policy
Sunshine Coast Council Short-Term Rental Regulations Update: Effects on Maroochydore Housing Supply
New rules from the Sunshine Coast Regional Council on short-term rentals will alter availability of holiday lets and permanent homes for residents in Maroochydore, Mooloolaba and Caloundra.
How we reported this
The Sunshine Coast Regional Council has implemented updated short-term rental regulations that require registration of all properties listed for fewer than 90 days at a time and impose occupancy caps in designated residential zones.
These changes come as the council responds to sustained population growth recorded in the 2025 local government area profile, where visitor nights reached 8.4 million in the previous financial year while rental vacancy rates in coastal suburbs fell below 2 per cent.
Impacts on daily life for Sunshine Coast residents
Residents seeking long-term rentals in Maroochydore may find more properties returned to the permanent market once hosts exceed the 90-day threshold and face higher compliance costs. Families in Caloundra could see reduced pressure on school enrolments if fewer investor-owned units are used exclusively for holiday lets. Tourism operators in Mooloolaba note that established accommodation businesses may gain bookings from visitors who previously used unregulated listings.
Property owners who rely on short-term income to cover mortgage costs now face registration fees and quarterly reporting requirements set out in the council's 2026 planning scheme amendment. Local advocates note that some smaller hosts may exit the market while larger operators consolidate listings near the airport precinct.
Budget figures and next steps
The council's 2026-27 operational budget allocates $1.8 million to enforcement of the new register, drawn from existing planning and compliance lines rather than a rate increase. The government says the policy will be reviewed after 18 months using data from the state rental bond authority.
Applications for existing short-term rental approvals must be lodged by 30 September 2026, after which non-compliant properties will be subject to fines starting at $2,500. Council officers will begin inspections in October focused first on the Maroochydore central business district and adjoining beachfront streets.