Wednesday, February 19, 2025
Utah bill would let cities use AirBNB listings as proof of illegal short-term rentals.
Urban Living
Posted By Babs De Lay on February 19, 2025, 4:00 AM
You may not pay much attention to the fact that our Utah Legislature is in session, which is happening at the Capitol building until midnight on March 7. I do, because a lot of what goes on up there has to do with housing issues.
One bill I've watched is HB256, which relates to zoning amendments in cities around the state. Basically, the intent of the bill is to clarify short-term rental processes for people owning Airbnbs or VRBOs here.
Why? Many owners of vacation or short-term rentals do not license their units with local cities and townships, and the bill would essentially allow any town in the state to use a listing on a vacation rental website to prove that the owners have an unlawful short-term rental and to go after them if they aren't licensed. The sponsor of the bill, Rep. Neil Walter, R-St. George, says the bill is not intended to tell cities what to do, but rather to help them make sure that rentals like these follow local rules and regulations.
According to VRBO, Utah owners can earn between $20,000 and $50,000 annually, depending on the location and size of their property. Obviously, such rentals will get more business near popular tourist destinations in the state, especially during peak seasons (summer, holidays).
Airbnb hosts in Utah made $130 million in 2019, the company claims, and most likely much, much more during the past several years, due to the popularity of our Big 5 national parks and the Ikon ski pass.
The bill, which passed the House on Feb. 10, is now under consideration by the Senate. There are tens of thousands of short-term rentals in Utah, and many locals patronize them for themselves and for visiting family and friends.
There are rules in place that previously passed at the Legislature, but more than most owners are not playing by the rules. This kind of short-term rental impacts rental housing inventory for long-term renters and definitely needs more regulation.
Short-term rentals have been found—in tourist destinations around the country—to drive up property values when the units are in high demand. There's also something called the "externality effect," where these properties can create nuisance and noise violations, thereby actually lowering property values.
If you're looking at homes in a particular area, I suggest taking a walk in that area and asking neighbors about the area as well. If they know of rentals in their neighborhood, ask if they are well maintained or a nightmare.
About The Author
Babs De Lay
A full-time broker/owner of Urban Utah Homes and Estates, Babs De Lay serves on the Salt Lake City Historic Landmark Commission. A writer and golfer, you'll find them working as a staff guardian at the Temple at Burning Man each year.
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