Freehold property what is that?

I noticed an article yesterday about residents in Byron Bay having a bad case of the NIMBYs (Not In My BackYard), no it is not that nuclear reactor or power station, or that three storey development over the back fence. It is about summer holidaymakers i.e. Tourists.
Byron is sick of tourists who won't use the motels, hotels and caravan parks!
Today the local council discussed issuing rules to homeowners on how long they could rent their houses for each year!!! Here is the article from the SMH.

The best line for mind was from the Mayor who clearly has a socialist (perhaps watermelon) bent over private property and the use thereof.

Quote:"Asked if the impact would be to stop all summer lettings in the town's residential areas, Cr Barham said: "Essentially, yes. I'm challenging this because it has become so commercial it is having a negative impact on our community, and it puts at risk our legitimate tourism industry."

Someone better tell her that issuing compliance letters with the threat of fines will destroy summer lettings. That "so commercial" use of vacant property adds money to the local economy. I have been meaning to read up on Australian property law to get a better feel for freehold title, but this would smack of stepping over the mark.
More tourist business for the local councils which allow property owners to let as much as they want.
I wonder how much the 600 houses (homeowners) add to the local tourist economy? (see update)

This is one of those thought balloons which is floated to see what reaction occurs. Testing the waters, if this is let slide what is the next thing that local councils will issue compliance letters for???
There is already some NSW legislation which requires removal, introduced no doubt with approval from the watermelons. That is the native vegetation act, not only does this cover trees is also covers native grasses. So farmers wishing to improve their land can be fined for planting better pastoral grasses. So instead of running 20-30 DSE per acre they have to survive with grasses which can support 1-3 DSE per acre!! This means running 3 sheep rather than 20 sheep, so if the average profit per sheep is $30, that is $90 vs $600 per acre, that means you would need to own 6 times more land to produce the same profit.

The other side of this whole process is that local residents see tourists as spoiling their town and atmosphere. Instead of complaining, why don't they rent their houses during the summer period as well and holiday somewhere else! It makes good economic sense, as their holiday is partially subsidised by the renters and they don't have to be around during summer to get distressed about tourists.

Have Fun

Update: The cost of stopping the practice of holiday letting.
I did a search on Domainholiday for holiday houses and apartments in Byron Bay. Check it out. Places range from $700-$5000+ that would be per week.
So you live in Byron Bay and rent your house for 8 weeks over summer for an average of $2000 per week. That is $16,000 gross ($9000-$12000 depending on tax bracket) that you can spend on having a holiday somewhere else!
What if you want to be there for summer and work in Sydney or Melbourne for the rest of the year, the offpeak rate would be lower, say $500 per week,
so 52-8 weeks = 44 weeks @ $500 per week = $22,000.
That rent would mostly cover the loan on a investment/holiday apartment or house being slightly negatively geared.

After the holiday tourist has paid the $2000 for the week, they are probably going to spend $50-$200 per person if not more per day. That money is spent in town and surrounding areas.
So 8 weeks (56 days) for a couple or family spending $200 per day, that is $11,200 per house. Or $6.7 million for the 600 houses. If the current average letting period is 13 weeks (3 months), the town will forgo 5 weeks (35 days) or $7000 per house, or $4.2 million is tourist spending, plus the owners will miss out on $10,000 (5 weeks @ $2000 per week), a cost of $6 million.