It’s easy to fall in love with the idea of becoming a Landlord, whether it be renting out your vacation home for part of the year when you are not using it yourself, splitting off part of your home to create an accessory apartment or bed and breakfast, or owning an investment property with the goal of keeping a Tenant in it for the long term. It’s important however, to consider that each municipality has it’s own set of rules and bylaws with regards to what can and cannot be done. For instance, did you know that renting out your home on a short term basis is not permitted in several municipalities and condo boards? Or that creating a Bed and Breakfast must sometimes meet a certain set of criteria before they can operate legally?

A very big reason to consider using a local REALTOR® to purchase your home is that when building a relationship with you, we will determine your intentions for the property and help you to carry out your due diligence to ensure that the municipal bylaws will allow you to achieve your goals.

We’ve put together a comprehensive list of bylaws associated with rentals within each municipality we service in Southern Georgian Bay. If you have any additional questions, please reach out to us or use the contact information we’ve provided below for the building and planning departments.

Regardless of the type of rental, all properties must adhere to Building, Fire and Electrical Codes and must follow Property Standards and Occupancy Standards including health and safety requirements. Further, those renting their property on an annual basis, must adhere to the Residential Tenancies Act.

Over 400 Airbnb/VRBO units are being advertised in Southern Georgian Bay, but the majority of them are not operating legally. 

Collingwood

Short Term Accommodations

The town of Collingwood does not allow for short term accommodations unless the home is approved as a Bed and Breakfast. Short term accommodations include any rental, including vacation rental (eg AirBNB, VRBO, etc), for any period less than 30 consecutive calendar days. The investigation into such units in the Town of Collingwood are complaints driven, and homeowners found to be conducting a short term accommodation business may be issued a hefty fine.

Accessory Apartments

An accessory apartment may be constructed in the Town of Collingwood if ticks the following boxes:

• Must be in a single-detached or semi-detached house
• Maximum – 1 accessory apartment per property
• Must be less than 40% of the full dwelling.
• Must have a separate entrance from the exterior of the house (may have a shared hallway with main dwelling)
• The house must be connected to municipal services (water and sewer), or meet Ontario Building Code requirements to the satisfaction of the Town of Collingwood
• Minimum – 1 parking space for apartment (+ 2 for main dwelling)
• Must meet zoning requirements
• On larger lots within the older built up portion of the Town (the Collingwood Intensification Area), detached accessory apartments (eg. coach house or garden suite) may be permitted.

The Blue Mountains

The town of The Blue Mountains was one of the first municipalities to handle the issue by setting regulations around short term rentals. This was caused by years of complaints from residential property owners who had problems with noise, parties and garbage, resulting in the Blue Mountains now having a complex licensing program for short term rental accommodations and owners wishing to use apps such as Airbnb and VRBO must obtain a license to do so.
More information

Wasaga Beach

Wasaga Beach permits short-term accommodation only in tourist commercial zones and tourist accommodation zones. Short-term rentals are not permitted in Residential Zones. These accommodations must be licensed under the Town’s Business Licensing By-law, which is managed by the Town’s Municipal Law Enforcement Department. The rules for Wasaga Beach are similar to Collingwood and fall under the Bed and Breakfast category. 

Clearview

Clearview considers short term rentals as Bed and Breakfast, permitted in agricultural and rural zones only. A zoning by-law amendment is required for other zones in the township, requiring the rental shall be occupied by the owner or tenant when guest rooms are available to the public. If the rental does not meet the standards of the zoning by-law, the rental is not legally operating.