Short term rentals such as this are illegal in NYC.

wow, there are so many conflicting reports on that issue. How could VRBO still have so many postings for rentals?

What conflicting reports are you finding that say that short term rentals are legal?

VRBO is simply a listing website where owners post properties they wish to rent. They aren't responsible for policing local laws.

What if the unit is a condo, does that make a difference?

A problem for me is that the actual VRBO posting reads the same as the OP's message above, which I thought was the mistake of someone unfamiliar with Manhattan. Fro the VRBO ad:

"You will be in the heart of Manhattan and walking distance to Time Square, Madison Square Garden, Empire State Building, Broadway to access the theaters, Grand Central Terminal and Bryant Park. You will be surrounded by wonderful restaurants and great shopping. We are located at 39th Ave and Avenue of the Americas with outstanding views. No Smoking."

The problem: THERE IS NO 39TH AVENUE IN MANHATTAN.

From the photos, it looks like 39th STREET which does indeed intersect Sixth Avenue (Avenue of the Americas, though no NYer would ever call it that). This misuse of terminology makes me suspicious.

Take a look at this thread:

http://www.fodors.com/community/united-states/heres-the-actual-nyc-law-about-short-term-apartment-rentals.cfm

Thank you all for your assistance, I will especially look at that link on that new law! We are taking my niece as a graduation gift and new York is her dream vacation since she is into theatre! But hotels are outrageously priced! Thanks again!

There is obviously a 39th St and Sixth AVe - but no one who lives there would ever make that mistake.

Short term rentals of apartments (less than 30 days) is illegal in multi-unit buildings. the trick is that Manhattan is highly urban and are almost all apartments are in multi-unit buildings. Single family buildings - in which the owners can rent a room or a floor - are very limited in number (most smaller buildings are apartments - one per floor) and are very expensive - even in gentrifying neighborhoods (as in $3 or $4 million or more) so the owners are unlikely to want to rent rooms.

There are a limited number of these available in Manhattan - but they won;t be cheap - since they are luxury buildings. "Renting" anything else is risking 1) being scammed and losing your money or 2) being rented an illegal sublet and being ejected if found - since you would have no legal standing to be in the building (a private residence).
'
There are many hotels in NYC - in all prices ranges from modest (Radio City Apartment - a hotel) to moderate (the Affinia group) to upscale) - that have suites available for people in larger groups or who want more room. these are all perfectly legal.

When is your trip? There are quite a few options for minimizing hotel costs there like Priceline, Hotwire, Travelzoo, Quikbook.

My trip is 5/31-6/06. Yeah when I told my husband about the renting law, he became very skeptical. Sad to know so many ads out there for rentals & even more sad is that they were pretty nice. I mean small but yet nice ranging from 200-250 a night! Not bad considering they came with fully stocked kitchens. Oh well I guess back to hotel searching,:0( not worth getting scammed.

If you want an apartment, there are some apartment style hotels: Radio City Apartments, Affinia properties, the Beacon, IIRC.