June 28, 2013

There’s No Place Like (A Stranger’s) Home

It is becoming increasingly popular for vacationers to use websites like Airbnb, FlipKey, and HomeAway to find accommodations in someone else’s home.  These websites allow travelers to connect with private homeowners and contract to rent a room or their entire home for several days or weeks.  While these short-term rentals may qualify as lodging facilities under existing statutory definitions, many state and municipal authorities do not enforce applicable laws.

But some lawmakers and hospitality and tourism industry members wonder whether regulators should take these casual rental arrangements more seriously.  A recent Pew article and a National Association of Realtors white paper cite several questions that lawmakers may face in the future:
  • What impact do these rentals have on residential neighborhoods and how can negative impacts be mitigated (e.g., property value, noise, parking)?
  • Should guests be charged the hotel occupancy tax?
  • Should rentals be inspected and licensed for renter safety and fairer competition with licensed lodging?
  • Will regulation significantly disrupt tourism?
  • How will nonconforming uses be treated?