Why a street in a prime location in Sydney has exposed everything wrong with Airbnbs as calls grow for ban: 'We're losing places to rent'

Published: 23:49, 3 August 2026 | Updated: 23:55, 3 August 2026 Greens councillors have slammed the number of Airbnbs on a single street in inner Sydney after claiming more than half of its properties were short-term stays.  Sylvie Ellsmore and Matthew Thompson are calling for a ban after claiming 85 of the 127 houses on High Street, Millers Point, were Airbnbs.  Ellsmore told Daily Mail the ban would improve the chances of people finding a place to rent or afford amid the current housing crisis.   'Addressing the growth in investor Airbnbs is not a silver bullet to fix the housing crisis, but it's one important solution to make existing homes more available to those who need them,' she said. 'Every house should be a home, not a mini hotel. We need to change the rules to ensure homes are prioritised for workers, families and people who need them.  'We're losing too many long-term rentals, as investment properties are rented through Airbnb instead.' Ellsmore said she believed the sheer number of Airbnbs had contributed to one in three homes in Millers Point being unoccupied at the last census.    While the issue was glaringly apparent in Millers Point, Ellsmore said it was not limited to the area.  Councillors have slammed the number of Airbnbs on a single street in Sydney after claiming more than half of its properties were short-term stays  Greens councillors Sylvie Ellsmore and Matthew Thompson are calling for a ban on investor Airbnbs after resident research identified that 85 of about 127 properties on High Street in Millers Point, inner Sydney, were listed as short term rentals on Airbnb  'It's not just Millers Point, it's Surry Hills, Glebe, Ultimo, and Potts Point,' she said.  'More broadly, we know that the proliferation of short term rental accommodation is a nationwide issue, with the City of Sydney being one of the most heavily impacted areas. 'Over 6,000 homes in the City of Sydney are currently being used as short term rentals.' Ellsmore believed the high number of Airbnb listings, some renting for $1,000 a night, meant fewer permanent residents and more tourists in the area.  In turn, she said this led to the closure of the local childcare centre, which had operated for over 120 years.  'This suburb in the heart of the inner city has been decimated by the sales of public housing that's been turned to mini hotels for the rich, speeding up gentrification and tearing a community apart,' Ellsmore said.  KU Lance Childcare closed at the end of 2025 because it became unviable to run with so few enrolments. It saw enrolments drop by 30 per cent in the year leading up to its closure.  The situation hasn't always been this way, with public housing once dominating the suburb The City of Sydney is looking for possible solutions to the issue and a spokesman said that while it wasn't against short-term rentals, it was concerned about the effect it had on the community.   'In 2024, the City of Sydney commissioned a report to investigate the impacts of short-term rental accommodation is having on rental affordability and availability, and tourist accommodation in our local area,' he said. 'We are concerned about the impact of short-term rental accommodation on long-term rental affordability and availability, and on neighbouring properties. 'Council is continuing to investigate what approaches may be feasible, proportionate and effective within the NSW planning framework.' Airbnb Australia and New Zealand told Daily Mail it rejected the notion that short-term rentals were a major cause of Sydney's housing woes.  'Sydney's housing challenges are driven by a lack of supply, not home sharing,' a spokesman said.  'Short-term rentals represent a tiny fraction of the housing market.  'Short-term accommodation serves critical needs well beyond tourism – including housing for domestic violence survivors, longer temporary stays for people waiting on home insurance repairs, and families supporting loved ones through hospital stays.' Ellsmore said the ban would improve the chances of people finding a place to rent or afford amid the current housing crisis The situation hasn't always been this way, with public housing once dominating the suburb.  The cottages, built in the 1900s, were primarily aimed at those working on the docks. That was until the NSW Liberal government announced a decision to sell them in 2014. Once the transformation was complete, residents, including Dawes Point resident Melanie Tait, 47, said the impact began to be felt.  'I'm not the biggest fan of the poor regulation,' she told Daily Mail in October 2025. She also said that while holiday rentals weren't a bad thing, the high number in her area was 'unfair' for locals after a sense of community.   'In our area, investors are purchasing whole homes or whole blocks of apartments with the sole purpose of having them as short-term rental accommodation income,' she said.