A federal judge halted the city’s lottery-based program in August, leaving current and prospective hosts in a legal gray area.
An experiment in managing short-term rentals via a lottery in New Orleans remains in limbo after a federal judge halted the program in August, reports Amanda Hoover in Wired.
“The city has said it is no longer accepting applications for the short-term rental licenses it requires hosts to have, nor is it renewing existing ones. And, until the court makes a final ruling, the lottery balls have stopped spinning and the city has halted enforcement of its latest licensing rules,” Hoover writes.
The situation results from a lawsuit filed by prospective hosts and rental companies that disputes the city’s claim that there are too many short-term rentals and the program’s narrow licensing rules.
Read the full story: New Orleans Tried to Control Vacation Rentals With a Lottery. It Was a Mess
LA Officials Struggle to Enforce Short-Term Rental Rules
Hundreds of rent-controlled units are being illegally rented out as short-term rentals, pushing out long-term renters and exacerbating the city’s housing crisis.
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Some owners are reluctant to put short-term rental units back on the long-term rental market, but the number of permitted units has dropped dramatically.
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