Locals feel helpless as vacation rentals overrun Sedona, (transplants, sales)

[xz2y]

Not knowing anything other than what's in the article at the top of the thread, it appears that a reasonable idea and law has been taken to extremes by wealthy investors who see a way to make a quick buck, regardless of the consequences to the existing community, because of a law allowing vacation rentals to proliferate.

Below is an excerpt from the article at the start of this thread:

"The law, dubbed 'the Airbnb bill,' was sponsored by now-Congresswoman Debbie Lesko, a Peoria Republican, in 2016 and enthusiastically signed by Gov. Doug Ducey."

"Thorpe said that the bill was described to lawmakers as a way for homeowners to make extra money renting spare bedrooms in their homes."

"'We never anticipated that somebody would go into a neighborhood, purchase a home and turn it into a mini-hotel,' Thorpe said."

"City leaders say that's exactly what's happening in Sedona."

________

So, what started out as a way for homeowners to make some extra money using Air BNB, has turned into a nightmare because investors jumped in, started paying cash and started building 6,000 sq ft monster houses exclusively for rentals, turning these monster houses into mini-hotels in residential neighborhoods.

It seems to me that regulations need to be put into place to curb these excesses. Nothing wrong with a homeowner renting out a spare bedroom now and then, and that's what the law intended, but that's not what's happening.

These "mini-hotels" should be located in areas zoned for commercial use, not in residential neighborhoods, IMO. Also, allowing investors to go in and purchase multiple homes in established neighborhoods purely for rental purposes needs to regulated with regard to the maximum number of tenants per rental, maximum number of exclusively rental houses in a residential area, and regulating the use of a residential rental for large events in residential areas which brings in noise, trash and traffic. This could all be accomplished through city ordinances. And it needs to be enforced.

[xz2y]

Originally Posted by flint8ball

Sorry, back on topic... but in fact I never really left topic...

Sedona is a valued destination. Not everyone can afford to go there, nor can everyone afford to live there. That's reality. I feel for the lady in the article, but it's not her birthright to live in what many would consider an idyllic, "luxury"locale. The government shouldn't regulate what someone does with their property as long as it doesn't directly interfere with another property owner's enjoyment of their property. The lady, as a renter, has no power. She may have to move if she's priced out. That sucks, but it's life. Renting has it's advantages and disadvantages. There is a very real risk of being priced out, especially in a location like Sedona (or Prescott, Flagstaff (anywhere with trees and seasons in AZ)).

I think that this kind of thing is happening around the country, especially in the nicer, more desirable cities. People are being priced out of areas where they may have lived for a very long time, whether it's NYC, or San Francisco, or Santa Barbara, or San Jose, or Austin, TX, or Denver or Seattle. Many of these places were much more "affordable" once upon a time, and for decades. Then, things changed, especially in the last 15 years, and housing was deemed an "investment" to be cashed in on, and not necessarily as a place to live and become part of the community, especially during the housing bubble in the mid-2000's.

Investors and the wealthy moved in, purchased properties in desirable areas, and raised real estate values for everyone. Property taxes went up accordingly. Some of these properties were turned into condos or rentals, some were simply snapped up in "up and coming" areas and flipped, and some were remodeled/rebuilt and occupied by the wealthy. Like it or not, that's reality. Those that can no longer afford to live in one of these areas have to move on, whether it's a school teacher, or a fireman or policeman, or any middle-class professional or service industry worker.

Yes, I agree that it sucks for those individuals who are pushed out economically from areas that they may have lived in for decades. This happens all the time everywhere at all levels, not just in cities with great natural beauty. Run down neighborhoods in "up and coming" cities or in very desirable cities are gentrified and redeveloped, the less economically advantaged have to move out, and others with more financial means move in.

The article also mention that the median cost of a home in Sedona was $518,000 at the beginning of 2018, and that number climbed to $562,000 in 2019.

The median wage in Sedona is approximately $13 an hour, and the median income for a family of four is $56,000, which makes purchasing a home "simply not attainable."

Low wages coupled with high housing costs, an increasing problem around the country in many cities. That's part of what contributes to young people not being able to afford homes, putting the squeeze on rents, which have increased exponentially.

And it's not just workers who are priced out. Retirees in the Northeast are fleeing the high housing costs and property taxes (and winter) and moving south, which raises the cost of living in North Carolina and Florida for long-term residents in those states, for example.

I think the "vacation rentals" issue is just one aspect of an enormous change in housing, from the rising costs, to the changing quality of neighborhoods, to the explosion of luxury housing development in some cities, over the last 15 years.

[Veritas Vincit]

Lol @ Eastern Europe. Thats not the Poconos or Utah, those are places where people will only accept you if you live and behave like them which is very different from what Americans are used to. Thats not an option for most Americans. The world at large doesnt represent an endless supply of low COL spots for Americans priced out of the desirable corners of the U.S.

[infocyde]

Originally Posted by Veritas Vincit

Lol @ Eastern Europe. Thats not the Poconos or Utah, those are places where people will only accept you if you live and behave like them which is very different from what Americans are used to. Thats not an option for most Americans. The world at large doesnt represent an endless supply of low COL spots for Americans priced out of the desirable corners of the U.S.

I've been to Bulgaria three times, and talked to people a lot about the surrounding areas. Note you would have to most likely bring your job with you, and there are tax and residency issues to be worked out with that. I floated the idea to my work and was shot down fast. Not to off track this thread even more but Eastern Europe is an option. You are correct for the smaller towns, it could be very hard to fit in, depends a lot of you. Brits love freaking Eastern Europe (at least up until all the Brexit stuff). Most couldn't afford decent lives on a UK pension so they moved to exotic Eastern Europe and for the most part seem to love it. American's might have a different experience but the people I dealt with in Eastern Europe would have loved to see my family move there. Again if I was single and and some sort of portable fancy interwebs job, I'd be packing my bags to go now...you can get a 90 visa to most Eastern European countries on arrival and your hotel cost would be less than rent in most bigger US cities.

Just say'en.

OK, back to Flagstaff and Sedona...

[RationalExpectations]

Originally Posted by sylentvoyce

he mindset is: If you are not rich, it is your own fault.

Who's fault is it?

[sylentvoyce]

Originally Posted by RationalExpectations

Who's fault is it?

I totally forgot I posted here. There's no fault for not being rich. It's a luxury, not a necessity. A basic standard of living is a necessity: food, water, and shelter.

Here's a statement that'll bring us back on topic. In a country that is built on the concept of making money fast, Sedona is a perfect town. In a free marketplace, these rentals make sense. Nobody is owed a home in a beautiful town.

I live in a nasty ugly town and work 96 hours per week. I finally have a middle class life.

[NDak15]

Originally Posted by sylentvoyce

Such is life in this country.

Beautiful places will soon home to the rich only, and maybe a vacation spot to everyone else.

Of course this is America. The mindset is: If you are not rich, it is your own fault.

Beautiful places have been like this for years.

[Hschlick84]

Hate to break it to you, but Sedona is overrated.

[sylentvoyce]

Originally Posted by NDak15

Beautiful places have been like this for years.

True words buddy. Desirable places command a desirable salary.

[NDak15]

Originally Posted by sylentvoyce

True words buddy. Desirable places command a desirable salary.

I grew up in Montana and saw it for years. Lots of minimum wage jobs and a few wealthy people.