Threat of Short-term Rentals to mountain towns

classic Classic
108 messages Options
123456 ... 11
Reply |  

Re: Threat of STR to mountain towns

raisingarizona
In reply to this post by snoloco
How do they compare? If it means more tax on working people than no. I know a few airbnb owners here in flagstaff and these aren't big time millionaires from Phoenix. I do know that taxes and the brackets are bullshit though. I have a friend that just got a promotion at her city job, this pushed her just over the line into the next tax bracket and now she makes less money.

Reply |  

Re: Threat of STR to mountain towns

snoloco
The whole tax bracket thing is a myth.  You pay in each bracket for the set income amounts.

Since STR's compete with motels, hotels, and other lodging businesses, they should be paying the same taxes so that competition is fair.  One should also need to get a permit/license to operate a lodging business if planning to rent more than a certain number of days per year.

I've lived in New York my entire life.
Z
Reply |  

Re: Threat of STR to mountain towns

Z
In reply to this post by raisingarizona
raisingarizona wrote
How do they compare? If it means more tax on working people than no. I know a few airbnb owners here in flagstaff and these aren't big time millionaires from Phoenix. I do know that taxes and the brackets are bullshit though. I have a friend that just got a promotion at her city job, this pushed her just over the line into the next tax bracket and now she makes less money.
Clearly you don't understand how tax brackets work.  The only way that is possible is if she got hit with AMT and that has lots of other things that would have to happen to kick into effect.  

"It is better to go skiing and think of God, than go to church and think of sport."
Artic Explorer Fridtjof Nansen
Reply |  

Re: Threat of STR to mountain towns

PeeTex
Coach is absolutely right. I was going to say the same thing but thought it not worth the debate

Reply |  

Re: Threat of STR to mountain towns

x10003q
In reply to this post by snoloco
snoloco wrote
Back when you had to go through a rental agent, it was more difficult to make money off of these short term rentals because you had to pay the agent.  They also likely had standards for what condition the property needed to be in to be rentable and will be more cautious about who to rent to.  If a rental agent rents the house to a prom group that decides to have an out of control party and wrecks the house, the owner will likely put the blame on the rental agent.  While some STR hosts are careful about who to rent to, others just don't care if they have a party house.  Rental agents had to assume that everyone cared about who to rent to.  Now that one can just throw a listing on airbnb, it makes it so much easier to do, so there has been a huge increase in these short term rentals.  The town that I live in has also seen a huge increase in STR's and there have been complaints about people leaving food garbage outside after a party and it attracting bears.  Most of the hosts live in the city and bought second or 3rd houses up here for the sole purpose of renting them out.
It is way easier to grade properties with the internet. It is also easier to grade the people who rent the properties. There is now a level of transparency that did not exist before these systems became popular.  As an owner, I have had issues with rental agents over the years when there were problems with renters. The only realistic thing you can do is drop the rental agent. Ski area rentals on the East Coast have mostly been seasonal or weekends/holidays. When I was renting my unit for weekends, I could would be lucky to get a full week rental - besides xmas and presidents week. There are also certain weekends that are less rentable.

snoloco wrote
Airbnb, VRBO, and similar sites were originally developed to allow people to monetize downtime on real estate.  Because it's so easy to use, you get these wealthy "brokers" buying up everything they can get their hands on and renting it out to make even more money.
Why is making money a problem? If you have capital and you choose to go into the RE rental world, should you not be allowed to make money? FYI - its not so easy.

Reply |  

Re: Threat of STR to mountain towns

PeeTex
In reply to this post by snoloco
snoloco wrote
Since STR's compete with motels, hotels, and other lodging businesses, they should be paying the same taxes so that competition is fair.  One should also need to get a permit/license to operate a lodging business if planning to rent more than a certain number of days per year.
I agree with this. Juniors been learning.

Reply |  

Re: Threat of STR to mountain towns

raisingarizona
In reply to this post by Z
I'm ok with that. I really don't have any idea but I'm open to learning.

Reply |  

Re: Threat of STR to mountain towns

snoloco
In reply to this post by x10003q
x10003q wrote
Why is making money a problem? If you have capital and you choose to go into the RE rental world, should you not be allowed to make money? FYI - its not so easy.
That's not the problem.  It's that these things are literally hollowing out residential neighborhoods and turning them into resort villages.  How would you feel if the street you lived on was now filled with STR party houses?  We have areas that are zoned as residential for a reason.  Short term rentals are a workaround for zoning rules as hotels and motels need to be in areas zoned for commercial use but STR's don't.

I've lived in New York my entire life.
Reply |  

Re: Threat of STR to mountain towns

Harvey
Admin
I hope that the tax and regulation structures will catch up.  If hotels should be regulated then AirBnB should be too. If cabs need to be regulated then Uber should be too.  

As long as the rules are the same, I think you have to allow it.

I guess the issue is really zoning as sno points out.  But if you zone it out of your neighborhood those same rules already apply to hotels.

Great topic for a thread Z. If OK with you I'd like to change STR to Short Term Rentals.

"If it's my mountain, I'm installing a fixed grip and telling the lifties to stuff the beginners into chairs as aggressively as they have to to keep it going full speed." —Brownski
Reply |  

Re: Threat of STR to mountain towns

TomCat
Harvey wrote
I hope that the tax and regulation structures will catch up.  If hotels should be regulated then AirBnB should be too. If cabs need to be regulated then Uber should be too.  
I would agree, but it hasn't been like that for a long time. Hotels pay lodging taxes, while a weekly rental does not (at least in NJ). It has been that way long before Air B&B.Cabs in NYC need a medallion, which is expensive. A car service that picks you up at the airport does not. and that has been the case long before Uber.

I'm also for fewer regulations, but with STRs, I would support basic safety regulations.

tom

Reply
123456 ... 11
Loading...