Ireland Restricts Rentals in Towns Over 20,000, Saratoga Imposes Full Ban, and Bandon Freezes New Applications

Snigdha Parghan

Ireland Restricts Rentals in Towns Over 20,000, Saratoga Imposes Full Ban, and Bandon Freezes New Applications
TL;DR- Ireland will now restrict STRs in towns with over 20,000 residents, giving existing operators two years to comply, while introducing planning oversight. In the U.S., Saratoga is enacting a total ban, adding fines, and hiring a monitoring firm to scan platforms. Meanwhile, Bandon, Oregon has paused new permits for 120 days while it evaluates local housing impact.

Ireland to Restrict Short-Term Lets in Towns Over 20,000 Population

  • The Irish Government has reached an agreement in principle to restrict short-term lets in towns with populations above 20,000, raising the earlier proposed threshold of 10,000.
  • Around 20 towns fall into this category under the 2022 Census, including Drogheda (44,135).
  • Operators will have up to two years to obtain planning permission.
  • Those active for seven years or more may qualify for Grandfather Regularisation.
  • Legislation requiring full planning compliance will go before an Oireachtas committee.
  • The Department of Housing is expected to issue further guidance.
  • Tourism Minister Peter Burke said the measure is designed to help free up housing supply in the five cities while maintaining tourism resilience.
  • The Irish Tourism Industry Confederation warned that most self-catering properties currently operate without planning permission and said unclear guidance could disrupt tourism in towns with limited hotel capacity.

Entities

Oireachtas: Ireland’s national parliament, which must review and advance the legislation.
Irish Tourism Industry Confederation (ITIC): The national tourism industry body representing accommodation and hospitality operators.

Snigdha’s Views

  • Ireland is not imposing a ban; it is shifting STRs firmly into the planning system.
  • The two-year transition and proposed Grandfathering signal compromise, but they also highlight enforcement complexity. 
  • Verification standards, approval timelines, and interpretation criteria remain undefined.
  • What makes this sensitive is structure. Many towns above 20,000 still rely heavily on cottages and self-catering homes, often with limited hotel stock.
  • Applying stricter planning filters without clear exemptions could compress tourism supply in destinations that are not purely urban housing markets.
  • For PMs, the signal is regulatory friction. Larger towns now move from grey-zone operation to formal scrutiny. Planning timelines, legal costs, and eligibility risk should be factored into portfolio strategy before final rules are issued.

Saratoga Bans Short-Term Rentals, Introduces Fines and Platform Monitoring

  • The Saratoga City Council voted on January 21 to enact a Total Prohibition on short-term rentals within city limits.
  • The ordinance bans both operation and advertising of STR listings on platforms such as Airbnb and Vrbo.
  • Violations carry escalating fines: $1,500 for a first offense, $3,000 for a second, and $5,000 for subsequent violations.
  • The city is authorised to request listing data from platforms.
  • A third-party monitoring firm will scan online listings for enforcement at an estimated annual cost of $5,000–$10,000.
  • Officials acknowledged STRs could generate $60,000–$80,000 in annual revenue but said enforcement costs and resident concerns around noise, parking, and safety outweighed financial upside.

Entities

Saratoga City Council: The municipal authority that passed the prohibition.
Third-Party Monitoring Service: A contracted firm that scans rental platforms to identify non-compliant listings.

Snigdha’s Views

  • Saratoga’s approach is not regulatory tightening, it is elimination backed by enforcement infrastructure.
  • Escalating fines combined with Platform Data Access and third-party monitoring signal proactive policing. The era of complaint-driven enforcement is over in this jurisdiction.
  • The location makes this notable. Saratoga sits within the Bay Area event corridor near Levi’s Stadium in Santa Clara, a region that recently commanded event-driven rate premiums during Super Bowl LX
  • Even in a high-demand event market, the city chose housing stability over tourism upside.
  • For PMs, the takeaway is structural: STR viability increasingly depends less on demand strength and more on whether a city frames STRs as economic infrastructure or neighbourhood risk. In Saratoga, that framing is now explicit.

Bandon Pauses New Vacation Rental Applications for 120 Days

  • The City of Bandon, Oregon has approved a 120-day Moratorium on new vacation rental applications.
  • City officials say the pause will allow review of how STRs affect local housing supply.
  • A 2023 housing study found Bandon will need more than 500 additional housing units over the next 20 years.
  • The town currently has roughly 2,000 existing homes. Bandon already enforces strict rules. Only detached single-family homes at least three years old qualify.
  • Coastal rentals require permits.
  • No more than 30% of homes in a defined area may operate as vacation rentals. The moratorium may be extended for up to six months.

Entities

Bandon City Council: The local governing authority implementing the pause.
2023 Housing Needs Study: The assessment projecting a 500-unit housing shortfall over two decades.

Snigdha’s Views

  • When a town of roughly 2,000 homes needs 500 more units, STRs inevitably become politically visible.
  • Bandon already has caps and eligibility filters. The Moratorium suggests the city is reassessing whether those tools are sufficient.
  • The risk is not the 120-day pause. The risk is post-review recalibration. Caps can be lowered. Permit requirements can tighten. Eligibility rules can narrow.
  • For PMs in small coastal towns, this reinforces a broader pattern: even regulated markets are not settled. 
  • Maui is a clear example, initial regulations were challenged and partially overturned, but tighter rules were later reinstated as housing pressure intensified.