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New Arizona Bill Could Set Limitations On Short-Term Rentals

Published: Thursday, February 11, 2021 - 8:50am
Updated: Tuesday, February 23, 2021 - 12:46pm

A new Arizona bill would permit cities to enact zoning restrictions that could set limitations on the number of short-term rentals. This is despite a 2016 law that hinders cities and counties from enacting such limitations. 

House Bill 2481's sponsor is Republican Rep. John Kavanagh. He says this legislation is not meant to target owners and occupants of a home who rent out their rooms, but is for those that buy property, turn it into a de facto hotel, and are generally absent.

“The economics of short-term rentals are such that an investor can make far more money buying a house and renting it out as a hotel — as a horizontal, decentralized hotel — than renting the house out for long-term rental. So very quickly the market went wild. And we suddenly had massive proliferation of these short-term rentals," Kavanagh said. 

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But there’s concern from other representatives. Republican Jake Hoffman says what people do with their property is their right. And that there are enough ordinances to deal with “bad apples.”

A House panel approved the measure.

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