HomeMy WebLinkAbout240528_Draft STR Regulation Options.pdfOptions for Regulating Short Term Rentals* DRAFT for Discussion
1. Do nothing – leave short term rental (transient rental) defined as < 14 days
Pros:
• No code changes needed
Cons:
• Allows business model to continue for short-term rentals (14-29 days), basically
unregulated
• Continues the commercialization of homes in neighborhoods.
• Continues to keep homes out of the year-round or for-sale market.
• Continues to be a challenge for code enforcement
2. Do not allow any short-term rentals (<30 days). Ban them entirely.
Pros:
• Removes the commercialization of homes in neighborhoods
• May open up housing stock for sale or year-round rental
• May be more incentive for homeowners to add an ADU
• Still allows homeowners to rent seasonally (30 days or more)
• May be less onerous to enact necessary code changes than for other options
• May make enforcement easier
• Keeps rental permit process simple
Cons:
• Would not allow homeowners the opportunity for earning additional income by renting
their primary residence on a short-term basis
• Limits who would be able to afford vacation rentals of homes here
• May continue the commercialization of neighborhoods if LLC’s pivot to seasonal rentals
only.
3. Limit the ability to have a short-term rental to owner-occupied homes where it
is their primary residence
Pros:
• Allows homeowners to supplement income on a short-term basis
• Owners have a greater stake in ensuring renters abide by the code and their property is well
maintained
• Removes the commercialization of homes in neighborhoods
• May open up housing stock for sale or year-round rental
• May be less onerous to enact necessary code changes than for other options
• Greater probability of $ generated staying here
Cons:
• May remove the incentive for homeowners to add an ADU
4. Limit the number of short-term rentals town-wide
a. Number per hamlet or neighborhood,
b. By zoning district – allow in some and not others – commercial use = commercial zones
Pros:
• Allows some of the business model STR’s to continue
• May expand (as compared to banning them) who can afford to vacation here
• May return some homes to the year-round rental or for-sale market
Cons:
• May not remove the commercialization of homes in neighborhoods
• May not result in returning homes to the market for purchase or year-round rental
• Complicates rental permit management & enforcement.
• May not benefit homeowners who rent out their primary residence.
5. Limit the number of short-term rental units to one per natural person
Pros:
• Similar to limiting total number in Item 4 above.
Cons:
• Similar to limiting total number in Item 4 above.
6. A combination of approaches listed above
Example – limit the non-owner-occupied to certain zoning districts, but allow those who are
renting their primary residence to do so in any zoning district. (Cons: might be too complicated)
* For effective compliance: it is recommended that every option or combination of options, require its own
rental permit. Additional code enforcement & permit-issuing resources will be needed as well as the
adoption of policy and procedures.