Kawartha Lakes short-term rental licensing, demerit point system in full swing

The City of Kawartha Lakes is stepping up enforcement regarding short-term rentals as its licensing program and demerit point system are full swing for the summer season in central Ontario.

Following years of concerns from residents regarding the lack of regulations on short-term rentals, in June 2023 the municipality approved a new licensing program that followed with a soft launch that summer.

Property owners had until January 2024 to register to use a home or a property as a short-term rental.

Concerns from residents included noise, partying, littering and vandalism. Deputy Mayor Charlie McDonald, who helped spearhead a task force that recommended the program, says enforcement is well underway.

“We passed this last June, gave everybody the summer and now it’s in full force,” he said.

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Application fees range from $150 to $1,500, depending on the length of the licence. Property owners are accountable to follow applicable rules including the number of guests, noise levels, parking and garbage cleanup.

An accumulative demerit point system could see an operator’s licence be revoked for six months if they receive seven demerit points, with a two-year suspension if 15 points are reached.

“We want to make sure it’s safer for everyone,” McDonald said. “And safety is the most important, whether it’s the septic or your fire or whatever.”

Last year the municipality estimated there were more than 1,000 properties listed as short-term rentals but has since reduced that number to 750. Currently 250 short-term rental licences have been issued with 450 still to be processed.

A number of short-term rental business owners, including Jayne McCaw, applaud the new system.

“We just want to be able to monitor where the problems are. It is the good owners who follow the rules and those are the ones getting licensed so it is a good system,” she said.

She says the majority of individuals renting properties are contributing to the local tourism industry and are not nuisance renters.

“What they are doing is spending one-third of their money on the property for the accommodations and spending two-thirds on all the stuff to do in the locality,” she said. “So theres’s no question we have to have municipalities understand that this is a huge source of revenue.”

McDonald says there has been positive reception to the new systems, noting the rules are not meant to deter people from operating short-term rentals.

“Every resident has the right to enjoy their own property, whether there is a short-term rental or not, and that’s our goal,” he said. “To ensure Kawartha Lakes is a beautiful place to come — which we all know it is and everyone can enjoy it.”