New laws are being introduced to crack down on short-term lettings like AirBnB.
The government is hoping stricter rules will free up more homes for the private rental market.
Under the new plans, people will only be allowed to rent a room on a short-term basis if it is in their primary residence.
They will be allowed to let out a room all year, or the entire home for a maximum of 90 days a year.
The homeowner will also now have to register their short-term lettings with their local council.
Any secondary property owned cannot be used for short-term letting unless planning permission is approved, and it will be up to each local planning board to decide whether or not to give that based on housing demands in the area.
So a landlord with four homes can use their own house for short term lettings but would need planning permission in the other three which is unlikely to be granted in areas where housing is scarce.
It is hoped this will stop the practice of private rental accommodation being taken off the market for use on sites like AirBnB which can be more financially lucrative.
Homeowners will also have to notify their local planning authority as to how many days a year the property is used as a short term let.
The rule changes will come in on June 1st 2019 and will define short-term letting as the use of bedrooms as guest accommodation for a maximum of two weeks.
Housing Minister Eoghan Murphy has said it is unacceptable that rental homes are being withdrawn from the market for use as short-term lettings in a time when there's a housing shortage.
A spokesperson for Airbnb said short-term lettings did not cause the housing crisis.
"One in five Irish families use Airbnb to share their homes, boost their income and explore the world, and rules that legitimise home sharing are in everyone's best interests.
"But home sharing didn't cause Ireland's historic housing concerns, and many will be disheartened to hear a false promise that these proposals are the solution.
"Community hospitality and holiday rentals are the backbone of many local economies, and cutting that lifeline will hit many communities hard."
Senator Kevin Humphreys has welcomed the announcement of the long-promised restrictions on short term lets but has called on Eoghan Murphy to bring these restrictions in before June 2019.
"We shouldn't have to wait another 8 months when stricter laws could deliver an extra 3,000 homes now," Senator Humphreys said.
"After two long years of continual pressure and campaigning from members of the Oireachtas like myself, I am glad that Minister Murphy has announced new restrictions on short lets. However, the delay of the implementation is worrying.
"We have just received new homeless figures yesterday which show 171 more without a home since last month, that’s nearly 6 people every day, 3829 of them are children.
"I welcome this announcement but we are in the middle of the housing crisis, unlike anything we have seen in decades.
"I think the Minister should expedite this legislation. I doubt he will find much opposition from anyone in the Dáil for the delivery of rental market regulation. Unless he is simply worried he needs the seven months to get his own party members onside."
Meanwhile, international innovations in finance and cost-efficient construction will be highlighted later this morning at a social housing conference in Kilkenny.
The Irish Council for Social Housing says the conference is intended to showcase possible solutions to the current housing crisis.
One of the suggestions up for discussion is on how private finance could help increase the amount of social housing available in Ireland.
Experts from around the world will debate ideas to challenge current housing policies here.