Short-term rental platforms like Airbnb and VRBO have created new challenges for condominium and homeowners associations. While these services offer owners an opportunity to generate rental income, they can also create concerns about security, increased traffic, and preserving the residential character of a community.
One of the most common questions boards receive is:
Can an owner be prohibited from renting a unit through Airbnb if the governing documents do not specifically mention Airbnb by name?
In most cases, the answer is yes. Associations often already have the authority to prohibit short-term rentals under existing provisions in their governing documents.
Your Governing Documents May Already Prohibit Short-Term Rentals
Older declarations don’t reference short-term rental platforms because they were written before they existed. But most contain restrictions as to the minimum rental term, such as 6 months or one year. That effectively prohibits short-term rental activity.
Minimum Lease Terms
One of the most common restrictions is a minimum lease term, often six months or one year. By their very nature, Airbnb and other short-term rental arrangements typically do not satisfy these minimum lease requirements.
Restrictions on Transient Occupancy
Many declarations expressly prohibit “transient” or “short-term tenants”. When those provisions exist, they apply regardless of whether the rental is arranged through Airbnb, VRBO, or another online platform.
The issue is not how the property is advertised. It is the nature and duration of the occupancy.
Residential Use Restrictions
Many declarations also require units to be used solely for residential purposes and prohibit commercial or business activities.
Short-term rentals often involve a continual flow of paying guests entering and leaving the community. Unlike a traditional residential lease, these arrangements can resemble hotel operations and may be inconsistent with the residential character of the community.
Other Leasing Requirements
Associations frequently impose additional leasing requirements, including:
- Board approval before leasing
- Written lease agreements
- Limits on the number or percentage of leased units within the community
Short-term rental arrangements often fail to comply with one or more of these requirements, creating an additional basis for enforcement.
Georgia Courts Have Upheld These Restrictions
Georgia courts have recognized that existing declaration provisions may prohibit Airbnb rentals even when the declaration does not specifically reference online rental platforms.
In City Heights Community Association, Inc. v. Jennings, a Fulton County Superior Court held that an owner’s Airbnb rentals violated declaration provisions prohibiting transient tenants and business use. The decision reinforces that associations may already have the authority to restrict short-term rentals under their existing governing documents.
What Can Boards Do?
If a board determines that short-term rentals violate its governing documents, enforcement should be consistent, reasonable, and well documented.
Depending on the declaration and adopted policies, boards may consider:
- Adopting a fining policy for violations.
- Providing written notice to owners explaining the applicable restrictions.
- Reviewing access control procedures to limit unauthorized guest access where
appropriate. - Posting signage reminding residents and guests that short-term rentals are prohibited.
- Enforcing restrictions uniformly to avoid claims of selective enforcement.
Every association is different, and enforcement should always be based on the specific language contained in its governing documents.
Before Taking Enforcement Action
Not every declaration contains the same restrictions, and enforcement authority varies from one community to another. Before imposing fines or taking other enforcement action, boards should consult legal counsel to determine what authority already exists under their governing documents and to ensure any enforcement strategy complies with Georgia law.
Winter Capriola Zenner has extensive experience representing community associations throughout Georgia. Our attorneys regularly advise boards on interpreting governing documents, developing enforcement policies, and addressing issues involving Airbnb and other short-term rental platforms. We are also active members and proud Platinum Sponsors of the Georgia Chapter of the Community Associations Institute (CAI).
About The Author
Philip W. Lehman
Senior Associate, Winter Capriola Zenner
Philip W. Lehman is a Senior Associate at Winter Capriola Zenner, focusing on the representation of condominium, townhome, and homeowner associations throughout Georgia. He regularly advises association boards and community managers on governance matters, covenant enforcement, collections, contract negotiation, and the interpretation and amendment of governing documents.
His work reflects Winter Capriola Zenner’s practical, solutions-focused approach to helping community associations address legal challenges, maintain effective governance, and promote the long-term success of their communities.