Home sharing sites Airbnb and HomeAway will have to verify hosts are properly registered with the City of Santa Monica before booking guests, after a U.S. District Court judge dismissed a legal challenge to local rules. The judge said the city has a right to keep the international websites from facilitating illegal business transactions here.

Santa Monica’s strict home sharing ordinance prohibits the use of apartments, condominiums and houses for short-term rentals unless the host is present during the stay. Hosts must register with the City and obtain a business license. City leaders say the rules maintain the character of local neighborhoods and preserve housing in the midst of a statewide crisis.

Read More: http://smdp.com/airbnb-loses-latest-court-battle-over-santa-monicas-strict-rules/166918