The City of Busselton has approved some of Australia's strictest short-term holiday rental laws in its latest move to maintain holiday home regulation in Dunsborough, Yallingup and parts of Margaret River.

Exclusive Escapes director John Ryall, whose company manages about 100 properties in those South West tourist hot spots, told Millsy at Midday host Steve Mills the laws for one of the country's busiest tourism and wine regions allowed accommodation managers to act in the same manner.

"Overall I think having a regulated environment is a good one, and people who do have issues with potential guests in short-stay accommodation should be able to let their frustrations be known and have a process to get those resolved that's fair and equitable for everybody," he said on Friday.