The lawsuit alleges the popular short-term rental site violated the Fair Housing Act.
The Justice Department is suing Airbnb for alleged housing discrimination after a host rejected a stay for a mother and her three children.
The complaint filed in San Francisco federal court argues the short-term rental site violated the Fair Housing Act by refusing to allow Charisse Ylitalo to rent a property in Huntsville, Alabama, with her three children, ages 9, 11 and 14.
Airbnb declined to comment to Reuters on the lawsuit, but said “it was committed to welcoming people with children, and that it explicitly forbids discrimination based on familial status.”
Ylitalo sought to rent the Airbnb after her family sold their home “to minimize disruptions for their children before moving to Hawaii,” where her husband had taken a new job. The host rejected her request to stay at the Airbnb, and the company later told her that “hosts need not accept children” and "it would be best" if she looked for a different rental.
The complaint said Ylitalo ultimately ended up an hour's drive from Huntsville. The disruptions and isolation caused by the distance caused her husband to return to his old job, “which paid thousands of dollars less than the Hawaii job,” the complaint added.
- In other legal news, plaintiffs challenging Burlington’s short-term rental regulations have appealed the case to the Vermont Supreme Court. The lawsuit was first filed in July 2023 and argues the city overstepped when it banned non-owner-occupied STRs. (link)
New and Proposed Regulations:
- New York: Governor Kathy Hochul approved legislation set to go into effect on March 25 that will require short-term rental owners to pay sales tax, and require platforms like Airbnb and VRBO to report to the state the rental properties and collected taxes by county on a quarterly basis in order of counties to create STR registries. (link)
- Saratoga Springs, New York: A new short-term rental ordinance passed after three years of debate – limiting rentals to 150 days and requiring that properties be licensed, insured with a $300,000 policy and pass a fire inspection. (link)
- Woodstock, New York: Town officials are rolling out a new fee structure with higher costs for non-owner-occupied STRs. (link)
- Palm Coast, Florida: Local officials unanimously agreed to limit the number of guests allowed at short-term rentals to 10. (link)
- Charleston, South Carolina: City council members are considering a cap on short-term rental permits in order to protect long-term housing. (link)
Other Noteworthy News:
- Housing for fire victims: In Los Angeles, the nonprofit arm of Airbnb is working with 211 LA to provide emergency temporary housing for residents displaced by wildfires. (link)
- No vacancy: Ahead of Inauguration Day, some Airbnb owners in Washington are hiking up their prices or removing their properties from the rental website altogether to avoid hosting Trump supporters. (link)
- #AirbnbWhileBlack: Airbnb is working to eliminate racial discrimination on the platform and released a new report on their progress meeting that goal. (link)
- Co-hosting caution: Skift explores whether Airbnb’s new co-hosting feature poses a threat for property managers. (link)
