San Francisco Reaches Settlement with Airbnb on Short-Term Rental Rules

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A protester with the San Francisco Tenant Union hangs a sign on a the exterior of a building during a demonstration outside of an apartment building that allegedly evicted all of the tenants to convert the units to AirBnb rentals on July 29, 2014 in San Francisco, California. (Photo: Justin Sullivan/Getty Images)

The online home-sharing companies Airbnb and HomeAway reached a settlement with San Francisco Monday, ending their legal challenge to the city's short term rental rules. Under the settlement, which City Attorney Dennis Herrera called "game-changing," hosts seeking to list a unit on the sites need to register with the city, and the companies must remove any listings by hosts lacking a valid registration. We discuss how the deal may affect hosts, renters and the region's housing shortage.


Dennis Herrera, city attorney, City and County of San Francisco

Leigh Gallagher, assistant managing editor, Fortune; author, "The Airbnb Story: How Three Ordinary Guys Disrupted an Industry, Made Billions . . . and Created Plenty of Controversy"