Regulating short-term rentals in Istanbul: legislative pathways, regulatory design and early effects

Source abstract

The short-term rental (STR) market, led by Airbnb, has grown substantially in the past decade, prompting government regulations due to concerns about housing affordability, tourism-driven gentrification and resident–visitor conflicts. However, regulating STRs at the local level remains challenging, as policies vary by political and market contexts. Existing research often overlooks these contextual nuances. This paper examines Istanbul, where recent Turkish legislation aims to curb informal STR growth. Although regulations in Istanbul impose limits on the number of guests, licensing and safety standards, the framework is subject to criticism for being lenient and ineffective due to the high degree of centralisation, absence of participation and asymmetric nature.