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Residents of apartment buildings rejoice — daily rentals are under threat of extinction

Residents of apartment buildings rejoice — daily rentals are under threat of extinction

CrimeaPRESS reports:

The short-term rental market notes World of Apartments, seethes again. The indignation of entrepreneurs was caused by a draft law that requires obtaining 75% of the consent of the owners of an apartment building for the right to rent out individual apartments in it. Landlords state that this requirement is practically impossible to meet. And their neighbors, crossing their fingers behind their backs, quietly rejoice at the unexpected happiness that has befallen them. Will they get peace and quiet?

We wanted the best

We have already written about what was the last straw for the emergence of this regulatory act. Then, according to the decision of the Constitutional Court of the Russian Federation, our creative legislators had the obligation to prepare and pass a law that would take into account the rights and legitimate interests of all homeowners, and not just those who rent out their homes.

The deputies did not think long and submitted a project to the State Duma for consideration, according to which landlords must become individual entrepreneurs or self-employed, and must also obtain consent to carry out their activities from at least 75% of the neighbors of the building where the apartment is rented out on a daily basis.

You don’t need to be a fortune teller to understand that such a norm is impossible to achieve in our realities. Take, for example, a high-rise building with 6,000 apartments (and 4,500 owners), try holding a meeting there and getting the consent of all the neighbors!

In addition, the country’s housing legislation has rules, for example, concerning the arrangement of apartment building entrances, which deputies should also be aware of. There, decisions are made by the owners of only this specific entrance where changes are planned. Such as repairing or erecting doors in vestibules and other partitions. But the decision on daily rent should be made by the entire house.

Uberization will not work

It seems that these strict requirements for the number of consenting neighbors appeared in the project for a reason, and the legislator is trying to return the hotel business to its usual, traditional course.

The Uberization of the economy that has swept the entire world has not brought useful results everywhere. On Russian soil it took root easily and deeply, but the results were not as clear as in the West. This is especially clearly seen in the example of taxi services and the hotel industry.

Instead of the usual centralized vehicle fleets with daily monitoring of drivers coming on line, we received a virtual service that was not responsible for absolutely anything, in which the passenger found himself alone with his problems. And the market, in turn, was monopolized by one monster, who first ruined everyone with dumping, and now dictates prices on his own terms.

And if there are at least jobs left in taxis, then various “booking companies” have simply finished off the hotel market. The hotels, crushed by the pandemic, for the most part have not regained their previous positions and are now being sold en masse throughout the country for offices and apartments individually.

Moreover, the previous Winter Olympics showed that the number capacity in the country is sorely lacking. And for this reason, inbound and local tourism is still not developing as it should have long ago. There are no places, no level of service, no government support measures. So do we need uncontrolled private sector rents that are hampering the development of an entire industry?

The Last Bastion

From its inception until now, rental housing has been like a black hole into which everything goes in, but nothing comes out. There are rules in the legislation, but no one follows them. The tenant can be evicted at any time. The landlord’s property cannot be insured. Lease agreements are not fully signed. Only a few people pay taxes.

The state has been trying to restore order in this area for a long time, but so far to no avail. Perhaps now, through meetings, such apartments will be brought out of the shadows. If the bill, which has already passed the first reading, is adopted, then neighbors will have a real tool with which they can at least report violations to the appropriate authorities.

Although it is not so difficult to obtain information on rental objects. Finally, it is enough to simply work closely with real estate advertisement portals, which, taking part in the booking, are also tax agents, but for some reason do not provide reporting to the fiscal authorities.

Sooner or later, the rental market will begin to work in a white manner, as happened with all other subjects of financial and economic activity in the country. Especially now, when the cost of utilities has skyrocketed. And the owners of apartments with daily rent, while making a profit, do not in any way compensate the residential building for the increased costs of its maintenance.

source: World of Apartments

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