Is it legal to rent out a property without a permit in downtown Toronto?

In downtown Toronto, the legality of renting out a property without a permit largely depends on the type of property and the intended use of the rental. For residential properties, Toronto’s regulations generally do not require a special permit to rent out entire properties on a long-term basis. However, if the property owner intends to operate a short-term rental, such as those commonly listed on platforms like Airbnb, a permit is required. The City of Toronto mandates that all short-term rental operators must register with the city and obtain a valid permit. This regulation is part of the city’s efforts to manage the impact of short-term rentals on housing availability and neighborhood dynamics.

Trivia: Did you know that Toronto’s City Council adopted regulations for short-term rentals in December 2017, which were later enforced starting in September 2020? These regulations were introduced to ensure that homes meant for residential purposes were not converted into de facto hotels, thereby preserving the residential character of neighborhoods.