What Counts as a Short-Term Rental in Brampton
In Brampton, a short-term rental is defined as the rental of a dwelling unit for 28 consecutive days or less. To operate legally all prospective hosts must apply for a Short-Term Rental Accommodation (STRA) Licence through the City of Brampton. If you rent your property for longer than 28 days, it is considered a long-term rental and does not require a short-term licence.
Although the city does not require any licensing to operate a rental unit that extends beyond the 28 day maximum, booking sites such as Airbnb, Vrbo, Booking.com will require all hosts to produce a license to operate on their sites.
Municipal Accommodation Tax (MAT)
Brampton applies a 4% Municipal Accommodation Tax (MAT) on all short-term stays under 28 nights. This tax applies to hotels, motels, and all licensed short-term rentals, including those listed on platforms like Airbnb and Vrbo. In some cases bed & breakfast operators can be deemed exempt from charging the MAT. Hosts are required to collect this tax from guests and remit it directly to the City of Brampton.
Quick Summary of Brampton Airbnb Rules
- Short-term rental: Applies to stays of 28 consecutive days or less.
- Principal residence only: The rental property must be the host’s primary home. Investment properties and secondary homes are not eligible.
- Licence required: Hosts must obtain a valid STRA Licence from the City before advertising or operating.
- Licence display: The issued licence number must appear on all listings and advertisements.
- Insurance requirement: Hosts must carry at least $2 million in liability insurance.
- Long-term rentals (28+ days): Do not require licensing.
- Municipal Accommodation Tax (MAT): A 4% MAT must be collected from guests and remitted quarterly.
Principal Residence Rule
In Vaughan, you may only operate a short-term rental at your principal residence, meaning:
- You live in the property for at least 183 days per year.
You are registered as a resident at that address on government records. - Tenants must provide written approval from their landlord before applying.
- Condo owners must provide written approval from the condo board if renting within a condominium building.
This rule prohibits secondary homes, investment condos, and non-owner-occupied units from being used as Airbnbs.
How to Apply for a Brampton Short-Term Rental Licence
Step-by-Step application process and description of requirements here:
- Complete the online application form via the City of Brampton’s licensing portal.
- Submit required documentation, including:
- completed licence application form
- Proof of property ownership
- Completed certificate of insurance signed by the insurer
- Business registration (Master Business Licence) and/or Articles of Incorporation, if applicable
- Criminal Record Search (from the police service in the applicant’s place of residence)
- information package (as outlined in the By-law) including:
- a floorplan outlining which areas of the property will be used as a STR
- total square footage of the dwelling
- Supporting documentation for determining occupancy limits in accordance with Property Standards By-law
- Pay the required licensing fee.
- Arrange for inspections if requested.
Once approved, your licence must be renewed annually.
Brampton Enforcement & Penalties
The City of Brampton enforces its STR by-law strictly. Operators who fail to comply may face:
- Licence suspension or revocation. A suspension or revocation may occur if the unit/hosts violate any of these requirements
- Violates licence terms or other applicable laws
- Fails to comply with municipal or provincial regulations
- Operates in a manner that poses a risk to public health or safety
- Creates a nuisance to the surrounding community
- Fines under the Provincial Offences Act, which can reach tens of thousands of dollars.
- Unannounced inspections of licensed properties.
- Unpaid fines added to property tax bills.
- Operating without a licence or listing a non-principal residence can result in significant daily fines.
- Operating without a licence or listing a non-principal residence can result in significant daily fines.
Brampton Airbnb Market Potential
- Average nightly rate: $120 – $300, depending on size, location, and amenities.
- Occupancy: Steady year-round demand, with peaks during summer and major events in the GTA.
- Revenue potential: Well-managed properties can earn $2,500 – $4,000+ monthly in peak seasons.
Why Brampton is a Top Airbnb Destination
Brampton offers a balance of suburban comfort, cultural diversity, and easy access to the Greater Toronto Area. Visitors are drawn to:
- Proximity to Pearson International Airport, making it an ideal stopover location.
- Cultural festivals such as Carabram, Brampton’s multicultural festival.
- Parks and trails, including Heart Lake Conservation Area and Chinguacousy Park.
- A growing food scene and shopping destinations such as Bramalea City Centre.
- Convenient access to Toronto, Mississauga, and Niagara Falls, making Brampton a strong base for exploring the region.
Demand for Mid-Term Rentals (30+ Days) in Brampton
There is a growing demand for 28+ day rentals in Brampton, driven by its strategic location within the Greater Toronto Area, expanding business sector, and increasing number of professionals and families seeking flexible, longer-term accommodations. Platforms like Airbnb and Vrbo show a rise in listings catering to extended stays, with Vrbo even offering monthly discounts to attract longer bookings. Although outside of the main financial districts of the GTA, there is a consistent demand as Brampton becomes more a hub for international travel and getaways for people trying to experience the GTA without the hustle and bustle of being within the city limits.
Final Word for Hosts
Brampton’s short-term rental market is highly regulated, with strict requirements around licensing and principal residence rules. However, with compliance and professional management, hosts can access steady demand from both visitors and mid-term renters. By offering high-quality accommodations, hosts contribute to Brampton’s growing reputation as a welcoming and accessible destination within the GTA.
Explore our services for Airbnb Management Brampton for expert help setting up and managing your listing. We’ll help you stay compliant while maximizing your rental income.