At a socio-economic press briefing on June 5, Bui Thi Ngoc Hieu, Deputy Director of the city's Department of Tourism, issued a formal response regarding the management of short-term rental models in apartment buildings across the city.

Authorities acknowledge that the sharing economy in the accommodation sector - particularly short-term rentals via platforms like Airbnb - has flourished in Ho Chi Minh City, meeting the flexible lodging needs of international travelers, professionals, and short-term workers.

However, the model has brought with it numerous challenges, including public security risks, fire safety violations, ambiguous service contracts, and potential damage to the city's image as a tourist destination.

In February, the municipal government issued a regulation prohibiting the use of apartments for short-term tourist rentals (by the day or hour, including through Airbnb). The regulation triggered backlash from Airbnb hosts and apartment owners, who argued that the policy directly affects their operations.

In response, the Department of Tourism is working in coordination with the Department of Science and Technology and other stakeholders to draft a policy that supports the development of a sharing economy in the tourism accommodation sector.

Specifically, authorities are building a comprehensive legal framework that will establish business registration and licensing regulations for short-term rental hosts, as well as tax policies for room rentals conducted through sharing platforms.

Additionally, a cooperative mechanism is being developed between local authorities and sharing platforms to supervise activities and address violations concerning public safety and fire prevention.

The city also plans to build a smart monitoring system and develop an integrated online portal where individuals and organizations can register and declare taxes easily. This portal will facilitate data exchange among relevant agencies and ensure transparent, real-time management.

Authorities will leverage information technology to oversee business operations, incorporating big data to track, analyze, and forecast tourism demand, guest numbers, and market trends.

A pilot mechanism will also be implemented to clearly assign responsibilities across regulatory agencies, strengthen oversight, and create a regular communication channel to detect and handle issues promptly.

These regulations are expected to be completed in 2027.

As such, under the current directive, short-term rental platforms like Airbnb will remain banned in Ho Chi Minh City for at least another two years.

According to the Ho Chi Minh City Real Estate Association (HoREA), 24 apartment buildings across the city currently host short-term rentals through platforms like Airbnb, with more than 8,700 apartments in operation.

Estimates show that Vinhomes Central Park alone has about 4,000 rental units, River Gate has 650, Thao Dien Masteri and Lumiere each have 400, Saigon Royal has 250, and Millennium has 350.

The business not only generates stable income for property owners but also creates jobs for approximately 17,500 people in related roles such as cleaning staff, managers, and service providers. HoREA warns that the continued ban will inflict substantial financial losses on homeowners.

Tran Chung