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New Orleans Further Limits Short-Term Rentals in Residential Areas with New Ordinance

In an ongoing effort to balance the needs of residents and the demands of tourism, New Orleans has implemented a new ordinance that further restricts short-term rentals (STRs) in residential areas. This move is seen as a significant step in addressing the housing crisis, preserving neighborhood integrity, and ensuring a better quality of life for its permanent residents.

Background: The Rise of Short-Term Rentals

New Orleans, known for its vibrant culture, historic architecture, and lively music scene, has become a popular destination for tourists from around the world. With the advent of platforms like Airbnb and VRBO, many homeowners saw an opportunity to capitalize on this influx of visitors by renting out their properties on a short-term basis.

However, the proliferation of STRs has not been without controversy. Residents have raised concerns about noise, increased traffic, and the transformation of tight-knit neighborhoods into transient lodging areas. Additionally, the surge in STRs has been linked to rising housing costs, making it more difficult for locals to find affordable housing.

The New Ordinance: Key Provisions

The new ordinance, passed by the New Orleans City Council, includes several key provisions aimed at addressing these concerns:

  1. Strict Zoning Regulations: STRs are now prohibited in most residential zones. This measure aims to preserve the character and livability of residential neighborhoods.

  2. Owner-Occupancy Requirement: In areas where STRs are still permitted, homeowners must reside on the property and be present during the rental period. This provision is intended to ensure accountability and reduce the negative impact on surrounding neighbors.

  3. Cap on Rental Nights: The ordinance places a cap on the number of nights a property can be rented out per year. This limits the extent to which properties can be used exclusively for short-term rentals, encouraging longer-term occupancy.

  4. Enhanced Enforcement and Penalties: The city will increase enforcement efforts, including routine inspections and stricter penalties for violations. This includes substantial fines for non-compliance and the potential revocation of STR licenses for repeat offenders.

Impact on Residents and the Housing Market

The new restrictions are expected to have several positive impacts on New Orleans' housing market and community life:

  • Increased Housing Availability: By limiting the number of properties that can be used as STRs, more homes are expected to return to the long-term rental market, helping to ease the housing shortage.

  • Preservation of Neighborhood Character: Restricting STRs in residential areas aims to preserve the sense of community and stability that permanent residents value. This is particularly important in historic neighborhoods that are integral to the city's cultural identity.

  • Improved Quality of Life: With fewer transient guests, residents can expect less noise, reduced traffic, and an overall improvement in their quality of life.

Challenges and Criticisms

While the new ordinance has been largely welcomed by residents, it is not without its critics. Some property owners and STR operators argue that the regulations are too restrictive and could negatively impact tourism, which is a significant driver of the local economy. They also contend that the ordinance may hurt individuals who rely on income from STRs to supplement their earnings.

Additionally, there are concerns about the city's ability to effectively enforce the new rules. Ensuring compliance will require significant resources and effort, and some fear that without robust enforcement, the ordinance may fail to achieve its intended goals.


The new ordinance limiting short-term rentals in New Orleans' residential areas represents a crucial step in addressing the complex issues surrounding STRs. By prioritizing the needs of permanent residents and taking measures to protect the character of neighborhoods, the city aims to create a more balanced and sustainable approach to tourism and housing.

As New Orleans continues to navigate the challenges of being a world-renowned tourist destination, this ordinance is a testament to the city's commitment to preserving its unique cultural fabric while ensuring a livable environment for all its residents. Disclaimer:

The information provided in this blog post is for general informational purposes only. While efforts have been made to ensure the accuracy of the content, New Orleans' regulations and ordinances are subject to change, and interpretations of these laws may vary. Readers are encouraged to consult official city resources or seek legal advice for the most current and comprehensive information regarding short-term rental regulations in New Orleans. The opinions expressed in this blog are those of the author and do not necessarily reflect the views of any official body or organization.


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