- Give guests accurate waste, parking and common-property instructions
- Maintain a reachable contact for urgent issues
- Document material complaints and the response taken
- Use guest screening and escalation processes consistently
Strata by-laws and building rules
Registration under the state framework does not override strata by-laws. NSW Fair Trading states that an owners corporation can adopt by-laws restricting short-term rental accommodation in lots that are not the host’s principal place of residence. Strata schemes can also use occupancy and common-property by-laws.
Obtain and read the current registered by-laws, not an old sales-contract copy. Consider access devices, concierge rules, lifts, parking, rubbish, move-in procedures and any notification requirement. If the intended operation conflicts with a valid by-law or practical building control, the property may not be suitable.
- Review the latest registered strata by-laws
- Confirm whether the lot is the host’s principal place of residence
- Check occupancy, visitor, parking, rubbish and common-property rules
- Notify the owners corporation where required
- Do not advertise before required permission and operating arrangements are clear
Insurance, consent and written authority
The Code requires hosts to hold insurance covering liability for third-party injury and death. Standard home, landlord or strata insurance may not automatically cover short-term use, guest damage or business activity. Obtain written confirmation from an insurer that understands the proposed operating structure.
If the host is not the owner, the lease and owner’s written permission must allow the intended use. Property managers, co-hosts and other operators should also have a clear written agreement defining authority, fees, maintenance approvals, funds, responsibilities and incident reporting.
- Tell the insurer exactly how the property will be used
- Confirm public-liability and relevant property coverage in writing
- Obtain owner and agent consent where the operator is a tenant
- Define management authority and maintenance limits in the agreement
- Keep platform protection separate from independent insurance decisions
A practical pre-launch checklist
Treat compliance as a property-specific decision, not a final checkbox added after the listing is written. Planning, registration, safety, strata, insurance and physical operations need to agree before bookings are accepted.
Regulation is under active public review in parts of Sydney. A council motion or policy proposal is not automatically current law, but it is a reason to re-check official sources regularly. Owners should obtain professional advice where the property or proposed structure is uncertain.
- Identify hosted or non-hosted use
- Check current NSW and council planning requirements
- Complete STRA registration and fire-safety work
- Review strata or community-scheme by-laws
- Confirm insurance and written owner authority
- Test access, parking, waste and emergency processes
- Document house rules and the local response plan
- Review the position whenever laws or property conditions change
This guide provides general information, not legal, tax, planning, insurance or investment advice. Check current requirements for the individual property before operating.