Local Airbnb rules2026 25 sources cited
Is Airbnb Legal in Melbourne? 2026 Rules, Permits & Taxes
Yes, with no state or City of Melbourne permit or night cap; Airbnb collects Victoria's 7.5% Short Stay Levy on stays under 28 nights, and Mornington Peninsula, Frankston and Wyndham councils add their own registration or permit.1,3,8,9,13,14
From 24 official sources and 1 Airbnb help page. Not legal advice.
The short answer
Melbourne Airbnb Rules in Brief
- No state licence and no City of Melbourne registration or night cap; the City has only explored a scheme and paused it.
- A 7.5% state Short Stay Levy applies from 1 January 2025 to stays under 28 nights, and Airbnb collects it from guests; your own principal residence is excluded.
- Councils differ: Mornington Peninsula requires registration (A$400 in 2026-27), Frankston A$160 a year, Wyndham an A$340 permit, Yarra Ranges none.
- Apartment owners corporations can ban short stays by a 75% special resolution, except in a lot that is someone's principal place of residence.
Browse the live Melbourne Airbnb market See Every Melbourne ListingRevenue, occupancy and nightly rates are in the Melbourne Airbnb market report .
At a glance
Melbourne Airbnb Rules at a Glance
- Permit
- Depends on council
- Taxes on a stay
- 7.5%
- Active Airbnb listings
- 15,000
- Next rule change
- May 17, 2028
The rules in brief
The rules a Melbourne host meets first, each linked to the ordinance, statute or official page it comes from. Details and exceptions follow below.
| Topic | Rule |
|---|---|
| Permit | City of Melbourne: no registration scheme or night cap8 |
| Building rules | Owners corporations can ban short stays (not in a principal residence)5,7 |
| Listing display | Mornington Peninsula: show the registration number on every listing1,9 |
| Platforms | Platforms register, collect and pay the levy2,25 |
| Neighbours | Owners corporation breach notices and VCAT orders for unruly guests6 |
Your home
Can You Host an Airbnb in Melbourne? It Depends on the Home
Whether you can host in Melbourne turns on whose home it is and whether you live there.
The home you live in, rented whole while you are away or by the room
AllowedAllowed. Your principal place of residence is excluded from the Short Stay Levy, and an owners corporation cannot ban short stays in it. Council rules still apply where the council runs a scheme (Mornington Peninsula, Frankston, Wyndham).2,5,9,13,14
A home on the Mornington Peninsula
Allowed with conditionsAllowed once the dwelling is registered with Mornington Peninsula Shire (A$400 a year in 2026-27), with a designated contact who responds within two hours and the registration number shown on every listing. Three substantiated complaints in 12 months can cancel the registration.1,9,10,11
A unit or apartment in an owners corporation building
Allowed with conditionsAllowed unless the owners corporation has banned short stays by a 75% special resolution; that ban cannot cover a lot that is the owner's or occupier's principal place of residence. Breach notices and VCAT orders can follow if guests cause problems.5,6
Permit
Do You Need a Permit for Airbnb in Melbourne?
No. Victoria has no state host licence and the City of Melbourne has no short-stay registration, so an Airbnb host in the inner city needs no permit. Hosts in Mornington Peninsula Shire and Frankston must register each year, Wyndham hosts need a short-stay permit, and hosts who take bookings directly (not through a platform) must register with the State Revenue Office for the Short Stay Levy.1,3,8,9,13,14
- Issued by
- Local councils that run a scheme: Mornington Peninsula Shire, Frankston City Council, Wyndham City Council
- Platform checks
- Airbnb collects the Short Stay Levy itself, so hosts using only platforms do not register with the State Revenue Office.
Fees
| Fee | Amount |
|---|---|
| Mornington Peninsula Shire annual short stay registration (2026-27)A$400 a year in the Shire's adopted 2026-27 budget (A$369.60 in 2025-26) | A$400 |
| Frankston City Council annual short stay registrationA$160 a year, non-refundable, as stated on the council's registration page | A$160 |
| Wyndham City Council short stay accommodation permitA$340 as stated on the council's permit page; the page does not say how long the permit lasts | A$340 |
Who qualifies
- City of Melbourne: no registration, permit or night cap
- Mornington Peninsula Shire: register the dwelling each year and appoint a designated contact who responds within two hours
- Frankston City Council: register under the Short Stay Rental Accommodation Local Law 2020 with a designated contact person
- Wyndham City Council: hold a short stay accommodation permit; no planning or building permit is needed
- Yarra Ranges Council and City of Port Phillip: no council registration, but complaint-based enforcement applies
- Apartments: check the owners corporation rules first
How to apply
- In the City of Melbourne there is nothing to apply for; check your owners corporation rules if the home is in an apartment building.
- In Mornington Peninsula Shire, Frankston or Wyndham, apply online with the council before you accept bookings. Mornington Peninsula requires a designated contact who can respond within two hours, day or night; Frankston also asks for a designated contact person.
- If you take bookings directly rather than through a platform, register for the Short Stay Levy with the State Revenue Office before the end of your first liable period.
Permit rules
- State registration only if you take direct bookings
- Hosts who accept bookings without a platform must register with the State Revenue Office for the Short Stay Levy; hosts who only use platforms such as Airbnb do not, because the platform registers, collects and pays the levy.2,3 Applies to: hosts taking direct bookings · In force since January 1, 2025
- City of Melbourne: no registration scheme or night cap
- The City of Melbourne has no short-stay registration, permit or night limit. It consulted in September 2023 on a registration fee and a cap on rental days, then paused the work when the state announced its levy; a decision on a local law is still to be confirmed.8 Applies to: City of Melbourne
- Platforms register, collect and pay the levy
- Platforms such as Airbnb, Stayz and Booking.com must register for the levy and collect, lodge and pay it on every booking made through them. Airbnb adds the levy to the guest's total; hosts who own an excluded property tell Airbnb by declaration so it is not charged.2,25 Applies to: booking platforms · In force since January 1, 2025
- Mornington Peninsula: register every year
- In Mornington Peninsula Shire the owner of a dwelling must not use, advertise or accept a booking for short stay rental (30 consecutive days or less) unless the dwelling is registered with the Shire. Registration lasts 12 months, cannot be transferred, and costs A$400 in 2026-27.1,9,10,11 Applies to: Mornington Peninsula Shire · In force since May 17, 2018
- Mornington Peninsula: show the registration number on every listing
- The registration number must be displayed on all online platforms that advertise the property.1,9 Applies to: Mornington Peninsula Shire · In force since May 17, 2018
- Frankston: register each year
- Frankston City Council requires short stay rental accommodation (no more than 30 consecutive days) to be registered under its Short Stay Rental Accommodation Local Law 2020. The application needs a designated contact person, parking details and the advertising platforms used, and the fee is A$160 a year.13 Applies to: Frankston City Council
- Wyndham: short stay accommodation permit
- Wyndham City Council requires a short stay accommodation permit for properties listed on platforms like Airbnb, Stayz and Booking.com. The permit costs A$340, and no planning permit or building permit is needed.14 Applies to: Wyndham City Council
Who can host
Who Can Host an Airbnb in Melbourne, and Where
Victoria state law applies on top of Melbourne's own rules: the Victoria short-term rental regulations page covers the state licence and what cities and counties can and can't regulate.
- Owners corporations can ban short stays (not in a principal residence)
- From 1 January 2025 an owners corporation can make a rule, by special resolution with the support of 75% of lot owners, banning the use of lots for short stay accommodation (bookings under 28 days). The rule cannot apply to a lot that is the owner's or occupier's principal place of residence.5,7 Applies to: apartments and units in an owners corporation · In force since January 1, 2025
Operating rules
Operating Rules for Melbourne Short-Term Rentals
- Short stay means under 28 consecutive days
- The state Short Stay Levy applies to a stay of less than 28 consecutive days in the same property, not counting the checkout day. There is no state or City of Melbourne minimum stay.2,5 In force since January 1, 2025
- Your principal residence is excluded from the levy
- The levy does not apply to a short stay in the property that is the principal place of residence of the owner or renter, so renting your own home (or rooms in it) is levy-free. A private room in a house that is not your principal residence, and a separate granny flat, are covered.2,7 Applies to: owner-occupied homes · In force since January 1, 2025
- Owners corporation breach notices and VCAT orders for unruly guests
- Owners corporations can issue breach notices for excessive noise, nuisance, hazards or damage by guests. VCAT can fine up to A$1,100, award up to A$2,000 compensation to affected residents, and bar a lot from short stay use after three breach notices for separate events in 24 months. Owners and guests are jointly liable.6 Applies to: apartments and units in an owners corporation · In force since February 2019
- Mornington Peninsula: two-hour contact and code of conduct
- Registered owners must name a designated contact who can respond within two hours at any time day or night, give the contact's details in writing to adjoining neighbours, keep occupants to the Code of Conduct (no use of pools, spas, decks or balconies from 11pm to 7am), and provide off-street parking and enough bins.1,9,10 Applies to: Mornington Peninsula Shire · In force since May 17, 2018
- Mornington Peninsula: registration can be cancelled after three complaints
- The Shire may cancel a registration if it receives three or more substantiated complaints from nearby residents in a rolling 12 months, or one complaint serious enough to justify immediate cancellation. Registrations do not transfer to a new owner and a new owner must register before taking bookings.1,10 Applies to: Mornington Peninsula Shire · In force since May 17, 2018
- Yarra Ranges: no registration, but three complaints is an offence
- Yarra Ranges Council does not register short stay properties. Under its local law, an owner who provides short stay accommodation commits an offence if three or more good-faith complaints of nuisance or anti-social behaviour reach the Council in any 12 months, and enforcement does not start until a third complaint with evidence.12 Applies to: Yarra Ranges Council (Yarra Valley)
- Port Phillip: no permit, complaints handled under local law
- The City of Port Phillip does not regulate providers of short-stay accommodation. It enforces noise rules under the Environmental Protection Act 2017, the Victorian Planning Provisions and its Community Amenity Local Law 2013 when a short-stay property causes problems.15 Applies to: City of Port Phillip
- Ordinary home rentals are not "prescribed accommodation"
- Councils register prescribed accommodation such as rooming houses, hotels and motels. Port Phillip says a self-contained home with no more than 9 bedrooms and 12 guests, booked online through sites like Airbnb, needs no such permit.12,15 Applies to: self-contained homes, up to 9 bedrooms and 12 guests
Taxes
How Much Are Airbnb Taxes in Melbourne?
7.5% Short Stay Levy on the total booking fee for stays under 28 nights, collected by Airbnb; there is no tourist or hotel tax in Melbourne, and GST applies only to hosts registered for it.
- Median nightly rate, booked nights
- US$170
- Taxes on that night (7.5%)
- US$13
- Guest pays, before Airbnb and cleaning fees
- US$183
| Tax | Rate | Collected by |
|---|---|---|
| Victoria Short Stay Levy 7.5% of the total booking fee for each stay of less than 28 consecutive days; the fee includes the nightly rate, cleaning fees, GST and the levy itself | 7.5%2,4,25 | Airbnb |
| GST (10%), only if the host is registered for GST 10% of the price only if you are registered or required to register for GST (turnover A$75,000 or more) and the property is commercial residential premises | 10%16,17,18,19 | Host |
At Melbourne's median booked rate of US$170 a night, the taxes collected on a booking come to about US$13 a night.
What the host still handles
- State Revenue Office Short Stay Levy registration, only if you accept bookings directly without a platform: quarterly returns if the property earns A$75,000 or more in booking fees a year, otherwise an annual return due 30 January.
- Council registration or permit in Mornington Peninsula Shire, Frankston City Council or Wyndham City Council (permits, not taxes).
- GST with the ATO once your GST turnover reaches A$75,000; the ATO says most home rentals are residential rent with no GST unless you run commercial residential premises.2,4,16,17,18,19,21,25
Fines
How to Avoid Airbnb Fines in Melbourne
Fines in Melbourne fall on hosting outside the rules above. With the rules followed, none of the fines below apply.
- Mornington Peninsula Shire: breaching the local law, the Code of Conduct or a registration condition is an offence with a penalty of up to 20 penalty units (about A$4,182 at the 2026-27 value of A$209.10 a unit) and 2 units a day if the breach continues after a court finds the owner guilty; operating without registration can bring infringement notices or court action.1,10,20
- Mornington Peninsula Shire: the fixed infringement penalty for operating without valid registration is 6 units under the local law's schedule of infringements.1
- Yarra Ranges Council: after three complaints with supporting evidence in 12 months the owner may be issued an infringement of A$1,000 or the matter may go to court.12
- Frankston City Council: failing to register may bring infringement notices or court action.13
- Wyndham City Council: holding no valid permit, or breaking its conditions, can bring an infringement or revocation of the permit.14
- Owners corporations: VCAT can fine up to A$1,100 for breaches of the Act, award up to A$2,000 compensation to affected residents, and stop a lot being used for short stays after three breach notices in 24 months.6
Changes
What's Changed in Melbourne's Airbnb Rules, and What's Next
One change is scheduled after October 20, 2026; the most recent rules are listed first.
- May 17, 2028 UpcomingMornington Peninsula local law due to lapse unless renewed
The Short Stay Rental Accommodation Local Law ceases to operate on 17 May 2028 unless the Council revokes it sooner (or remakes it).1
- July 2026Mornington Peninsula registration fee rises to A$400
The Shire's adopted 2026-27 budget lists the annual short stay rental registration fee at A$400, up from A$369.60 in 2025-26.11
- January 1, 2025
- August 27, 2024Short Stay Levy Bill introduced in Parliament
The Government introduced the Short Stay Levy Bill 2024 with a 7.5% levy from 1 January 2025 and owners corporation powers to ban short stays; it also said planning changes would give councils power to regulate short stay accommodation.7
- August 29, 2023City of Melbourne endorses a short-term rental local law option
Council endorsed implementing a local law by February 2024 after consultation, with a registration fee and a cap on rental days under consideration. Consultation ran 7 to 29 September 2023, and consideration was paused after the state announced its levy.8
- February 2019Owners corporation powers over unruly short stays
Changes to the Owners Corporations Act 2006 let owners corporations and VCAT act against owners and guests for unruly parties, with fines, compensation and prohibition orders; these were amended in January 2025.6
- May 17, 2018Mornington Peninsula short stay local law begins
The Shire's Short Stay Rental Accommodation Local Law came into operation, requiring registration and a code of conduct; it was amended by Council resolution on August 23, 2022.1
Listing data
What Melbourne's Listings Show
AirROI, a short-term-rental data firm, counted 15,000 active Airbnb listings in Melbourne over the 12 months to September 2026. Melbourne has no city-wide registration scheme, so almost none of them display a permit or registration number.
Minimum stay set on Melbourne listings
Share of active listings by the shortest stay they accept
Minimum stay in numbers
| Shortest stay accepted | Share of listings |
|---|---|
| 1 night | 25% |
| 2 nights | 44% |
| 3 nights | 14% |
| 4–6 nights | 10% |
| 7–29 nights | 6% |
| 30+ nights | <1% |
What officials report
- 4,100
- Homes used for short stays in the City of Melbourne · as of September 2023The City of Melbourne says more than 4100 residential properties, or 14 per cent, were being used for short stays; the figure is from its 2023 consultation page.8
- 63,000
- Short stay accommodation places in Victoria · as of August 2024The Government counted around 63,000 places in Victoria, nearly half in regional Victoria, and almost 50,000 of them entire homes not available for long-term rental.7
Earnings
What Could a Melbourne Short-Term Rental Earn?
The rules shape the numbers: taxes of 7.5% that Airbnb adds to guests' bills. For a specific address, the Airbnb profit calculator estimates revenue, occupancy and nightly rate from comparable listings, so you can test the numbers before applying.
FAQ
Melbourne Airbnb Rules: Frequently Asked Questions
Is Airbnb legal in Melbourne?
Do I need a permit or licence to list on Airbnb in Melbourne?
Not in the City of Melbourne, Port Phillip or Yarra Ranges. Mornington Peninsula Shire and Frankston City Council require yearly registration, and Wyndham City Council requires a short stay accommodation permit. Hosts who take bookings directly also register with the State Revenue Office for the levy.3,8,9,12,13,14,15
Is Airbnb legal in Victoria outside Melbourne?
Yes. Victoria has no state host licence, and the 7.5% Short Stay Levy applies to stays of less than 28 consecutive days anywhere in the state, with your own principal place of residence excluded. Beyond that, each council sets its own rules: Bass Coast Shire, Mornington Peninsula Shire and Frankston City Council require registration, Wyndham City Council requires a permit, and Yarra Ranges has none but makes three good-faith complaints in 12 months an offence. Check your council's website before you list.2,3,9,12,13,14,22
Can I Airbnb my apartment in Melbourne, and how do I find out if my owners corporation has banned it?
Yes, unless your owners corporation has banned short stays. Since 1 January 2025 an owners corporation can ban short stays (bookings under 28 days) by a special resolution backed by 75% of lot owners, except in a lot that is the owner's or occupier's principal place of residence. To find out whether yours has, ask to inspect the owners corporation register, which records each amendment to the rules, or request an owners corporation certificate, which must attach the rules registered with Land Use Victoria. A rule that is not registered there is void and not enforceable.5,23,24
What is Victoria's Short Stay Levy?
Does Airbnb collect the Short Stay Levy, or do I pay it?
Does the levy apply if I rent out my own home?
No, not to your principal place of residence, whether you own or rent it, including when you rent rooms in it or let someone stay while you are on holiday. A separate granny flat, a private room in a house that is not your principal residence, and a second home are covered. Tell Airbnb by declaration if your listing is excluded.2,7,25
What are the short stay rules on the Mornington Peninsula?
You must register the dwelling with Mornington Peninsula Shire each year (A$400 in 2026-27), name a contact who can respond within two hours, show the registration number on every listing and follow the Code of Conduct. Three substantiated complaints in 12 months can cancel the registration.1,9,10,11
Do Frankston, Wyndham or Yarra Ranges have their own rules?
Is there a night cap for Airbnb in Melbourne?
No. Neither Victoria nor the City of Melbourne caps nights. The City consulted in 2023 on a registration fee and a cap on rental days but paused that work when the state levy was announced.8
Do I have to charge GST on Airbnb stays in Melbourne?
Only if you are registered for GST, which is required once your GST turnover reaches A$75,000. The ATO says you do not pay GST on residential rent you earn unless you run commercial residential premises, and that a GST-registered host leasing commercial residential premises is liable for GST on stays under 28 continuous days.16,17,18
How much does an Airbnb make in Melbourne?
The average Melbourne listing earned US$26,200 in the 12 months to September 2026, according to AirROI, averaged across every active listing including those booked for only part of the year. The Melbourne Airbnb market report breaks it down by month, property size and neighborhood.
Method
How These Rules Were Checked
Each rule on this page was checked in October 2026 against the official source cited beside it: the ordinance or statute, the permit office's own pages and the tax authority. Airbnb's help pages are cited on their own only for what Airbnb itself does, such as the taxes it collects and the permit checks it runs, and otherwise only beside an official source; news reports only for when a change was announced. Rules that could not be confirmed on an official page are left out. The Yarra Ranges and Port Phillip council websites, the Frankston and Mornington Peninsula pages and the ATO block automated readers, so those pages were read in a browser or from Internet Archive copies of the same official pages; Frankston's fee is from the live page read on 18 October 2026.
Rules change with council votes, court rulings and new state laws, so the page is rechecked every three months and whenever a scheduled change takes effect. It summarizes the rules for information and is not legal advice; the local authority has the final word on any application.
Listing figures come from AirROI's tracking of 15,000 active Melbourne Airbnb listings over the 12 months to September 2026.
Sources
Sources
Each rule above links to the source it comes from. Official ordinances, statutes and government pages come first, then Airbnb's own help pages.
- 1. Short Stay Rental Accommodation Local Law 2018 (as amended by the 2022 amendment local law) · Mornington Peninsula Shire
- 2. Understanding the short stay levy · State Revenue Office Victoria
- 3. Register for the short stay levy · State Revenue Office Victoria
- 4. Calculate the short stay levy · State Revenue Office Victoria
- 5. Making rules to ban short stay accommodation (last updated 8 January 2025) · Consumer Affairs Victoria
- 6. Short stay accommodation - laws to prevent unruly parties (last updated 4 February 2025) · Consumer Affairs Victoria
- 7. More Long-Term Rentals And More Social Homes (media release, 27 August 2024) · Premier of Victoria
- 8. Short-Term Accommodation Policy · City of Melbourne (Participate Melbourne)
- 9. Short Term Rentals · Mornington Peninsula Shire
- 10. Short Stay Rental Accommodation Fact Sheet for Owners (last updated 30 January 2025) · Mornington Peninsula Shire
- 11. Adopted Budget 2026-27 (schedule of fees and charges) · Mornington Peninsula Shire
- 12. Short stay accommodation · Yarra Ranges Council
- 13. Short stay rental accommodation registration · Frankston City Council
- 14. Get a permit for short stay accommodation · Wyndham City Council
- 15. Short-stay accommodation · City of Port Phillip
- 16. Renting out all or part of your home (last updated 20 August 2025) · Australian Taxation Office
- 17. Commercial residential premises and GST · Australian Taxation Office
- 18. Registering for GST (last updated 14 September 2026) · Australian Taxation Office
- 19. How GST works (last updated 14 September 2026) · Australian Taxation Office
- 20. Notice under section 6 of the Monetary Units Act 2004, fixing the value of a fee unit and a penalty unit (published 5 May 2026) · Department of Treasury and Finance, Victoria
- 21. Sharing economy accommodation data-matching program overview (last updated 8 July 2024) · Australian Taxation Office
- 22. Short Stay Rental Accommodation (SSRA) · Bass Coast Shire Council
- 23. How to make owners corporation rules (last updated 9 April 2026) · Consumer Affairs Victoria
- 24. Records - owners corporations (last updated 9 April 2026) · Consumer Affairs Victoria
- 25. Tax collection and remittance by Airbnb in Australia · Airbnb Help Centre