The motivations and practices of commercial short-term rental operators in the short-term/long-term “regulatory gap”

Abstract

ABSTRACT Despite the rapid proliferation of short-term rentals (STRs) over the last decade, research contacting commercial operators to explore their business practices, motivations, and attitudes remains rare. Leveraging a comprehensive dataset of STR activity in Montreal alongside key-informant interviews, this study presents an in-depth portrait of commercial STR operators. We find that the experience of commercially operating STRs is marked by contradictions. While operating STRs can be time-consuming, the chief motivating factors are the potential for revenue maximization and the increased flexibility provided to property owners driven by a ‘regulatory gap’ between the long- and short-term rental markets.