“It’s just that in markets already suffering from limited housing availability, a large or rapidly expanding short-term housing market can be a significant challenge to the health of a local housing market.” “Short-term housing has its place in the overall housing continuum,” said Patrick Bowen of Bowen National Research, which has done multiple housing assessments in Western North Carolina, including one for the Dogwood Health Trust in 2021. The figures from AIRDNA do not break out Woodfin from Asheville. The BCTDA referred Asheville Watchdog to AIRDNA data for locations of the rentals, which reported that Asheville has 2,688 active rentals, 88 percent of which are entire homes. “It continues to be the philosophy of the City of Asheville that local governments are best positioned to find and apply the proper regulatory balance to this complex and ever-changing marketplace,” Branham wrote. The US Census put Woodfin’s total housing units at 3,689 in 2020, which, based on McAllister’s estimate of 10 percent, would mean that approximately 369 houses were dedicated short-term rentals.īranham said in an email to Asheville Watchdog that reasonable regulation “equates to a balancing act between allowing locals to take part in the tourism economy while also maintaining sufficient housing stock and affordability levels as well as the character of our neighborhoods.” The Council’s opinion was that we have enough places for tourists to stay and this data proves our point.” Woodfin’s McAllister told Asheville Watchdog in an email that “having ‘some’ short-term-rentals in Woodfin is fine, but to have more than 10 percent of all residences being weekend rentals for tourists is absurd for a small town populated by families and individuals who want a real community.
Yet, the availability of housing, most particularly affordable housing, and the character of the neighborhoods are concerns for both municipalities. But the sales trend is shifting in 2023 with hotels declining by 1.9 percent and short-term rentals rising by 3.5 percent.īoth Woodfin and Asheville officials said they recognize that there should be a balance on short-term vacation rentals regulation to allow residents to participate in the area’s vibrant tourism market, and that renting rooms represents an often critical income stream for many. This is from total lodging sales of $641.8 million, with hotels accounting for 62 percent of sales and short-term vacation rentals for 36 percent. The BCTDA reported it collected $36.4 million in hospitality tax for its fiscal year ending June 30, 2022. In 2022, there were 3,668,237 vacation short-term rentals (one room available each night would count for 365), according to a BCTDA presentation to its board members on Jan. “Absent such regulatory options, I would expect these numbers to continue increasing exponentially.” The explosive growth of short-term rentals “absolutely highlights the dire need for maintaining a certain level of control for local government, especially in areas like ours with such a strong tourism related economy,” Branham said. The growth of short-term vacation rentals surged during the Asheville hotel-building moratorium // chart by Buncombe County Tourism Development Authority
Proponents of regulating short-term rentals argue that the growth of vacation rentals worsens the affordable housing shortage, and turns some areas into de facto hotel districts.Ĭity Attorney Brad Branham said the City of Asheville’s top legislative priority for 2023 is opposition to any further state initiatives to curb the ability of the city to regulate the use of short-term vacation rentals. The issue pits the rights of property owners - those who own investment units and can earn income from the tourist boom - against the rights of other property owners, including neighbors who want peace and quiet, and fear changing the character of their neighborhoods. “If the data from TDA are accurate, it reinforces the smart decision that the Woodfin Town Council took recently to limit the number of short-term rentals within our town limits,” said Jim McAllister, Woodfin’s vice mayor.īut Asheville city officials said they worry that the North Carolina General Assembly this year will resurrect previous legislative proposals to strip local governments of their ability to regulate these rentals. The topsy-turvy growth has prompted cities and towns to push for more regulation of short-term rentals, most of which are through the online platforms of Airbnb and Vacation Rental By Owner (VRBO).
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