Licence to chill? How enforcement of mandatory registration shapes short-term rental markets in France

The study explores the impact of mandatory registration regulations on short-term rental (STR) markets in France, focusing on Airbnb. Using staggered difference-in-differences methodology and data from the period 2019–23, we reveal that mandatory registration and platform compliance reduces the number of active STR listings, but does not significantly impact overall reservation days. Our research suggests a reduction in market oversupply that has not affected demand, and has led to a further concentration of STR activity among listings. Licensed hosts have consolidated market power and expanded their activity, while regulatory measures shifted some activity towards medium-term rentals. The findings highlight challenges in balancing the evolving STR landscape.