# summary

- Link: https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/
- Published: 2026-03-22T16:14:54+02:00
- Author: dearSA

_Advert_

_Advert – scroll down_

[ have your say](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/#havasay)

The Department of Tourism has gazetted a Code of Good Practice for Short-Term Rentals(
STRs), framing it as a “non-binding” interim measure. However, Minister Patricia
de Lille has confirmed that this Code is the critical first step toward a total 
overhaul of the Tourism Act of 2014, which will introduce formal, mandatory regulations
for the home-sharing economy.

**The stakes are high.** While the Code aims to address noise, safety, and community
impact, it opens the door for far more restrictive measures currently being debated
in Parliament and major metros:

    - _Rental Caps:_ The Minister has explicitly referenced international models(
      like London and Paris) where homeowners are restricted to renting their properties
      for only 90 days per year.
    - _Commercial Reclassification:_ Municipalities like Cape Town are already exploring
      by-laws to reclassify STRs as “commercial” businesses, which could see property
      rates double or triple.
    - _Surveillance and Data Sharing:_ The Code encourages platforms (like Airbnb
      and Booking.com) to share host and guest data directly with the government,
      raising significant POPIA and privacy concerns.
    - _Equality vs. Livelihood:_ While traditional hotels argue for a “level playing
      field,” thousands of ordinary South Africans rely on this income to survive
      the rising cost of living.

### _Points to consider_

[Why the Industry is "Rattled"](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185231856-6241c5bf-7c7d)

### 3 Key Disruptions

 1.  a. **The Identity Mandate**
         One of the most significant shifts for guests is the
        requirement to provide identity data. In the past, home-sharing felt anonymous
        and casual. The Code moves toward a formal “check-in” process similar to hotels,
        which the industry fears might deter privacy-conscious travellers.
     b. **The “Good Neighbour” Burden
         
        The Code explicitly expects guests to “respect
        the cultural norms and values of the host community”. This isn’t just a suggestion—
        hosts are now encouraged to provide guests with written visitor policies. For 
        the customer, this means a “party weekend” in a residential area is no longer 
        just a social faux pas; it is a breach of the Code that could lead to platform-
        wide blacklisting.
     c. **Economic Reclassification
         
        As municipalities use this Code to justify commercial
        rates for Airbnbs, the “budget” appeal of home-sharing is under threat. If a host’s
        municipal bill doubles because they are treated like a hotel, the guest will inevitably
        pay the difference. This could see the “affordable holiday” for local South African
        families disappear.

The primary anxiety stems from the transition from guidelines to hard law. Key concerns
identified in recent reports include:

    - _The “Foot in the Door” for Caps:_ Minister de Lille has explicitly mentioned
      looking at international models like London and Paris, which cap short-term
      rentals at 90 days per year.
    - _Commercial Rates Reclassification:_ There is a move (already gaining steam
      in Cape Town) to reclassify STR properties as “commercial” rather than “residential,”
      which could see municipal rates bills increase by over 100%.
    - _Data Privacy and Sharing:_ The Code encourages platforms to share host and
      guest data with the government. This raises significant POPIA concerns and
      is seen by some as “surveillance” for tax enforcement.
    - _Safety Compliance Costs:_ Mandatory requirements for smoke detectors, fire
      escapes, and first-aid kits add an administrative and financial burden to “
      mom-and-pop” hosts.

[Tax and Levies](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1738150189952-44103674-e29d31d9-c3be5520-254364ed-5f07)

The Code explicitly mentions compliance with tourism levies and VAT. Should small-
scale home-sharers be subject to the same levies as commercial hotels?

[Data Sharing](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1738150189975-5d0623dc-47dc31d9-c3be5520-254364ed-5f07)

Platforms are encouraged to assist Government with host information and economic
contributions. Does this raise privacy concerns, or is it necessary for regulation?

[Enforcement of Bylaws](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1738150854013-bb98f5fb-7d0931d9-c3be5520-254364ed-5f07)

The Code places the onus on hosts to ensure guests comply with “community-specific
norms” and body corporate rules. Is this a fair transfer of responsibility?

[Non-Binding Status](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1738151172108-10076802-4d0031d9-c3be5520-254364ed-5f07)

Since the Code is currently “non-binding”, what weight will it actually carry in
disputes between neighbours or with municipalities?

### _Questions and answers (for hosts)_

[Is this Code legally binding right now?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1763554389233-fdb8fee6-6da45520-254364ed-5f07)

Technically, no. It is currently a “non-binding” set of guidelines. However, the
Department of Tourism has confirmed it is a precursor to a formal amendment of the
Tourism Act. Once the Act is amended, many of these “guidelines” will likely become
mandatory legal requirements.

[Will I be limited to 90 days of rental per year?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1763554389265-aa09206a-77665520-254364ed-5f07)

The Minister has explicitly referenced the “90-day cap” model used in cities like
London and Paris. While not in the current Code, the Department is using this public
comment period to gauge the feasibility of introducing such limits in the upcoming
legislative review.

[Does the Code mean I have to pay commercial property rates?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1763554389298-fbc55a3c-817c5520-254364ed-5f07)

The Code encourages compliance with “land use and zoning” and “tax obligations.”
Major municipalities are already using this gap to reclassify full-time short-term
rentals as commercial businesses. Supporting the Code as-is may inadvertently validate
these municipal moves to increase your rates.

[What information is being shared with the government?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1771840733358-e4b2d08e-b22664ed-5f07)

The Code encourages platforms to assist the government with information relating
to hosts and “economic contributions.” This suggests a future where your occupancy
data and earnings are shared directly with state authorities for regulatory and 
tax enforcement.

[How does this affect my guests?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1771840767171-e194ee95-bf8264ed-5f07)

Guests are now expected to comply with specific community norms and provide accurate
identity data. While this improves safety, it also means guests may face stricter
conduct rules and higher prices as hosts pass on the costs of compliance and commercial
rates.

[Why should I comment if it’s "just a guideline"?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185762149-f6ad9f8e-d9e1)

Government policy is built on the record of public input. If the majority of stakeholders
do not object to these “non-binding” principles now, the Department will use that
silence as a mandate to codify them into hard, enforceable law during the next phase
of the Tourism Act review.

### _Questions and answers (for guests)_

[Will this make my South African holiday more expensive?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185820984-bef223e1-0b3c)

Likely, yes. While the Code is a guideline, it encourages hosts to comply with “
tax obligations” and “tourism levies”. Furthermore, if municipalities use the Code
to charge hosts commercial rates, these costs will almost certainly be passed on
to the guest through higher nightly fees.

[What personal data will be shared with the government?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185972510-f546ea92-c7b8)

The Code specifically states that platforms should provide hosts with “guest contact
and identity data” to enhance safety. It also encourages platforms to assist the
government with information relating to the “economic contributions” of the sector.
This raises questions about how much of your travel history and personal ID information
will be stored in a state-accessible database.

[Can I be evicted for noise or "bad behaviour"?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185821030-02b081a2-4e21)

The Code places a heavy burden on guests to “respect the cultural norms and values”
of the community and avoid “nuisance or distress” to neighbors. Hosts are encouraged
to take “reasonable steps” to ensure compliance. If a resident complains, the Code
provides a framework that could make it much easier for a host to terminate a stay
immediately.

[Will there be fewer Airbnbs to choose from in the future?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185821081-236b6b18-76f9)

If the Code leads to “rental caps” (such as the 90-day limit mentioned by the Minister),
many hosts may find it no longer viable to list their properties. For the guest,
this means fewer options during peak seasons and higher demand for the remaining
rooms.

[Are my safety standards guaranteed?](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/#1774185821128-024e9bc2-7b6a)

One benefit of the Code is that it “encourages” hosts to provide smoke detectors,
fire safety info, and first-aid kits. As a guest, you would gain a higher level 
of “hotel-like” safety, though the “mom-and-pop” feel of many rentals may be replaced
by a more corporate, regulated environment.

The draft Code of Good Practise

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The Government notice

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[Download [165.46 KB] ](https://cdn.dearsouthafrica.co.za/wp-content/uploads/2026/03/22153433/54320-13-3-Tourism-gov-notice.pdf)

### _In the News_

    - News24 — [Airbnb-style industry rattled by govt’s latest proposal for tighter rules](https://www.news24.com/southafrica/news/airbnb-style-industry-rattled-by-govts-latest-proposal-for-tighter-rules-20260317-0884)
    - EWN — [Changes to short-term rentals like Airbnb are coming, have your say](https://www.ewn.co.za/2026/03/17/changes-to-short-term-rentals-eg-airbnb-are-coming-so-have-your-say)
    - IOL — [‘Almost R12k a month’: Western Cape tenants face South Africa’s highest average rent](https://iol.co.za/news/2026-03-22-almost-r12k-a-month-western-cape-tenants-face-south-africas-highest-average-rent/)
    - GOOD — [AUNTY PAT’S BNB REGULATIONS: GOOD START TO ADDRESSING HOUSING UNAFFORDABILITY](https://forgood.org.za/aunty-pats-bnb-regulations-good-start-to-addressing-housing-unaffordability/)
    - HTXT — [SA’s new Airbnb rules basically ask you to be a decent human being](https://htxt.co.za/2026/03/sas-new-airbnb-rules-basically-ask-you-to-be-a-decent-human-being/)
    - Tourism Update — [De Lille calls for comment on short-term rental industry](https://www.tourismupdate.com/article/de-lille-calls-for-comment-on-short-term-rental-industry)
    - Citizen — [We need more Airbnb-style short rentals in townships and rural areas – MPs](https://www.citizen.co.za/news/we-need-more-airbnb-style-short-rentals-in-townships-and-rural-areas-mps/)
    - News24 — [Government eyes tighter rules for Airbnb-style rentals](https://www.news24.com/southafrica/news/government-eyes-tighter-rules-for-airbnb-style-rentals-20260316-0664)
    - IOL — [De Lille proposes code of conduct for Airbnb and short-term rentals](https://iol.co.za/business-report/2026-03-16-de-lille-proposes-code-of-conduct-for-airbnb-and-short-term-rentals/)

**CapeTalk.** Africa Melane talks to Miguel Martins of SASTRA about the Department
of Tourism’s draft Code of Good Practice for short-term rentals, exploring the implications
for small hosts, tourism, and housing supply, and the need for fair, balanced regulation.

**Newzroom Afrika.** Tourism Minister Patricia de Lille is calling on Airbnb and
short rental owners to be fair and behave in an ethical manner. De Lille says they
have received complaints regarding the behaviour of Airbnb owners and guests not
adhering to the codes of rental associations.

### _Statements and media releases_

Click on a logo to view.

Want to display your organisation’s statement? [Click here. ](https://dearsouthafrica.co.za/code-of-good-practice-for-short-term-rentals/summary/ cannabis@dearsouthafrica.co.za?subject=org info for Cannabis regulations info page)

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### Cape Independence Party

 **CAPEXIT Party strongly opposes the Business Licensing Bill in its entirety on
all points:**

**Preferential licensing**
 The Bill explicitly empowers the Minister to grant licences
on a “preferential” basis and to impose conditions that advance “historically disadvantaged
individuals” or other designated groups. This is nothing less than state-sanctioned
racial and ideological discrimination dressed up as transformation policy.

CAPEXIT rejects the notion that the state has any legitimate role in deciding which
racial or social group may or may not operate a business. Such preferential licensing
will:

    - Reintroduce apartheid-era economic controls under a new ideological banner;
    - Create a cronyist system where access to markets is determined by political
      connections and demographic criteria rather than merit, innovation or consumer
      demand;
    - Discourage both domestic and foreign investment, as investors will rightly
      fear that their businesses can be denied licences or subjected to arbitrary
      conditions on racial or political grounds.

No free society licenses businesses on the basis of the owner’s skin colour or historical
narrative. This clause alone renders the entire Bill unconstitutional and morally
indefensible.

**Principles of business licensing**
 The Bill fails to articulate any coherent,
objective, or proportionate principle for requiring a general business licence in
the first place. Instead, it presumes that every enterprise – from a street vendor
to a multinational corporation – must seek prior permission from the state simply
to exist and trade.

This reverses the fundamental principle of a free economy: citizens should be free
to engage in lawful economic activity without state permission unless there is a
clear, evidence-based justification (e.g. public health, safety or environmental
protection).

The Bill provides no such justification. It is a blanket assault on economic freedom,
reminiscent of the licence-permit raj that crippled India’s economy for decades.
Requiring a general “business licence” in addition to existing sector-specific permits(
liquor, health, zoning, etc.) serves no legitimate public purpose – only the purpose
of expanding state control and creating new opportunities for rent-seeking and corruption.

**Powers of inspectors**
 The Bill grants inspectors extraordinarily broad and invasive
powers, including warrantless entry into private premises, seizure of documents 
and goods, and the ability to close businesses on the spot. These powers are ripe
for abuse and will be weaponised against political opponents, non-compliant businesses,
and any entrepreneur who refuses to pay bribes.

In a country already plagued by corruption scandals, handing unelected officials
the power to enter and shut down businesses without judicial oversight is an open
invitation to extortion. Small businesses, spaza shops, and informal traders – many
of them immigrant-owned – will be particularly vulnerable to harassment and shakedowns.
Far from promoting transformation, this will simply create a new class of “licence
inspectors” who enrich themselves at the expense of the poor.

**More red tape**
 South Africa already ranks poorly on the World Bank’s Ease of
Doing Business index, largely because of regulatory overreach. This Bill adds yet
another layer of costly, time-consuming bureaucracy on top of SARS registration,
municipal permits, B-BBEE compliance, UIF, COIDA, sector SETA requirements, and 
dozens of other licences.

The compliance costs – application fees, mandatory consultations, endless paperwork,
and the risk of arbitrary refusal – will crush startups and force thousands of small
businesses to close or remain informal. Jobs will be lost, investment will flee,
and the tax base will shrink. The Western Cape, which has consistently outperformed
the rest of South Africa precisely because of lighter and more efficient regulation,
will see its competitive advantage deliberately sabotaged by Pretoria.

**Conclusion**
 The Business Licensing Bill is not reform – it is economic sabotage.
It centralises power in the hands of an already overreaching and underperforming
national government, reintroduces racial criteria into commerce, and erects new 
barriers to entrepreneurship at a time when South Africa desperately needs growth
and jobs.

CAPEXIT calls for the complete withdrawal of this Bill. The people of the Western
Cape, and indeed all South Africans who believe in freedom, will not accept a return
to a permit-based economy controlled by bureaucrats and political gatekeepers.

For a free, prosperous, and non-racial future, this Bill must be rejected in its
entirety.
